Ashish Polyplast Limited

Basic Materials — Specialty Chemicals · BSE

₹29.50₹0.00 (0.00%)

DalalBaazaar Score

43 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

Driven by negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, but sales are shrinking. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:59 pm

Understanding the Business

Company site ↗

The 60-second version of Ashish Polyplast Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Ashish Polyplast Limited manufactures and sells PVC pipes and sheets in India.

IndustrySpecialty Chemicals

SectorBasic Materials

Employees17

Annual revenue₹15 Cr

How does it make money?

Turns over ₹15 Cr a year. Of every ₹100 of sales, about ₹1 reaches shareholders as profit, with ₹4 left at the operating level before interest, tax and depreciation. Each of its 17 employees supports ₹88.4 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹88.4 lakh

Who are its competitors?

The closest listed comparisons in its industry are ASIAN PAINTS LIMITED, PIDILITE INDUSTRIES LTD, SRF LTD, UPL LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 3.8% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE22.3%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -6% while net margin moved -27% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect-6%

Margin effect-27%

DalalBaazaar Score

43/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 2.2% a year
✗ Profit has declined at 11.7% a year
✗ Latest-year revenue growth of -8.4% is below the longer-term trend — momentum is fading

Quality vs. Valuation

Company Quality

37/ 100

Weak

How good the business is, ignoring the share price entirely.

Valuation

70/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

Optically cheap, but the underlying business scores poorly. Cheap-and-weak is what a value trap looks like from the outside — the low price may be deserved.

Historical Valuation

Current P/E

23.4x

3Y Median

40.9x

40 monthly readings · mean 44.3x · range 14.4x–139.3x

Sector Median

40.4x

median of 4 sector peers

🟢Current valuation is approximately 43% below its 3y median of 40.9x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 42% below the peer median of 40.4x.

vs. its own history

Cheap

40.9x median over 40 months · -43%

vs. sector peers

Cheap

40.4x median of 4 peers · -42%

vs. generic bands

Fair

15x–35x

EV/EBITDA

20.3x

PEG

—

What's Good / What's Bad

🟢 What's Going Well2

Very low debt
Debt/Equity of 0.22x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

3 items require attention · 3 watch

🟡Interest coverage is deterioratingFinancial
Cover has fallen from 5.7x to 3.2x.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹0 Cr in the latest year.
🟡Profit is decliningFinancial
Net profit is down 31% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 43% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 42% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 2%✓ 3.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA stays below 2x✗ 2.8x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
3Free cash flow remains positive✗ -₹0 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✓ 3.2x
How much operating profit can fall before interest stops being comfortably covered.
5ROCE stays above 8%✗ 3.8%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

6 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

3 good · 4 neutral · 4 weak

Market Cap

₹10 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

23.4x

Fair

Fairly valued against the generic band

P/B Ratio

1.53x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹1.26

Profitable

Profitable on a per-share basis

ROE

1.9%

Weak

Weak capital efficiency

ROCE

3.8%

Weak

Low return on total capital employed

Debt/Equity

0.22x

Low

Conservative leverage

Revenue Growth (YoY)

-8.4%

Shrinking

Sales are contracting

Profit Growth (YoY)

75.7%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹0 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

1.1%

Weak

Thin margins leave little room for error

Net Margin

2.9%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.35

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.26

Defensive

Steadier than the market

52W Range Position

24%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

29.1 / 28.7

Bullish alignment (short > long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

52.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹16 Cr	₹16 Cr	₹16 Cr	₹15 Cr	-2.2%
EBITDA	₹1 Cr	₹1 Cr	₹1 Cr	₹1 Cr	-4.1%
EBITDA Margin	3.8%	8.6%	3.9%	3.6%	—
PAT (Net Profit)	₹0 Cr	₹1 Cr	₹0 Cr	₹0 Cr	-11.7%
EPS	₹0.56	₹2.48	₹0.73	₹0.38	-12.1%
ROE	3.4%	13.0%	3.7%	1.9%	—
ROCE	5.7%	15.5%	6.5%	3.8%	—
Total Debt	₹1 Cr	₹0 Cr	₹0 Cr	₹2 Cr	+0.5%
Free Cash Flow	-₹0 Cr	₹2 Cr	₹1 Cr	-₹0 Cr	—

🔴 Revenue has shrunk at 2.2% a year over 3 years.

🔴 EBITDA has shrunk at 4.1% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 3.6% over 3 years.

🔴 PAT (Net Profit) has shrunk at 11.7% a year over 3 years.

🔴 EPS has shrunk at 12.1% a year over 3 years.

🔴 ROE has fallen from 3.4% to 1.9% over 3 years (-1.5 pts).

🔴 ROCE has fallen from 5.7% to 3.8% over 3 years (-2.0 pts).

🟡 Total Debt has been broadly flat over 3 years (0.5% a year).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹10 Cr

Total Liabilities

₹3 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹0 Cr

Capex

-₹1 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

69.6%

Corporate Actions

Ex-Dividend Date

29 Aug 2013

Peer Comparison

Company	P/E	ROE
ASIAN PAINTS LIMITED	46.9x	22.3%
PIDILITE INDUSTRIES LTD	57.8x	24.4%
SRF LTD	33.8x	15.4%
UPL LIMITED	21.5x	6.1%

Recent News

3 mixed3 general

Ashish Polyplast submits synopsis of 32nd AGM proceedings

scanx.trade, 25 Sept

Ashish Polyplast schedules 32nd AGM for September 25, 2026

scanx.trade, 31 Aug

Atharva Polyplast IPO Date, Price Band, GMP, Subscription & Allotment

IndiaIPO, 20 Jun

Q1 Results: Tata Motors, HAL, Grasim Industries, Lenskart, IRCTC, VA Tech Wabag, GMR Airports to post earnings on Aug 12

Upstox, 11 AugResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Q4 results 2026: Bharti Airtel to HAL among companies to declare Q4 results next week; full list here

Livemint, 10 MayResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Q4FY26 Results: HAL, Tata Steel, ITC Hotels Among 300+ Firms To Announce Earnings This Week

NDTV Profit, 14 MayResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Watch Items

Revenue growth is negative (-8.4%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongValuation

MiddlingFinancial Health

WeakBusiness Quality · Growth · Profitability · Risk

Points for each in the Score ↑

Cheap, but for a reason

The low price is the whole case here, and the business underneath scores poorly. Cheap-and-weak is what a value trap looks like from the outside — it needs a specific reason the numbers are about to improve, not just the observation that they are low.

3 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Free cash flow remains positive; ROCE stays above 8% · see Key things to watch ↑