Check Before You Invest : Shemaroo Entertainment Ltd

Snapshot

Q.1 Which industry/sub-sector does Shemaroo Entertainment Ltd belong to?

Shemaroo Entertainment Ltd belongs to the Media sector, operating specifically within the Film Production, Distribution & Entertainment segment.

Q.2 Is Shemaroo Entertainment Ltd a good quality company?

Shemaroo Entertainment Ltd is a average quality company, based on a somewhat consistent 10-year financial track record.

Q.3 Is Shemaroo Entertainment Ltd undervalued or overvalued?

Shemaroo Entertainment Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.

Q.4 Is Shemaroo Entertainment Ltd a good buy now?

Shemaroo Entertainment Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd revenue growth is -3.9% for FY-2025, which is below its 5-year CAGR of 6.28%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Return on capital employed is -9.84% for FY-2025, which is below its 5-year historical median of 0.9%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Return on Asset is -9.58%, which is below its 5-year historical median of -2.19%, indicating deteriorated asset utilization efficiency.

Q.4 Return on Equity (ROE) of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Return on equity is -17.19% for FY-2025, which is below its 5-year historical median of -3.26%, indicating the business is making worse use of its shareholders capital.

Q.5 Cash conversion cycle of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Cash conversion cycle is 365 days, below its 5-year historical median of 503 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	0.71	0.56
ROE	-17.19	-3.26
ROCE	-9.84	0.9
Cash Conversion Cycle	365 days	503 days

Q.6 Gross Profit margin of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Gross profit margin which is the profit after deduction of direct costs, is -17.3% for FY-2025, which is below its 5-year median of -3.9%, indicating decreasing margins.

Q.7 Operating Profit Margin of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is -13.1% for FY-2025, which is below its 5-year median of 4.58% indicating decreasing margins.

Q.8 Net Profit Margin of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Net Profit Margin is -13.45% for FY-2025, is below with its 5-year median of -6.3%, indicating decreasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	-17.3	-3.9
Operating Profit Margin	-13.1	4.58
Net Profit Margin	-13.45	-6.3

Q.9 Debt to Equity ratio of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Debt-to-Equity ratio is 0.65, which is above with the industry average of 0.25, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Shemaroo Entertainment Ltd?

Shemaroo Entertainment Ltd Debt to cash flow from operations is 4.1, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Shemaroo Entertainment Ltd?

Promoters hold 67.24% of the Shemaroo Entertainment Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Shemaroo Entertainment Ltd vs industry peers?

Shemaroo Entertainment Ltd revenue CAGR is 6.28%, compared to the industry median CAGR of 0.12%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	-3.9	0.1
Gross Profit Growth	0	7.2
Operating Profit Growth	0	NAN
Net Profit Growth	0	NAN

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.71	0.24
ROE	-17.19	-0.24
ROCE	-9.84	0.2
Cash Conversion Cycle (days)	364.87	251

Valuation & price assessment

Q.1 Stock return of Shemaroo Entertainment Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of -11.1% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	-11.1%	0.3%	-4.5%	3.6%

Q.3 Valuation ratios of Shemaroo Entertainment Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	-	58.02	28.34
Price to Book	0.85	0.69	1.03
Price to Sales	0.47	0.70	6.22
EV to EBITDA	-3.36	14.39	10.59

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