26.05.2019
*AAKASHAYA PATRA EXCLUSIVE STOCK FOR INVESTMENT:*
SHILP GRAVURES (CMP 101)
Target - 140-160, SL - 80
Time Frame 6 to 12 Months
Incorporated in 1989, Shilp Gravures Limited manufactures and sells engraved
copper rollers in India. It operates through two segments, Engraved Copper
Roller and Wind Mill. The company offers gravure cylinders,including
electro-mechanically and mechanically engraved, chemically etched, and laser
rollers; and flexo plate processing, base shell, prepress, and embossing
products for use in flexible packaging, anilox rollers, PVC flooring,
decorative laminates, specialty coatings, artificial leather, gift wrapper,
security printing, transfer printing, fine text, label, ceramic anilox roller,
embossing, and flexo colage applications. It also generates energy through wind
mills. The Company has equity of just Rs.6.15crore while company has huge
reserve of around Rs.58.15crore. Promoters hold 60.78% while investing public
hold 39.22% stake in the company. Promoters increased their stake during October-18-
March-19 which is positive sign. During Q4FY19,net profit soared 40.25% to
Rs.2.01crore from Rs.1.43crore in Q4FY18 on sales of Rs.17.99crore fetching an
EPS of Rs.3.26. During FY19, net profit grew 10% to Rs.7.71crore from
Rs.7.03crore in FY18 on 7.37% higher sales of Rs.74.13crore fetching an EPS of
Rs.12.54. It is regular dividend paying company and it paid 25% interim
dividend for FY19 and declares 15% final
dividend for FY19 (TOTAL DIVIDEND 40%). Its last year's high rate
was Rs.180. Stock almost corrected 44% from its peak price. At CMP, SHILP
GRAVURES trades at PE ratio of just 8x earnings.
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