Review

JINDAL POLY FILMS LTD. 

Ticker : 500227
FV : Rs 10
52-Week H/L : Rs 525.10/150

We had previously recommended Jindal Poly Films Limited in vol. 37, no. 04, dated November 16, 2020, when the scrip was trading at Rs 494.50. Jindal Poly Films Ltd, the largest manufacturer of BoPET & BOPP films in India has businesses ranging from polyester & polypropylene films to steel pipes, thermal power generation. On a YoY basis, the company reported sales of Rs 1,091.23 crore, an increase of 29.21 per cent from the previous year’s Rs 844.52 crore. Its operating profit has seen a whopping 164.62 per cent increase, settling at Rs 367.09 crore compared to Rs 139.47 reported in Q2FY20. Net profit has also risen to Rs 246.36 crore, up by 52.72 per cent from its previous year’s Rs 161.32 crore. On a QoQ basis, the company has also seen an increase in sales, operating profit & net profit by 41 per cent, 56 per cent, and 88 per cent, respectively. On the basis of an exciting EPS of 111.6 and decreased debt-to-equity ratio of 0.77 along with increased growth opportunities, we recommend our investor readers to HOLD this stock.