⚠ 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.
ZEEL - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.3
| Stock Code | ZEEL | Market Cap | 7,383 Cr. | Current Price | 76.8 ₹ | High / Low | 152 ₹ |
| Stock P/E | 15.9 | Book Value | 111 ₹ | Dividend Yield | 3.16 % | ROCE | 9.83 % |
| ROE | 7.58 % | Face Value | 1.00 ₹ | DMA 50 | 86.5 ₹ | DMA 200 | 102 ₹ |
| Chg in FII Hold | -1.22 % | Chg in DII Hold | -1.94 % | PAT Qtr | 118 Cr. | PAT Prev Qtr | 78.3 Cr. |
| RSI | 32.5 | MACD | -3.33 | Volume | 1,10,59,359 | Avg Vol 1Wk | 1,21,14,544 |
| Low price | 74.6 ₹ | High price | 152 ₹ | PEG Ratio | -0.87 | Debt to equity | 0.03 |
| 52w Index | 2.88 % | Qtr Profit Var | -38.0 % | EPS | 4.76 ₹ | Industry PE | 16.3 |
📊 Financial Overview
- Revenue & Profitability: Quarterly PAT rose from 78.3 Cr. to 118 Cr., but profit variation (-38%) indicates volatility. EPS at 4.76 ₹ is modest.
- Margins & Returns: ROCE at 9.83% and ROE at 7.58% reflect weak efficiency compared to industry peers.
- Debt: Debt-to-equity ratio of 0.03 indicates negligible leverage, ensuring financial stability.
- Cash Flow: Supported by low debt, but profitability swings raise caution.
💹 Valuation
- P/E Ratio: 15.9 vs Industry PE of 16.3 → Fairly valued relative to peers.
- P/B Ratio: Current Price 76.8 ₹ vs Book Value 111 ₹ → Trading below book value, suggesting undervaluation.
- PEG Ratio: -0.87 → Negative PEG highlights growth concerns.
- Intrinsic Value: Current price offers margin of safety, but growth outlook remains weak.
🏢 Business Model & Competitive Advantage
- Media and entertainment company with strong brand recognition.
- Large content library and established distribution channels.
- Profitability volatility and weak efficiency metrics limit competitive strength.
📈 Technicals & Entry Zone
- RSI at 32.5 → Oversold territory, potential accumulation zone.
- MACD negative (-3.33) → Weak momentum, short-term caution advised.
- Entry Zone: Attractive accumulation between 74–77 ₹.
- Long-Term Holding: Suitable for speculative investors; cautious approach advised due to weak fundamentals.
✅ Positive
- Trading below book value suggests undervaluation.
- Dividend yield of 3.16% provides shareholder returns.
- Low debt-to-equity ratio ensures financial resilience.
⚠️ Limitation
- Negative PEG ratio highlights weak growth prospects.
- ROCE and ROE remain modest compared to peers.
- Profitability volatility raises caution for long-term investors.
📉 Company Negative News
- FII holdings decreased by 1.22% and DII holdings by 1.94%, showing reduced institutional confidence.
- Stock has fallen significantly from its 52-week high of 152 ₹ to current levels.
📈 Company Positive News
- Quarterly PAT improved to 118 Cr., showing operational recovery despite volatility.
- Dividend yield of 3.16% adds shareholder value.
🏭 Industry
- Industry PE at 16.3 suggests sector trades at similar multiples.
- ZEEL trades fairly valued but below book value, indicating potential undervaluation relative to peers.
🔎 Conclusion
ZEEL demonstrates resilience with low debt, dividend yield, and undervaluation relative to book value. However, weak efficiency metrics, negative PEG ratio, and reduced institutional confidence raise caution. Entry is favorable near 74–77 ₹ for speculative investors, but long-term holding requires patience and risk tolerance due to profitability volatility and limited growth prospects.