EIDPARRY - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 1.3
| Stock Code | EIDPARRY | Market Cap | 15,012 Cr. | Current Price | 844 ₹ | High / Low | 1,247 ₹ |
| Stock P/E | 427 | Book Value | 127 ₹ | Dividend Yield | 0.00 % | ROCE | 1.66 % |
| ROE | -0.79 % | Face Value | 1.00 ₹ | DMA 50 | 855 ₹ | DMA 200 | 927 ₹ |
| Chg in FII Hold | -0.41 % | Chg in DII Hold | 0.47 % | PAT Qtr | -54.4 Cr. | PAT Prev Qtr | 40.7 Cr. |
| RSI | 50.2 | MACD | 4.36 | Volume | 7,48,787 | Avg Vol 1Wk | 3,52,881 |
| Low price | 751 ₹ | High price | 1,247 ₹ | Debt to equity | 0.43 | 52w Index | 18.8 % |
| Qtr Profit Var | 21.7 % | EPS | -33.7 ₹ | Industry PE | 23.2 |
Financials & Valuation:
EIDPARRY’s fundamentals are severely weak. ROE (-0.79%) and ROCE (1.66%) highlight poor efficiency in capital utilization. EPS is negative (-33.7 ₹), and quarterly PAT slipped into losses (-54.4 Cr. vs 40.7 Cr. previous). The P/E ratio of 427 is drastically higher than the industry average of 23.2, indicating extreme overvaluation.
Valuation Indicators:
Book Value is 127 ₹, far below the current price of 844 ₹, suggesting overpricing. Dividend yield is 0%, offering no income support. PEG ratio is unavailable due to negative earnings, making growth valuation unreliable.
Business Model & Health:
The company operates in sugar and allied businesses, but cyclical industry pressures and weak profitability erode competitive advantage. Profit volatility and declining investor confidence (FII holding down -0.41%) further weaken its outlook.
Entry Zone & Holding Guidance:
Technically, support lies near 751 ₹. Entry should only be considered around this zone with strict stop-losses. Long-term holding is not advisable until profitability stabilizes and valuations normalize.
Positive
- Moderate debt-to-equity (0.43) provides some balance sheet stability.
- DII holdings increased (+0.47%), showing domestic institutional support.
- Industry ethanol blending program could provide future demand tailwinds.
Limitation
- Extremely high P/E (427) vs industry average (23.2).
- Negative EPS (-33.7 ₹) and quarterly losses.
- ROE and ROCE near zero, reflecting poor efficiency.
- No dividend yield, reducing investor appeal.
Company Negative News
- Reported quarterly loss of -54.4 Cr.
- Weak investor sentiment with FII reduction.
- Profit volatility undermines long-term confidence.
Company Positive News
- DII holdings increased, showing some domestic support.
- Ethanol blending policies could provide structural growth opportunities.
Industry
- Sugar industry remains cyclical, dependent on monsoon and government policies.
- Ethanol blending program offers structural growth opportunities, but profitability remains volatile.
Conclusion
EIDPARRY is fundamentally weak with extreme overvaluation, negative earnings, and poor return metrics. Entry should only be considered near 751 ₹ with tight stop-losses. Long-term investors should avoid until earnings stabilize and valuations normalize.
Would you like me to extend this into a peer benchmarking overlay (e.g., comparing EIDPARRY against Balrampur Chini, Dhampur, Dwarikesh) so you can see relative strength within the sugar sector?