Rama Petrochemicals Stock Price Analysis and Quick Research Report. Is Rama Petrochemicals an attractive stock to invest in?

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Rama Petrochemicals. 

• PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Rama Petrochemicals has a PE ratio of -2.39360580370324 which is low and comparatively undervalued.

• Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Rama Petrochemicals has ROA of -105.1981% which is a bad sign for future performance. (Higher values are always desirable.)

• Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Rama Petrochemicals has a Current ratio of 0.0613.

• Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Rama Petrochemicals has a ROE of 0%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Rama Petrochemicals has a Debt to Equity ratio of -0.9907 which means that the company has low proportion of debt in its capital.

• Sales growth: Rama Petrochemicals has reported revenue growth of 241.7314% which is fair in relation to its growth and performance. 

• Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Rama Petrochemicals for the current financial year is -459.85709645989%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Rama Petrochemicals is Rs 0 and the yield is 0%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Rama Petrochemicals is Rs -4.7418. The higher the EPS, the better it is for investors. 

One can find all the Financial Ratios of Rama Petrochemicals in Ticker for free. Also, one can get the intrinsic value of Rama Petrochemicals by using Valuation Calculators, which are available with a Finology ONE subscription. 

Rama Petrochemicals FAQs

Q1. What is Rama Petrochemicals share price today?
Ans: The current share price of Rama Petrochemicals is Rs 11.35.

Q2. What is the market capitalisation of Rama Petrochemicals?
Ans: Rama Petrochemicals has a market capitalisation of Rs 17.50209725 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Rama Petrochemicals?
Ans: The PE ratio of Rama Petrochemicals is -2.39360580370324 and the P/B ratio of Rama Petrochemicals is -0.267777096211013, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Rama Petrochemicals share?
Ans: The 52-week high share price of Rama Petrochemicals is Rs 16.92, and the 52-week low share price of Rama Petrochemicals is Rs 11.16.

Q5. Does Rama Petrochemicals pay dividends?
Ans: Currently, Rama Petrochemicals does not pay dividends. Dividend yield of Rama Petrochemicals is around 0%.

Q6. What are the face value and book value of Rama Petrochemicals shares?
Ans: The face value of Rama Petrochemicals shares is Rs 10, while the book value per share of Rama Petrochemicals is around Rs -42.386. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of Rama Petrochemicals?
Ans: Rama Petrochemicals has a total debt of Rs 65.3175 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of Rama Petrochemicals?
Ans: The ROE of Rama Petrochemicals is 0% and ROCE of Rama Petrochemicals is -55.7367%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q9. Is Rama Petrochemicals a good buy for the long term?
Ans: The Rama Petrochemicals long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q10. Is Rama Petrochemicals undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Rama Petrochemicals appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q11. How to check Rama Petrochemicals’s financials?
Ans: You can review Rama Petrochemicals’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.