Hey everyone, welcome back to another video. My name is Harum and today we are going to discuss about Parag Bel just a market cap of around 2,000 cr whose stock price went on a roller coaster ride during the tariff war. During the ride, we saw high candle volumes on the chart catching attention of investors and traders. In this video, we'll take a closer look at its abundance model, financial, technical chart pattern, future growth prospect and challenges. Make sure you stick around till the end for greater picture. Parag milk was established in 1992 engaged in processing, procurement and marketing of liquid milk and a milk product under its brand Gohan, Go, Pride of Cow, Topup, Aar and Slurp. The products sold by company including ghee, cheese, butter, yogurt, curd, ultra high temperature milk and flavored milk. The company has three processing plant each in Manchar, Palamar and Sonipal. This company is a big player in cheese market in India and has a 35% market share in cheese. Apart from that, it is also a market leader in cow ghee under the brand Gohan and has a market share of 20%. In 2017, it became the first company in India to launch made in India B2C whey protein powder under the brand Aar. It is the only company in India that makes fresh paneer under the sale of 75day. It's a cheese plant is the biggest plant with the ability to produce 60 metric tons of raw cheese every day. It also has the largest automated dairy farm in India with over 3,000 holistin freshenian cows. Introduced a concept of farm to home milk. The milk is untouched by human hands and the whole process is fully automated. USD technology is of a European technology requires a minimum human intervention. It is one of the only two facility in Asia with the USD technology. Agilmi dairy farm is a part of parag milk and a fully owned by Parag Milk. It is located in Pune and started in 2005 as a research center to learn and improve how to feed and take care of cows. The main goal is to help farmers to get more milk. Today it is India's most modern dairy farm with 2300 holistine forian cows spread across 35 acres of land. Now discuss future growth prospect of parag milk. Its future plan is to install processing units at a newly acquired Sony facility for pouch milk, cup etc and expand the existing yogurt facility. It intends to have the health and nutrition business as a 7% of its portfolio in the medium-term and drive its profitability and growth for both cheese and away businesses. The company will introduce high potential lectur product as there is a huge opportunity for import substitution. The company plans to purchase 20 lakh liters per day. The company's also plans to increase the market size of GoDan to 1 lakh 23,000 Kores, Gois to 20,000 Kores and away to 2,000 Kores. The company target to expand its distribution footprint by three times and reach 13 to 15 lakh retail touch point by Fi 27. Now discuss challenges. Parak milk has a strong competition from their competitors as these companies are collecting the milk from the same areas. So it is difficult to get more milk. There is also risk that the price of a skim milk can go up and down because of supply and demand. Unpredictable mansoon can make it worse as they affect the quality of kettle feed and the produce of milk. Now we will discuss leadership. Wenitar is the CEO of Parag has having more than 30 years of experience including Britannia and PepsiCo. He holds PGDM from IM Ahmedabad and engineering degree from IIT Kpur. Now I'll discuss financials. The company currently command a market cap of 2,177 cr. Its stock P is around 21 while the industry P stand at 31. Showing that Parag is still trading at a discount compared to peers possibly offering valuation comfort. In terms of returns, the ROC is 10.9% and ROE is 10.5%. Both are decent and so business is generating fair returns on the capital it uses. Now coming to the depth its depth to equity ratio is 0.67 which at first glance may look a bit high but if you look at the history back in 2015 the company was carrying over 500 cr in depth since then it is consistently reduced the debt showing smart financial management and discipline. The December 2024 quarter was record-breaking for Parag. The company posted its highest ever quarterly revenue of 885 cr along with its highest quarterly profit of 36 cr despite paying 26 cr in interest. This clearly reflect a strong operating performance and a better cost control. Even on trailing 12 month basis, the numbers are impressive. TTM sales reached at all-time high of 3,34 cr and the TTM net profit also hit at a 102 cr. Again, it is also highest ever. Now if you talk about the ownership, the stock hands hold a 64% stake showing their confidence in the company. The remaining 36% held by weak hands which means that the price movement can be sharper if the fundamental continues to improve and attract a strong interest. Now discuss technical chart pattern of paragl during the terar period. The stock tedd and made a bottom of rupees 134 marking a support zone that has held well since rally about a year ago in Feb 24. The stock hit a 52- week high of 260 rupees. Earlier the stock was making a beautiful reverse head and solar pattern. However, it went down due to terrifi new guidelines. I can't say much on this. But I can say that its neckline is at rupees 258. As always, please take this video as a study purpose. This is not a buy and sell recommendation. That's it for today's analysis. If you found this video helpful, please hit the like button, share it with your friends, and subscribe to Trading with Harom for more in-depth stock analysis. And please let me know in the comment below which stock you would like me to next analyze. We'll back in next video. Till time happy investing.