Shree Krishna Paper Mills Faces Financial Struggles Amidst Volatility and High Debt Levels

Shree Krishna Paper Mills & Industries has experienced significant volatility today, reaching a new 52-week low of Rs. 32.66. The stock has underperformed its sector by 5.17%, marking a consecutive decline over the past two days, with a total drop of 14.88%. Opening the day with a loss of 4.57%, it touched an intraday low of Rs. 32.66, reflecting ongoing challenges.
In terms of performance metrics, Shree Krishna Paper Mills has seen a stark 34.42% decline over the past year, contrasting sharply with the Sensex's modest gain of 2.40%. The company's long-term fundamentals appear weak, highlighted by a Return on Capital Employed (ROCE) of just 5.99% and a high Debt to EBITDA ratio of 4.56 times, indicating difficulties in servicing debt.

Despite these challenges, the company reported a remarkable 330% growth in net profit for the quarter ending March 25, alongside positive results in the last two quarters. However, with 84.38% of promoter shares pledged, the stock faces additional downward pressure in a declining market. Overall, Shree Krishna Paper Mills & Industries continues to navigate a complex financial landscape.