This stock was discussed once in the thread "Top Mispriced Bets for next 6-9 months. 50% upsides? " I think it deserves an own thread.
Wim Plast ltd, a part of Cello group, is into making plastic moulded furniture and bubbleguard sheets. The moulded furniture segment contributes major part of the sales while contribution of bubbleguard sheet segment is fairly low at this point of time. Company is based in Daman, has strong consumer base throughout the country; and is under rapid expansion plans by setting up plants at Chennai and Kolkata.
Year FY08 FY09 FY10 FY11 FY12
Sales 70.71 91.97 130.52 158.05 201.47
PAT 3.12 8 17.01 18.25 22.75
5 Year sales CAGR > 30%
5 Year PAT CAGR > 60%
Q1FY13 - Sales up 40%, PAT up 53% (y-o-y).
ROCE > 30 & ROE > 20 and consistent.
Zero debt, Promoter holding - 74.98%
No equity dilution for last many years.
Stock was stuck around 200 levels for a long time, sharply ran up to 330 levels recently. There was a rumor(?) that promoters bought a few stocks from open market to make their holding 75%. This could be the reason for the recent rally.
But even at CMP 330, PE <8, stock doesn’t look expensive.
Disc : My views may be biased as I have significant holdings in Wimplast, allocation > 20%, which was accumulated around Rs.200. Not planning to exit/book profit at current level.