Is STEL Holdings overvalued or undervalued?

As of November 9, 2020, STEL Holdings is considered very expensive and overvalued, with a PE Ratio of 49.63 and significantly higher valuation metrics compared to peers, despite recent short-term outperformance against the Sensex.

As of 9 November 2020, STEL Holdings' valuation grade moved from does not qualify to very expensive, indicating a significant shift in its perceived value. The company is currently considered overvalued. Key ratios highlight this assessment: the PE Ratio stands at 49.63, the EV to EBITDA is 35.80, and the PEG Ratio is 2.53, all suggesting that the stock is priced excessively relative to its earnings and growth potential.<BR><BR>In comparison to its peers, STEL Holdings' valuation metrics are notably higher. For instance, MMTC has a PE Ratio of 119.39, while PTC India, which is categorized as very attractive, has a much lower PE of 9.02. This stark contrast underscores STEL Holdings' overvaluation in the current market context. Additionally, while the company has outperformed the Sensex in the short term, with a 5.67% return over the past week compared to the Sensex's 1.46%, this does not mitigate the overall valuation concerns.

Who are the top shareholders of the STEL Holdings?

The top shareholders of STEL Holdings include Rainbow Investments Limited with 24.5%, individual investors with 26.32%, and Hitesh Ramji Javeri as the largest public shareholder at 4.49%. Additionally, three mutual fund schemes hold 0.04%, and two foreign institutional investors hold 0.02%.

The top shareholders of STEL Holdings include the promoters, who hold the majority of the shares. The promoter with the highest holding is Rainbow Investments Limited, which owns 24.5% of the company. Additionally, individual investors collectively hold 26.32% of the shares. In terms of public shareholders, Hitesh Ramji Javeri is the highest with a holding of 4.49%. There are also three mutual fund schemes that hold a combined 0.04%, and two foreign institutional investors (FIIs) that hold 0.02%.

When is the next results date for STEL Holdings?

No Upcoming Board Meetings

Who are in the management team of STEL Holdings?

As of March 2022, the management team of STEL Holdings includes Umang Kanoria, H C Dalal, Prem Kapil, Kaushik Roy, Lakshmi P S, Mahesh Narayanaswamy, Suhana Murshad, Abraham Ittyipe, and Alok Kalani, serving in various governance and management roles.

As of March 2022, the management team of STEL Holdings includes the following individuals:<BR><BR>1. Umang Kanoria - Independent Director<BR>2. H C Dalal - Independent Director<BR>3. Prem Kapil - Independent Director<BR>4. Kaushik Roy - Director<BR>5. Lakshmi P S - Company Secretary & Compliance Officer<BR>6. Mahesh Narayanaswamy - Director<BR>7. Suhana Murshad - Independent Director<BR>8. Abraham Ittyipe - Whole-time Director<BR>9. Alok Kalani - Director<BR><BR>These members play various roles within the company's governance and management structure.

Has STEL Holdings declared dividend?

No Dividend History Available

Who are the peers of the STEL Holdings?

STEL Holdings' peers include Bajaj Finance, Jio Financial, Cholaman.Inv.&Fn, Shriram Finance, and Muthoot Finance, among others. STEL Holdings has below-average growth and a 1-year return of 3.19%, significantly lower than Bajaj Finance's 30.39%.

Peers: The peers of STEL Holdings are Bajaj Finance, Jio Financial, Cholaman.Inv.&Fn, Shriram Finance, Muthoot Finance, Last Mile Enter., The Invest.Trust, CSL Finance, A.K.Capital Serv, and Manba Finance.<BR><BR>Quality Snapshot: Excellent management risk is observed at Bajaj Finance, Cholaman.Inv.&Fn, Muthoot Finance, and the rest. Average management risk is found at Jio Financial, STEL Holdings, CSL Finance, and the rest. Good management risk is noted at Shriram Finance, while Below Average management risk is seen at Last Mile Enter., The Invest.Trust, A.K.Capital Serv, and the rest. Growth is Excellent at Jio Financial, Average at Muthoot Finance, Last Mile Enter., and the rest, while Below Average growth is noted at STEL Holdings. Good growth is observed at Bajaj Finance, Cholaman.Inv.&Fn, CSL Finance, and the rest. Capital Structure is Excellent at Bajaj Finance, Jio Financial, Shriram Finance, Muthoot Finance, Last Mile Enter., The Invest.Trust, CSL Finance, A.K.Capital Serv, and the rest, while Good capital structure is found at Cholaman.Inv.&Fn.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Bajaj Finance at 30.39%, while the lowest is Last Mile Enter. at -74.29%. STEL Holdings has a 1-year return of 3.19%, which is significantly lower than Bajaj Finance's return but higher than Last Mile Enter.'s. Additionally, the peers with negative six-month returns include Last Mile Enter., The Invest.Trust, CSL Finance, A.K.Capital Serv, and Manba Finance.

What does STEL Holdings do?

STEL Holdings Ltd is a Non Banking Financial Company focused on exporting tea and related products, with a market cap of INR 766 Cr. It reported net sales of 134 Cr and a net profit of 100 Cr for the quarter ending March 2025.

Overview:<BR>STEL Holdings Ltd is a Non Banking Financial Company (NBFC) operating in the micro-cap market segment, primarily engaged in the export of tea and related products.<BR><BR>History:<BR>Incorporated in 1994, STEL Holdings Ltd was formerly known as Sentinel Tea and Exports Ltd. It became a part of the RPG and RPSG group enterprises and was previously a 100% subsidiary of Harrisons Malayalam Ltd. The company underwent a significant restructuring following a Composite Scheme of Arrangement approved by the Hon'ble High Court of Kerala in 2010. The latest quarterly results reported net sales and net profit for the period ending March 2025.<BR><BR>Financial Snapshot:<BR>- Net Sales: 134 Cr (Quarterly Results - Mar 2025)<BR>- Net Profit: 100 Cr (Quarterly Results - Mar 2025)<BR>- Market Cap: INR 766 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>- P/E: 48.00<BR>- Industry P/E: 35<BR>- Dividend Yield: 0.00%<BR>- Debt Equity: -0.02<BR>- Return on Equity: 0.91%<BR>- Price to Book: 0.43<BR><BR>Contact Details:<BR>Address: 24/1624 Bristow Road, Willingdon Island Cochin Kerala : 682003<BR>Tel: 91-0484-2668023/6624335<BR>Email: secretarial@stelholdings.com<BR>Website: https://stelholdings.com

How big is STEL Holdings?

As of 24th July, STEL Holdings Ltd has a market capitalization of 759.00 Cr, classifying it as a Micro Cap company, with recent Net Sales of 21.91 Cr and a Net Profit of 15.88 Cr. The balance sheet for March 2024 shows Shareholder's Funds of 1,503.74 Cr and Total Assets of 1,599.63 Cr.

As of 24th July, STEL Holdings Ltd has a market capitalization of 759.00 Cr, which classifies it as a Micro Cap company.<BR><BR>In the latest four quarters, STEL Holdings reported Net Sales of 21.91 Cr and a Net Profit of 15.88 Cr.<BR><BR>The latest annual period for the balance sheet is March 2024, showing Shareholder's Funds of 1,503.74 Cr and Total Assets of 1,599.63 Cr.

Are STEL Holdings latest results good or bad?

STEL Holdings' latest results show strong growth in net sales and profit, but concerns about low return on equity, high valuations, and a seasonal business model suggest a mixed outlook for long-term value creation.

STEL Holdings' latest results present a mixed picture. On the positive side, the company reported a significant increase in both net sales and net profit for Q2 FY26, with net sales rising by 16.58% year-on-year to ₹9.07 crores and net profit increasing by 16.26% to ₹6.65 crores. The operating profit margin remains exceptionally high at 98.02%, indicating strong pricing power.<BR><BR>However, the company's performance is overshadowed by several concerns. The return on equity (ROE) is alarmingly low at just 1.28%, suggesting that the company is not effectively utilizing its capital to generate returns for shareholders. Additionally, STEL Holdings has a highly seasonal business model, leading to extreme fluctuations in quarterly results, which complicates performance assessments. <BR><BR>The stock is currently trading at a high price-to-earnings ratio of 46.46x, which is significantly above the sector average, raising questions about its valuation relative to its operational performance. Furthermore, the company has seen a decline of 18.65% in its stock price over the past year, indicating recent market concerns regarding its growth prospects and capital efficiency.<BR><BR>In summary, while the latest quarterly results show growth in sales and profits, the underlying issues of low return ratios, high valuations, and operational unpredictability suggest that the overall outlook may not be favorable for long-term value creation.

How has been the historical performance of STEL Holdings?

STEL Holdings has shown consistent growth in net sales and profitability, with net sales increasing from 9.81 Cr in Mar'19 to 21.91 Cr in Mar'25, and profit after tax rising from 8.99 Cr to 15.87 Cr during the same period. The company also demonstrated strong financial health, with reserves growing from 642.59 Cr to 1,734.69 Cr and total assets increasing from 452.75 Cr to 1,912.51 Cr.

Answer:<BR>The historical performance of STEL Holdings shows a consistent growth trend in net sales and profitability over the years.<BR><BR>Breakdown:<BR>STEL Holdings has demonstrated a steady increase in net sales, rising from 9.81 Cr in Mar'19 to 21.91 Cr in Mar'25, with a notable dip in Mar'22 before recovering. The total operating income followed a similar trajectory, reaching 21.91 Cr in Mar'25. Operating profit, excluding other income, also increased significantly from 9.24 Cr in Mar'19 to 21.27 Cr in Mar'25, reflecting a strong operating profit margin that peaked at 97.08% in Mar'25. Profit before tax rose from 9.19 Cr in Mar'19 to 21.21 Cr in Mar'25, while profit after tax increased from 8.99 Cr to 15.87 Cr in the same period. The company's reserves have grown substantially, from 642.59 Cr in Mar'19 to 1,734.69 Cr in Mar'25, indicating robust financial health. Total assets have also increased from 452.75 Cr in Mar'20 to 1,912.51 Cr in Mar'25, with total liabilities rising correspondingly. The cash flow from operating activities improved significantly, reaching 43 Cr in Mar'25, while cash flow from investing activities showed a negative trend, indicating ongoing investments. Overall, STEL Holdings has shown strong growth in revenue and profitability, alongside a solid increase in reserves and assets.

Should I buy, sell or hold STEL Holdings?

Is STEL Holdings technically bullish or bearish?

As of December 2, 2025, STEL Holdings has shifted to a bullish trend supported by strong MACD and Bollinger Bands indicators, although caution is advised due to mildly bearish KST signals.

As of 2 December 2025, the technical trend for STEL Holdings has changed from mildly bullish to bullish. The current technical stance is bullish with strong indicators supporting this view. The MACD is bullish on both the weekly and monthly time frames, and Bollinger Bands also indicate a bullish trend on both time frames. Daily moving averages confirm the bullish stance as well. However, the KST shows a mildly bearish signal on both weekly and monthly charts, which suggests some caution. Overall, the strength of the bullish trend is reinforced by the positive OBV readings on both weekly and monthly charts, alongside significant stock returns compared to the Sensex over various periods.

Why is STEL Holdings falling/rising?

As of 03-Dec, STEL Holdings Ltd's stock price is rising to 542.90, reflecting a strong performance with significant gains over various periods and proximity to its 52-week high. Despite a decrease in investor participation, the stock remains liquid and is trading above key moving averages, indicating a bullish trend.

As of 03-Dec, STEL Holdings Ltd's stock price is rising, currently at 542.90, reflecting a change of 8.75 (1.64%) upwards. The stock has shown strong performance over various periods, with a weekly increase of 8.56%, a monthly rise of 33.39%, and a year-to-date gain of 33.24%. Additionally, the stock has outperformed the benchmark Sensex, which has seen a decline of 0.59% over the past week.<BR><BR>Today, the stock is close to its 52-week high, being only 2.23% away from the peak of Rs 555. It has also demonstrated consistent gains, rising for the last three days with a total return of 9.78% during this period. The stock reached an intraday high of Rs 549.95, indicating strong upward momentum.<BR><BR>Moreover, STEL Holdings is trading above its moving averages across multiple time frames, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, which typically signals a bullish trend. However, it is worth noting that there has been a decrease in investor participation, with delivery volume falling by 15.92% against the 5-day average. Despite this decline in participation, the stock remains liquid enough for trading.<BR><BR>Overall, the combination of strong recent performance, proximity to a 52-week high, and trading above key moving averages contributes to the rising stock price of STEL Holdings Ltd.

Which are the latest news on STEL Holdings?