BSE:516022

Stock Analysis Report

Executive Summary

Star Paper Mills Limited engages in the manufacture and supply of paper and paper products in India and internationally.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.

Risks

  • Star Paper Mills has significant price volatility in the past 3 months.
  • Star Paper Mills is not covered by any analysts.

Share Price & News

How has Star Paper Mills's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-7.3%

BSE:516022

2.9%

IN Forestry

-0.7%

IN Market


1 Year Return

-54.1%

BSE:516022

-35.9%

IN Forestry

-12.1%

IN Market

516022 underperformed the Forestry industry which returned -35.9% over the past year.

516022 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

516022IndustryMarket
7 Day-7.3%2.9%-0.7%
30 Day-8.1%-3.0%-4.6%
90 Day-18.9%-8.1%-4.3%
1 Year-54.1%-54.1%-35.1%-35.9%-10.3%-12.1%
3 Year8.2%5.7%-2.8%-5.3%18.9%12.8%
5 Year857.5%835.6%80.8%73.2%37.6%24.7%

Price Volatility Vs. Market

How volatile is Star Paper Mills's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Star Paper Mills undervalued based on future cash flows and its price relative to the stock market?

2.35x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Star Paper Mills's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Star Paper Mills's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Star Paper Mills is good value based on earnings compared to the IN Forestry industry average.

Star Paper Mills is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Star Paper Mills, we can't assess if its growth is good value.


Price Based on Value of Assets

Star Paper Mills is good value based on assets compared to the IN Forestry industry average.


Next Steps

Future Growth

How is Star Paper Mills expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

5.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Star Paper Mills is high growth as no revenue estimate data is available.

Star Paper Mills's earnings are expected to grow by 5.7% yearly, however this is not considered high growth (20% yearly).

Unable to compare Star Paper Mills's revenue growth to the India market average as no estimate data is available.

Star Paper Mills's earnings growth is positive but not above the India market average.

Star Paper Mills's earnings growth is positive but not above the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Star Paper Mills will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Star Paper Mills performed over the past 5 years?

35.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Star Paper Mills has delivered over 20% year on year earnings growth in the past 5 years.

Star Paper Mills's 1-year earnings growth is less than its 5-year average (13.9% vs 35.8%)

Star Paper Mills's earnings growth has not exceeded the IN Forestry industry average in the past year (13.9% vs 43.2%).


Return on Equity

Star Paper Mills has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Star Paper Mills used its assets more efficiently than the IN Forestry industry average last year based on Return on Assets.


Return on Capital Employed

Star Paper Mills's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Star Paper Mills's financial position?


Financial Position Analysis

Star Paper Mills is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Star Paper Mills's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Star Paper Mills's level of debt (0.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (63.2% vs 0.3% today).

Debt is well covered by operating cash flow (2268.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 76.6x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 107.5x debt.


Next Steps

Dividend

What is Star Paper Mills's current dividend yield, its reliability and sustainability?

2.90%

Current Dividend Yield


Dividend Yield and Payments Analysis

Star Paper Mills's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.63%).

Star Paper Mills's dividend is above the markets top 25% of dividend payers in India (2.52%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (14.7x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Star Paper Mills's salary, the management and board of directors tenure and is there insider trading?

10.0yrs

Average board tenure


CEO

Madhukar Mishra (62yo)

9.1yrs

Tenure

₹21,070,288

Compensation

Mr. Madhukar Mishra, B.Sc, DMS (Mgt.) has been the Managing Director of Star Paper Mills Limited since July 1, 2010 and has been its Executive Director since September 30, 2009. Mr. Mishra has wide range o ...


CEO Compensation Analysis

Madhukar's remuneration is higher than average for companies of similar size in India.

Madhukar's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

10.0yrs

Average Tenure

69yo

Average Age

The average tenure for the Star Paper Mills board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Madhukar Mishra (62yo)

    MD & Executive Director

    • Tenure: 9.1yrs
    • Compensation: 21.07m
  • Saurabh Arora

    Compliance Officer & Company Secretary

    • Compensation: 1.07m
  • Puneet Verma (50yo)

    General Manager of HR & Admin.

  • Dipak Vij (49yo)

    General Manager of Marketing

  • Sandeep Rastogi

    Chief Financial Officer

    • Tenure: 0.2yrs

Board Members

  • Chander Vasudev (76yo)

    Independent Non-Executive Director

    • Tenure: 10.2yrs
    • Compensation: 180.00k
  • Shrivardhan Goenka (44yo)

    Non-Independent Non-Executive Director

    • Tenure: 16.9yrs
    • Compensation: 40.00k
  • Madhukar Mishra (62yo)

    MD & Executive Director

    • Tenure: 9.9yrs
    • Compensation: 21.07m
  • Michael Pinto (76yo)

    Independent Non-Executive Director

    • Tenure: 9.6yrs
    • Compensation: 160.00k
  • Shiromani Sharma (86yo)

    Independent Non-Executive Director

    • Tenure: 26.2yrs
    • Compensation: 300.00k
  • Sunil Srivastav (61yo)

    Additional Independent Director

    • Tenure: 0.8yrs

Company Information

Star Paper Mills Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Star Paper Mills Limited
  • Ticker: 516022
  • Exchange: BSE
  • Founded: 1936
  • Industry: paper products
  • Sector: materials
  • Market Cap: ₹1.346b
  • Shares outstanding: 15.61m
  • Website: Click here

Number of Employees


Location

  • Star Paper Mills Limited
  • Duncan House
  • 2nd Floor
  • Kolkata
  • West Bengal
  • 700001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
516022BSE (Mumbai Stock Exchange)YesEquity SharesININRNov 1995
STARPAPERNSEI (National Stock Exchange of India)YesEquity SharesININRNov 1995

Biography

Star Paper Mills Limited engages in the manufacture and supply of paper and paper products in India and internationally. It offers range of industrial, packaging, and cultural papers. The company was incor ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:41
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.