STEL Holdings Limited’s (NSE:STEL) Share Price Not Quite Adding Up
STEL Holdings Limited’s (NSE:STEL) price-to-earnings (or “P/E”) ratio of 57x might make it look like a strong sell right now compared to the market in India, where around half of the companies have P/E ratios below 27x and even P/E’s below 15x are quite common. However, the P/E might be quite high for a reason and it requires further investigation to determine if it’s justified.
Earnings have risen firmly for STEL Holdings recently, which is pleasing to see. It might be that many expect the respectable earnings performance to beat most other companies over the coming period, which has increased investors’…
