Garnet International Limited, together with its subsidiary, Sukartik Clothing Private Limited, manufactures and sells garments in India and internationally.
The last earnings update was 7 days ago.
Discounted Cash Flow Calculation for BSE:512493 using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
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:512493 DCF 1st Stage: Next 5 year cash flow forecast
The current share price of
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
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
is considered below, and whether this is a fair price.
Price based on past earnings
Garnet International's earnings available for a low price, and how does
this compare to other companies in the same industry?
Garnet International's earnings are expected to grow significantly at over 20% yearly.
Unable to determine if Garnet International is high growth as no revenue estimate data is available.
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.
Garnet International's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Garnet International's finances.
The net worth of a company is the difference between its assets and liabilities.
Garnet International is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Garnet International's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Garnet International'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
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 3.5x debt.
Nearly all companies have debt. Debt in itself isn’t
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.
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.
TENURE AS CEO
Mr. Ramakant M. Gaggar has been Managing Director and Executive Director of Garnet International Limited since June 28, 2018 and September 24, 2007 respectively. Mr. Gaggar served as the Managing Director and Compliance Officer of Jayavant Products Limited. Mr. Gaggar served as Compliance Officer of Garnet International Limited. He serves as a Director of Evergreen Infotech and Datacom Private Limited. He serves as Non-Executive and Independent Director at Rajlaxmi Industries Limited. He served as Non Executive Independent Director at Rajlaxmi Industries Limited from April 1, 2010 to November 14, 2013. Mr. Gaggar served as a Director of Jayavant Products Limited. until July 16, 2007.
Insufficient data for Ramakant to compare compensation growth.
Ramakant's remuneration is lower than average for companies of similar size in India.
Management Team Tenure
Average tenure of the
management team in years:
The average tenure for the Garnet International management team is less than 2 years, this suggests a new team.
MD & Executive Director
Chief Financial Officer
Company Secretary & Compliance Officer
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Garnet International board of directors is about average.
Garnet International Limited, together with its subsidiary, Sukartik Clothing Private Limited, manufactures and sells garments in India and internationally. The company operates through Textile, and Shares and Securities segments. It seamless sportswear, lounge wear, inner wear, and compression wear, as well as knitted fabrics. The company also trades and invests in shares and securities. Garnet International Limited was incorporated in 1983 and is based in Mumbai, India.
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