★ Report Analyzer CSE Terminal Sectors Community JXG IPO Tool
◆ Independent Equity Research · CSE

Independent analysis of
Sri Lankan equities.

Quality-of-earnings flags, accounting reality checks, and governance deep dives on CSE-listed companies. Written to surface observations that standard broker coverage misses.

19 Reports published
18+ Tickers covered
150+ Flags identified
Jun 2026 Last updated
!
Not investment advice. All research reflects personal analytical views by DamithInvest, who is not registered with the SEC of Sri Lanka as an investment advisor or broker. Terms like "positive", "negative", and "red flag / green flag" are personal observations based on public filings — not buy, sell, or hold recommendations. Do your own research and consult a licensed advisor.
Filter: All 18 Deep Dive Thesis Sector Macro 🌐 Foreign
15 reports
◆ CSE Deep Dive 08 JUN 2026
JAT Holdings FY26: Paths With Purpose, or Treading Water?
JAT.N0000 · ~LKR 39 · Mkt cap ~LKR 20.4 Bn · FY ended 31 Mar 2026
Revenue +9% and gross profit +20% are genuine — but operating profit was dead flat (+1%), every return metric fell, and the cash-conversion cycle blew out to ~267 days. The headline "−14% PAT" is almost entirely a tax-line base effect. The 57% wood-coatings franchise is excellent; Mirotone was a USD 1.6M deal dressed as "transformative." The stock re-rated from 7.7× to 13.4× earnings while EPS fell 17%. Includes an interactive DCF with bear/base/bull scenarios.
▼ 5.4 / 10 score ● 57% wood-coatings share ◆ Live DCF
Read full analysis →
JAT.N0000 — GP MARGIN vs OPEX vs CASH CYCLE 40% 60% 34% GP FY25 38% ↑ GP FY26 OPEX +37% S&D+Admin 15.7% OP FY25 14.6% ↓ OP FY26 CASH CYCLE 267d DCF base ≈ LKR 21 vs mkt LKR 39 Score 5.4 / 10 · Hold-the-line yr
All Research
ASIR · AMSL — RS 16.9BN UPSTREAM LOANS SHL · NAV −48.99 equity −Rs 44.7bn ASIR · Rs 10.83bn PAT +Rs 5.17bn AMSL · Rs 6.08bn PAT +Rs 0.98bn loans up ↑ Impaired 2 yrs running 15 Jun 2026 · ASIR sold 3.63% AMSL stake → Rs 356m
▲ Group Structure 16 JUN 2026
Asiri & Softlogic: The Rs 16.9Bn Upstream Trail
ASIR · AMSL · SHL · SCAP · AAIC
Two profitable hospitals carry Rs 16.9Bn in related-party loans, part directed at a parent with negative equity of Rs 44.7Bn. Impairments taken two years running. Then on 15 Jun 2026, ASIR sold 3.63% of AMSL — value moving the same direction as the loans.
▲ Recoverability risk ● Strong hospitals
→
JAT.N0000 — CEO CLAIMS: VERDICT SCORECARD Bangladesh ✓ NZ Recession ✓ NC/Solvent ✓ Hormuz ▼ Emulsion ? Costs ? SCORE 5.7/10 SCORE DCF before LKR 21 after fact-check LKR 24 Market price ~LKR 39 · gap −38% to base DCF Hormuz war: active since 28 Feb 2026 · EIA: normalise early 2027
⟳ CEO Fact-Check 14 JUN 2026
JAT Holdings — CEO Response: Six Claims, Independently Verified
JAT.N0000 · ~LKR 39 · Score 5.4→5.7 · DCF base LKR 21→24
CEO explained Bangladesh, Hormuz, R&D, Mirotone and emulsion. Four claims hold up against independent sources. One (Hormuz "sorted in a few months") is true but severely understated — an active war closed the Strait since 4 Mar 2026, EIA expects normalisation in early 2027. One emulsion share figure doesn't reconcile. Updated DCF: LKR 24 base vs ~LKR 39 market.
4 verified ✓ ▼ Hormuz understated Score 5.7/10
→
JINS.N0000 — GWP ▲ vs PAT ▼ DIVERGENCE FY23 FY24 +31% GWP FY23 FY24 −23% PAT Q1 GWP +42% PAT −61% ~98% payout · A- IFS
▲ Deep Dive 10 JUN 2026
Janashakthi Insurance: Record Premiums, Shrinking Profit, and Whose Cash Is It?
JINS.N0000 · ~LKR 44 · Mkt cap ~LKR 30 Bn · FY2025 + Q1 2026
GWP +31% to a record LKR 8.65 Bn — PAT fell 23%. Q1 2026 made it sharper: GWP +42%, PAT −61%. The bond-cycle engine cooled and the related-party associate (First Capital) flipped to a loss. ~98% payout pipes cash to a lower-rated parent. Score: 5/10.
▲ 10 risk flags ● CAR 284% solvency
→
BRWN EPS COLLAPSE & BIL TRICK +56% +152.5 BRWN FY25 −75.3 BRWN FY26 63Bn BIL FY25 98.7Bn ↑56% BIL FY26 Equity FELL Rs.15.3Bn SIRA PAT +194%
⟳ Deep Dive Update 29 MAY 2026
LOLC FY26: The illusion expands. The losses arrive.
LOLC · BIL · BRWN · LOFC · SIRA · 5 tickers
BRWN EPS crashed from Rs.+152 to Rs.−75 the moment bargain-purchase gains dried up. BIL's accounting trick scaled to Rs.98.7Bn yet group equity fell Rs.15.3Bn. LOFC borrowings exploded 527% in one year.
▲ Thesis confirmed ● SIRA bright spot
→
WIND.N0000 — SEGMENT GP MARGINS FY26 50% 68.9% Solar 68.6% Overseas 65.4% Hydro 35.5% Wind 19.9% Auto/EPC Q4 LOSS −Rs.150M parent Q4
◆ Deep Dive · DCF 06 JUN 2026
WindForce FY26: Revenue +16%, profits −17%, Q4 a parent loss
WIND.N0000 · 253 MW installed · Rs. 43.3 / share · P/E 39.4x
Tax shields eroding. Rs. 2.2Bn trapped in CEB receivables. Rs. 708M SPPA revenue gone. Mannar IPO cost 2.7x the original plan. But IFC backs a 100 MW solar deal and Sri Lanka needs 70% renewables by 2030. Includes interactive DCF.
▲ 8 red flags ● 8 green flags ◆ Live DCF
→
HAYL FY26 — CASH COLLAPSE vs DEBT SURGE +18.0B OCF FY25 −10.5B OCF FY26 101.8B ST Debt FY25 152.9B ↑50% ST Debt FY26 WC TRAP +Rs.79.4B in one year
▲ Deep Dive · DCF 04 JUN 2026
Hayleys FY26: Half-trillion revenue, negative operating cash flow
HAYL.N0000 · Fitch AAA(lka) · Rs. 585bn Revenue
Operating CF collapsed from +Rs.18bn to −Rs.10.5bn. Short-term debt up 50% to Rs.152.9bn. Receivables +40% vs revenue +19%. Rights issue + debentures plugged a genuine cash hole. Includes interactive DCF with 11 flex sliders.
▲ 9 red flags ● 9 green flags ◆ Live DCF
→
ASPI — APRIL PEAK TO JUNE 3, 2026 24,000 22,011 +100bps Foreign: −Rs.25bn+ YTD −8.3% from peak
◆ Macro · Quant 03 JUN 2026
CSE June 2026: Eight triggers nobody saw coming together
ASPI · S&P SL20 · CSE Market Autopsy
Full quant + news sentiment autopsy of the ASPI's 8.3% drawdown: Iran war energy shock, CBSL's surprise 100bps hike, Rs.25bn+ foreign outflow, a Rs.5bn foreign block absorbed by local buyers in one week, and what to watch next.
▲ 8 triggers ● Word cloud ◆ Quant signals
→
REVENUE vs GTV FLYWHEEL — FY26 FY24 38.8 FY25 56.9 FY26 84.5 Bn EBIT 35% FCF 2.46B Rev+ 49% Take rate: 10.3% · stable
◆ Platform DCF 31 MAY 2026
PickMe: Platform economics & full DCF valuation
PICK.N0000 · Digital Mobility Solutions Lanka PLC
Sri Lanka's ride-hailing monopoly at Rs.162.25 — but NAV is the wrong lens. Revenue +49% for two years running, Rs.84.5Bn GTV, 35% EBIT margin, Rs.2.46Bn FCF. We build the 9-year DCF: bear Rs.87, base Rs.239, bull Rs.315.
◆ Base DCF Rs.239 ● 9 green flags
→
UML AUTO REV · SLFRS 10 CONSOLIDATED FY23 FY24 FY25 9M FY26 +323% → 33.3B RIL owns only 51% 49% → NCI shareholders
▲ Deep Dive 22 MAY 2026
RIL: The automobile company hiding inside a property stock
RIL.N0000 · UML.N0000 · PPOW.N0000
Listed as "Real Estate" but 94%+ of group revenue is automobile sales from 51%-owned UML. SLFRS 10 consolidation inflates the headline. 99.946% public float after Yaseen resignation.
▲ 8 risk flags ● 4 positives
→
FY26 SEGMENT EBITDA (LKR B) 34.2 Trans 22.5 Leisure 16.4 Prop 13.1 Retail 10.0 Fin 7.0 BPO SCORE B+
● Accountability Review 26 MAY 2026
JKH FY26: Promise vs Delivery
JKH.N0000 · CSE Diversified Holdings
Full accountability audit of JKH's FY26 guidance vs actual delivery across 6 segments. Transportation anchors group EBITDA at LKR 34.2B; Leisure recovery strong. Management scores B+ overall.
● 6 segments ◆ B+ scorecard
→
−66B equity PARENT EQUITY EROSION GOING CONCERN ▲
▲ Deep Dive 17 MAY 2026
The Softlogic negative-equity conglomerate
SHL.N0000 · CSE Diversified Holdings
Parent equity at −LKR 66.56B, accumulated losses −LKR 90.94B, gross group debt LKR 122.8B. EY going concern flag, SEC-deferred trading suspension, directors' bank accounts frozen.
▲ 12 concerns ● 4 signals
→
REPORTED RESTATED 11.0B PAT → 5.9B PAT LKR 13.2B FRAUD · 35× REVISION IN 4 DAYS
▲ Deep Dive 11 MAY 2026
The NDB restated franchise
NDB.N0000 · CSE Banks · A−(lka) Negative
LKR 13.2B internal fraud, PAT restated 11.0B→5.9B, CET1 −183 bps. Thirty days later, NDB sold 91.8% of Seylan Bank stake for CET1 relief. Deloitte special audit, EY→KPMG swap.
▲ 11 red flags ● 7 green flags
→
FINANCE LEASE +298% vs OCF COLLAPSE +298% Finance Lease −20.3B 50% VEHICLE SURCHARGE 16 May 2026 71% of Revenue vehicle financing
● Macro · Sector 16 MAY 2026
The vehicle-levy squeeze on COCR
COCR.N0000 · CSE Diversified Financials
50% vehicle surcharge takes effect as COCR sits on a financing book driving 71% of revenue. Finance Lease +298% YoY while OCF swings from +LKR 4.6B to −LKR 20.3B. Three forward scenarios.
● 4 exposure channels ● 3 scenarios
→
REVENUE — 6 QUARTER COLLAPSE −15.1B Neg. Equity DEADLINE: 11 JUN 2026 · RESOLVE OR SUSPEND
▲ Deep Dive 06 MAY 2026
The HELA unwinding
HELA.N0000 · CSE Watch List
Auditor disclaimer of opinion. Negative equity −LKR 15.1B. Revenue down 50%+ in six quarters. Both core subsidiaries in disposal. Hard regulatory deadline: 11 June 2026 or mandatory trading suspension.
▲ 8 concerns ● Watch List
→
5 TICKERS · 1 BENEFICIAL OWNER DESHAMANYA BANDA LOLC N0000 BIL BRWN LOFC LGIL 54.5B GAIN NON-CASH
▲ Deep Dive 24 APR 2026
The LOLC illusion
LOLC · BIL · BRWN · LOFC · LGIL
Five tickers, one ultimate beneficial owner. A single LKR 54.5B non-cash bargain-purchase gain from the Lipton acquisition inflates group earnings by 105% of pre-tax profit.
▲ 14 red flags ● 11 green flags
→
4 DEFENSIVES — QUALITY RADAR HHL SUN MELS CIC ✗
◆ Sector 26 APR 2026
Four defensive conglomerates
HHL · SUN · MELS · CIC
Side-by-side comparison of Hemas, Sunshine, Melstacorp and CIC. Three pass the cash-conversion test; one fails. Six-axis valuation spider chart visualising the trade-offs.
● 34 green flags ▲ 30 red flags
→
LISTED PLC vs PRIVATE PARENT PRIME LANDS (Pvt) Ltd USD 250M PLR.N0000 Listed shell ↛ −3.84B OCF Debt +243% in 6mo PAT growth 144%
▲ Deep Dive 27 APR 2026
The Prime Lands structural gap
PLR.N0000 · vs Prime Lands (Pvt) Ltd
PAT growth 144% alongside −LKR 3.84B operating cash flow. The flagship USD 250M Port City project sits at the private parent, not the listed PLC. Retail investors own the shell.
▲ 11 flags ● 5 severe
→
REVENUE SURGE vs THIN MARGINS +103% Rev PAT 1.5% IMPORT BAN LIFTED FEB 2025 · SURCHARGE MAY 2026
● Deep Dive MAY 2026
DIMO: Import ban beneficiary or value trap?
DIMO.N0000 · CSE Retailing · Vehicle Sector
Revenue +103% as the 5-year import ban lifted. Q2 FY26 hit Rs 29.2B — double prior year. But PAT margin at 1.5% vs peers UML/SMOT at 7%+. Three forward scenarios post-surcharge.
● 4 positives ● 6 risk flags
→
DEBT DELEVERAGING · RENTAL COMPOUNDER 69% Recurring rental Debt →0 −11% NAV 14% ROE
● Thesis 29 APR 2026
The OSEA compounding story
OSEA.N0000 · CSE Real Estate
69% recurring rental (WTC Colombo, Havelock City). Bank debt down 99% in 5 years — Rs 8.1B to Rs 81M. Net cash Rs 7.85B. Trading 11% below NAV with 14% ROE.
● 5 reasons attractive ● 67/100 quality
→
··· In preparation HAYL · HEXP · DPL · HOPL
Coming soon IN PROGRESS
Hayleys at the edge
HAYL · HEXP · DPL · HOPL
Hayleys AAA(lka) but Q3 2025 shows LKR 160B short-term debt, negative FCF, and subsidiary covenant breaches. Tail risk: rollover failure on a macro shock.
▲ 8 identified● 3 identified
··· In preparation CSE micro-cap pump candidates
Coming soon IN PROGRESS
The Allbirds pattern
CSE micro-cap pump candidates
Piotroski/Altman-screened flagging of distressed micro-cap shells pivoting to AI/infrastructure narratives. Distinguishing substantive pivots from speculative front-running.
◆ Screen-based● Weekly
··· In preparation Sector allocation · SL + global
◆ Macro IN PROGRESS
Wartime portfolio positioning
Sector allocation · SL + global
Necessity consumption, domestic producers, defense, renewables. Historical drawdown analysis from 1973, 1979, 2008, 2020 — base-case sector weights for chaos-economy scenarios.
◆ Macro thesis● Multi-sector
Foreign Stock Research
US · GLOBAL MARKETS

Independent analysis of foreign-listed equities with relevance to Sri Lankan investors — IPOs, macro themes, and stocks that connect to global capital flows. Separate from our CSE coverage.

SPCX — DCF INTRINSIC vs $2T MARKET CAP $50B Bear DCF $120B Base DCF $420B Bull DCF $2T+ MKT CAP NET LOSS FY2025 −$4.94B + xAI LOSS −$6.36B INSIDER VOTES 88.5% LOCK-UP: 09 DEC 2026 Bull DCF 21% of mkt cap · 4.8× overvalued
▲ IPO Deep Dive · DCF 14 JUN 2026
SpaceX IPO: $2 Trillion Priced for Perfection
SPCX · Nasdaq · 6th-largest US IPO · Lock-up: Dec 09, 2026
$4.94B net loss + $6.36B xAI drain. 88.5% insider voting control. Our DCF produces bear $50B / base $120B / bull $420B — all far below $2T. Index fund weight: ~4.3% S&P 500, ~8.3% Nasdaq-100. The forced buying problem explained.
▲ 9 risk flags ● 7 strengths ◆ Full DCF
→
Research methodology
Every dossier is built on three layers: (1) IFRS numbers from audited annual reports and CSE interim releases; (2) market-side reality checks via TradingView TTM data and CSE price history; and (3) quantitative screens from the inwestout CSE Terminal. The goal: catch the accounting tricks before the market does.

▲ Quality-of-Earnings

PAT / Operating Cash Flow >1.5× flags earnings not backed by cash.

▲ Gain-on-PBT ratio

Fair-value + bargain gains / PBT >25% signals accounting-driven profit.

▲ EPS divergence

Reported EPS vs TTM EPS gap >30% means recent quarters rolled over.

◆ Piotroski F-Score

Nine-point profitability, leverage and efficiency checklist. ≥7 is quality.

◆ Altman Z-Score

Bankruptcy probability model. <1.8 = distress zone, >3 = safe.

◆ Platform DCF

For tech platforms: FCF yield, take rate, revenue/user, and 9-year DCF model.