Wim Plast (526586)

FairStock Score: 27/100 — RISKY

Score breakdown: P/E: 3/3 · ROCE: 1/2 · Growth: 0/2 · Dividend: 1/1

Key Financials

Strengths

• Low valuation: P/E of 7.52 and P/B of 1.39 against book value of ₹444.35.
• Decent capital efficiency: ROE of 11.67% and ROCE of 14.85%.
• Dividend yield of 2.65% provides some income support.
• Profit down only 1.78% despite a 10.56% sales decline, suggesting margin resilience.
• Latest quarter still profitable with ₹13 Cr net profit on ₹83 Cr sales.

Concerns

• Sales growth is sharply negative at -10.56%, indicating weak demand or pricing pressure.
• Piotroski F-Score of 3/9 and FairStock Score of 27/100 flag financial stress.
• Stock trades near its 52-week high of ₹615.95 despite shrinking topline, leaving limited margin of safety.
• No debt/equity data disclosed, so leverage cannot be verified; consumer plastics likely has limited pricing power.

AI Analysis

Let me start with what I like: Wim Plast is cheap on the surface. At ₹615.95, the stock trades at 7.52 times earnings and 1.39 times book value, with a book value of ₹444.35 per share. A 2.65% dividend yield gives a shareholder some bird in hand. But cheap stocks can be value traps if the business is shrinking. Sales are down 10.56% — that is a serious concern. Profit is down only 1.78%, so management has held margins, but I cannot pay up for a business whose top line is falling. Return on equity of 11.67% and ROCE of 14.85% are acceptable, but not wonderful. The Piotroski F-Score of 3/9 reinforces my caution: this is a weak financial health score. The FairStock Score calls it 27/100, risky. The stock sits at the top of its 52-week range, near ₹615.95, from a low of ₹317.20. I do not chase stocks near highs when the fundamentals are going the other way. In the consumer plastics industry, pricing power is limited and competition is intense. Without a clear moat, a low P/E can stay low for a long time. I need sales growth to return, or a much lower price to create a margin of safety. At this price, I would rather be a spectator. The latest quarter's ₹83 Cr revenue and ₹13 Cr profit show the business is still generating cash, but one quarter doesn't change a declining trend. My discipline says: wait for evidence of recovery, or wait for a better price. That is what I would do with Wim Plast today.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer