Sheela Foam - An exciting branded play

The shift from unorganized to organized sectors, driven by factors like demonetization and GST, is a significant theme in Indian consumer markets. This benefits established brands.

Long-term bullish for Sheela Foam, but the IPO is old news. Look for current financial results and future growth catalysts.

For Indian markets, this story mainly matters for SHEELAFOAM and the pharma, consumer durables pocket. The current signal is bullish, so traders should look for follow-through in price, volume, and sector breadth instead of reacting to the headline alone.

Watch whether the next market session confirms the setup described here: The article highlights strong fundamentals, ethical promoters, and significant growth potential due to market shift from unorganized to organized sector. Also track volume confirmation, sector participation, and whether the move holds beyond the first reaction.

• •Author applied with full force in Sheela Foam IPO.
• •Highlights ethical promoters, strong reputation, and well-educated leadership.
• •Identifies huge opportunity size due to 70% unorganized market share.
• •Mentions organized players growing at 11-13% vs 6-8% for unorganized.
• •Notes negative working capital, reasonable PE of 25-27 for FY17, almost zero debt, asset turnover of 5.2, and receivable days of 28.