Author: Prashant Marathe
Date Published: May 21, 2025
🧾 At a Glance
- Total Income (Q4): ₹725.37 Cr
- Net Profit (Q4): ₹24.18 Cr
- EPS (Q4): ₹2.19
- CMP: ₹296
- EduFair Value: ₹330–₹360
👉 Verdict: Prince isn’t flashy, but it’s flowing in the right direction.
🛠️ About the Company
Prince Pipes & Fittings Ltd is India’s leading manufacturer of:
- uPVC, CPVC, HDPE pipes
- Plumbing + sanitation systems
- Used in housing, agri, and infrastructure
Think of them as the guys making the arteries of India’s water system.
📊 Quarterly Trend (FY25)
| Quarter | Revenue (₹ Cr) | PAT (₹ Cr) | EPS (₹) |
|---|---|---|---|
| Q1 | 607.04 | 24.67 | 2.23 |
| Q2 | 626.00 | 14.71 | 1.33 |
| Q3 | 579.25 | -20.42 | -1.85 |
| Q4 | 725.37 | 24.18 | 2.19 |
FY25 was a rollercoaster:
- Strong Q1 and Q4
- Weak Q3 due to raw material price volatility (PVC resin costs)
But Q4 recovery confirms business is intact.
🧠 EduInvesting Take
“This stock won’t flood your returns. But it won’t leak value either.”
✅ Debt-light
✅ Strong brand
✅ Nationwide distribution
❌ Cyclical EPS
❌ Q3 shock still fresh in investor memory
Prince Pipes is a sleepy compounder with occasional mood swings.
🧮 EduFair Value Estimate
- EPS (Q4): ₹2.19 ⇒ Annual EPS ≈ ₹8–9
- Assign sector P/E = 40x (branded plastic, housing theme)
✅ EduFair Value = ₹330–₹360
CMP = ₹296 → 10–20% undervalued
⚠️ Risks
- 🔺 Raw material cost fluctuations (PVC prices)
- 🧾 Competitive sector (Finolex, Astral, Supreme)
- 📈 Price-led growth more than volume
- 🚧 Capex cycle delays = margin suppression
💸 CMP vs Fair Value
| Metric | Value |
|---|---|
| CMP | ₹296 |
| Fair Value | ₹330–₹360 |
| EPS (TTM est.) | ₹8.50 |
| Upside | ~12–22% |
🏁 EduFinal Word
Prince isn’t the next Astral — yet.
But it’s:
- Well-managed ✅
- Growing revenue ✅
- Rebounding from Q3 pain ✅
Edu Verdict:
Add on dips. Perfect for SIP investors who like compounding with occasional drama.
