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Arvind

BSE:500101
Snowflake Description

6 star dividend payer and undervalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
500101
BSE
₹19B
Market Cap
  1. Home
  2. IN
  3. Consumer Durables
Company description

Arvind Limited, together with its subsidiaries, manufactures, supplies, and exports textiles worldwide. The last earnings update was 16 days ago. More info.


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  • Arvind has significant price volatility in the past 3 months.
500101 Share Price and Events
7 Day Returns
-3.5%
BSE:500101
0.3%
IN Luxury
1%
IN Market
1 Year Returns
-81.7%
BSE:500101
-8.7%
IN Luxury
-8.2%
IN Market
500101 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Arvind (500101) -3.5% -16.4% -76.6% -81.7% -70.6% -51.9%
IN Luxury 0.3% -0.2% -2.3% -8.7% 55.9% 186.4%
IN Market 1% -2.2% -1.2% -8.2% 46.7% 78.8%
1 Year Return vs Industry and Market
  • 500101 underperformed the Luxury industry which returned -8.7% over the past year.
  • 500101 underperformed the Market in India which returned -8.2% over the past year.
Price Volatility
500101
Industry
5yr Volatility vs Market

Value

 Is Arvind undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Arvind to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our calculation method for this is changing soon.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Arvind.

BSE:500101 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 10 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 16.2%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BSE:500101
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 7.5%
Luxury Unlevered Beta Simply Wall St/ S&P Global 0.57
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.573 (1 + (1- 35%) (157.71%))
1.161
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.16
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (1.161 * 7.45%)
16.2%

Discounted Cash Flow Calculation for BSE:500101 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Arvind is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

BSE:500101 DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (INR, Millions) 2,433.00 4,122.67 4,719.00 5,217.81 5,769.35
Source Analyst x1 Analyst x6 Analyst x1 Est @ 10.57% Est @ 10.57%
Present Value
Discounted (@ 16.2%)
2,093.86 3,053.43 3,007.90 2,862.25 2,723.64
Present value of next 5 years cash flows ₹13,741.07
BSE:500101 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= ₹5,769.35 × (1 + 7.55%) ÷ (16.2% – 7.55%)
₹71,757.21
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= ₹71,757.21 ÷ (1 + 16.2%)5
₹33,875.72
BSE:500101 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= ₹13,741.07 + ₹33,875.72
₹47,616.79
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹47,616.79 / 258.62
₹184.12
BSE:500101 Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹184.12
Current discount Discount to share price of ₹75.00
= -1 x (₹75.00 - ₹184.12) / ₹184.12
59.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Arvind is available for.
Intrinsic value
>50%
Share price is ₹75 vs Future cash flow value of ₹184.12
Current Discount Checks
For Arvind to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Arvind's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Arvind's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Arvind's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Arvind's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:500101 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in INR ₹11.08
BSE:500101 Share Price ** BSE (2019-02-22) in INR ₹75
India Luxury Industry PE Ratio Median Figure of 236 Publicly-Listed Luxury Companies 11.69x
India Market PE Ratio Median Figure of 2,709 Publicly-Listed Companies 15.49x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Arvind.

BSE:500101 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:500101 Share Price ÷ EPS (both in INR)

= 75 ÷ 11.08

6.77x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Arvind is good value based on earnings compared to the IN Luxury industry average.
  • Arvind is good value based on earnings compared to the India market.
Price based on expected Growth
Does Arvind's expected growth come at a high price?
Raw Data
BSE:500101 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 6.77x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts
29%per year
India Luxury Industry PEG Ratio Median Figure of 27 Publicly-Listed Luxury Companies 0.99x
India Market PEG Ratio Median Figure of 607 Publicly-Listed Companies 1.15x

*Line of best fit is calculated by linear regression .

BSE:500101 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 6.77x ÷ 29%

0.23x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Arvind is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Arvind's assets?
Raw Data
BSE:500101 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in INR ₹103.78
BSE:500101 Share Price * BSE (2019-02-22) in INR ₹75
India Luxury Industry PB Ratio Median Figure of 306 Publicly-Listed Luxury Companies 0.71x
India Market PB Ratio Median Figure of 3,588 Publicly-Listed Companies 1.05x
BSE:500101 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:500101 Share Price ÷ Book Value per Share (both in INR)

= 75 ÷ 103.78

0.72x

* Primary Listing of Arvind.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Arvind is overvalued based on assets compared to the IN Luxury industry average.
X
Value checks
We assess Arvind's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Luxury industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Luxury industry average (and greater than 0)? (1 check)
  5. Arvind has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Arvind expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
29%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Arvind expected to grow at an attractive rate?
  • Arvind's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Arvind's earnings growth is expected to exceed the India market average.
  • Arvind's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
BSE:500101 Future Growth Rates Data Sources
Data Point Source Value (per year)
BSE:500101 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts 29%
BSE:500101 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts 13.8%
India Luxury Industry Earnings Growth Rate Market Cap Weighted Average 18.4%
India Luxury Industry Revenue Growth Rate Market Cap Weighted Average 15%
India Market Earnings Growth Rate Market Cap Weighted Average 18.6%
India Market Revenue Growth Rate Market Cap Weighted Average 11.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BSE:500101 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:500101 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 153,895 10,719 6,441 2
2020-03-31 140,204 8,968 5,561 10
2019-03-31 120,454 8,617 4,080 1
BSE:500101 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-12-31 111,532 2,869
2018-09-30 111,640 3,153
2018-06-30 110,880 3,162
2018-03-31 108,213 4,285 3,095
2017-12-31 100,874 2,931
2017-09-30 97,171 2,898
2017-06-30 94,197 2,997
2017-03-31 92,213 5,511 3,146
2016-12-31 94,434 3,671
2016-09-30 91,417 3,819
2016-06-30 87,677 3,809
2016-03-31 78,960 6,503 3,142

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Arvind's earnings are expected to grow significantly at over 20% yearly.
  • Arvind's revenue is expected to grow by 13.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BSE:500101 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below

All data from Arvind Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:500101 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 24.95 25.50 24.40 2.00
2020-03-31 21.41 25.97 15.53 8.00
2019-03-31 15.00 15.00 15.00 1.00
BSE:500101 Past Financials Data
Date (Data in INR Millions) EPS *
2018-12-31 11.08
2018-09-30 12.19
2018-06-30 12.24
2018-03-31 11.97
2017-12-31 11.33
2017-09-30 11.23
2017-06-30 11.61
2017-03-31 12.18
2016-12-31 14.23
2016-09-30 14.80
2016-06-30 14.74
2016-03-31 12.17

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Arvind is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Arvind's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Arvind has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Arvind performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Arvind's growth in the last year to its industry (Luxury).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Arvind's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Arvind's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Arvind's 1-year earnings growth is negative, it can't be compared to the IN Luxury industry average.
Earnings and Revenue History
Arvind's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Arvind Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:500101 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 111,532.40 2,868.50 18,473.60
2018-09-30 111,639.90 3,152.60 18,419.30
2018-06-30 110,880.20 3,162.40 18,530.80
2018-03-31 108,212.70 3,094.70 18,202.20
2017-12-31 100,873.50 2,931.30 17,422.70
2017-09-30 97,170.60 2,897.50 17,097.80
2017-06-30 94,197.30 2,996.80 16,648.30
2017-03-31 92,212.70 3,146.30 16,177.80
2016-12-31 94,433.90 3,670.70 15,533.30
2016-09-30 91,417.10 3,819.10 14,833.40
2016-06-30 87,677.10 3,808.70 14,237.80
2016-03-31 78,959.50 3,141.90 13,395.70
2015-12-31 81,713.60 3,073.70 16,255.20
2015-09-30 80,875.80 3,131.70 16,092.00
2015-06-30 79,557.80 3,154.00 15,816.00
2015-03-31 78,514.00 3,478.70 12,129.10
2014-12-31 76,119.40 3,869.20 13,847.30
2014-09-30 73,111.70 3,799.90 13,495.50
2014-06-30 71,152.30 3,767.80 13,204.70
2014-03-31 68,621.20 3,585.20 12,952.30
2013-12-31 64,240.80 3,356.30 11,337.20
2013-09-30 60,322.40 3,088.30 11,070.70
2013-06-30 56,167.20 2,835.60 10,747.40
2013-03-31 52,925.20 2,484.10 10,380.00
2012-12-31 51,242.70 4,304.70 9,288.50
2012-09-30 50,190.10 4,098.00 8,986.80
2012-06-30 49,219.40 4,072.90 8,673.00
2012-03-31 49,251.20 4,358.70 8,471.10

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Arvind has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Arvind used its assets more efficiently than the IN Luxury industry average last year based on Return on Assets.
  • Arvind's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Arvind's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Luxury industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Arvind has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Arvind's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Arvind's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Arvind is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Arvind's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Arvind's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Arvind Company Filings, last reported 1 month ago.

BSE:500101 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 27,660.00 30,590.00
2018-09-30 40,971.40 27,925.30 1,595.20
2018-06-30 40,881.30 33,285.50 423.10
2018-03-31 40,881.30 33,285.50 423.10
2017-12-31 39,034.50 33,219.40 1,676.40
2017-09-30 39,034.50 33,219.40 1,676.40
2017-06-30 37,196.00 29,722.70 225.50
2017-03-31 37,184.10 29,326.60 225.50
2016-12-31 28,849.30 32,599.50 3,460.40
2016-09-30 28,849.30 32,599.50 3,460.40
2016-06-30 29,646.00 35,568.20 686.60
2016-03-31 27,020.10 38,305.50 363.50
2015-12-31 27,869.00 33,679.90 927.90
2015-09-30 27,869.00 33,679.90 927.90
2015-06-30 27,586.40 34,128.10 847.40
2015-03-31 27,586.40 34,128.10 847.40
2014-12-31 26,187.90 31,132.20 893.70
2014-09-30 26,187.90 31,132.20 893.70
2014-06-30 26,072.20 31,083.50 1,676.10
2014-03-31 26,072.20 31,083.50 1,676.10
2013-12-31 23,869.90 28,227.20 781.00
2013-09-30 23,869.90 28,227.20 781.00
2013-06-30 22,647.80 25,840.90 1,965.60
2013-03-31 22,647.80 25,840.90 1,965.60
2012-12-31 21,748.10 22,576.20 1,008.60
2012-09-30 21,748.10 22,576.20 1,008.60
2012-06-30 20,367.30 21,300.90 708.50
2012-03-31 20,367.30 21,300.90 708.50
  • Arvind's level of debt (110.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (118.3% vs 110.6% today).
  • Debt is not well covered by operating cash flow (14%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.6x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Arvind's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Arvind has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Arvind's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.2%
Current annual income from Arvind dividends. Estimated to be 4.92% next year.
If you bought ₹2,000 of Arvind shares you are expected to receive ₹64 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Arvind's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.55%).
  • Arvind's dividend is above the markets top 25% of dividend payers in India (2.04%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BSE:500101 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
India Luxury Industry Average Dividend Yield Market Cap Weighted Average of 109 Stocks 0.7%
India Market Average Dividend Yield Market Cap Weighted Average of 1397 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.6%
India Top 25% Dividend Yield 75th Percentile 2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BSE:500101 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 4.03 3.00
2020-03-31 3.93 8.00
2019-03-31 2.70 3.00
BSE:500101 Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2018-07-31 2.400 1.537
2018-05-09 2.400 0.594
2017-07-05 2.400 0.594
2017-05-11 2.400 0.635
2016-07-05 2.400 0.674
2016-05-12 2.400 0.765
2015-07-02 2.550 0.883
2015-05-14 2.550 1.046
2014-07-03 2.350 0.861
2014-05-15 2.350 1.143
2013-08-21 1.650 1.345
2012-10-18 1.000 1.209
2009-02-24 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Arvind's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (6.1x coverage).
X
Income/ dividend checks
We assess Arvind's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Arvind afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Arvind has a total score of 6/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Arvind's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Sanjaybhai Lalbhai
COMPENSATION ₹69,890,221
AGE 64
CEO Bio

Mr. Sanjay S. Lalbhai has been an Executive Chairman of Arvind Limited since September 28, 2007 and serves as its Managing Director. Mr. Lalbhai is the Founder of Amplus Capital Advisors Pvt. Ltd. He serves as the Chairman of Arvind Lalbhai Group. He has been a Director of Arvind Lifestyle Brands Limited since September 24, 2010 and Aakar Foundationwear Limited since October 31, 2009. He serves as a Director of Amol Dicalite Limited. He serves as the President of Ahmedabad Education Society and Ahmedabad University. He has been an Independent Non-Executive Director at Adani Ports and Special Economic Zone Limited since December 24, 2012. He served as an Independent Non Executive Director at Torrent Pharmaceuticals Ltd. from January 23, 2003 to July 26, 2013. He serves as the Chairman of Council of Administration of Ahmedabad Textile Industry’s Research Association and a Member of the Council of Management of Physical Research Laboratory. He serves as the Chairman of Centre for Environmental Planning and Technology. Mr. Lalbhai is a Member on the Board of Governors of National Institute of Fashion Technology. Mr. Lalbhai holds a Bachelor's Degree in Science from Gujarat University and a Master's Degree in business management from the Jamnalal Bajaj Institute of Management Studies, Mumbai.

CEO Compensation
  • Sanjaybhai's compensation has been consistent with company performance over the past year.
  • Sanjaybhai's remuneration is higher than average for companies of similar size in India.
Management Team

Sanjaybhai Lalbhai

TITLE
Chairman & MD
COMPENSATION
₹70M
AGE
64

Jayesh Shah

TITLE
CFO & Whole Time Director
COMPENSATION
₹47M
AGE
58

Ramnik Bhimani

TITLE
Compliance Officer & Company Secretary
COMPENSATION
₹3M

Punit Lalbhai

TITLE
Executive Director
COMPENSATION
₹37M
AGE
36

Kulin Lalbhai

TITLE
Executive Director
COMPENSATION
₹37M
AGE
33

Abhishek Bansal

TITLE
Head of Sustainability & BR Head

Samir Agrawal

TITLE
Chief Strategy Officer

Pragnesh Shah

TITLE
Chief Executive Officer of Cotton & Agri Business
TENURE
6.3 yrs
Board of Directors Tenure

Average tenure and age of the Arvind board of directors in years:

5.7
Average Tenure
56
Average Age
  • The tenure for the Arvind board of directors is about average.
Board of Directors

Jayesh Shah

TITLE
CFO & Whole Time Director
COMPENSATION
₹47M
AGE
58
TENURE
16.3 yrs

Punit Lalbhai

TITLE
Executive Director
COMPENSATION
₹37M
AGE
36
TENURE
6.6 yrs

Kulin Lalbhai

TITLE
Executive Director
COMPENSATION
₹37M
AGE
33
TENURE
6.6 yrs

Bakul Dholakia

TITLE
Independent Director
COMPENSATION
₹830K
AGE
69
TENURE
2.6 yrs

Sanjaybhai Lalbhai

TITLE
Chairman & MD
COMPENSATION
₹70M
AGE
64
TENURE
11.4 yrs

Dileep Choksi

TITLE
Independent Director
COMPENSATION
₹820K
TENURE
4.8 yrs

Renuka Ramnath

TITLE
Independent Director
COMPENSATION
₹690K
AGE
57
TENURE
8.3 yrs

Vallabh Bhanshali

TITLE
Independent Director
COMPENSATION
₹600K
TENURE
4.8 yrs

Samir Mehta

TITLE
Independent Director
COMPENSATION
₹610K
AGE
53
TENURE
4.6 yrs

Nilesh Shah

TITLE
Independent Director
COMPENSATION
₹830K
AGE
55
TENURE
3.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Arvind insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
06. Dec 18 Buy Aura Business Ventures Llp Company 03. Dec 18 04. Dec 18 125,000 ₹102.54 ₹12,607,262
30. Nov 18 Buy Aura Business Ventures Llp Company 28. Nov 18 29. Nov 18 167,500 ₹104.98 ₹17,331,678
29. Nov 18 Buy Rupa Shah Individual 27. Nov 18 28. Nov 18 37,600 ₹175.31 ₹6,591,604
29. Nov 18 Buy Darshil Shah Individual 27. Nov 18 28. Nov 18 37,600 ₹175.36 ₹6,593,462
28. Nov 18 Buy Aayojan Resources Pvt Ltd Company 26. Nov 18 26. Nov 18 5,495 ₹308.90 ₹1,697,432
03. Oct 18 Buy Rupa Shah Individual 28. Sep 18 28. Sep 18 10,000 ₹316.76 ₹3,167,601
03. Oct 18 Buy Adhinami Investments Pvt Ltd Company 28. Sep 18 28. Sep 18 4,500 ₹326.04 ₹1,467,201
27. Sep 18 Buy Rupa Shah Individual 25. Sep 18 26. Sep 18 20,000 ₹345.55 ₹6,910,971
27. Sep 18 Buy Darshil Shah Individual 25. Sep 18 26. Sep 18 20,000 ₹345.56 ₹6,911,287
27. Sep 18 Buy Adhinami Investments Pvt Ltd Company 25. Sep 18 26. Sep 18 4,500 ₹344.97 ₹1,552,350
24. Sep 18 Buy Adhinami Investments Pvt Ltd Company 21. Sep 18 21. Sep 18 1,000 ₹360.00 ₹360,000
10. Sep 18 Buy Adhinami Investments Pvt Ltd Company 05. Sep 18 05. Sep 18 2,500 ₹377.61 ₹944,020
X
Management checks
We assess Arvind's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Arvind has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Arvind Limited (BOM:500101): What Is Driving Earnings Margins?

With analysts forecasting … Arvind Limited (BOM:500101) to … earnings growth of 40.95%

Simply Wall St -

Company Info

Map
Description

Arvind Limited, together with its subsidiaries, manufactures, supplies, and exports textiles worldwide. It operates through Textiles, Branded Apparels, Arvind Internet, Engineering, and Other segments. It offers denim; woven and knit fabrics, such as jerseys, piques, ribs and interlocks, yarn-dyed, auto stripers, and jacquards and stretches, as well as athleisure and sportswear products; and long cloths, dress materials, and blouse materials using cotton, polyester viscose blend, polyester cotton blend, etc. The company also provides critical engineering process equipment, including heat exchangers, pressure vessels, reactors, columns/towers, and centrifuges for oil and gas, petrochemicals, and fertilizers and pharmaceuticals sectors; and a range of advanced materials, such as fire resistant fabrics and garments, work wears, filtration products, conveyor belt fabrics, coated products, and glass fabrics and structural composites. In addition, it operates approximately 1200 specialty retail stores that offer garments under various brand names, such as Flying Machine, Tommy Hilfiger, Arrow, US Polo, Izod, Elle, Cherokee, Mainstream, Excalibur, etc. Further, it supplies water and waste water treatment plants for industrial process, and waste water and zero liquid discharge solutions. Additionally, the company is involved in the e-commerce, technical textiles, agriculture produce, telecommunication, and other businesses, as well as offers EPABX and one to many radio solutions. Arvind Limited was founded in 1931 and is headquartered in Ahmedabad, India.

Details
Name: Arvind Limited
500101
Exchange: BSE
Founded: 1931
₹19,396,280,175
258,617,069
Website: http://www.arvind.com
Address: Arvind Limited
Naroda Road,
Ahmedabad,
Gujarat, 380025,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 500101 Equity Shares Mumbai Stock Exchange IN INR 11. Jun 1998
NSEI ARVIND Equity Shares National Stock Exchange of India IN INR 11. Jun 1998
Number of employees
Current staff
Staff numbers
0
Arvind employees.
Industry
Textiles
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/23 12:41
End of day share price update: 2019/02/22 00:00
Last estimates confirmation: 2019/02/08
Last earnings filing: 2019/02/07
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.