⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
DOMS - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.9
| Stock Code | DOMS | Market Cap | 13,562 Cr. | Current Price | 2,234 ₹ | High / Low | 3,065 ₹ |
| Stock P/E | 64.1 | Book Value | 174 ₹ | Dividend Yield | 0.14 % | ROCE | 26.0 % |
| ROE | 21.7 % | Face Value | 10.0 ₹ | DMA 50 | 2,322 ₹ | DMA 200 | 2,455 ₹ |
| Chg in FII Hold | -0.12 % | Chg in DII Hold | 0.57 % | PAT Qtr | 54.2 Cr. | PAT Prev Qtr | 55.8 Cr. |
| RSI | 49.8 | MACD | -64.7 | Volume | 2,16,754 | Avg Vol 1Wk | 16,83,807 |
| Low price | 2,007 ₹ | High price | 3,065 ₹ | PEG Ratio | 0.42 | Debt to equity | 0.11 |
| 52w Index | 21.5 % | Qtr Profit Var | 16.6 % | EPS | 34.9 ₹ | Industry PE | 28.0 |
📊 Core Financials
- Revenue Growth: PAT stable (₹54.2 Cr vs ₹55.8 Cr), showing consistency
- Profit Margins: EPS ₹34.9, strong profitability
- Debt Ratio: Low leverage (Debt-to-Equity 0.11)
- Cash Flows: Healthy, supported by steady earnings
- Return Metrics: ROCE 26.0%, ROE 21.7% — strong efficiency
💹 Valuation Indicators
- P/E Ratio: 64.1 (well above industry PE of 28.0, highly overvalued)
- P/B Ratio: ~12.8 (premium valuation)
- PEG Ratio: 0.42 (reasonable, growth priced attractively)
- Intrinsic Value: Current price ₹2,234 is near support (₹2,007), offering cautious entry
🏢 Business Model & Competitive Advantage
- Leading stationery and writing instruments manufacturer
- Strong brand recognition and wide distribution network
- Low debt enhances financial stability
- Dividend yield of 0.14% is modest
📈 Entry Zone & Long-Term Guidance
- Entry Zone: ₹2,050–₹2,200 range (near support levels)
- Long-Term Holding: Attractive due to strong ROE/ROCE and brand leadership
- Risk: Premium valuation may limit short-term upside
✅ Positive
- Strong ROE and ROCE indicate excellent efficiency
- Low debt ensures financial resilience
- PEG ratio suggests growth is reasonably priced
⚠️ Limitation
- P/E ratio significantly higher than industry average
- P/B ratio reflects expensive valuation
- Dividend yield is very modest
📰 Company Negative News
- Decline in FII holdings (-0.12%) shows reduced foreign investor confidence
- Stock trading below DMA 50 & DMA 200, showing weak momentum
🌟 Company Positive News
- DII holdings increased (+0.57%), showing domestic investor support
- Stable PAT performance despite market volatility
🏦 Industry
- Stationery and consumer goods sector with steady demand
- Industry PE at 28.0, DOMS trades far above this, showing premium valuation
- Sector growth supported by education and office demand
🔎 Conclusion
- DOMS is financially strong with excellent ROE/ROCE and low debt
- Valuation is expensive compared to industry peers
- Entry near ₹2,050–₹2,200 is favorable for long-term investors
- Best suited for portfolios seeking consumer goods exposure with moderate risk tolerance