SRM Entertainment, Inc. () 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

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Why is SRM Entertainment, Inc. ?

Poor Management Efficiency with a low ROE of 0%

The company has reported losses. Due to this company has reported negative ROE

Poor long term growth as Net Sales has grown by an annual rate of 21.40% over the last 5 years

The company has declared Positive results for the last 3 consecutive quarters

NET PROFIT(HY) Higher at USD 0.41 MM
RAW MATERIAL COST(Y) Fallen by -10.23% (YoY)
PRE-TAX PROFIT(Q) Highest at USD -0.53 MM

With ROE of -0.41%, it has a expensive valuation with a 2.61 Price to Book Value

Over the past year, while the stock has generated a return of -81.90%, its profits have fallen by -4%

Increasing Participation by Institutional Investors

Institutional investors have increased their stake by 0.99% over the previous quarter and collectively hold 3.45% of the company
These investors have better capability and resources to analyse fundamentals of companies than most retail investors

Below par performance in long term as well as near term

Along with generating -81.90% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to SRM Entertainment, Inc. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is SRM Entertainment, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

SRM Entertainment, Inc.

-81.9%

0.27

133.78%

S&P 500

20.78%

1.56

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.40%

EBIT Growth (5y)

14.65%

EBIT to Interest (avg)

-25.62

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.17

Sales to Capital Employed (avg)

0.92

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

3.45%

ROCE (avg)

11.62%

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.61

EV to EBIT

-232.44

EV to EBITDA

-297.94

EV to Capital Employed

2.68

EV to Sales

123.44

PEG Ratio

Dividend Yield

ROCE (Latest)

-1.15%

ROE (Latest)

-0.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

No Trend

Mildly Bullish

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

12What is working for the Company

NET PROFIT(HY)

Higher at USD 0.41 MM

RAW MATERIAL COST(Y)

Fallen by -10.23% (YoY

PRE-TAX PROFIT(Q)

Highest at USD -0.53 MM

EPS(Q)

Highest at USD 0.05

-2What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.39 times

Here's what is working for SRM Entertainment, Inc.

Net Profit

At USD 0.41 MM has Grown at 125.31%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Net Profit

Higher at USD 0.41 MM

than preceding 12 month period ended Mar 2026

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (USD MM)

Pre-Tax Profit

Highest at USD -0.53 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

EPS

Highest at USD 0.05

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -10.23% (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 SRM Entertainment, Inc.

Inventory Turnover Ratio

Lowest at 4.39 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio