Tamil Nadu Newsprint & Papers Ltd (TNPL) 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

N R Agarwal Inds

T N Newsprint

Cheviot Company

West Coast Paper

Seshasayee Paper

JK Paper

Pudumjee Paper

Satia Industries

Kuantum Papers

Andhra Paper

KS Smart Technlo

Why is Tamil Nadu Newsprint & Papers Ltd ?

Healthy long term growth as Operating profit has grown by an annual rate 46.28%

With a growth in Net Profit of 986.35%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
OPERATING PROFIT TO INTEREST(Q) Highest at 3.13 times
PBDIT(Q) Highest at Rs 140.58 cr.
PBT LESS OI(Q) Highest at Rs 17.47 cr.

With ROCE of 1.8, it has a Attractive valuation with a 0.8 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 21.75%, its profits have risen by 6542.4%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to T N Newsprint 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 T N Newsprint for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

T N Newsprint

21.72%

0.63

34.70%

Sensex

-3.33%

-0.25

13.43%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.91%

EBIT Growth (5y)

46.28%

EBIT to Interest (avg)

1.70

Debt to EBITDA (avg)

4.82

Net Debt to Equity (avg)

0.90

Sales to Capital Employed (avg)

1.09

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

558.76%

Pledged Shares

Institutional Holding

19.55%

ROCE (avg)

8.29%

ROE (avg)

6.78%

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

0.53

EV to EBIT

17.55

EV to EBITDA

6.13

EV to Capital Employed

0.75

EV to Sales

0.63

PEG Ratio

Dividend Yield

1.90%

ROCE (Latest)

1.82%

ROE (Latest)

11.97%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

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

23What is working for the Company

OPERATING PROFIT TO INTEREST(Q)

Highest at 3.13 times

PBDIT(Q)

Highest at Rs 140.58 cr.

PBT LESS OI(Q)

Highest at Rs 17.47 cr.

PAT(Q)

Highest at Rs 240.30 cr.

EPS(Q)

Highest at Rs 34.72

-1What is not working for the Company

NON-OPERATING INCOME(Q)

is 53.66 % of Profit Before Tax (PBT

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Here's what is working for T N Newsprint

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 17.47 cr has Grown at 166.70%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 240.30 cr has Grown at 986.3%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Highest at 3.13 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit (PBDIT) - Quarterly

Highest at Rs 140.58 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 17.47 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 240.30 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 34.72

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for T N Newsprint

Non Operating Income - Quarterly

is 53.66 % 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