CMP - Risk

Elevated Business & Solvency Risk

Caution: In addition to price volatility, there are balance sheet risks due to higher debt or weaker liquidity (Health Score: 55/100).

Volatility Risk

Transparent evaluation of price volatility (SRI), Beta, and historical drawdowns.

Volatility Risk Score

7/7 Very High

7 / 7 SRI Price Fluctuation & Beta

Very high volatility or fundamental risks. Significant loss potential; strictly for aggressive investors. Moves approx. 1.3x as much as the broader market.

Beta (Market Relation)

1.26x

Above average

Volatility (5Y p.a.)

53.0% p.a.

5-Year Horizon

Max Drawdown (5Y)

-89.6%

5-Year Horizon

Sharpe Ratio

-0.41

Return / Risk

Speculative / High Risk: Score Basis:

Multi-Horizon Risk & Performance Matrix

Historical volatility, drawdowns, and risk-adjusted return across 1, 3, 5, and 10 years.

Volatility Expansion (3Y > 5Y) High Volatility

Timeframe	Volatility (p.a.)	Max Drawdown	Sharpe Ratio	Return (p.a.)
1 Year	—	—	—	+19.2%
3 Years	56.4%	-72.8%	-0.14	-5.3%
5 Years	53.0%	-89.6%	-0.41	-19.3%
10 Years	45.5%	-90.7%	-0.3	-11%

Automated Risk & Health Notes (Red Flags)

Single Stock Risk: Investing in an individual stock carries full company and insolvency risk (no fund diversification).

Critical leverage: Debt-to-Equity is at 294%.

🔴 High valuation risk: Avg P/E of 54.3 (Elevated multiple compression risk)

Strong cyclicality: The business model is sensitive to economic downturns.

🔴 Low analyst coverage – higher uncertainty in growth estimates & projections

Structurally High Volatility: Above-average fluctuations persist across 5 to 10 years (53.0% p.a.).

Historical Stress Test: Maximum peak-to-trough drawdown of -90.7% in the extended horizon.

Corporate Governance & ISS Scores

Shareholder rights, board structure and audit safety (Scale 1 = Low Risk, 10 = High Risk)

Overall Governance Risk

6 ISS Score: 6 / 10

Audit Risk

10 ISS Score: 10 / 10

Board Risk

1 ISS Score: 1 / 10

Short Ratio

4.97