Why is Flair Writing Industries Ltd ?
1
Company has a low Debt to Equity ratio (avg) at 0 times
2
Poor long term growth as Operating profit has grown by an annual rate 19.91% of over the last 5 years
3
Positive results in Sep 25
- PAT(Q) At Rs 42.59 cr has Grown at 40.0% (vs previous 4Q average)
- DPS(Y) Highest at Rs 1.00
- DPR(Y) Highest at 9.40%
4
With ROE of 12.2, it has a Fair valuation with a 2.8 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -0.30%, its profits have fallen by -5%
5
Increasing Participation by Institutional Investors
- Institutional investors have increased their stake by 0.75% over the previous quarter and collectively hold 11.02% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
6
Below par performance in long term as well as near term
- Along with generating -0.30% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Flair Writing should be less than 10%
- Overall Portfolio exposure to Miscellaneous should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Flair Writing for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Flair Writing
-0.24%
-0.01
42.84%
Sensex
4.83%
0.41
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
19.70%
EBIT Growth (5y)
19.91%
EBIT to Interest (avg)
21.65
Debt to EBITDA (avg)
0.38
Net Debt to Equity (avg)
-0.06
Sales to Capital Employed (avg)
1.15
Tax Ratio
23.95%
Dividend Payout Ratio
9.40%
Pledged Shares
0
Institutional Holding
11.02%
ROCE (avg)
19.40%
ROE (avg)
11.98%
Valuation Key Factors 
Factor
Value
P/E Ratio
23
Industry P/E
49
Price to Book Value
2.81
EV to EBIT
19.48
EV to EBITDA
14.67
EV to Capital Employed
2.92
EV to Sales
2.53
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
14.99%
ROE (Latest)
12.19%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Sideways
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Movement
11What is working for the Company
PAT(Q)
At Rs 42.59 cr has Grown at 40.0% (vs previous 4Q average
DPS(Y)
Highest at Rs 1.00
DPR(Y)
Highest at 9.40%
NET SALES(Q)
Highest at Rs 320.91 cr
PBDIT(Q)
Highest at Rs 60.36 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 18.81%
PBT LESS OI(Q)
Highest at Rs 45.72 cr.
EPS(Q)
Highest at Rs 4.04
-4What is not working for the Company
OPERATING CF(Y)
Lowest at Rs 58.19 Cr
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.50 times
Loading Valuation Snapshot...
Here's what is working for Flair Writing
Profit After Tax (PAT) - Quarterly
At Rs 42.59 cr has Grown at 40.0% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 30.43 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 320.91 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 60.36 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 18.81%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 45.72 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 45.72 cr has Grown at 30.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 34.96 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 42.59 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 4.04
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Dividend per Share (DPS) - Annually
Highest at Rs 1.00
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (Rs)
Dividend Payout Ratio (DPR) - Annually
Highest at 9.40%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Flair Writing
Inventory Turnover Ratio- Half Yearly
Lowest at 3.50 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Operating Cash Flow - Annually
Lowest at Rs 58.19 Cr
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Non Operating Income - Quarterly
Highest at Rs 8.53 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income






