Risk factor
Very poor trading liquidity
Profitability factor
Greatly overvalued vs peers
About
Established in Coimbatore, India, in 1983, Bannari Amman Sugars Limited is principally engaged in the production and sale of sugar within India. The company operates through distinct segments: Sugar, Power, Alcohol, and Granite Products. Its manufacturing activities encompass cane crush, industrial alcohol, extra neutral spirits, various granite products such as blocks and polished items, and certain bio-products. Bannari Amman also generates substantial electricity, utilizing co-generation power plants with a capacity of 129.80 MW and windmills contributing 8.75 MW. Additionally, the firm provides educational services and exports its goods.
Company Valuation
Considering past and projected metrics, the stock is distinctly 'expensive' compared to its peers. In particular, the stock is overpriced on P/E, 'expensive' on EV/EBITDA