South India Paper Mills Ltd (SIPAPER) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

S I Paper Mills

Sh. Krishna Pap.

Magnum Ventures

Star Paper Mills

Ganga Papers

S. V. J. Enterp.

Shreyans Inds.

Nath Industries

AI Champ.Inds.

Nikita Greentech

Aaradhya Dis.

Why is South India Paper Mills Ltd ?

With a growth in Net Profit of 92.83%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 4 consecutive quarters
PBT LESS OI(Q) At Rs 5.80 cr has Grown at 384.3% (vs previous 4Q average)
ROCE(HY) Highest at 9.15%
DEBT-EQUITY RATIO(HY) Lowest at 0.70 times

With ROCE of 9.1, it has a Very Attractive valuation with a 0.9 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 10.99%, its profits have risen by 202% ; the PEG ratio of the company is 0.1

Majority shareholders : Non Institution

Market Beating Performance

Even though the market (BSE500) has generated negative returns of -1.52% in the last 1 year, the stock has been able to generate 10.99% returns

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to S I Paper Mills 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 S I Paper Mills for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

S I Paper Mills

10.99%

0.30

36.63%

Sensex

-7.92%

-0.61

13.09%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.85%

EBIT Growth (5y)

4.24%

EBIT to Interest (avg)

1.06

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.69

Sales to Capital Employed (avg)

0.86

Tax Ratio

25.17%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.39%

ROCE (avg)

3.55%

ROE (avg)

2.93%

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

0.78

EV to EBIT

9.61

EV to EBITDA

6.45

EV to Capital Employed

0.87

EV to Sales

0.75

PEG Ratio

0.08

Dividend Yield

ROCE (Latest)

9.06%

ROE (Latest)

4.83%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

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

33What is working for the Company

PBT LESS OI(Q)

At Rs 5.80 cr has Grown at 384.3% (vs previous 4Q average

ROCE(HY)

Highest at 9.15%

DEBT-EQUITY RATIO(HY)

Lowest at 0.70 times

OPERATING PROFIT TO INTEREST(Q)

Highest at 2.95 times

OPERATING PROFIT TO NET SALES(Q)

Highest at 13.23%

NET SALES(Q)

Highest at Rs 113.99 cr

PBDIT(Q)

Highest at Rs 15.08 cr.

PAT(Q)

Highest at Rs 4.57 cr.

EPS(Q)

Highest at Rs 2.44

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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Here's what is working for S I Paper Mills

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 5.80 cr has Grown at 384.3% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 1.20 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 4.57 cr has Grown at 368.7% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 0.98 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Highest at 2.95 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit Margin - Quarterly

Highest at 13.23% and Grown

each quarter in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Debt-Equity Ratio - Half Yearly

Lowest at 0.70 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Net Sales - Quarterly

Highest at Rs 113.99 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 15.08 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 5.80 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 4.57 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 2.44

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)