Review

INTERNATIONAL PAPER APPM LTD

CMP: Rs.481.65 
Rec. Price Rs.477.65 
Ticker : 502330
FV: Rs. 10
52-Week H/L: Rs.591.15/302.20



We had recommended International Paper APPM in vol. 35, no. 20 (dated Mar 11, 2019), when the scrip was trading at Rs 477.65. Our recommendation was based on factors such as strong industry prospects and the company’s partnerships with local farmers. In Q3FY19, the company’s standalone revenue stood at Rs 376.19 crore, up by 14.6 per cent YoY. EBITDA for the quarter rose by 95.2 per cent YoY to Rs 108.81 crore, with corresponding margin expansion of 1195 bps. The net profit came in at Rs 57.87 crore. The demand is expected to increase by 7-8 per cent for the paper sector as a whole.

Raw material costs have seen a lot of moderation over the past few weeks and months. Considering all these factors, we recommend you to HOLD the stock.