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
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Sri Nachammai Cotton Mills. This is due to cash flow or dividend data being
unavailable. The share price is
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
Sri Nachammai Cotton Mills's
is considered below, and whether this is a fair price.
Price based on past earnings
Sri Nachammai Cotton Mills's earnings available for a low price, and how does
this compare to other companies in the same industry?
Sri Nachammai Cotton Mills's earnings are expected to grow significantly at over 20% yearly.
Unable to determine if Sri Nachammai Cotton Mills 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.
Sri Nachammai Cotton Mills'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.
Sri Nachammai Cotton Mills
has a total score of
2/6, 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
Sri Nachammai Cotton Mills's finances.
The net worth of a company is the difference between its assets and liabilities.
Sri Nachammai Cotton Mills is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Sri Nachammai Cotton Mills's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Sri Nachammai Cotton Mills'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 1.3x 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.
Mrs. P. Umayal, B.Sc., has been Joint Managing Director of Sri Nachammai Cotton Mills Limited since December 19, 2007 and its Chairman since November 18, 2015 also serves as its Executive Director. Mrs. Umayal has rich experience in cotton selection, procurement and purchase and overall administration of Sri Nachammai Cotton Mills Limited.
P.'s compensation has been consistent with company performance over the past year.
P.'s remuneration is about average for companies of similar size in India.
Chairman & Joint MD
MD & Executive Director
Chief Financial Officer
Compliance Officer & Company Secretary
Manager of Marketing
General Manager of Personnel
Chief General Manager
Board of Directors Tenure
Average tenure and age of the
Sri Nachammai Cotton Mills
board of directors in years:
The tenure for the Sri Nachammai Cotton Mills board of directors is about average.
Undervalued companies, such as Sri Nachammai Cotton Mills and Bits, trade at a price less than their true values. … The difference between value and price signals a potential opportunity to buy 521234 shares at a discount. … The difference between value and price signals a potential opportunity to buy 517556 shares at a discount.
Sri Nachammai Cotton Mills Limited engages in the textiles business in India. It manufactures and sells combed, carded, and compact cotton hosiery and hank yarns that are used by manufacturers to convert into fabric or garments for dyeing and export. The company was incorporated in 1980 and is based in Salem, India.
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