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Kitex Garments

BSE:521248
Snowflake Description

Flawless balance sheet average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
521248
BSE
₹7B
Market Cap
  1. Home
  2. IN
  3. Consumer Durables
Company description

Kitex Garments Limited manufactures fabric and readymade garments in India. The last earnings update was 268 days ago. More info.


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521248 Share Price and Events
7 Day Returns
-3.6%
BSE:521248
-0.6%
IN Luxury
-1.9%
IN Market
1 Year Returns
-58.9%
BSE:521248
-4%
IN Luxury
-2.8%
IN Market
521248 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Kitex Garments (521248) -3.6% -1.1% -4.9% -58.9% -69.6% 13.4%
IN Luxury -0.6% 1.4% 8.8% -4% 47.5% 162.4%
IN Market -1.9% 1.2% 5.1% -2.8% 38.3% 71%
1 Year Return vs Industry and Market
  • 521248 underperformed the Luxury industry which returned -4% over the past year.
  • 521248 underperformed the Market in India which returned -2.8% over the past year.
Price Volatility
521248
Industry
5yr Volatility vs Market
Related Companies

521248 Value

 Is Kitex Garments 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 Kitex Garments 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

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

BSE:521248 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 14.6%
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:521248
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Luxury Unlevered Beta Simply Wall St/ S&P Global 0.73
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.73 (1 + (1- 35%) (1.19%))
0.823
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.82
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.823 * 8.6%)
14.63%

Discounted Cash Flow Calculation for BSE:521248 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Kitex Garments 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:521248 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 14.63%)
2019 7.11 Est @ -81.11% 6.20
2020 3.23 Est @ -54.51% 2.46
2021 2.07 Est @ -35.9% 1.38
2022 1.60 Est @ -22.86% 0.93
2023 1.38 Est @ -13.74% 0.70
2024 1.28 Est @ -7.35% 0.56
2025 1.24 Est @ -2.88% 0.48
2026 1.24 Est @ 0.25% 0.42
2027 1.27 Est @ 2.44% 0.37
2028 1.33 Est @ 3.97% 0.34
Present value of next 10 years cash flows ₹13.83
BSE:521248 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹1.33 × (1 + 7.55%) ÷ (14.63% – 7.55%)
₹20.14
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹20.14 ÷ (1 + 14.63%)10
₹5.14
BSE:521248 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹13.83 + ₹5.14
₹18.98
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹18.98 / 66.50
₹0.29
BSE:521248 Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹0.29
Current discount Discount to share price of ₹100.00
= -1 x (₹100.00 - ₹0.29) / ₹0.29
-34939.7%

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

  • The current share price of Kitex Garments is above its future cash flow value.
Often investors are willing to pay a premium 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 Kitex Garments's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Kitex Garments's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:521248 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-03-31) in INR ₹9.56
BSE:521248 Share Price ** BSE (2019-04-24) in INR ₹100
India Luxury Industry PE Ratio Median Figure of 240 Publicly-Listed Luxury Companies 12.23x
India Market PE Ratio Median Figure of 2,739 Publicly-Listed Companies 16.02x

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

** Primary Listing of Kitex Garments.

BSE:521248 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:521248 Share Price ÷ EPS (both in INR)

= 100 ÷ 9.56

10.46x

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

  • Kitex Garments is good value based on earnings compared to the IN Luxury industry average.
  • Kitex Garments is good value based on earnings compared to the India market.
Price based on expected Growth
Does Kitex Garments's expected growth come at a high price?
Raw Data
BSE:521248 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.46x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
India Luxury Industry PEG Ratio Median Figure of 25 Publicly-Listed Luxury Companies 1.48x
India Market PEG Ratio Median Figure of 586 Publicly-Listed Companies 1.32x

*Line of best fit is calculated by linear regression .

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

  • Unable to calculate PEG ratio for Kitex Garments, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Kitex Garments's assets?
Raw Data
BSE:521248 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-03-31) in INR ₹74.99
BSE:521248 Share Price * BSE (2019-04-24) in INR ₹100
India Luxury Industry PB Ratio Median Figure of 311 Publicly-Listed Luxury Companies 0.75x
India Market PB Ratio Median Figure of 3,630 Publicly-Listed Companies 1.09x
BSE:521248 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:521248 Share Price ÷ Book Value per Share (both in INR)

= 100 ÷ 74.99

1.33x

* Primary Listing of Kitex Garments.

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

  • Kitex Garments is overvalued based on assets compared to the IN Luxury industry average.
X
Value checks
We assess Kitex Garments'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. Kitex Garments has a total score of 2/6, 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.

521248 Future Performance

 How is Kitex Garments expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

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 Kitex Garments 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 Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

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
19.3%
Expected Luxury industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Kitex Garments expected to grow at an attractive rate?
  • Unable to compare Kitex Garments's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Kitex Garments's earnings growth to the India market average as no estimate data is available.
  • Unable to compare Kitex Garments's revenue growth to the India market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
BSE:521248 Future Growth Rates Data Sources
Data Point Source Value (per year)
India Luxury Industry Earnings Growth Rate Market Cap Weighted Average 19.3%
India Luxury Industry Revenue Growth Rate Market Cap Weighted Average 15%
India Market Earnings Growth Rate Market Cap Weighted Average 18.3%
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:521248 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 year ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:521248 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
BSE:521248 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-03-31 5,573 286 635
2017-03-31 5,459 447 835
2016-03-31 5,458 1,351 1,097
2015-12-31 5,195 1,088
2015-09-30 5,235 1,079
2015-06-30 5,117 1,001

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Kitex Garments is high growth as no earnings estimate data is available.
  • Unable to determine if Kitex Garments 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.
Raw Data
BSE:521248 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 year ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

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

BSE:521248 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
BSE:521248 Past Financials Data
Date (Data in INR Millions) EPS *
2018-03-31 9.56
2017-03-31 12.55
2016-03-31 16.50
2015-12-31 16.36
2015-09-30 16.22
2015-06-30 15.04

*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.
  • Unable to establish if Kitex Garments will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine Kitex Garments's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
  2. Kitex Garments's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Consumer Durables companies here
  3. Kitex Garments's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Kitex Garments'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.
Kitex Garments has a total score of 0/6, 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.

521248 Past Performance

  How has Kitex Garments performed over the past 5 years?

  • Kitex Garments's last earnings update was 268 days ago.
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 Kitex Garments'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.
  • Insufficient data to establish if Kitex Garments's year on year earnings growth rate was positive over the past 5 years.
  • Kitex Garments's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Kitex Garments's 1-year earnings growth is negative, it can't be compared to the IN Luxury industry average.
Earnings and Revenue History
Kitex Garments'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 Kitex Garments Company Filings, last reported 1 year ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:521248 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-03-31 5,572.54 635.49 999.37
2017-03-31 5,459.01 834.58 934.50
2016-03-31 5,458.17 1,096.95 859.77
2015-12-31 5,194.99 1,088.24 966.69
2015-09-30 5,234.65 1,078.88 953.84
2015-06-30 5,117.41 1,000.53 934.40
2015-03-31 5,110.96 985.17 776.67
2014-12-31 4,919.81 779.72 780.76
2014-09-30 4,708.00 661.64 735.83
2014-06-30 4,439.82 588.30 695.72
2014-03-31 4,422.10 573.69 673.52
2013-12-31 3,872.03 440.51 597.62
2013-09-30 3,846.45 430.93 566.71
2013-06-30 3,521.38 351.32 527.86
2013-03-31 3,169.83 293.77 513.26
2012-12-31 3,032.48 309.17 484.64
2012-09-30 2,914.41 261.85 472.89
2012-06-30 2,943.77 273.60 460.09

*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.
  • Kitex Garments has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Kitex Garments used its assets more efficiently than the IN Luxury industry average last year based on Return on Assets.
  • Kitex Garments's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Kitex Garments'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.
Kitex Garments 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.

521248 Health

 How is Kitex Garments'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 Kitex Garments's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Kitex Garments is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Kitex Garments's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Kitex Garments'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 46.9x 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 Kitex Garments Company Filings, last reported 1 year ago.

BSE:521248 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-03-31 4,987.01 80.21 969.06
2017-03-31 4,445.89 82.93 1,345.26
2016-03-31 3,649.95 1,100.88 2,499.13
2015-12-31 3,027.17 1,191.01 2,410.97
2015-09-30 3,027.17 1,191.01 2,410.97
2015-06-30 2,638.75 1,612.27 2,032.58
2015-03-31 2,638.75 1,612.27 2,032.58
2014-12-31
2014-09-30
2014-06-30 1,741.69 1,341.52 1,036.08
2014-03-31 1,741.69 1,341.52 1,036.08
2013-12-31 1,473.21 1,213.24 907.23
2013-09-30 1,473.21 1,213.24 907.23
2013-06-30 1,223.58 1,011.69 411.83
2013-03-31 1,223.58 1,011.69 411.83
2012-12-31 1,086.75 860.44 522.10
2012-09-30 1,086.75 860.44 522.10
2012-06-30 974.27 1,015.13 365.24
  • Kitex Garments's level of debt (1.6%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (82.7% vs 1.6% today).
  • Debt is well covered by operating cash flow (356.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 23.5x coverage).
X
Financial health checks
We assess Kitex Garments'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. Kitex Garments has a total score of 6/6, 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.

521248 Dividends

 What is Kitex Garments'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
1.5%
Current annual income from Kitex Garments dividends.
If you bought ₹2,000 of Kitex Garments shares you are expected to receive ₹30 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?
  • Kitex Garments's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.51%).
  • Kitex Garments's dividend is below the markets top 25% of dividend payers in India (1.95%).
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:521248 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 0 Analyst Estimates (S&P Global) See Below
India Luxury Industry Average Dividend Yield Market Cap Weighted Average of 110 Stocks 0.6%
India Market Average Dividend Yield Market Cap Weighted Average of 1400 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
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:521248 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
BSE:521248 Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2018-05-18 1.500 1.312
2017-11-06 1.500 0.564
2017-04-28 1.071 0.425
2016-11-01 1.071 0.358
2016-04-04 1.071 0.319
2016-01-25 1.071 0.366
2015-10-19 1.071 0.221
2015-05-12 0.893 0.152
2014-04-25 0.714 0.283
2014-04-03 0.714 0.806
2013-05-16 0.571 1.189
2012-06-11 0.429 1.028
2011-06-16 0.286 0.871
2010-11-29 0.214 0.790
2010-05-17 0.214 1.082
2009-07-01 0.179 1.576
2009-06-01 0.179 3.268

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 Kitex Garments's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (6.4x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Kitex Garments'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 Kitex Garments afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Kitex Garments has a total score of 4/6, see the detailed checks below.


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

521248 Management

 What is the CEO of Kitex Garments'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
Sabu Jacob
COMPENSATION ₹57,284,551
AGE 56
TENURE AS CEO 12.7 years
CEO Bio

Mr. Sabu M. Jacob has been Managing Director of Kitex Garments Ltd. since August 16, 2006 and served as its Chief Financial Officer since January 25, 2016 until September 30, 2018. Mr. Jacob serves as the Chairman of Kitex Garments Ltd. He has 25 years experience and previously served as an Executive Director of Kitex Ltd. He holds B.A. Economics degree.

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

Sabu Jacob

TITLE
Chairman & MD
COMPENSATION
₹57M
AGE
56
TENURE
12.7 yrs

Sindhu Chandrasekhar

TITLE
Whole-Time Director
COMPENSATION
₹2M
AGE
49

S. Krishnaraj

TITLE
CFO & Compliance Officer
TENURE
0.5 yrs

Dan De Yoe

TITLE
Vice President and Director of Operations - USA
AGE
68
Board of Directors Tenure

Average tenure and age of the Kitex Garments board of directors in years:

6
Average Tenure
61
Average Age
  • The tenure for the Kitex Garments board of directors is about average.
Board of Directors

Sabu Jacob

TITLE
Chairman & MD
COMPENSATION
₹57M
AGE
56

Sindhu Chandrasekhar

TITLE
Whole-Time Director
COMPENSATION
₹2M
AGE
49
TENURE
4.1 yrs

Benni Joseph

TITLE
Independent Non Executive Director
COMPENSATION
₹230K
AGE
61
TENURE
20.8 yrs

Erumala Paulose

TITLE
Independent & Non-Executive Director
COMPENSATION
₹190K
AGE
82
TENURE
7.8 yrs

K. L. Narayanan

TITLE
Director
COMPENSATION
₹220K
AGE
61
TENURE
6 yrs

C. Philipose

TITLE
Additional Director
COMPENSATION
₹190K
AGE
75
TENURE
3.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Kitex Garments insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
04. Feb 19 Buy Kitex Childrenswear Ltd Company 01. Feb 19 01. Feb 19 27,229 ₹0.00 ₹101
31. Jan 19 Buy Kitex Childrenswear Ltd Company 30. Jan 19 30. Jan 19 33,214 ₹0.00 ₹102
30. Jan 19 Buy Kitex Childrenswear Ltd Company 29. Jan 19 29. Jan 19 34,604 ₹0.00 ₹104
30. Jan 19 Buy Sabu Jacob Individual 28. Jan 19 28. Jan 19 112,781 ₹0.00 ₹96
18. Oct 18 Buy Sabu Jacob Individual 15. Oct 18 15. Oct 18 415 ₹0.25 ₹105
18. Oct 18 Buy Sabu Jacob Individual 15. Oct 18 15. Oct 18 415 ₹105.00 ₹43,575
11. Oct 18 Buy Sabu Jacob Individual 10. Oct 18 11. Oct 18 54,939 ₹103.00 ₹5,658,715
06. Sep 18 Buy Sabu Jacob Individual 05. Sep 18 05. Sep 18 16,800 ₹0.01 ₹132
31. Aug 18 Buy Sabu Jacob Individual 29. Aug 18 29. Aug 18 25,045 ₹123.56 ₹3,094,560
31. Aug 18 Buy Sabu Jacob Individual 29. Aug 18 29. Aug 18 25,045 ₹0.00 ₹122
07. Jul 18 Buy Bobby Jacob Individual 22. Jun 18 05. Jul 18 19,805 ₹0.01 ₹155
X
Management checks
We assess Kitex Garments'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. Kitex Garments 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.

521248 News

Simply Wall St News

Is Kitex Garments Limited (BOM:521248) A Sell At Its Current PE Ratio?

and want to begin learning the link between Kitex Garments Limited (BOM:521248)’s fundamentals and stock market performance. … Kitex Garments Limited (BOM:521248) is trading with a trailing P/E of 17.7x, which is higher than the industry average of 16.9x. … While 521248 might seem like a stock to avoid or sell if you own it, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions.

Simply Wall St -

May Top Growth Stocks To Buy

Kitex Garments and Lakshmi Vilas Bank are examples of many potential outperformers that analysts are bullish on. … BSE:521248 Future Profit May 29th 18 The Lakshmi Vilas Bank Limited (BSE:534690) The Lakshmi Vilas Bank Limited provides various banking products and services in India. … BSE:534690 Future Profit May 29th 18 The Indian Hume Pipe Company Limited (NSEI:INDIANHUME) The Indian Hume Pipe Company Limited engages in the construction contract activities in India.

Simply Wall St -

521248 Company Info

Description

Kitex Garments Limited manufactures fabric and readymade garments in India. The company primarily offers infant wear comprising body suits, rompters, bibs, burps, sleepwear, training pants, sleep n play products, gowns, skirts and skorts, panties, blankets, mitten/booties, diaper covers, and stretchy products. It also exports its products to the United States and Europe. The company was founded in 1992 and is based in Kochi, India.

Details
Name: Kitex Garments Limited
521248
Exchange: BSE
Founded: 1992
₹6,729,800,000
66,500,000
Website: http://www.kitexgarments.com
Address: Kitex Garments Limited
Building No. 9/536 A,
Kizhakkambalam,
Kochi,
Kerala, 683562,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 521248 Equity Shares Mumbai Stock Exchange IN INR 31. Mar 1995
NSEI KITEX Equity Shares National Stock Exchange of India IN INR 31. Mar 1995
Number of employees
Current staff
Staff numbers
4,372
Kitex Garments employees.
Industry
Apparel, Accessories and Luxury Goods
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/24 12:44
End of day share price update: 2019/04/24 00:00
Last estimates confirmation: 2018/05/18
Last earnings filing: 2018/07/30
Last earnings reported: 2018/03/31
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.