Shankara Building Products Adjusts Valuation Amid Strong Performance Metrics in Apparel Sector

Shankara Building Products has recently undergone a valuation adjustment, reflecting its strong performance metrics within the garments and apparels industry. The company's price-to-earnings ratio stands at 26.21, while its EV to EBITDA ratio is recorded at 13.56. Additionally, Shankara's return on capital employed (ROCE) is 16.17%, and its return on equity (ROE) is 8.92%, indicating solid operational efficiency.
In comparison to its peers, Shankara Building Products demonstrates a favorable position. For instance, IRB Infra. Trust is currently loss-making, while Ramco Industries and Indian Hume Pipe show attractive valuations but with lower PE ratios of 12.88 and 23.5, respectively. Notably, BirlaNu Ltd is categorized as risky, further highlighting Shankara's relative stability in the market.

Despite a recent decline in stock price, Shankara has shown impressive returns over various periods, including a 68.44% increase over the past year, significantly outperforming the Sensex, which recorded a mere 0.68% return in the same timeframe. This performance underscores Shankara's robust market position amidst a competitive landscape.