Rajshree Polypack Ltd. (RPPL) AI Stock Analysis

• Market Cap: ₹1.16B
• Dividend Yield: N/A
• Average Volume (3M): 81.64K
• Price to Earnings (P/E): 16.6
• Beta (1Y): 1.01
• Revenue Growth: 10.14%
• EPS Growth: 73.18%
• Country: IN
• Employees: 584
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaging & Containers
• EPS (TTM): 0.30
• Shares Outstanding: 73,344,000
• 10 Day Avg. Volume: 89,380
• 30 Day Avg. Volume: 81,635
• PEG Ratio: -2.41
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.53
• P/FCF Ratio: -14.26
• 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: 63 Neutral
• Price Target: ₹16.50 ▼(-11.53% Downside)
• Action: Reiterated Date: 03/03/26
• Date: Action: Reiterated 03/03/26

The score is driven mainly by solid underlying financial performance but with clear risks from rising leverage and negative free cash flow. Technicals are notably weak (downtrend across key moving averages and negative MACD), partially offset by an inexpensive valuation based on the low P/E.

Positive Factors

Consistent Revenue Growth

Rajshree Polypack has delivered recurring top-line expansion, supported by consistent revenue growth reported in the pack. Sustained revenue growth over multiple periods indicates expanding customer demand and market penetration, underpinning longer-term cash generation and investment capacity.

Stable Gross Profit Margin

Stable gross margins point to durable cost controls and pricing discipline in a competitive packaging industry. Margin stability supports operating leverage as revenue grows, allowing the company to convert incremental sales into lasting profit and reinvestment capacity over the medium term.

Rising Shareholders' Equity

An increasing equity base strengthens the capital foundation and supports balance-sheet resilience for expansion. Growing shareholders' equity provides a buffer against shocks, enables incremental debt capacity for strategic investments, and signals retained earnings accumulation over time.

Negative Factors

Rising Leverage

Leverage has trended higher, reducing financial flexibility and increasing interest exposure. Persistently higher debt-to-equity raises refinancing and covenant risks, making the firm more sensitive to demand shocks or margin pressure and constraining capital allocation choices over the medium term.

Negative Free Cash Flow (2025)

A meaningful negative free cash flow in 2025 reflects heavy capex or working-capital absorption that has not yet converted to cash returns. Extended negative FCF can limit ability to pay down debt, fund dividends, or invest organically without external financing, stressing long-term financial resilience.

Declining Net Profit Margin

A slide in net profit margin suggests rising operating costs, financing expense, or other structural pressures narrowing profitability. If persistent, declining net margins erode return on invested capital and reduce the company’s ability to self-fund growth or absorb margin volatility in the packaging market.

Rajshree Polypack Ltd. Business Overview & Revenue Model

Company Description

Rajshree Polypack Limited manufactures and sells rigid plastic sheets and thermoformed packaging products in India. It offers yoghurt and ice cream containers, food packing, QSRs, coffee cups, bakery products and confectioneries packing products, beverage cups and containers, generic bowls, punnets and trays for fruits and vegetable packing, lids, etc. The company also provides dairy cups, rectangular trays and hinged containers, trays for sweets and confectioneries, PET and PP clear cups, plates and bowls, and barrier PP products, as well as cups for packaging of juices, beverages, and water. It serves dairy, beverages, FMCG, QSR, retail, pharmaceuticals, and electronics industries. The company was founded in 2003 and is based in Thane, India.

How the Company Makes Money

Rajshree Polypack Ltd. generates revenue primarily through the sale of its plastic packaging products to a wide range of industries. The company operates a business-to-business (B2B) model, supplying its products to manufacturers and retailers in sectors such as food and beverages, pharmaceuticals, and consumer goods. RPPL's revenue streams are driven by its ability to offer customized packaging solutions that enhance product appeal and safety. Additionally, the company invests in advanced manufacturing technologies and sustainable materials to attract eco-conscious clients, thus broadening its market reach. Key partnerships with distributors and long-term contracts with major clients further contribute to RPPL's consistent earnings.

Rajshree Polypack Ltd. Financial Statement Overview

Summary

Revenue growth and stable gross margin support the score, but rising leverage (higher debt-to-equity and lower equity ratio) and a meaningful negative free cash flow in 2025 weigh on overall financial strength.

Income Statement

The company's revenue has experienced consistent growth over the past years, with a notable increase from 2024 to 2025. Gross profit margin has remained relatively stable, indicating efficient cost management. However, the net profit margin has seen a slight decline, suggesting increased operational costs or other expenditures affecting net income.

Balance Sheet

The balance sheet reveals moderate financial stability with a debt-to-equity ratio that has increased over the years, reflecting higher leverage. Stockholders' equity has been growing, but the equity ratio has decreased, indicating a rise in total liabilities relative to assets. This could pose a risk if debt levels continue to rise without proportional equity growth.

Cash Flow

The cash flow statement shows variability in free cash flow, with a significant negative free cash flow in 2025. Operating cash flow to net income ratio indicates relatively strong cash generation from operations, but capital expenditures have led to negative free cash flow, suggesting investments in growth or expansion that have not yet yielded positive cash returns.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.34B	3.30B	2.74B	2.52B	1.99B	1.27B
Gross Profit	1.05B	804.80M	1.05B	963.84M	564.70M	218.55M
EBITDA	428.77M	462.99M	358.52M	353.14M	269.90M	208.89M
Net Income	98.27M	79.61M	86.41M	106.60M	95.71M	88.00M
Balance Sheet
Total Assets	0.00	3.20B	2.81B	2.63B	1.92B	1.66B
Cash, Cash Equivalents and Short-Term Investments	88.12M	88.12M	38.07M	90.75M	13.24M	253.40M
Total Debt	0.00	1.16B	865.65M	881.33M	502.05M	206.71M
Total Liabilities	-1.69B	1.59B	1.27B	1.33B	764.13M	580.22M
Stockholders Equity	1.69B	1.61B	1.53B	1.30B	1.16B	1.08B
Cash Flow
Free Cash Flow	0.00	-123.50M	21.47M	-168.67M	-422.37M	-88.79M
Operating Cash Flow	0.00	97.76M	208.62M	138.09M	4.07M	86.31M
Investing Cash Flow	0.00	-360.28M	-337.93M	-392.92M	-191.78M	-251.76M
Financing Cash Flow	0.00	220.29M	72.30M	332.47M	178.30M	61.47M

Rajshree Polypack Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 18.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RPPL, the sentiment is Negative. The current price of 18.65 is above the 20-day moving average (MA) of 16.54, above the 50-day MA of 17.10, and below the 200-day MA of 21.13, indicating a bearish trend. The MACD of -0.46 indicates Positive momentum. The RSI at 40.17 is Neutral, neither overbought nor oversold. The STOCH value of 23.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RPPL.

Rajshree Polypack Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RPPL	63 Neutral	₹1.16B	16.55	―	―	10.14%	73.18%
TAINWALCHM	63 Neutral	₹1.83B	13.34	―	1.64%	―	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KANPRPLA	62 Neutral	₹4.04B	9.74	―	0.52%	23.02%	―
ORIENTBELL	55 Neutral	₹3.98B	34.39	―	0.19%	-1.45%	849.26%
GOKUL	54 Neutral	₹4.07B	18.03	―	―	22.45%	26.18%
KOTHARIPRO	54 Neutral	₹3.78B	11.19	―	―	-3.96%	―

Rajshree Polypack Ltd. Corporate Events

Rajshree Polypack Files SEBI Demat Compliance Certificate for December Quarter

Rajshree Polypack Ltd. has submitted to the stock exchange a compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended December 31, 2025, issued by its registrar and share transfer agent, MUFG Intime India Private Limited. The registrar confirmed that all securities received for dematerialisation during the quarter were duly processed, accepted or rejected as appropriate, listed on the relevant stock exchanges in line with earlier issued securities, and that physical certificates were mutilated, cancelled, and replaced in the register of members with the depositories as registered owners within the prescribed timelines, underscoring the company’s adherence to regulatory requirements in handling its share capital.

Rajshree Polypack Signs 25-Year Group Captive Renewable Power Deal

Rajshree Polypack Limited has entered into a long-term arrangement to source renewable energy by signing a term sheet with Jamnagar Renewables Two Private Limited for a group captive wind–solar hybrid power project with a contracted capacity of about 1.9 MW. The deal, which includes a proposed equity investment of roughly ₹2.03 crore and a 25-year tenure with a three-year lock-in and a minimum 95% power offtake commitment, is designed to meet the company’s power needs while advancing its sustainability goals, potentially lowering energy costs and reducing exposure to conventional grid tariffs, subject to final definitive agreements and required approvals.