Piotroski Score is a discrete score ranked from ‘zero’ to ‘nine’ with nine being the best and zero being the worst.
The score is based on nine different parameters such as net income, long-term debt, current ratio, gross margin, return on assets, asset turnover ratio, dilution of shares, operating cash flows in the current year, and also checks if the cash flow from operations is greater than the net income levels.
Listed below are 3 stocks with a high Piotroski score of ‘nine’ to keep on your radar:
Raymond Limited
With a market capitalization of Rs 13,000 crores, the shares of Raymond Limited started their trading session at Rs 1,974 and currently trade at Rs 1,954, slipping around 0.40 percent as compared to the previous closing levels of Rs 1,961.50 apiece.
Keeping a purview of one year, the company’s stock has delivered multibagger returns of 110 percent for its stakeholders, i.e., if someone would have invested Rs 1 Lakh into the stock, it would have converted to Rs 2.10 Lakhs within a period of one year.
Having a glance at the financials of the textile & apparel manufacturer, the prime indicators such as the operating revenues, as well as after-tax profits, increased with the former moving up from Rs 6,178 crores during FY21-22 to Rs 8,214 crores during FY22-23, and, the latter shifting from Rs 271 crores to Rs 521 crores keeping the timeframe the same.
In addition, the profitability ratios rose with the return on equity (RoE) increasing from 11.03 percent during FY21-22 to 18.24 percent during FY22-23, and, the return on capital employed (RoCE) taking a shift from 16.18 percent to 24.49 percent.
Apar Industries Limited
With a market capitalization of Rs 15,100 crores, the shares of Apar Industries Limited started their trading session at Rs 3,948.75 and currently trade at Rs 3,945, gaining around 0.90 percent as compared to the previous closing levels of Rs 3,911.40 apiece.
Year-To-Date, the company’s stock has delivered multibagger returns of 116 percent for its stakeholders, i.e., if someone would have invested Rs 1 Lakh into the stock, it would have converted to Rs 2.16 Lakhs within a period of one year.
Having a look at the financials of the conductor manufacturer & seller, the prime indicators such as the operating revenues, as well as after-tax profits, increased with the former moving up from Rs 9,319 crores during FY21-22 to Rs 14,352 crores during FY22-23, and, the latter shifting from Rs 256 crores to Rs 637 crores keeping the timeframe the same.
In addition, the profitability ratios rose with the return on equity (RoE) increasing from 14.96 percent during FY21-22 to 28.51 percent during FY22-23, and, the return on capital employed (RoCE) taking a shift from 23.65 percent to 46.58 percent.
Apollo Tyres Limited
With a market capitalization of Rs 27,700 crores, the shares of Apollo Tyres Limited started their trading session at Rs 437.90 and currently trade at Rs 436, slipping around 0.50 percent as compared to the previous closing levels of Rs 438.10 apiece.
Having a walkthrough of the financials of the tyre manufacturer & seller, the prime indicators such as the operating revenues, as well as after-tax profits, increased with the former moving up from Rs 20,947 crores during FY21-22 to Rs 24,568 crores during FY22-23, and, the latter shifting from Rs 638 crores to Rs 1,104 crores keeping the timeframe the same.
In addition, the profitability ratios rose with the return on equity (RoE) increasing from 5.43 percent during FY21-22 to 8.57 percent during FY22-23, and, the return on capital employed (RoCE) taking a shift from 6.74 percent to 10 percent.
Written by Amit Madnani
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