Jay Shree Tea & Industries Ltd. (JAYSREETEA) AI Stock Analysis

• Market Cap: ₹2.54B
• Dividend Yield: 0.57%
• Average Volume (3M): 7.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.76
• Revenue Growth: 5.48%
• EPS Growth: 816.63%
• Country: IN
• Employees: 19,402
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): -0.52
• Shares Outstanding: 28,877,487
• 10 Day Avg. Volume: 12,571
• 30 Day Avg. Volume: 7,602
• PEG Ratio: <0.01
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.31
• P/FCF Ratio: -2.13
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: ₹87.00 ▲(0.06% Upside)
• Action: Reiterated Date: 11/01/25
• Date: Action: Reiterated 11/01/25

Jay Shree Tea & Industries Ltd. has a moderate overall stock score driven by a recovering financial performance and attractive valuation. However, technical indicators suggest a lack of strong momentum, and cash flow challenges present risks. The low P/E ratio indicates potential undervaluation, providing some upside potential.

Positive Factors

Vertical integration / plantation-to-product model

Owning and operating tea estates plus processing gives durable control over quality, input supply and harvesting timing. Vertical integration supports consistent product standards, cost visibility and the ability to capture upstream margins, strengthening long-term competitive position.

Consistent revenue growth

Sustained revenue growth indicates recovering demand and effective commercialization of produced tea. For a plantation business, recurring growth supports capacity utilization, long-term buyer relationships and investments in agronomy that can compound returns across seasons over the next 2–6 months and beyond.

Improving margins and operational efficiency

Stronger gross and operating margins reflect better cost management, likely from improved processing yields or mix. Durable margin expansion increases resilience to tea price swings, funds reinvestment in estates and factories, and improves the firm's capacity to absorb cyclical headwinds.

Negative Factors

Weak operating cash generation

Negative operating cash flow is a structural concern: it erodes liquidity, constrains funding for maintenance capex and agronomy, and forces reliance on external financing. Over several quarters this can weaken the company's ability to maintain estate productivity and fund strategic investments.

Moderate leverage / high liabilities share

A balance sheet where a large share of assets is liability‑funded reduces financial flexibility. If liabilities rise or interest rates shift, servicing costs can squeeze margins and limit capacity for capex or dividends, raising structural refinancing and solvency risk over time.

Operational volatility and cash-income misalignment

Historic swings in EBIT/EBITDA plus cash-to-income mismatches point to earnings volatility and working capital sensitivity (crop, prices, seasonality). Such structural variability complicates planning, increases earnings risk across seasons and can magnify stress if markets or weather deteriorate.

Jay Shree Tea & Industries Ltd. Business Overview & Revenue Model

Company Description

Jay Shree Tea & Industries Limited manufactures and sells tea in India and internationally. It operates through Tea, Chemical & Fertilizer, and Sugar segments. The company also manufactures and markets sugar; and chemicals and fertilizers, such as single super phosphate offered under the Annapurna brand, sulphuric acid, and oleum. In addition, it offers warehousing services, as well as engages in the investment and non-banking financial activities. The company was incorporated in 1945 and is headquartered in Kolkata, India.

How the Company Makes Money

The company primarily makes money by selling tea produced from its own tea estates. Its revenue model is largely plantation-to-product: (1) cultivation and harvesting of green leaf on owned/managed estates, (2) processing/manufacturing into made tea at its factories, and (3) monetization through sales of the manufactured tea. Key revenue streams therefore include proceeds from bulk tea sales to tea trade participants (such as blenders, wholesalers, exporters, and institutional buyers) and, where applicable, sales into domestic and export channels depending on the grade and demand for its teas. Earnings are influenced by realized tea prices, auction/direct-sale mix, crop yield and quality, input and labor costs, and weather/agronomic conditions affecting production. Specific details on branded retail sales, named long-term customer partnerships, or non-tea segment revenues are null.

Jay Shree Tea & Industries Ltd. Financial Statement Overview

Summary

Jay Shree Tea & Industries Ltd. shows a recovering financial position with positive revenue growth and improved profitability metrics. However, cash flow management remains a challenge with negative operating cash flow impacting free cash flow growth. The balance sheet shows moderate leverage but indicates potential risk if liabilities increase.

Income Statement

Jay Shree Tea & Industries Ltd. has shown a positive revenue growth with an increase from the previous year. Gross profit margins have remained relatively strong, indicating efficient cost management, while the net profit margin has improved significantly, turning from negative to positive, which shows recovery in profitability. EBIT and EBITDA margins have also improved, suggesting better operational efficiency. However, fluctuations in EBIT and EBITDA in past years suggest potential volatility in operational performance.

Balance Sheet

The company's debt-to-equity ratio is moderate, showing a balanced approach to financing through debt and equity. Return on equity has improved, reflecting better profitability relative to equity. However, the equity ratio indicates that a significant portion of the assets is financed by liabilities, which may pose a risk if liabilities increase or profitability declines.

Cash Flow

Cash flow management appears challenging, as operating cash flow has been negative in recent years, impacting free cash flow growth negatively. The operating cash flow to net income ratio indicates inefficiencies, as cash flow generation is not aligned with reported net income. The free cash flow to net income ratio also highlights that generating sufficient cash to cover net income remains a challenge.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	8.54B	8.58B	7.62B	8.13B	6.50B	7.67B
Gross Profit	3.38B	4.11B	3.97B	4.51B	3.25B	4.19B
EBITDA	1.21B	1.41B	590.44M	92.59M	308.66M	764.29M
Net Income	1.16B	1.27B	129.90M	-471.40M	236.23M	190.55M
Balance Sheet
Total Assets	9.63B	9.90B	10.44B	9.18B	9.48B	9.45B
Cash, Cash Equivalents and Short-Term Investments	438.60M	80.40M	97.80M	73.40M	130.44M	190.03M
Total Debt	3.11B	3.26B	3.23B	3.17B	4.34B	3.90B
Total Liabilities	5.34B	5.71B	7.53B	6.96B	6.73B	7.04B
Stockholders Equity	4.29B	4.19B	2.91B	2.21B	2.75B	2.41B
Cash Flow
Free Cash Flow	288.70M	-1.25B	-741.70M	-500.60M	-57.60M	881.04M
Operating Cash Flow	420.10M	-799.72M	-164.24M	-363.70M	104.95M	1.21B
Investing Cash Flow	-91.50M	-39.50M	326.20M	383.40M	339.61M	1.05B
Financing Cash Flow	-366.60M	-460.90M	-156.98M	-404.10M	-426.96M	-2.38B

Jay Shree Tea & Industries Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 86.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JAYSREETEA, the sentiment is Positive. The current price of 86.95 is above the 20-day moving average (MA) of 81.35, above the 50-day MA of 83.29, and below the 200-day MA of 96.12, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 62.18 is Neutral, neither overbought nor oversold. The STOCH value of 84.51 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:JAYSREETEA.

Jay Shree Tea & Industries Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNITEDTEA	74 Outperform	₹2.52B	10.75	―	0.67%	―	―
GROBTEA	70 Outperform	₹1.02B	4.09	―	0.30%	-20.04%	-104.83%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JAYSREETEA	61 Neutral	₹2.54B	-41.93	―	0.57%	5.48%	816.63%
PKTEA	51 Neutral	₹2.47B	166.47	―	0.11%	-13.72%	-136.12%
DTIL	43 Neutral	₹1.36B	-5.93	―	0.62%	11.82%	92.76%