ScoreWhy is JK Paper Ltd ?
1
High Management Efficiency with a high ROCE of 16.12%
2
Company has a Debt to Equity ratio (avg) of 0.43 times
3
Flat results in Mar 26
- PAT(9M) At Rs 199.57 cr has Grown at -23.73%
- ROCE(HY) Lowest at 7.55%
- INTEREST(Q) At Rs 59.53 cr has Grown at 25.54%
4
With ROCE of 7.3, it has a Attractive valuation with a 1.1 Enterprise value to Capital Employed
- 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 -7.56%, its profits have fallen by -30%
5
Rising Promoter Confidence
- Promoters have increased their stake in the company by 3.31% over the previous quarter and currently hold 52.94% of the company
- Promoters increasing their stake is a sign of high confidence in the future of the business
6
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -7.56% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
7
With its market cap of Rs 6,433 cr, it is the biggest company in the sector and constitutes 27.68% of the entire sector
- Its annual Sales of Rs 7,105.59 are 24.80% of the industry
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to JK Paper should be less than 10%
- Overall Portfolio exposure to Paper, Forest & Jute Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is JK Paper for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
JK Paper
-7.56%
-0.18
40.88%
Sensex
-10.21%
-0.78
13.06%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
20.90%
EBIT Growth (5y)
7.13%
EBIT to Interest (avg)
5.19
Debt to EBITDA (avg)
2.18
Net Debt to Equity (avg)
0.36
Sales to Capital Employed (avg)
0.85
Tax Ratio
25.03%
Dividend Payout Ratio
12.84%
Pledged Shares
0
Institutional Holding
17.73%
ROCE (avg)
16.90%
ROE (avg)
16.61%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
22
Industry P/E
17
Price to Book Value
1.14
EV to EBIT
15.19
EV to EBITDA
8.99
EV to Capital Employed
1.10
EV to Sales
1.17
PEG Ratio
NA
Dividend Yield
1.34%
ROCE (Latest)
7.27%
ROE (Latest)
5.09%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 4.65 times
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 179.31 cr
NET SALES(Q)
Highest at Rs 1,965.95 cr
PBDIT(Q)
Highest at Rs 276.52 cr.
PBT LESS OI(Q)
Highest at Rs 117.25 cr.
PAT(Q)
Highest at Rs 94.30 cr.
EPS(Q)
Highest at Rs 5.07
-9What is not working for the Company
PAT(9M)
At Rs 199.57 cr has Grown at -23.73%
ROCE(HY)
Lowest at 7.55%
INTEREST(Q)
At Rs 59.53 cr has Grown at 25.54%
DEBT-EQUITY RATIO(HY)
Highest at 0.47 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 13.02 times
Loading Valuation Snapshot...
Here's what is working for JK Paper
Operating Profit to Interest - Quarterly
Highest at 4.65 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 117.25 cr has Grown at 44.84%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
Highest at Rs 1,965.95 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 276.52 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 117.25 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 94.30 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 94.30 cr has Grown at 39.2%
Year on Year (YoY)MOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 5.07
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 179.31 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for JK Paper
Interest - Quarterly
At Rs 59.53 cr has Grown at 25.54%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debt-Equity Ratio - Half Yearly
Highest at 0.47 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Debtors Turnover Ratio- Half Yearly
Lowest at 13.02 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
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