Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Polychem Limited, together with its subsidiary, engages in the specialty chemicals and property development businesses in India and internationally. It operates in three segments: Property Development, Specialty Chemicals, and Manufacturing and Trading in Capacitors segments. The company offers cross linked polystyrene, low molecular weight polystyrene, styrene ethyl acrylate co-polymer, and styrene butyl acrylate co-polymers. It also manufactures, outsources, markets, and sells ceramic capacitors. The company also exports its products to the United Kingdom, the United States, the Netherlands, Germany, Japan, and Hungary. Polychem Limited was incorporated in 1955 and is headquartered in Mumbai, India.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBIT