DHANALAXMI ROTO SPINNERS LTD. (DHANROTO) Fair Value & Analysis

Basic Materials · IN · Market cap ₹583M

A solid business, screening 102% undervalued on our models.

What runs behind every stock

26 valuation models 8 families, DCF to NCAV 37 quality factors margins, balance sheet, cashflow, debt 6 AI factors moat, what no ratio measures 2,000+ data points verified, per stock, median

69 individual criteria per stock, every one traceable See the method →

What matters now

• The price is below even our cautious bear case (₹112.30). The market is more pessimistic than our downside scenario.
• Solid quality (59/100) at a price below fair value, the discount is the argument here, not the business quality.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹11.50 – ₹137.73 · fair‑value band ₹112.30 – ₹187.17 · the ₹74.00 price screens below the ₹149.73 fair value. Dashed = 300-day average. As of Aug 13, 2026.

Full chart & analysis →

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Analysis

DHANALAXMI ROTO SPINNERS LTD. (DHANROTO) currently trades at ₹74.00, while our model-based Fair Value estimate is ₹149.73, implying the stock looks roughly 102.3% undervalued today. The Quality Score stands at 59/100 (solid quality), in the Basic Materials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, DHANALAXMI ROTO SPINNERS LTD. generated revenue of ₹2.8B at a net margin of 2.4%. Revenue grew 80.9% year over year. It earns a return on equity of 11.5%. Net debt stands at ₹8.3M. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹112.30 (bear case) to ₹187.17 (bull case); at ₹74.00, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 37% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at 0% fair-value upside, at 102%, DHANROTO screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: DCF Models (₹227.91) versus Economic Profit (₹37.90). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Dhanalaxmi Roto Spinners Limited trades in wood pulp, paper, and wastepaper primarily in India. The company offers wood pulp products, including fluff, bleached hardwood, dissolving, unbleached, bleached softwood, bagasse, reclaimed fluff, bleached chemi-thermomechanical, and off-grade pulp, as well as pulp wrappers for use in melamine, carboxymethyl …

Full company description

Dhanalaxmi Roto Spinners Limited trades in wood pulp, paper, and wastepaper primarily in India. The company offers wood pulp products, including fluff, bleached hardwood, dissolving, unbleached, bleached softwood, bagasse, reclaimed fluff, bleached chemi-thermomechanical, and off-grade pulp, as well as pulp wrappers for use in melamine, carboxymethyl cellulose, microcrystalline cellulose powder, fiber cement, hygiene products, filter paper and insulating paper and boards, and other applications. It provides paper products, such as sack kraft, bag kraft, as well as kraft liner boards; and other paper grades, including wood free, printing/writing, newsprint, and specialty papers. Dhanalaxmi Roto Spinners Limited was founded in 1986 and is based in Hyderabad, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

DHANALAXMI ROTO SPINNERS LTD. reported revenue of ₹2.8B in FY2026 versus ₹1.2B in FY2022, a compound +23.3%/yr. Reported net income was ₹68.7M in FY2026, compounding −1.6%/yr from FY2022.

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Peer Group

Paper & Paper Products · 113 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Paper & Paper Products median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.