Last Updated2026-06-02

Market View

₹643.05(▲7.08%)

Reporting PeriodQ4 FY26

SALZERELECSALZERELEC Forensic Risk Analysis

Name: SALZERELEC Structural Risk Analysis
Creator: Flagium AI
License: https://creativecommons.org/licenses/by-nc-nd/4.0/

Other Electrical Equipment

Risk ClassStable

Market CapN/A

Primary DriverEarnings Quality

Flagium AI Risk Score

15 / 100

+5 QoQ

Early Deterioration

Sentinel Insight

Financial profile remains stable for now. Weakness is detected in profitability and earnings quality. No immediate concerns are visible. Risk is increasing at a faster pace.

77.3th %ile (Sector)Accel: +1 Qtrs

Updated2026-06-02

Market View

₹643.05▲7.08%

PeriodQ4 FY26

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

Earnings Quality

+15.0 pts

Balance Sheet Stress

+6.4 pts

Stability Adjustment

-6.0 pts

Final Composite Risk15 / 100

Investment Risk Thesis

Historical Trend

Current risk score has risen from 13 → 15 over 13 quarters.

Expected Direction

⚠ Watch

Primary Deterioration Drivers

Inventory Stress
Industrial Margin Stress
Operating Leverage Stress

What to Watch Next Quarter

Operating profit margins
Operating cash flow
Debt growth

Active Risk Objects (8)

CriticalHigh

Industrial Margin Stress

📊 Earnings QualityAnnualActive for 4 Years

More Detail

Impact Weight12/15

MomentumPersistent

Last SignalQ4 FY2026

SALZERELEC: EBITDA margin compressed by 1.5 bps YoY and Raw material costs consumed an additional 7.6% of revenue YoY.

"Margins are in freefall. Operating costs are growing significantly faster than revenue."

Profit Collapse

📊 Earnings QualityQuarterlyActive for 1 Qtrs

More Detail

Impact Weight8/15

MomentumDecaying

Last SignalQ2 FY2026

SALZERELEC: Net Profit collapsed by 50.9% from FY2025 Q2 to FY2026 Q2.

"Earnings quality is stabilizing. The reliance on non-operational items is receding."

Negative FCF Streak

⚖️ Governance SignalsAnnualActive for 3 Years

More Detail

Impact Weight6/15

MomentumPersistent

Last SignalFY2026

SALZERELEC: Negative Free Cash Flow for last 3 consecutive years.

"High capital expenditure and low OCF are draining cash. Debt levels may rise sharply."

Cash Conversion Deficit

📊 Earnings QualityAnnualActive for 3 Years

More Detail

Impact Weight6/15

MomentumPersistent

Last SignalFY2026

SALZERELEC: OCF below Net Profit in 3/3 recent years.

"Cash conversion is dangerously low. Operational cash flow is significantly trailing reported PAT."

Operating Leverage Stress

📉 Trend DeteriorationAnnualActive for 5 Years

More Detail

Impact Weight10/15

MomentumPersistent

Last SignalQ4 FY2026

Expenses are consistently growing faster than revenues, creating operational pressure.

"Debt levels are creeping up. Monitor for signs of excessive borrowing for non-core activities."

Low Interest Coverage

💧 Liquidity & CoverageQuarterlyActive for 2 Qtrs

More Detail

Impact Weight8/15

MomentumAccelerating

Last SignalQ4 FY2026

SALZERELEC: Low Interest Coverage Ratio of 1.99x in FY2026 Q4 (Threshold: 2.5x).

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

Inventory Stress

📊 Earnings QualityAnnualActive for 1 Years

More Detail

Impact Weight15/15

MomentumDecaying

Last SignalQ4 FY2025

Inventory growth (25.3%) significantly outpaced revenue growth (15.7%).

"Inventory overhang is clearing. Stock levels are normalizing as sales momentum returns."

Working Capital Expansion

💧 Liquidity & CoverageAnnualActive for 1 Years

More Detail

Impact Weight10/15

MomentumDecaying

Last SignalQ2 FY2024

Working capital expansion detected: Receivable days increased by 23.3%.

"Working capital pressure is receding. Cash previously locked in operations is being released."

Risk Trajectory

Loading Chart

Resilience Matrix

Metric	Value	vs Sector	Signal
Volatility (σ)	4	5.89	✅ RESILIENT
Sensitivity (ε_s)	1	1.00	✅ RESILIENT
Escalation Prob.	5%	5%	✅ NEUTRAL
Safety Buffer	+51.0	+54.0	📈 CRITICAL

Forensic Benchmark Context: Other Electrical Equipment (n=23 peers)

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

Loading Chart

Share Price

Risk Score (0-100)

Market Performance

₹643.05(+7.08%)

1M Divergence-3.8%

1 Week+0.42%

1 Month-1.53%

6 Months-10.48%

1 Year-29.15%

2 Year-7.84%

3 Year+80.47%

Sector Average (1M)+2.27%

Sentinel Forensic Assessment

ALGORITHMIC RISK PROFILE • NON-ADVISORY

The structural architecture is currently robust. Capital resilience buffers in earnings quality remain well-maintained against forensic benchmarks. Systematic scans of operational margins and profitability metrics confirm the absence of material structural stress. Strategic vigilance is advised as structural decay is accelerating.

SALZERELEC • 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.0%

Trend QualityDeteriorating

Phase Progression

Phase Progression Score0%

Readiness LabelLow (Early Base Consolidation)

Probability of Advancing0%

CoinTree Momentum

Composite Z-Score-0.2343σ

Weakening momentum trend

Universe Rank#1496 of 2716

Top 55.08% in momentum strength

Timeframe Sparklines

1W+0.4%

1M-1.5%

6M-10.5%

Weinstein Indicators

150 DMA₹658.43

200 DMA₹700.55

150 DMA Slope-2.7770%Declining

Relative Strength-4.99%Lagging

Relative Turnover (RTR)0.6022

ParticipationWeak

PEER COMPARISON

Ranked comparison against sector peers

Risk profile is broadly in line with the Sector Mean (12).

Ticker	Risk Score	Sector %ile	Delta	Flags	Accel	Primary Driver
APARINDSApar Industries Limited	7	23th	+1	9	+2	Earnings QualityStable
SALZERELECSALZERELEC	15	77th	+5	8	+1	Earnings QualityStable
SERVOTECHSERVOTECH	28	95th	-5	18	+0	GovernanceWatch
URJAURJA	35	100th	+25	21	+3	Earnings QualityWatch