Sheela Foam Ltd
NSE:SFL

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Sheela Foam Ltd
NSE:SFL
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Price: 509.05 INR -1.67% Market Closed
Market Cap: ₹55.3B

EV/GP

4.1
Current
55%
Cheaper
vs 3-y average of 9.2

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
4.1
=
Enterprise Value
₹62.1B
/
Gross Profit
₹13.9B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
4.1
=
Enterprise Value
₹62.1B
/
Gross Profit
₹13.9B

Valuation Scenarios

Sheela Foam Ltd is trading below its 3-year average

If EV/GP returns to its 3-Year Average (9.2), the stock would be worth ₹1 127.69 (122% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+145%
Average Upside
96%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 4.1 ₹509.05
0%
3-Year Average 9.2 ₹1 127.69
+122%
5-Year Average 10.1 ₹1 245.49
+145%
Industry Average 6.6 ₹812.45
+60%
Country Average 6.5 ₹806.94
+59%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close

Market Distribution

In line with most companies in India
Percentile
30th
Based on 2 475 companies
30th percentile
4.1
Low
0.2 — 4.1
Typical Range
4.1 — 10.8
High
10.8 —
Distribution Statistics
India
Min 0.2
30th Percentile 4.1
Median 6.5
70th Percentile 10.8
Max 34 392.2

Sheela Foam Ltd
Glance View

Market Cap
55.3B INR
Industry
Consumer products

Sheela Foam Ltd., a luminary in the Indian mattress and foam industry, has carved a niche for itself through innovative business strategies and a keen understanding of consumer needs. Founded in 1971, the company has grown from a modest family business into a powerhouse in the polyurethane foam sector. At the heart of its operations lies a robust manufacturing framework, producing a wide array of foam-based products ranging from mattresses to pillows, cushioning essentials for furniture and specialized foams for industrial use. The flagship brand, Sleepwell, has become synonymous with comfort and quality, making it a household name in India. This success is underpinned by a meticulously structured supply chain and retail network that ensures product availability across urban and rural landscapes, allowing Sheela Foam to capitalize on the ever-expanding middle-class market. Moreover, Sheela Foam's business model emphasizes value innovation, leveraging technology and R&D to deliver cutting-edge products like orthopedically beneficial mattresses and environmentally friendly foams. The company understands that its profitability is intertwined with its ability to adapt and innovate, keeping in step with consumer preferences and economic trends. Its strategy encompasses both direct sales and a widespread dealer network, enabling efficient market penetration. While maintaining a strong domestic footprint, Sheela Foam has also extended its reach internationally, with operations in Australia under the brand Joyce Foam, thus broadening its revenue stream. This dual strategy of national dominance coupled with international foray exemplifies how Sheela Foam Ltd. balances scalability with sustainability, ensuring its position as a resilient leader in the industry.

SFL Intrinsic Value
644.62 INR
Undervaluation 21%
Intrinsic Value
Price ₹509.05
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