1.At a Glance
Once upon a time (1987), Elitecon International was just another tobacco trader. Fast forward to FY25–26, and it’s sitting on a₹45,749 croremarket cap with a share price that’s gone from ₹1.10 to ₹286 like it swallowed a Bitcoin. Now manufacturing and exporting tobacco products across the UAE, Singapore, Hong Kong, and Europe, it’s also plotting to enter everything from chewing tobacco to matchsticks. Oh, and the P/E is657– not a typo, just the market losing its nicotine-laced mind.
2.Introduction
If you thought the tobacco industry was boring, you haven’t met Elitecon’s stock chart. In less than a decade, this micro-entity turned into a market cap monster. It’s the corporate equivalent of a small-town paan shop suddenly opening branches in Dubai, London, and Paris.
The rise isn’t from some revolutionary tech or wellness pivot – it’s still tobacco and related products. What’s changed? Scale, exports, and apparently, investor euphoria that values the company286x its book value. If you’re wondering how this makes sense – it doesn’t. Welcome to Dalal Street.
3.Business Model (WTF Do They Even Do?)
Elitecon’s model is simple:
- Manufacturetobacco-based products.
- Tradedomestically and internationally.
- Exportaggressively to the UAE, Singapore, Hong Kong, UK, and other European markets.
The expansion plan reads like a 1980s general store dream list – chewing tobacco, snuff grinders, match lights, matchboxes, pipes… basically, everything you’d need for an old-school smoke shop, minus the “No Smoking” sign.
4.Financials Overview
- FY25 Revenue:₹549 Cr
- FY25 Net Profit:₹70 Cr (no tax paid due to adjustments)
- FY25 OPM:13% (up
- from 4% in 2016)
- TTM P/E:657 (laughs in irrational exuberance)
- Book Value:₹1.00 per share → CMP/BV = 286x
- Equity Capital:₹160 Cr (massive jump from ₹1 Cr in 2016)
P/E recalculation using Q1 FY26:EPS Q1 = ₹0.45 → Annualised = ₹1.8 → P/E ≈ 158.9 (still absurd, but less moon-bound than the static 657x).
5.Valuation – Fair Value RANGE
| Method | Basis | FV Range (₹) |
|---|---|---|
| P/E Multiple | Sector avg ~25x on EPS ₹1.8 | 45 – 55 |
| EV/EBITDA | Sector avg 15x on EBITDA ₹69Cr | 80 – 100 |
| DCF (10% disc., 12% growth, 10 yrs) | Cash flows | 60 – 85 |
Fair Value Range:₹45 – ₹100This FV range is for educational purposes only and is not investment advice.
6.What’s Cooking – News, Triggers, Drama
- Indonesian Subsidiary– just announced; expansion vibes strong.
- GST Show Cause Notices– totalling ₹409.66 Cr (₹387.43 Cr + ₹22.23 Cr). The party may not be over, but the taxman’s at the door.
- Promoter Stake Drop– from 75% to 59.5% in
