⚠ 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.
EIDPARRY - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 1.8
| Stock Code | EIDPARRY | Market Cap | 14,576 Cr. | Current Price | 820 ₹ | High / Low | 1,247 ₹ |
| Stock P/E | 415 | Book Value | 127 ₹ | Dividend Yield | 0.00 % | ROCE | 1.66 % |
| ROE | -0.79 % | Face Value | 1.00 ₹ | DMA 50 | 888 ₹ | DMA 200 | 956 ₹ |
| Chg in FII Hold | -0.16 % | Chg in DII Hold | 0.71 % | PAT Qtr | -54.4 Cr. | PAT Prev Qtr | 40.7 Cr. |
| RSI | 41.4 | MACD | -28.4 | Volume | 1,87,558 | Avg Vol 1Wk | 1,91,805 |
| Low price | 687 ₹ | High price | 1,247 ₹ | Debt to equity | 0.43 | 52w Index | 23.9 % |
| Qtr Profit Var | 21.7 % | EPS | -33.7 ₹ | Industry PE | 20.2 |
📊 Core Financials
- Revenue growth: Weak, recent quarter shows negative PAT (-54.4 Cr.) compared to previous profit (40.7 Cr.)
- Profit margins: Negative EPS (-33.7 ₹), ROE (-0.79%), ROCE (1.66%) indicate poor efficiency
- Debt ratios: Debt-to-equity at 0.43, manageable but not negligible
- Cash flows: Weak profitability suggests stressed cash generation
- Return metrics: ROE and ROCE both below industry averages
💹 Valuation Indicators
- P/E Ratio: 415 (extremely overvalued compared to industry PE of 20.2)
- P/B Ratio: ~6.45 (820 ₹ / 127 ₹), high relative to fundamentals
- PEG Ratio: Not meaningful due to negative EPS
- Intrinsic Value: Current price far above fair value given weak earnings
🏢 Business Model & Competitive Advantage
- Operates in sugar and nutraceuticals sector, cyclical in nature
- Competitive advantage limited due to commodity-driven business
- Industry growth prospects exist, but company-specific execution is weak
📈 Entry Zone & Long-Term Guidance
- Entry Zone: Only attractive near 650–700 ₹ range if fundamentals improve
- Long-Term Holding: Not recommended until profitability stabilizes and valuation aligns with industry norms
✅ Positive
- Debt-to-equity ratio is moderate at 0.43
- Industry PE (20.2) suggests sector has potential if company performance improves
⚠️ Limitation
- High volatility with 52-week range between 687 ₹ and 1,247 ₹
- Weak ROE and ROCE indicate poor capital efficiency
📰 Company Negative News
- Recent quarterly loss of -54.4 Cr. after previous profit
- EPS remains negative (-33.7 ₹)
- FII holding decreased (-0.16%)
🌟 Company Positive News
- DII holding increased (+0.71%)
- Industry demand for sugar and allied products remains steady
🏭 Industry
- Sugar industry is cyclical, dependent on monsoon and government policies
- Industry PE at 20.2 shows healthier averages compared to company’s inflated valuation
🔎 Conclusion
- EID Parry shows weak fundamentals with negative profitability and extremely high valuation multiples
- Stock is currently overvalued and not suitable for long-term holding unless earnings improve significantly
- Best strategy: Avoid fresh entry at current levels; monitor for turnaround near lower price zone (650–700 ₹)