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Pakka Ltd (IN:PAKKA)
:PAKKA
India Market
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Pakka Ltd (PAKKA) AI Stock Analysis

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IN:PAKKA

Pakka Ltd

(PAKKA)

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Neutral 47 (OpenAI - 4o)
Rating:47Neutral
Price Target:
₹148.00
▲(4.67% Upside)
Pakka Ltd's overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. The company's declining revenue and profitability, coupled with liquidity challenges, weigh heavily on its financial health. Technical analysis further indicates a negative market sentiment. While the stock's valuation is moderate, the lack of a dividend yield limits its appeal.

Pakka Ltd (PAKKA) vs. iShares MSCI India ETF (INDA)

Pakka Ltd Business Overview & Revenue Model

Company DescriptionPakka Limited manufactures and sells paper and moulded products in India. The company operates through Paper, Pulp, and Other Products; and Moulded Products segments. It offers molded food service ware products under the CHUK brand; bleached and unbleached agricultural pulp products; and bleached, unbleached, and colored kraft products, as well as flexible packaging. The company also exports its products. The company was formerly known as Yash Pakka Limited and changed its name to Pakka Limited in July 2023. Pakka Limited was incorporated in 1981 and is based in Ayodhya, India.
How the Company Makes MoneyPakka Ltd generates revenue through multiple channels, primarily by offering subscription-based services and licensing its software products to businesses. The company charges clients a recurring fee for access to its software platforms and cloud services, which provides a stable income stream. Additionally, PAKKA earns revenue from consulting services, where it helps organizations implement and optimize its software solutions. Significant partnerships with industry leaders in technology and finance further bolster its earnings by expanding its market reach and enhancing product offerings. The company also benefits from revenue-sharing agreements with partners, contributing to its overall financial performance.

Pakka Ltd Financial Statement Overview

Summary
Pakka Ltd is facing significant financial challenges, with a notable decline in revenue growth and profitability. The income statement shows reduced operational efficiency, and the cash flow statement highlights liquidity issues with negative free cash flow. While leverage management has improved, overall financial performance is weak.
Income Statement
45
Neutral
Pakka Ltd has experienced a significant decline in revenue growth, with a negative growth rate of -59.3% in the latest year. The gross profit margin remains relatively strong at 58.8%, but the net profit margin has decreased to 9.2%. The EBIT and EBITDA margins have also declined, indicating reduced operational efficiency. Overall, the income statement reflects challenges in maintaining revenue and profitability.
Balance Sheet
60
Neutral
The company's debt-to-equity ratio has improved to 0.46, indicating better leverage management. However, the return on equity has decreased to 8.3%, reflecting lower profitability relative to shareholder equity. The equity ratio stands at 61.2%, suggesting a stable capital structure. Despite improvements in leverage, the reduced profitability impacts the overall balance sheet strength.
Cash Flow
30
Negative
Pakka Ltd faces significant challenges in cash flow management, with a negative free cash flow and a concerning free cash flow to net income ratio of -16.1. The operating cash flow to net income ratio is low at 0.075, indicating insufficient cash generation from operations. The negative free cash flow growth highlights potential liquidity issues.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue4.06B4.06B4.05B4.08B2.91B1.84B
Gross Profit2.39B2.39B2.47B1.12B1.75B1.12B
EBITDA744.05M744.05M891.92M886.18M693.78M425.46M
Net Income375.20M375.20M434.03M460.43M357.10M167.21M
Balance Sheet
Total Assets7.38B7.38B5.07B3.73B3.24B2.62B
Cash, Cash Equivalents and Short-Term Investments767.18M767.18M563.54M21.01M49.69M2.02M
Total Debt2.06B2.06B1.84B1.04B1.04B939.41M
Total Liabilities2.86B2.86B2.55B1.67B1.59B1.32B
Stockholders Equity4.52B4.52B2.51B2.06B1.65B1.30B
Cash Flow
Free Cash Flow0.00-1.80B-126.37M122.35M32.14M137.60M
Operating Cash Flow0.00111.56M469.56M513.71M324.72M274.06M
Investing Cash Flow0.00-1.78B-686.49M-382.41M-293.44M-116.05M
Financing Cash Flow0.001.78B758.67M-170.98M16.43M-158.89M

Pakka Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price141.40
Price Trends
50DMA
158.12
Negative
100DMA
176.90
Negative
200DMA
195.29
Negative
Market Momentum
MACD
-5.22
Positive
RSI
33.09
Neutral
STOCH
5.94
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PAKKA, the sentiment is Negative. The current price of 141.4 is below the 20-day moving average (MA) of 152.55, below the 50-day MA of 158.12, and below the 200-day MA of 195.29, indicating a bearish trend. The MACD of -5.22 indicates Positive momentum. The RSI at 33.09 is Neutral, neither overbought nor oversold. The STOCH value of 5.94 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:PAKKA.

Pakka Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
₹5.95B8.290.41%-0.58%-12.30%
68
Neutral
₹13.82B27.980.50%9.24%3.74%
55
Neutral
$13.29B17.4210.03%0.93%7.13%-12.93%
48
Neutral
₹6.46B
47
Neutral
₹6.52B15.871.44%-1.15%-7.88%
44
Neutral
₹8.51B-20.42%70.80%
* Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:PAKKA
Pakka Ltd
141.40
-154.25
-52.17%
IN:DISHTV
Dish TV India Limited
4.51
-8.77
-66.04%
IN:ROHLTD
Royal Orchid Hotels Limited
496.75
169.81
51.94%
IN:RPPINFRA
RPP Infra Projects Ltd.
117.95
-73.10
-38.26%
IN:URAVI
Uravi T and Wedge Lamps Limited
238.35
-230.05
-49.11%
IN:ZEEMEDIA
Zee Media Corp. Ltd.
9.86
-12.07
-55.04%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 04, 2025