LEMERITELEMERITE Forensic Risk Analysis

Trading - Textile Products
Risk ClassWatch
Market CapN/A
Primary DriverBalance Sheet Stress
Flagium AI Risk Score
Early signs of stress detected. Not yet widespread, but initial deterioration is visible.
26 / 100
+21 QoQ
Early Deterioration
Sentinel Insight

Financial profile remains stable for now. Weakness is detected in balance sheet stress. This suggests a building risk profile. Risk is increasing at a faster pace.

100.0th %ile (Sector)Accel: +1 Qtrs
Updated2026-06-02
Market View
₹34.35▼4.98%
PeriodQ4 FY26

Score Waterfall
Absolute contribution points of each forensic pillar to the final risk score. Derived from: Sector Baseline + Active Penalties - Mitigation Buffers.

Balance Sheet Stress
+19.9 pts
Earnings Quality
+5.8 pts
Final Composite Risk26 / 100

Investment Risk Thesis

Historical Trend

Current risk score has risen from 0 → 26 over 12 quarters.

Expected Direction
🚨 Escalate
Primary Deterioration Drivers
  • Working Capital Expansion
  • Profit Collapse
  • Low Interest Coverage
What to Watch Next Quarter
  • Working capital efficiency
  • Operating profit margins

Active Risk Objects (3)

CriticalHigh
Working Capital Expansion
💧 Liquidity & CoverageAnnualActive for 2 Years
More Detail
Impact Weight10/15
MomentumAccelerating
Last SignalQ4 FY2026
Working capital expansion detected: Receivable days increased by 106.2%.

"Early signs of working capital expansion. Receivable or inventory days are creeping up."

Profit Collapse
📊 Earnings QualityQuarterlyActive for 1 Qtrs
More Detail
Impact Weight8/15
MomentumAccelerating
Last SignalQ4 FY2026
LEMERITE: Net Profit collapsed by 72.3% from FY2025 Q4 to FY2026 Q4.

"Earnings quality is under severe pressure. High accruals suggest potential revenue overstatement."

Low Interest Coverage
💧 Liquidity & CoverageQuarterlyActive for 2 Qtrs
More Detail
Impact Weight8/15
MomentumAccelerating
Last SignalQ4 FY2026
LEMERITE: Low Interest Coverage Ratio of 1.66x in FY2026 Q4 (Threshold: 2.5x).

"Earnings buffer for interest payments is narrowing. Monitor for margin pressure."

Risk Trajectory
Historical 12-quarter risk trend (Q-11 to Q0) followed by a 2-quarter predictive funnel (Q+1, Q+2).
Loading Chart
Resilience Matrix
Diagnostic benchmarking comparing structural sensitivity and risk buffers against sector medians.
MetricValuevs SectorSignal
Volatility (σ)5.097.47✅ RESILIENT
Sensitivity (ε_s)11.00✅ RESILIENT
Escalation Prob.5%5%✅ NEUTRAL
Safety Buffer+40.0+44.0📈 CRITICAL
Forensic Benchmark Context: Trading - Textile Products (n=2 peers)

Correlation Analysis
Visualizing the relationship between stock price movement and structural risk objects.

Loading Chart
Share Price
Risk Score (0-100)
Market Performance
₹34.35(-4.98%)
1M Divergence-63.22%
1 Week-22.79%
1 Month-60.96%
6 Months-66.14%
1 Year-45.15%
2 Year+103.37%
3 Year+271.75%
Sector Average (1M)+2.27%
Sentinel Forensic Assessment
ALGORITHMIC RISK PROFILE • NON-ADVISORY

The risk profile is Early Signals and currently deteriorating. Recent structural triggers in balance sheet stress suggest a building pressure on the underlying framework. Material forensic traces are visible in core structural metrics, indicating a progressive erosion of structural stability. Strategic vigilance is advised as structural decay is accelerating.

LEMERITE • MARKET STRUCTURE

Stage 4 — Declining

The company is in a defensive phase. Sentiment and fundamentals are deteriorating under persistent downward pressure, indicating elevated risk levels.

Stage Transition Prob.1%
Trend QualityDeteriorating
Phase Progression
Phase Progression Score0%
Readiness LabelLow (Early Base Consolidation)
Probability of Advancing1%
CoinTree Momentum
Composite Z-Score-3.3035σ
Significant momentum lag
Universe Rank
A cross-sectional rank of this stock's composite momentum score compared to all other tracked equities in the universe. A rank of #1 of 1035 means it has the strongest overall price momentum in the market.
#2707 of 2716
Top 99.67% in momentum strength
Timeframe Sparklines
1W-22.8%
1M-61.0%
6M-66.1%
Weinstein Indicators
150 DMA₹90.55
200 DMA₹87.51
150 DMA Slope-2.5270%Declining
Relative Strength-60.66%Lagging
Relative Turnover (RTR)2.1435
ParticipationHealthy

PEER COMPARISON

Ranked comparison against sector peers

Risk profile is broadly in line with the Sector Mean (22).
PDSLPDSL
18 Risk
Sector %ile0th
Delta+5
Active Flags21
Accel+1
Competitive Position

Stable

LEMERITELEMERITE
26 Risk
Sector %ile100th
Delta+21
Active Flags3
Accel+1
Balance Sheet Stress

Watch

* Peer comparison is based on risk signals, not valuation or returns.

Risk Profiles

Solvency
10100th %ile
VS Sector Median (8.5)
Governance
10100th %ile
VS Sector Median (8.5)
Earnings Quality
6.261.6th %ile
VS Sector Median (8.5)
Balance Sheet Stress
0.10.5th %ile
VS Sector Median (8.5)
Competitive Position
10100th %ile
VS Sector Median (8.5)
Growth Sustainability
10100th %ile
VS Sector Median (8.5)

Deterioration Timeline

2026

Working Capital Expansion

2025

Working Capital Expansion

Key Financials (INR Cr)

PeriodRevenueNet ProfitOCFDebt
FY2026368123990
FY20255266-12103