Pioneer Embroideries Limited, together with its subsidiaries, manufactures and sells embroideries, torchon/bobbin laces, raschel laces, and other garment accessories in India.
The last earnings update was 261 days ago.
Discounted Cash Flow Calculation for BSE:514300 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 try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
BSE:514300 DCF 1st Stage: Next 10 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
Pioneer Embroideries's earnings available for a low price, and how does
this compare to other companies in the same industry?
Pioneer Embroideries's earnings are expected to grow significantly at over 20% yearly.
Unable to determine if Pioneer Embroideries 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.
Pioneer Embroideries'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
Pioneer Embroideries's finances.
The net worth of a company is the difference between its assets and liabilities.
Pioneer Embroideries is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Pioneer Embroideries's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Pioneer Embroideries'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 1.4x 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. Harsh Vardhan Bassi has been the Managing Director of Pioneer Embroideries Limited since May 23, 2014. Mr. Bassi served as a Compliance Officer of Pioneer Embroideries Limited until September 2008. Mr. Bassi has over ten years of experience in marketing of textiles. He served in various positions and functional areas like manufacturing and marketing embroidered fabrics and laces of R. K Hanna Group of Companies for around nine years. Mr. Bassi has been an Executive Director of Pioneer Embroideries Limited since October 29, 2004. He serves as a Director of Pioneer Realty Ltd. He serves on the Board of Hakoba Lifestyle Limited. Mr. Bassi is a graduate in Commerce Stream from Punjab University.
Harsh's compensation has increased whilst company is loss making.
Harsh's remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Pioneer Embroideries management team is about average.
MD & Executive Director
Compliance Officer & Company Secretary
Chief Financial Officer
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Pioneer Embroideries board of directors is about average.
Pioneer Embroideries Limited, together with its subsidiaries, manufactures and sells embroideries, torchon/bobbin laces, raschel laces, and other garment accessories in India. Its products include dope dyed polyester yarns; embroidered laces-fabric and guipure, and embroidered dress materials; braided laces; embroidered fabrics, allover fabrics, and laces; synthetic and cotton fabrics, guipure and fabric laces, and allover embroidered fabrics; and apparel. The company also provides elastics, flatbed knitted laces, and motifs/collars/necks; and engages in the retail of embroidered clothing under the Hakoba brand. It also exports its products to North America, Latin America, Europe, the Middle East, and Africa. Pioneer Embroideries Limited was founded in 1991 and is based in Mumbai, India.
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