Sonam Stock Price Analysis and Quick Research Report. Is Sonam 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.
The key growth drivers for the consumer durables sector are modernisation, changing lifestyles, increasing awareness, rising incomes, convenient shopping options, etc. The relaxation by the government for FDI will also boost the sector.
Sonam is India’s famous brand in the consumer durable segment nationally and globally. Let's study some key parameters of the company:
- The net sales of the company is Rs 104.1389 Cr. It has increased from the previous year sales of Rs 87.6387 Cr. The sales growth of the company was decent at 18.8275%.
- The sales figure can be matched with inventory turnover to check whether it's justifiable or not. The turnover ratio for Sonam is 4.6813 times. Sonam poorly manages its assets.
- The PAT growth rate of 14.812% is average for the company. The net profit compared to the % of sales is known as PAT margin which is 6.0811%.
- The growth of EPS should ideally be around the PAT growth rate. For Sonam EPS growth rate is 14.8051% which is nearby the PAT growth rate . The Earning per share for the latest quarter is 0.3302 Rs.
- Company’s assets have given an average return of 5.94316666666667% for the 3 years and equity gave an average return of 12.5080666666667% for the 3 years.
- Sonam has a Debt to equity ratio of 0.3629 which is an indicative measure of financial risk when compared to its peers.
One can find all the Financial Ratios of Sonam in Ticker for free. Also, one can get the intrinsic value of Sonam by using Valuation Calculators, which are available with a Finology ONE subscription.
Sonam FAQs
Q1. What is Sonam share price today?
Ans: The current share price of Sonam is Rs 49.15.
Q2. What is the market capitalisation of Sonam?
Ans: Sonam has a market capitalisation of Rs 196.75728 Cr., calculated based on its latest share price.
Q3. What are the P/E and P/B ratios of Sonam?
Ans: The PE ratio of Sonam is 30.3582458307597 and the P/B ratio of Sonam is 3.78362149928408, showing how the stock is valued against its earnings and book value.
Q4. What is the 52-week high and low of Sonam share?
Ans: The 52-week high share price of Sonam is Rs 96.7, and the 52-week low share price of Sonam is Rs 37.
Q5. Does Sonam pay dividends?
Ans: Currently, Sonam does not pay dividends. Dividend yield of Sonam is around 0%.
Q6. What are the face value and book value of Sonam shares?
Ans: The face value of Sonam shares is Rs 5, while the book value per share of Sonam is around Rs 12.9902. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.
Q7. What is the debt of Sonam?
Ans: Sonam has a total debt of Rs 18.391 Cr., which affects investor sentiment and financial stability.
Q8. What are the ROE and ROCE of Sonam?
Ans: The ROE of Sonam is 13.3283% and ROCE of Sonam is 15.8685%. 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 Sonam a good buy for the long term?
Ans: The Sonam 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 Sonam undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Sonam appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.
Q11. How to check Sonam’s financials?
Ans: You can review Sonam’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.