Fundamental Scoring Reference
Valuation (P2) uses
sector-adjusted
PE & PB benchmarks. Banking / IT / FMCG / Pharma / Infra each
have their own bands. Scores are computed with smooth curves (not
hard jumps), extreme quarterly outliers are clipped, and derived
fields carry slightly lower confidence than direct API values.
P1
Profitability /2.0 — ROE + ROCE scored by
smooth bands to avoid threshold jumps. Derived ROCE is allowed
with a conservative quality weight.
P2
Valuation /2.0 — PE (1.0) + PB (1.0) compared
against sector bands and interpolated continuously from
attractive to expensive.
P3
Leverage & Liquidity /1.5 — D/E (1.0 pt) +
Current Ratio (0.5 pt) + 3Y debt trend bonus. Debt reduction
over 3 years improves score; sharp debt build-up lowers it.
Banking leverage is interpreted with sector norms.
P4
Growth /1.5 — Quarterly growth (EBITDA/Revenue)
plus annual trend (3Y Revenue CAGR and 3Y PAT CAGR). This avoids
overrating one strong quarter.
P5
Earnings Quality /1.5 — Profitability
(EPS/OPM/Dividend) blended with cash quality (CFO/PAT and
positive free-cash-flow years).
P6
Efficiency & Safety /1.5 — Interest
coverage + net margin + profit consistency (positive PAT ratio)
+ quarterly PAT momentum.