Shemaroo Entertainment Ltd. (SHEMAROO) AI Stock Analysis

• Market Cap: ₹3.10B
• Dividend Yield: N/A
• Average Volume (3M): 4.72K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: -5.35%
• EPS Growth: -99.90%
• Country: IN
• Employees: 663
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Entertainment
• EPS (TTM): -16.77
• Shares Outstanding: 27,320,300
• 10 Day Avg. Volume: 1,025
• 30 Day Avg. Volume: 4,716
• PEG Ratio: -0.03
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.38
• P/FCF Ratio: 3.73
• 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: ₹110.00
• Price Target Upside: -3.08% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 46 Neutral
• Price Target: ₹110.00 ▼(-3.08% Downside)

Shemaroo Entertainment Ltd. has a low overall stock score due to significant financial challenges, including declining profitability and inconsistent revenue growth. The technical analysis indicates a bearish trend, and the valuation is unattractive with a negative P/E ratio. Improvements in financial performance and operational efficiency are crucial for future prospects.

Shemaroo Entertainment Ltd. Business Overview & Revenue Model

Company Description

Shemaroo Entertainment Limited engages in the distribution of content for broadcasting of satellite channels, physical formats, and emerging digital technologies in India. The company is involved in the movie production; online video streaming over the top (OTT) platform; and syndication business that distributes its content to satellite, cable, and terrestrial networks. It also deals in curating and providing content to DTH services on DTH platforms; and provides inflight eclectic mix of content service. In addition, the company offers studio services comprising digital intermediate, digital restoration, VFX, telecine, film scanning, film grading, etc. to various content owners and distributors, as well as offers mobile applications. Further, it company offers pre-loaded devotional speakers. Shemaroo Entertainment Limited was founded in 1962 and is based in Mumbai, India.

How the Company Makes Money

Shemaroo Entertainment Ltd. generates revenue primarily through content licensing and distribution, both in India and internationally. The company partners with various television networks, digital streaming platforms, and mobile operators to distribute its extensive catalog of films and television content. A significant portion of Shemaroo's income comes from digital platforms, where it monetizes content through advertising-based video on demand (AVOD) and subscription-based video on demand (SVOD) models. Additionally, Shemaroo earns revenue from its home entertainment segment, which includes the sale and rental of DVDs and Blu-rays. Strategic partnerships with telecom operators and digital platforms further enhance its reach and revenue potential, allowing the company to tap into the growing demand for digital content consumption.

Shemaroo Entertainment Ltd. Financial Statement Overview

Summary

Shemaroo Entertainment Ltd. faces significant financial challenges, with declining profitability and inconsistent revenue growth. The balance sheet is moderately stable, but increased liabilities pose financial risks. Cash flow management shows some positive signals, but inconsistency remains a concern.

Income Statement

Shemaroo Entertainment Ltd. has been facing declining revenues and worsening profitability. The gross profit margin turned negative in the latest year, indicating a significant cost pressure or revenue decline. The net profit margin is also negative, reflecting struggles with operational efficiency and cost management. The revenue growth rate is volatile, with a recent decline, and both EBIT and EBITDA margins have deteriorated, showing operational challenges.

Balance Sheet

The balance sheet shows moderate stability with a debt-to-equity ratio that is reasonably managed, though the company's equity ratio has decreased slightly, indicating a higher reliance on debt financing. Return on equity has turned negative, signaling a need to improve profitability. The company maintains a substantial amount of assets, but the increasing liabilities are concerning.

Cash Flow

Cash flow analysis reveals challenges in maintaining consistent free cash flow, with recent improvements overshadowed by historical negative trends. The operating cash flow to net income ratio is positive, suggesting some operational cash generation, but the free cash flow to net income ratio is inconsistent, highlighting the need for better cash management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.70B	6.85B	7.07B	5.57B	3.81B	3.11B
Gross Profit	-353.57M	-281.31M	645.37M	1.73B	1.35B	325.93M
EBITDA	-1.15B	-797.53M	34.85M	506.90M	377.14M	135.94M
Net Income	-1.14B	-849.59M	-406.67M	93.64M	52.70M	-214.83M
Balance Sheet
Total Assets	0.00	8.66B	10.22B	10.38B	8.89B	8.77B
Cash, Cash Equivalents and Short-Term Investments	25.21M	25.21M	2.35M	19.73M	80.10M	71.18M
Total Debt	0.00	3.05B	3.40B	3.21B	2.54B	2.69B
Total Liabilities	-4.69B	3.98B	4.73B	4.51B	3.12B	3.05B
Stockholders Equity	4.69B	4.72B	5.53B	5.92B	5.82B	5.76B
Cash Flow
Free Cash Flow	0.00	701.22M	154.27M	-368.03M	409.86M	92.44M
Operating Cash Flow	0.00	751.52M	255.88M	-172.32M	441.34M	101.48M
Investing Cash Flow	0.00	-14.79M	-74.66M	-190.01M	-23.95M	-7.02M
Financing Cash Flow	0.00	-727.33M	-188.14M	355.50M	-409.77M	-93.23M

Shemaroo Entertainment Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 113.50
• 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:SHEMAROO, the sentiment is Negative. The current price of 113.5 is below the 20-day moving average (MA) of 113.84, below the 50-day MA of 114.39, and below the 200-day MA of 120.12, indicating a bearish trend. The MACD of -0.72 indicates Positive momentum. The RSI at 43.50 is Neutral, neither overbought nor oversold. The STOCH value of 21.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SHEMAROO.

Shemaroo Entertainment Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAREGAMA	73 Outperform	₹86.87B	42.49	―	0.98%	38.81%	6.85%
MUNJALAU	67 Neutral	₹9.32B	23.00	―	1.08%	8.73%	0.25%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
BALAJITELE	59 Neutral	₹14.01B	14.11	―	―	-39.44%	844.50%
SHEMAROO	46 Neutral	₹3.10B	―	―	―	-5.35%	-99.90%
MUKTAARTS	45 Neutral	₹1.53B	―	―	―	-14.62%	-85.05%