BSE:514460

Stock Analysis Report

Executive Summary

Oswal Yarns Limited manufactures and trades in knitted clothes in India.


Snowflake Analysis

Excellent balance sheet and good value.

Share Price & News

How has Oswal Yarns's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 514460 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

514460

1.1%

IN Luxury

-0.8%

IN Market


1 Year Return

19.8%

514460

18.4%

IN Luxury

11.1%

IN Market

Return vs Industry: 514460 exceeded the Indian Luxury industry which returned 16.6% over the past year.

Return vs Market: 514460 exceeded the Indian Market which returned 11.1% over the past year.


Shareholder returns

514460IndustryMarket
7 Day0%1.1%-0.8%
30 Day-14.0%3.3%-2.3%
90 Day-6.1%9.6%2.1%
1 Year19.8%19.8%19.2%18.4%13.1%11.1%
3 Year27.3%27.3%54.9%51.5%22.9%16.2%
5 Year181.2%181.2%106.1%99.4%34.9%22.6%

Price Volatility Vs. Market

How volatile is Oswal Yarns's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Oswal Yarns undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 514460 (₹5.09) is trading below our estimate of fair value (₹26)

Significantly Below Fair Value: 514460 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 514460 is good value based on its PE Ratio (-158x) compared to the Luxury industry average (11.1x).

PE vs Market: 514460 is good value based on its PE Ratio (-158x) compared to the Indian market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 514460's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 514460 is overvalued based on its PB Ratio (0.5x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Oswal Yarns forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

19.8%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Oswal Yarns has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Oswal Yarns performed over the past 5 years?

-7.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 514460 has high quality earnings.

Growing Profit Margin: 514460 became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: 514460 has become profitable over the past 5 years, growing earnings by -7% per year.

Accelerating Growth: 514460 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 514460 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Luxury industry (2.5%).


Return on Equity

High ROE: 514460's Return on Equity (1.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Oswal Yarns's financial position?


Financial Position Analysis

Short Term Liabilities: 514460's short term assets (₹39.0M) exceed its short term liabilities (₹6.2M).

Long Term Liabilities: 514460's short term assets (₹39.0M) exceed its long term liabilities (₹618.0K).


Debt to Equity History and Analysis

Debt Level: 514460's debt to equity ratio (4.1%) is considered satisfactory.

Reducing Debt: 514460's debt to equity ratio has reduced from 31.1% to 4.1% over the past 5 years.


Balance Sheet

Inventory Level: 514460 has a high level of physical assets or inventory.

Debt Coverage by Assets: 514460's debt is covered by short term assets (assets are 25.8x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 514460 is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: 514460 is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.5%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 514460's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 514460's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 514460's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 514460's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 514460's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

17.9yrs

Average board tenure


CEO

Bharatt Oswall (54yo)

₹120,000

Compensation

Mr. Bharat Oswall has been an Executive Director at Oswal Yarns Limited since August 1, 2010 and serves as its Managing Director and served as its Director from October 7, 2010 to August 1, 2010. 


CEO Compensation Analysis

Compensation vs Market: Bharatt's total compensation ($USD1.68K) is below average for companies of similar size in the Indian market ($USD50.21K).

Compensation vs Earnings: Bharatt's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Bharatt Oswall
MD & Executive Director0yrs₹120.00k7.98% 1.6m
Tej Oswal
Chairman & MD0yrsno data22.1% 4.5m
Devinder Bir Gill
Non-Executive Independent Director25.3yrsno datano data
Kulwant Dhawan
Non-Executive Non-Independent Director17.9yrsno datano data
Surinder Garg
Non-Executive Independent Director22yrsno datano data
Vama Oswal
Woman Director1.3yrsno datano data

17.9yrs

Average Tenure

67yo

Average Age

Experienced Board: 514460's board of directors are seasoned and experienced ( 17.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Oswal Yarns Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Oswal Yarns Limited
  • Ticker: 514460
  • Exchange: BSE
  • Founded: 1982
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹20.411m
  • Shares outstanding: 4.01m
  • Website: https://www.oylyarns.com

Number of Employees


Location

  • Oswal Yarns Limited
  • Oswal House
  • Link Road
  • Ludhiana
  • Punjab
  • 141003
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
514460BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2008

Biography

Oswal Yarns Limited manufactures and trades in knitted clothes in India. The company was incorporated in 1982 and is based in Ludhiana, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 12:48
End of Day Share Price2020/02/04 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


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.