West Coast Paper Mills Ltd (WSTCSTPAPR) 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

JK Paper

West Coast Paper

Cheviot Company

T N Newsprint

Pudumjee Paper

String Metaverse

Andhra Paper

Seshasayee Paper

Satia Industries

KS Smart Technlo

Why is West Coast Paper Mills Ltd ?

High Management Efficiency with a high ROE of 17.91%

Company has a Debt to Equity ratio (avg) of 0.01 times

Positive results in Jun 26

DPR(Y) Highest at 13.16%
PBDIT(Q) Highest at Rs 203.29 cr.
OPERATING PROFIT TO NET SALES(Q) Highest at 19.34%

Majority shareholders : Promoters

Market Beating Performance

Even though the market (BSE500) has generated negative returns of -2.96% in the last 1 year, the stock has been able to generate 57.38% returns

With its market cap of Rs 5,091 cr, it is the second biggest company in the sector (behind JK Paper)and constitutes 18.44% of the entire sector

Its annual Sales of Rs 4,375.40 are 14.25% of the industry

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to West Coast Paper 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 West Coast Paper for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

West Coast Paper

57.38%

1.54

37.21%

Sensex

-9.4%

-0.70

13.49%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.02%

EBIT Growth (5y)

17.22%

EBIT to Interest (avg)

18.84

Debt to EBITDA (avg)

0.67

Net Debt to Equity (avg)

-0.24

Sales to Capital Employed (avg)

1.35

Tax Ratio

28.57%

Dividend Payout Ratio

13.16%

Pledged Shares

Institutional Holding

16.21%

ROCE (avg)

34.58%

ROE (avg)

17.91%

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

1.38

EV to EBIT

16.18

EV to EBITDA

8.19

EV to Capital Employed

1.50

EV to Sales

0.95

PEG Ratio

Dividend Yield

0.40%

ROCE (Latest)

5.95%

ROE (Latest)

4.17%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

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

DPR(Y)

Highest at 13.16%

PBDIT(Q)

Highest at Rs 203.29 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 19.34%

PBT LESS OI(Q)

Highest at Rs 136.58 cr.

PAT(Q)

Highest at Rs 133.49 cr.

EPS(Q)

Highest at Rs 20.21

-4What is not working for the Company

ROCE(HY)

Lowest at 7.06%

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Here's what is working for West Coast Paper

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 136.58 cr has Grown at 346.2% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 30.61 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 133.49 cr has Grown at 254.6% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 37.65 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 203.29 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 19.34%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 136.58 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 133.49 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 20.21

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Dividend Payout Ratio (DPR) - Annually

Highest at 13.16%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for West Coast Paper

Non Operating Income - Quarterly

Highest at Rs 44.67 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income