SAMMAANCAP - Investment Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Investment Rating: 2.6

📊 Sammaan Capital Ltd (SAMMAANCAP) — Investment Analysis

Sammaan Capital is a housing finance company with a history of volatility and weak profitability. Despite some institutional interest, its fundamentals are currently unattractive for long-term investment.

🔍 Key Financial Metrics

Metric Value Interpretation

P/E Ratio Negative Indicates loss-making status

EPS ₹-21.8 Negative earnings — major red flag

ROE / ROCE -8.69% / 3.64% Poor capital efficiency

PEG Ratio Not available Likely not meaningful due to losses

Dividend Yield 1.60% Slight income, but not sustainable

Debt-to-Equity 1.96 Highly leveraged, risky

Book Value ₹263 P/B ~0.47 — deep value, but risky

FII/DII Holding -0.29% / +0.04% Weak institutional conviction

MACD / RSI -0.16 / 44.1 Bearish momentum, no reversal yet

📉 Valuation & Price Trends

Current Price: ₹125

52W High/Low: ₹179 / ₹97.6

DMA50 / DMA200: ₹128 / ₹134 — trading below key averages

Volume: Slightly above average, but not bullish

📌 Ideal Entry Price Zone

Accumulation Zone: ₹100–₹110

Near 52-week low

Only suitable for deep value contrarian investors with high risk tolerance

🧭 If You Already Hold SAMMAANCAP

🕒 Holding Strategy

Time Horizon: Avoid long-term holding unless turnaround is visible

Monitor

ROE turning positive

Debt reduction below 1.2x

EPS recovery and consistent profitability

🚪 Exit Strategy

Immediate Exit: If price rebounds to ₹140–₹150 without earnings support

Stop-Loss: ₹95 — breach of 52-week low

Re-entry: Only if ROE turns positive and debt is reduced significantly

⚠️ Final Verdict

Sammaan Capital is not a good candidate for long-term investment at this stage. Its negative earnings, poor ROE, and high debt make it a speculative play rather than a compounding opportunity. The only case for holding is if you believe in a deep turnaround in the housing finance cycle and management execution.

Would you like a safer alternative in the housing finance space like Can Fin Homes or LIC Housing Finance for comparison?

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