Epl ltd Long on monthly timeframe

EPL Ltd., formerly known as Essel Propack Ltd., is a leading global manufacturer of laminated plastic tubes, serving industries such as pharmaceuticals, cosmetics, and food. Here's a detailed analysis of EPL Ltd.'s stock performance on a monthly timeframe:

**Stock Performance:**

- **Current Price:** As of February 14, 2025, EPL Ltd.'s share price is ₹251.92.

- **Monthly Return:** Over the past month, the stock has appreciated by 5.03%.

- **52-Week Range:** The stock has traded between ₹169.85 and ₹289.70 over the past year, indicating significant volatility.

**Technical Analysis:**

- **Moving Averages:** The stock is currently trading above its short-term moving average, suggesting a bullish trend. However, the long-term moving average remains above the short-term average, indicating a general sell signal.

- **Stochastic RSI:** The Stochastic RSI indicator is in a neutral zone, with readings between 55 and 80 indicating a bullish condition.

**Valuation Metrics:**

- **Price-to-Earnings (P/E) Ratio:** The P/E ratio stands at 30.07, suggesting the stock is trading at a premium compared to the industry average.

- **Price-to-Book (P/B) Ratio:** The P/B ratio is 3.75, indicating the stock is valued at approximately 3.75 times its book value.

- **Dividend Yield:** EPL Ltd. offers a dividend yield of 1.79%, reflecting a commitment to returning value to shareholders.

**Analyst Insights:**

- **Price Target:** Analysts have set a price target of ₹316 for EPL Ltd., indicating a potential upside of approximately 25% from the current price.

- **Analyst Ratings:** The stock holds a "Buy" rating from analysts, reflecting positive sentiment towards its future prospects.

**Recent Developments:**

- **Earnings Growth:** In the quarter ending September 2024, EPL Ltd. reported a net profit of ₹87 crore, marking a 72.28% increase compared to the same period last year.

- **Dividend Declaration:** The company declared a dividend of ₹2.50 per share in November 2024, translating to a dividend yield of 1.95%.

**Conclusion:**

EPL Ltd. has demonstrated strong financial performance, with significant earnings growth and a commitment to shareholder returns through dividends. The stock is trading at a premium valuation, supported by positive analyst ratings and a favorable price target. Investors should consider these factors when evaluating EPL Ltd. as a potential investment.