SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : Star Paper Mills Ltd

BSE: 516022 NSE: STARPAPER ISIN: INE733A01018
  |   Sector:  Paper & Stationary   |   Industry:  Paper & Paper Products

Snapshot

Q.1 Which industry/sub-sector does Star Paper Mills Ltd belong to?
Star Paper Mills Ltd belongs to the Paper & Stationary sector, operating specifically within the Paper & Paper Products segment.
Q.2 Is Star Paper Mills Ltd a good quality company?
Star Paper Mills Ltd is a good quality company, based on a consistently good 10 year financial track record.
Q.3 Is Star Paper Mills Ltd undervalued or overvalued?
Star Paper Mills Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.
Q.4 Is Star Paper Mills Ltd a good buy now?
Star Paper Mills 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 Star Paper Mills Ltd?
Star Paper Mills Ltd revenue growth is -1.8% for FY-2025 , which is below its 5 year CAGR of 5.1% , indicating slower growth.
Q.2 Gross Profit margin of Star Paper Mills Ltd?
Star Paper Mills Ltd Gross profit margin which is the profit after deduction of direct costs, is 12.9% for FY-2025 , which is below its 5 year median of 14.2% , indicating decreasing margins.
Q.3 Operating Profit Margin of Star Paper Mills Ltd?
Star Paper Mills Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 8.45% for FY-2025 , which is below its 5 year median of 9.68% indicating decreasing margins.
Q.4 Net Profit Margin of Star Paper Mills Ltd?
Star Paper Mills Ltd Net Profit Margin is 9.43% for FY-2025 , is below with its 5 year median of 11.09%, indicating decreasing margins.
Current Level Historic Median
Gross Profit Margin 12.9 14.2
Operating Profit Margin 8.45 9.68
Net Profit Margin 9.43 11.09
Q.5 Return on Asset of Star Paper Mills Ltd?
Star Paper Mills Ltd Return on Asset is 5.07%, which is below its 5 year historical median of 5.54%, indicating deteriorated asset utilization efficiency.
Q.6 Return on Equity (ROE) of Star Paper Mills Ltd?
Star Paper Mills Ltd Return on equity is 6.2% for FY-2025 , which is below its historical median of 7.07%, indicating the business is making worse use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Star Paper Mills Ltd?
Star Paper Mills Ltd Return on capital employed is 8.18% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of Star Paper Mills Ltd?
Star Paper Mills Ltd Cash conversion cycle is 79 days, above its historical median of 49 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.57 0.57
ROE 6.2 7.07
ROCE 8.18 8.62
Cash Conversion Cycle 79 days 49 days
Q.9 Debt to Equity ratio of Star Paper Mills Ltd?
Star Paper Mills Ltd Debt-to-Equity ratio is 0.00 , which is lower with the industry average of 0.51 , indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of Star Paper Mills Ltd?
Star Paper Mills Ltd Debt to cash flow from operations is 0.05 , which is at a healthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Star Paper Mills Ltd?
Promoters hold 44.93% of the Star Paper Mills Ltd, with 47.21% of their stake pledged, indicating high pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Star Paper Mills Ltd vs industry peers?
Star Paper Mills Ltd revenue CAGR is 5.06% , compared to the industry median CAGR of 5.29% , indicating slower growth and losing its market share.
Profit Metrics
Current Level Industry Median
Revenue 436.3 253.1
Gross Profit 56.2 5.9
Operating Profit 37 9.5
Net Profit 41 3
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.57 0.93
ROE 6.2 5.05
ROCE 8.18 7.66
Cash Conversion Cycle (days) 79.2 48

Valuation & price assessment

Q.1 Stock return of Star Paper Mills Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 14.9% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 14.9% 5.3% -4.2% -16.7%
Q.3 Valuation ratios of Star Paper Mills Ltd vs historical?
The current P/E is lower that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 5.95 6.48 18.72
Price to Book 0.33 0.31 0.88
Price to Sales 0.57 0.55 0.69
EV to EBITDA 3.74 3.17 6.41

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×