ScoreWhy is Security Papers Ltd. ?
1
Company has very low debt and has enough cash to service the debt requirements
2
Poor long term growth as Operating profit has grown by an annual rate 2.94% of over the last 5 years
3
Flat results in Mar 25
- RAW MATERIAL COST(Y) Grown by 7.27% (YoY)
- NET SALES(Q) Lowest at PKR 1,656.96
- OPERATING PROFIT(Q) Lowest at PKR 364.23
4
With ROE of 17.6, it has a expensive valuation with a 1.1 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 0%, its profits have fallen by -7%
- At the current price, the company has a high dividend yield of 7.7
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Security Papers Ltd. 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 Security Papers Ltd. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Security Papers Ltd.
20.79%
0.66
37.82%
Pakistan KSE 100 Share
60.28%
2.81
22.77%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.01%
EBIT Growth (5y)
0.55%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.30
Sales to Capital Employed (avg)
0.90
Tax Ratio
37.89%
Dividend Payout Ratio
44.72%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
35.46%
ROE (avg)
17.55%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
Price to Book Value
1.14
EV to EBIT
4.32
EV to EBITDA
3.76
EV to Capital Employed
1.21
EV to Sales
0.93
PEG Ratio
2.86
Dividend Yield
6.63%
ROCE (Latest)
28.02%
ROE (Latest)
16.93%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
OPERATING CASH FLOW(Y)
Highest at PKR 1,395.35 MM
RAW MATERIAL COST(Y)
Fallen by -5.97% (YoY
NET PROFIT(Q)
Highest at PKR 423 MM
EPS(Q)
Highest at PKR 7.14
-1What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at 0 %
Here's what is working for Security Papers Ltd.
Operating Cash Flow
Highest at PKR 1,395.35 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (PKR MM)
Net Profit
Highest at PKR 423 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (PKR MM)
EPS
Highest at PKR 7.14
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (PKR)
Raw Material Cost
Fallen by -5.97% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Security Papers Ltd.
Debt-Equity Ratio
Highest at 0 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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