Seshasayee Paper & Boards Ltd (SESHAPAPER) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

String Metaverse

JK Paper

N R Agarwal Inds

Gloster Ltd

T N Newsprint

Kuantum Papers

West Coast Paper

Pudumjee Paper

A B Real Estate

Seshasayee Paper

Andhra Paper

Why is Seshasayee Paper & Boards Ltd ?

Poor long term growth as Operating profit has grown by an annual rate -25.78% of over the last 5 years

With a fall in Net Sales of -13.09%, the company declared Very Negative results in Sep 25

The company has declared negative results for the last 9 consecutive quarters
The company has declared negative results in Sep 23 after 8 consecutive negative quarters
PBT LESS OI(Q) At Rs 15.37 cr has Fallen at -29.20%
PAT(Q) At Rs 22.41 cr has Fallen at -21.3%
ROCE(HY) Lowest at 3.84%

With ROE of 4, it has a Very Expensive valuation with a 0.7 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 -25.82%, its profits have fallen by -57.4%

Below par performance in long term as well as near term

Along with generating -25.82% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Seshasayee Paper for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Seshasayee Paper

-25.82%

-0.77

33.64%

Sensex

4.83%

0.41

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.21%

EBIT Growth (5y)

-25.78%

EBIT to Interest (avg)

67.40

Debt to EBITDA (avg)

0.28

Net Debt to Equity (avg)

-0.23

Sales to Capital Employed (avg)

0.97

Tax Ratio

14.61%

Dividend Payout Ratio

11.12%

Pledged Shares

Institutional Holding

27.39%

ROCE (avg)

17.58%

ROE (avg)

12.15%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.74

EV to EBIT

29.07

EV to EBITDA

12.76

EV to Capital Employed

0.66

EV to Sales

0.62

PEG Ratio

Dividend Yield

ROCE (Latest)

2.28%

ROE (Latest)

4.04%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-20What is not working for the Company

PBT LESS OI(Q)

At Rs 15.37 cr has Fallen at -29.20%

PAT(Q)

At Rs 22.41 cr has Fallen at -21.3%

ROCE(HY)

Lowest at 3.84%

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.35 times

NET SALES(Q)

Lowest at Rs 346.32 cr

NON-OPERATING INCOME(Q)

is 46.46 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is not working for Seshasayee Paper

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 15.37 cr has Fallen at -29.20%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 22.41 cr has Fallen at -21.3%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 346.32 cr has Fallen at -13.09%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Inventory Turnover Ratio- Half Yearly

Lowest at 0.35 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Net Sales - Quarterly

Lowest at Rs 346.32 cr

in the last five quarters

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Non Operating Income - Quarterly

is 46.46 % of Profit Before Tax (PBT)

MOJO Watch

The company's income from non business activities is high; which is not a sustainable business model

Non Operating Income to PBT