Technical Trends Reflect Caution
The technical indicators for Stanpacks (India) currently present a predominantly cautious picture. Weekly and monthly MACD readings indicate bearish to mildly bearish momentum, while the Relative Strength Index (RSI) remains neutral without signalling clear directional strength. Bollinger Bands suggest a mildly bearish stance on the weekly chart and a bearish outlook monthly, reinforcing the subdued technical sentiment.
Moving averages on a daily basis align with this cautious tone, showing bearish tendencies. The Know Sure Thing (KST) indicator also reflects mildly bearish signals on both weekly and monthly timeframes. Dow Theory analysis reveals no clear trend weekly but mildly bearish conditions monthly. Overall, the technical landscape points to a subdued momentum, which may temper near-term enthusiasm among traders.
Price action on 24 Dec 2025 saw the stock close at ₹11.35, marking a 5.00% increase from the previous close of ₹10.81. The stock’s 52-week range spans from ₹10.00 to ₹17.64, indicating that current prices remain closer to the lower end of the annual spectrum.
Fundamentals that don't lie! This Small Cap from Trading shows consistent growth and price strength over time. A reliable pick you can truly count on.
- - Strong fundamental track record
- - Consistent growth trajectory
- - Reliable price strength
Valuation Metrics Indicate Relative Attractiveness
Stanpacks (India) is currently trading at a price-to-earnings (PE) ratio of approximately 69.2, which is notably higher than many of its packaging sector peers. Despite this, the company’s price-to-book value stands at 0.97, suggesting that the stock is trading near its book value. Enterprise value to EBIT and EBITDA ratios are 14.5 and 12.1 respectively, while the enterprise value to capital employed is close to 1.0, indicating a valuation that is attractive relative to the company’s capital base.
Return on capital employed (ROCE) is recorded at 5.38%, and return on equity (ROE) at 1.41%, both figures reflecting modest profitability levels. Dividend yield data is not available, which may be a consideration for income-focused investors. When compared with peers such as Sh. Rama Multi and Kanpur Plastipack, Stanpacks’ valuation metrics suggest it is positioned attractively, especially given its enterprise value multiples.
Financial Trends Show Mixed Signals
Stanpacks (India) reported positive financial performance in the second quarter of fiscal year 2025-26, with net sales reaching ₹8.42 crores and PBDIT at ₹0.38 crores, both figures representing the highest levels recorded in recent periods. The inventory turnover ratio for the half year stands at 4.76 times, indicating efficient inventory management relative to sales.
However, the company’s long-term financial trajectory reveals challenges. Over the past five years, net sales have grown at an annual rate of 5.10%, while operating profit has expanded at a much slower pace of 0.98%. The average debt-to-equity ratio remains elevated at 2.64 times, signalling a high leverage position that could constrain financial flexibility. Return on equity averaged 1.85%, underscoring limited profitability per unit of shareholder funds.
In terms of stock performance, Stanpacks has underperformed key benchmarks. The stock’s return over the last one year is negative 24.33%, contrasting with the Sensex’s positive 8.89% return over the same period. Year-to-date returns also show a decline of 22.79%, while the Sensex has gained 9.45%. Over longer horizons, the stock’s five-year return of 282.15% outpaces the Sensex’s 84.15%, but the ten-year return of 57.64% trails the Sensex’s 230.85%, indicating inconsistent performance over time.
Price Movement and Market Capitalisation
On the day of analysis, Stanpacks (India) recorded a price increase of 5.00%, closing at ₹11.35. The stock’s 52-week high and low prices are ₹17.64 and ₹10.00 respectively, placing current valuations nearer to the lower end of the annual range. Market capitalisation metrics grade the company at a moderate level, reflecting its micro-cap status within the packaging sector.
Majority shareholding remains with non-institutional investors, which may influence liquidity and trading dynamics. The stock’s recent price movements and technical indicators suggest a cautious approach among market participants.
Stanpacks (India) or something better? Our SwitchER feature analyzes this micro-cap Packaging stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Summary of Key Factors Influencing Market Assessment
The recent revision in the evaluation of Stanpacks (India) reflects a complex interplay of factors. Technically, the stock exhibits predominantly bearish to mildly bearish signals across multiple indicators, suggesting subdued momentum. Valuation metrics, while showing a high PE ratio, indicate an attractive position relative to capital employed and book value, offering some appeal to value-oriented investors.
Financially, the company’s recent quarterly results demonstrate positive sales and profit figures, yet long-term growth rates and profitability ratios remain modest. The elevated debt levels and underperformance relative to major indices over the past year and year-to-date periods highlight ongoing challenges.
Price action shows the stock trading near its 52-week low, with a notable intraday gain on the day of analysis. Market capitalisation and shareholder composition further contextualise the stock’s profile within the packaging sector.
Investors analysing Stanpacks (India) should weigh these mixed signals carefully, considering both the attractive valuation metrics and the cautionary technical and financial indicators when forming their outlook.
Only Rs. 14,999 - Get MojoOne + Stock of the Week for 1 Year PLUS 18 Months FREE! Claim Your Free Year →
