Shri Jagdamba Polymers Limited

Consumer Cyclical — Textile Manufacturing · NSE

₹650.70−₹5.85 (−0.89%)

DalalBaazaar Score

56 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Moderate

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

In simple words: Reasonable but unspectacular business quality, with both sales and profits growing well. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:03 pm

Understanding the Business

Company site ↗

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

What does this company do?

Shri Jagdamba Polymers Limited engages in the manufacture and sale of technical textile products in India.

IndustryTextile Manufacturing

SectorConsumer Cyclical

Employees1,237

Annual revenue₹426 Cr

How does it make money?

Turns over ₹426 Cr a year. Of every ₹100 of sales, about ₹9 reaches shareholders as profit, with ₹15 left at the operating level before interest, tax and depreciation. Each of its 1,237 employees supports ₹34.5 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹34.5 lakh

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS 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 14.5% 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 ROE25.9%

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +30% while net margin moved -7% 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+30%

Margin effect-7%

DalalBaazaar Score

56/ 100

Moderate

Weighted across six categories. Every point is explained below.

✓ Beta of 0.22 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

54/ 100

Average

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

Valuation

69/ 100

Cheap

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

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

13.0x

Sector Median

69.2x

median of 4 sector peers

🟢Against its sector it trades 81% below the peer median of 69.2x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

69.2x median of 4 peers · -81%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

10.2x

PEG

2.02

What's Good / What's Bad

🟢 What's Going Well2

Very low debt
Debt/Equity of 0.28x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 14.1% to 11.0% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 18.9% to 14.5% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 2 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 384% over 3 years, from ₹19 Cr to ₹93 Cr.
🔴Free cash flow negative for 3 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🟡Receivables growing faster than salesFinancial
Receivables up 70% against revenue up 30% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 81% 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?

Sales are being booked faster than collected
Receivables are up 70% against revenue up 30%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 14.1% to 11.0%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
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.
Several serious flags at once
2 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

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

1EBITDA margin holds above 13%✓ 14.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✗ -₹5 Cr
Profit that never becomes cash eventually stops being profit.
3Revenue growth stays above 7% a year✓ 9.2% CAGR
Latest reported year was 36.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
4Debt / EBITDA stays below 2x✓ 1.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 12%✓ 14.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

6 / 10 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

Price history

Quick Metrics

5 good · 5 neutral · 1 weak

Market Cap

₹570 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

13.0x

Cheap

Cheap against the generic band

P/B Ratio

1.73x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹50.1

Profitable

Profitable on a per-share basis

ROE

11.0%

Moderate

Moderate capital efficiency

ROCE

14.5%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.28x

Low

Conservative leverage

Revenue Growth (YoY)

36.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

61.8%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.15%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

-₹5 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

14.5%

Average

Average margins

Net Margin

9.2%

Average

Average bottom-line conversion

Current Ratio

2.62

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.22

Defensive

Steadier than the market

52W Range Position

37%

Mid-range

Technical Snapshot

RSI (14)

47.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹327 Cr	₹361 Cr	₹476 Cr	₹426 Cr	+9.2%
EBITDA	₹52 Cr	₹60 Cr	₹75 Cr	₹62 Cr	+6.2%
EBITDA Margin	15.8%	16.7%	15.6%	14.5%	—
PAT (Net Profit)	₹30 Cr	₹32 Cr	₹48 Cr	₹36 Cr	+6.4%
EPS	₹34.33	₹36.85	₹54.9	₹41.38	+6.4%
ROE	14.1%	13.2%	16.4%	11.0%	—
ROCE	18.9%	20.6%	20.3%	14.5%	—
Total Debt	₹19 Cr	₹24 Cr	₹87 Cr	₹93 Cr	+69.2%
Free Cash Flow	₹38 Cr	-₹15 Cr	-₹89 Cr	-₹5 Cr	—

🟢 Revenue has grown at 9.2% a year over 3 years.

🟢 EBITDA has grown at 6.2% a year over 3 years.

🔴 EBITDA Margin has fallen from 15.8% to 14.5% over 3 years (-1.3 pts).

🟢 PAT (Net Profit) has grown at 6.4% a year over 3 years.

🟢 EPS has grown at 6.4% a year over 3 years.

🔴 ROE has fallen from 14.1% to 11.0% over 3 years (-3.1 pts).

🔴 ROCE has fallen from 18.9% to 14.5% over 3 years (-4.4 pts).

🔴 Total Debt has grown at 69.2% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹38 Cr to -₹5 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹463 Cr

Total Liabilities

₹134 Cr

Cash & Equivalents

₹32 Cr

Operating Cash Flow

₹51 Cr

Capex

-₹56 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

90.5%

Corporate Actions

Dividend Rate

₹1

Ex-Dividend Date

17 Sept 2026

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

1 positive2 mixed3 general

Shri Jagdamba Polymers submits voting results for 42nd AGM

scanx.trade, 15 OctResults

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

SHRJAGP Stock Price and Chart — NSE:SHRJAGP

TradingView, 17 Aug

Commercial Syn Bags vs Jagdamba Polymers vs Kanpur Plastipack: Which Stock Should You Track

Univest, 12 Oct

Shri Jagdamba Polymers Ltd. Peer Comparison – Compare with Others

Value Research, 30 Aug

Shri Jagdamba Polymers consolidated net profit rises 58.70% in the June 2026 quarter

Business Standard, 14 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Shri Jagdamba Polymers Share Price Rise and Valuation Check

Univest, 13 AugPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongFinancial Health · Valuation

MiddlingBusiness Quality · Growth · Profitability

WeakRisk

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 2 high-severity red flags sit above this conclusion and should be read first.

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑