West Coast Paper Mills Limited (WSTCSTPAPR) AI Stock Analysis

• Market Cap: ₹27.37B
• Dividend Yield: 1.18%
• Average Volume (3M): 1.85K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 1.06
• Revenue Growth: -1.59%
• EPS Growth: -60.74%
• Country: IN
• Employees: 2,420
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): 2.65
• Shares Outstanding: 66,048,904
• 10 Day Avg. Volume: 2,017
• 30 Day Avg. Volume: 1,849
• PEG Ratio: -0.17
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 0.67
• P/FCF Ratio: -8.22
• 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): 6,858.72
• Revenue Forecast (FY): ₹3.96T

• Rating: 60 Neutral
• Price Target: ₹448.00 ▲(6.77% Upside)

West Coast Paper Mills Limited's overall stock score is primarily influenced by its financial performance, which shows strong operational efficiency but is offset by declining profitability and cash flow issues. Technical analysis indicates bearish momentum, further impacting the score. Valuation is fair, but not compelling enough to offset other concerns.

Positive Factors

Operational Efficiency

Strong operational efficiency with high EBIT and EBITDA margins indicates effective management and cost control, supporting long-term profitability.

Low Leverage

A low debt-to-equity ratio suggests financial stability and low leverage, providing flexibility for future investments and growth.

Strong Capital Structure

A strong equity ratio indicates a solid capital structure, enhancing the company's ability to withstand economic downturns and invest in growth opportunities.

Negative Factors

Declining Profitability

A significant decline in net profit margin reflects challenges in maintaining profitability, which could impact long-term financial health if not addressed.

Negative Free Cash Flow

Negative free cash flow indicates potential liquidity issues and challenges in generating cash from operations, which may hinder future investments and growth.

Reduced Return on Equity

A decrease in return on equity suggests declining efficiency in generating profits from shareholders' equity, potentially affecting investor confidence and future capital raising.

West Coast Paper Mills Limited Business Overview & Revenue Model

Company Description

West Coast Paper Mills Limited produces and sells pulp, paper, and paper boards in India. It operates through two segments, Paper/Paperboard and Telecommunication Cables. The company provides printing and writing paper, machine-glazed paper and boards, security and hi-value grades paper, cup stock and coated duplex boards, and business stationery products, as well as premium printing paper under the WESCO brand. It is also involved in the production and sale of optical fiber cables; and wind power generation business. The company exports its paper products to the Asia Pacific, the Middle East, the Mediterranean, and the African subcontinents. West Coast Paper Mills Limited was incorporated in 1955 and is based in Kolkata, India.

How the Company Makes Money

West Coast Paper Mills generates revenue primarily through the sale of its diverse range of paper products, which include writing and printing papers, kraft papers, and specialty papers tailored for various applications. The company benefits from multiple revenue streams, including direct sales to consumers, B2B sales to corporations, and exports to international markets. Additionally, West Coast Paper Mills engages in strategic partnerships with suppliers and distributors to enhance its market reach and distribution capabilities. Factors contributing to its earnings include the growing demand for paper products in education and packaging sectors, a focus on innovation and product development, and an increasing emphasis on sustainable practices that resonate with environmentally conscious consumers.

West Coast Paper Mills Limited Financial Statement Overview

Summary

West Coast Paper Mills Limited demonstrates strong operational efficiency with healthy EBIT and EBITDA margins and a low debt-to-equity ratio. However, declining net profit margins, negative free cash flow, and reduced return on equity highlight significant profitability and cash flow management concerns.

Income Statement

West Coast Paper Mills Limited shows a mixed performance in recent years. The TTM gross profit margin stands at 34.95%, which is relatively healthy. However, the net profit margin has declined significantly to 7.28% from 15.65% in the previous year, indicating profitability concerns. Revenue growth has fluctuated, with a recent drop of 3.38% compared to the previous year. The EBIT and EBITDA margins are strong at 25.65% and 16.19%, respectively, suggesting effective operational management despite falling net margins.

Balance Sheet

The company maintains a strong equity position, with a debt-to-equity ratio of 0.13, indicating low leverage. Return on equity has decreased to 8.91% from 21.35%, reflecting a downturn in profitability. The equity ratio is robust at 63.34%, showcasing financial stability and a strong capital structure.

Cash Flow

Cash flow analysis reveals challenges, as free cash flow turned negative at -3,477 million from a positive 2,394 million last year, leading to a concerning free cash flow growth rate. The operating cash flow to net income ratio is 0.32, showing potential liquidity issues. Additionally, the free cash flow to net income ratio indicates that cash generation from operations is not adequately covering net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	40.57B	42.73B	44.48B	48.95B	33.78B	22.45B
Gross Profit	12.26B	14.93B	21.98B	28.79B	15.42B	1.33B
EBITDA	5.80B	6.92B	12.62B	17.04B	6.96B	2.70B
Net Income	2.52B	3.11B	6.92B	9.42B	3.07B	-31.04M
Balance Sheet
Total Assets	0.00	55.12B	51.18B	41.83B	33.43B	31.37B
Cash, Cash Equivalents and Short-Term Investments	12.25B	12.31B	14.02B	11.07B	3.87B	1.98B
Total Debt	0.00	4.56B	2.76B	2.31B	4.78B	6.76B
Total Liabilities	-40.70B	14.42B	13.08B	11.19B	13.08B	14.33B
Stockholders Equity	40.70B	34.91B	32.42B	25.81B	16.86B	13.89B
Cash Flow
Free Cash Flow	0.00	-3.48B	2.43B	10.75B	5.28B	2.64B
Operating Cash Flow	0.00	992.17M	7.64B	12.38B	5.91B	3.38B
Investing Cash Flow	0.00	-1.72B	-7.14B	-8.94B	-2.89B	-1.66B
Financing Cash Flow	0.00	721.49M	-609.07M	-3.34B	-2.95B	-1.67B

West Coast Paper Mills Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 419.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:WSTCSTPAPR, the sentiment is Neutral. The current price of 419.6 is above the 20-day moving average (MA) of 412.89, above the 50-day MA of 419.08, and below the 200-day MA of 467.48, indicating a neutral trend. The MACD of -2.33 indicates Negative momentum. The RSI at 49.78 is Neutral, neither overbought nor oversold. The STOCH value of 66.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:WSTCSTPAPR.

West Coast Paper Mills Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
PDMJEPAPER	61 Neutral	₹8.39B	9.16	―	0.62%	-5.63%	-27.65%
WSTCSTPAPR	60 Neutral	₹27.37B	15.20	―	1.18%	-1.59%	-60.74%
KUANTUM	60 Neutral	₹8.13B	12.53	―	3.24%	-9.47%	-54.96%
SESHAPAPER	58 Neutral	₹14.53B	17.02	―	1.03%	-9.17%	-57.37%
TNPL	55 Neutral	₹9.68B	-48.20	―	2.08%	4.65%	-127.24%
ANDHRAPAP	54 Neutral	₹12.88B	62.70	―	1.48%	-2.55%	-89.20%