Tanfac Industries Ltd (TANFACIND) — share price & stock analysis

Market cap

₹5,238 Cr

P/E

74.7×

ROE

20.5%

vs own 10-yr valuation

highest ever

Book value / share

₹187

EPS (TTM)

₹35.2

10-yr median P/E

16.1×

Revenue (FY26)

₹711 Cr

Profit after tax (FY26)

₹70 Cr

Weinstein stage

Stage 2 (81 weeks)

Data as of

1 July 2026

4 of the 6 things we track are currently moving the right way — most of the dashboard is turning up.

Where the levels actually stand: ROCE 24% — a high-quality engine; effectively no debt; margins mid-band. Momentum says which way things are moving; these say where they are.

Read this number for what it is: it measures the DIRECTION of change, not the quality of the business. A mediocre business getting better scores high here; a great one having a soft quarter scores low. Profit, sales and margins count double.

The market has pre-paid for growth that hasn’t arrived yet

Since Oct 2016, the stock is up 10,500% while earnings per share grew 1,306%. The difference is re-rating — investors paying more for the same rupee of profit.pricettm_eps

That works until it doesn’t: from here, earnings have to do the lifting, because the multiple has already done its part.

Today’s P/E of 74.7× is about the most expensive this stock has ever traded against its own 10-year history.pe_ratio

Price is the weekly close (₹). EPS is trailing-twelve-month profit per share, anchored on Screener's own snapshots (the window starts at the first stable snapshot — earlier IPO-era share-count revisions are excluded, since they are not earnings events); between snapshots it is filled from price ÷ P/E (an exact identity), and any fill straying more than 18% from the neighbouring snapshots is dropped rather than shown. The lower panel is the P/E — what the market pays per rupee of profit; the dotted line is its long-run median (16.1×).

An uptrend that has held for 81 weeks

Every stock cycles through the same four seasons — a flat base (stage 1), an advance (2), a top (3), a decline (4). Right now this one is in Stage 2: advancing, 81 weeks in, confirmed.stage

The price sits above its rising 200-day average (₹2,082 today) and its strength against the index is still improving — trends like this persist more often than they reverse, which is why the system rides them instead of guessing the top.dma_200

Beating NIFTY 500 for 5 weeks — relative strength is the market’s live opinion, and right now it is on this stock’s side.rs_mansfield

What would end it: two Friday closes in a row below the 200-day line. That is the house exit rule — mechanical, no debates.dma_200

Out of the loss years — profitable again, still below its best

Over 12 years, sales went from ₹117 Cr to ₹711 Cr (about 16% a year), and profit from ₹−3.0 Cr to ₹70.0 Cr.revenuenet_profit

The books show real losses in FY14 and FY15 (worst: ₹−5.0 Cr). Everything about today’s cheap-looking numbers must be read against that history — the recovery is what you are buying.net_profit

Sales grew 12% last quarter

Mar 26 sales were ₹193 Cr, up 12% on the same quarter last year.revenue

Margins are compressing — 21% → 16% in a year

Of every ₹100 of sales, the company keeps ₹15.7 as operating profit (a year ago it kept ₹20.8).opm_pct

The gross margin moved the same way (35% → 29%), so this is about input costs and pricing power — the raw-material equation worsened.gpm_pctopm_pct

Profit fell hard 22% — mostly from keeping more of each sale

Mar 26 profit after tax was ₹18.0 Cr, down 22% year on year.net_profit

Most of the profit becomes cash — but not all

Over the last 5 profitable years, the business reported ₹319 Cr of profit and collected ₹197 Cr of operating cash — about 62% conversion.operating_cash_flownet_profit

The wrinkle is the latest year: FY26 collected ₹43.0 Cr against ₹70.0 Cr of reported profit — about 61%. One year isn’t a trend, but it is the line to watch.operating_cash_flownet_profit

The cash cycle is tightening — money comes home faster

One rupee now takes about 112 days to go out the door as materials and come back as collected cash — down from 129 days the year before.cash_conversion_cycle

The biggest mover: inventory moving faster off the shelf (112 → 76 days).inventory_days

The asset base keeps compounding — this company builds

The productive asset base has gone from ₹59.0 Cr (FY14) to ₹212 Cr, with another ₹29.0 Cr of capacity under construction right now.fixed_assetscwip

The build is bigger than the cash engine: investing outflows (₹163 Cr) exceeded operating cash (₹110 Cr) over the last 3 years — the difference comes from debt or shareholders.investing_cash_flowoperating_cash_flow

Almost no debt — this company cannot be killed by a bad year

For every ₹100 shareholders have put in (and left in), the company has borrowed ₹25 — total borrowings have grown from ₹70.0 Cr to ₹93.0 Cr over the window.borrowings

Every ₹100 kept in the business earns ₹24 — a high-quality engine

Return on capital employed is 24.0% (a year ago: 42.0%). This is the single best test of business quality: what the company earns on the money it keeps.roce_pct

Promoter holding dropped in one step — an event, not a slow exit

Promoters hold 48.7% (down 3.1 points over 8 quarters). Foreign funds own 1.5%, domestic funds 4.8%.promoters_pctfiis_pctdiis_pct

The promoter move came in a single step (Jun 26) — promoters rarely buy on-market, so a jump like this is almost always an allotment, infusion or restructuring: a capital event, not a slow accumulation of conviction. Worth knowing which, before reading it as a signal.promoters_pct

A turnaround that stuck — the question is what’s left to re-rate

The numbers are genuinely mixed, and the price already assumes the good news continues.

Best thing in the data: cash generation rising (₹33.0 Cr → ₹43.0 Cr).operating_cash_flow

Biggest worry: free cash flow falling (₹−9.0 Cr → ₹−48.0 Cr).operating_cash_flow

Machine-written research from Screener data — every number traces to its source column. Sector Alpha is not a SEBI-registered investment adviser; nothing here is a recommendation to buy or sell. Not investment advice.

Straight answers from the data