Risk factor
Very high price volatility
Profitability factor
Undervalued vs peers
About
Dhanalaxmi Roto Spinners Ltd. primarily operates in the trade of wood pulp, diverse paper products, and waste paper. The company offers an extensive selection of fluff and wood pulp varieties, including treated and untreated fluff pulp rolls, reclaimed fluff pulp, bleached and unbleached pulp wrappers, off-grade pulp, BCTMP, bleached hardwood craft pulp, bleached and unbleached softwood craft pulp, and dissolving pulp. Its comprehensive paper portfolio encompasses items such as art and chromo paper, base paper, binding board, bleached craft, colored board, crape paper, duplex and triplex board, PE coated paper, craft paper/liner/board, masking tape stock, newsprint for printing, paper cup base, PE coated paper cup base, poly cup stock, poly coated paper, solid bleached sulfate board, tea bag paper, tetra-pack materials, thermal paper, tracing paper, tissue paper, wax paper, wall paper base stock, and wet strength paper products. Furthermore, the firm distributes pulp alternatives like cellulose buds, sack craft bags, bleached and unbleached NDLKC, and cable craft products. It also ventures into agricultural commodities, supplying cottonseed, cottonseed hull, and cottonseed meal products. Founded in 1986, the enterprise maintains its principal office in Hyderabad, India.
Company Valuation
Based on key historical and expected multiples, the stock is undervalued relative to its peers. Specifically, the stock is 'cheap' on P/E, neutral on EV/EBITD.