Pee Cee Cosma Sope Limited

Consumer Defensive — Household & Personal Products · BSE

₹479.95+₹13.15 (+2.82%)

DalalBaazaar Score

69 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing obvious stands out as stretched — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:53 pm

Understanding the Business

Company site ↗

The 60-second version of Pee Cee Cosma Sope Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Pee Cee Cosma Sope Limited manufactures and sells laundry soap, and detergent powder and cake in India. It also offers liquid soaps. The company sells its products under the Doctor brand name. The company was founded in 1947 and is based in Agra, India.

IndustryHousehold & Personal Products

SectorConsumer Defensive

Employees327

Annual revenue₹158 Cr

How does it make money?

Turns over ₹158 Cr a year. Of every ₹100 of sales, about ₹5 reaches shareholders as profit, with ₹8 left at the operating level before interest, tax and depreciation. Each of its 327 employees supports ₹48.3 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹48.3 lakh

Who are its competitors?

The closest listed comparisons in its industry are HINDUSTAN UNILEVER LTD., DABUR INDIA LTD, ITC LTD, BRITANNIA INDUSTRIES LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 19.9% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE27.4%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +27% while net margin moved +164% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+27%

Margin effect+164%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.24 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

72/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

75/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

14.6x

3Y Median

14.9x

40 monthly readings · mean 21.9x · range 8.1x–50.6x

Sector Median

38.6x

median of 4 sector peers

🟡Currently trading close to its 3y median of 14.9x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 62% below the peer median of 38.6x.

vs. its own history

Fair

14.9x median over 40 months · -2%

vs. sector peers

Cheap

38.6x median of 4 peers · -62%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

9.6x

PEG

0.29

What's Good / What's Bad

🟢 What's Going Well6

Margins are improving
EBITDA margin is up from 4.6% to 8.1% over 3 years.
Debt is being paid down
Total debt is down 96% over 3 years.
Cash generation is improving
Free cash flow is up 471% over 3 years.
Return on equity is rising
ROE has improved from 8.2% to 14.8%.
Return on capital is rising
ROCE has improved from 11.6% to 19.9%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 19.9% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from 4.6% to 8.1%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 96% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Cheaper than its peers
It trades 62% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 6%✓ 8.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Revenue growth stays above 6% a year✓ 8.3% CAGR
Latest reported year was 23.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
3Free cash flow remains positive✓ ₹14 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 17%✓ 19.9%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 5 neutral · 0 weak

Market Cap

₹127 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

14.6x

Cheap

Cheap against the generic band

P/B Ratio

2.25x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹32.8

Profitable

Profitable on a per-share basis

ROE

14.8%

Moderate

Moderate capital efficiency

ROCE

19.9%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.76x

Moderate

Moderate leverage

Revenue Growth (YoY)

23.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

11.8%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.63%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹14 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

6.8%

Average

Average margins

Net Margin

5.2%

Average

Average bottom-line conversion

Current Ratio

5.73

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.24

Defensive

Steadier than the market

52W Range Position

76%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

471.6 / 454.5

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

49.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹125 Cr	₹134 Cr	₹141 Cr	₹158 Cr	+8.3%
EBITDA	₹6 Cr	₹16 Cr	₹14 Cr	₹13 Cr	+30.4%
EBITDA Margin	4.6%	12.0%	9.8%	8.1%	—
PAT (Net Profit)	₹2 Cr	₹10 Cr	₹10 Cr	₹8 Cr	+49.6%
EPS	₹9.4	₹39.5	₹36.3	₹31.5	+49.6%
ROE	8.2%	25.9%	19.8%	14.8%	—
ROCE	11.6%	34.8%	26.6%	19.9%	—
Total Debt	₹11 Cr	₹2 Cr	₹2 Cr	₹0 Cr	-65.8%
Free Cash Flow	₹2 Cr	₹9 Cr	₹6 Cr	₹14 Cr	+78.7%

🟢 Revenue has grown at 8.3% a year over 3 years.

🟢 EBITDA has grown at 30.4% a year over 3 years.

🟢 EBITDA Margin has risen from 4.6% to 8.1% over 3 years (+3.5 pts).

🟢 PAT (Net Profit) has grown at 49.6% a year over 3 years.

🟢 EPS has grown at 49.6% a year over 3 years.

🟢 ROE has risen from 8.2% to 14.8% over 3 years (+6.7 pts).

🟢 ROCE has risen from 11.6% to 19.9% over 3 years (+8.3 pts).

🟢 Total Debt has shrunk at 65.8% a year over 3 years.

🟢 Free Cash Flow has grown at 78.7% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹64 Cr

Total Liabilities

₹7 Cr

Cash & Equivalents

₹4 Cr

Operating Cash Flow

₹15 Cr

Capex

-₹1 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

75.5%

Corporate Actions

Dividend Rate

₹3

Ex-Dividend Date

21 Sept 2026

Peer Comparison

Company	P/E	ROE
HINDUSTAN UNILEVER LTD.	42.5x	21.5%
DABUR INDIA LTD	34.7x	17.2%
ITC LTD	16.6x	27.4%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%

Recent News

2 positive1 mixed3 general

Pee Cee Cosma Sope Ltd is Rated Hold by MarketsMOJO

MarketsMojo, 14 Oct

Pee Cee Cosma Sope shareholders approve ₹3 per share dividend for FY26

scanx.trade, 29 SeptCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Pee Cee Cosma Sope Ltd. Stock: 9.86% Price Rise Analysis

Univest, 28 Jul

Pee Cee Cosma Sope inches up after company approves new wholly owned subsidiary; here's detail

Alice Blue, 27 Mar

PCCOSMA Share Price rises 9.66%: valuation, peers, sector

Univest, 03 SeptPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Pee Cee Cosma Sope Q1FY26 net profit up 12.6% to ₹335 lakh

scanx.trade, 12 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongFinancial Health · Growth · Valuation

MiddlingBusiness Quality · Profitability

WeakRisk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last.

All 5 tripwires holding · see Key things to watch ↑