BSE:530151

Stock Analysis Report

Executive Summary

Vijay Textiles Limited manufactures and sells textile fabrics in India.

Rewards

Trading at 68.8% below its fair value

Risk Analysis

Interest payments are not well covered by earnings

Does not have a meaningful market cap (₹456M)

Highly volatile share price over past 3 months

Profit margins (2%) are lower than last year (4.4%)

+ 1 more risk


Snowflake Analysis

Fair value with mediocre balance sheet.

Share Price & News

How has Vijay Textiles's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 530151's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.8%

530151

0.2%

IN Luxury

-0.4%

IN Market


1 Year Return

2.4%

530151

16.6%

IN Luxury

11.1%

IN Market

Return vs Industry: 530151 underperformed the Indian Luxury industry which returned 16.6% over the past year.

Return vs Market: 530151 underperformed the Indian Market which returned 11.1% over the past year.


Shareholder returns

530151IndustryMarket
7 Day-5.8%0.2%-0.4%
30 Day-21.7%2.6%-1.5%
90 Day31.4%8.7%3.3%
1 Year2.4%2.4%17.3%16.6%13.0%11.1%
3 Year-33.3%-34.6%53.8%52.0%25.3%18.6%
5 Year317.8%310.1%103.0%96.4%35.4%23.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Vijay Textiles 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: 530151 (₹30.1) is trading below our estimate of fair value (₹96.36)

Significantly Below Fair Value: 530151 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 530151 is poor value based on its PE Ratio (32.3x) compared to the Luxury industry average (11.1x).

PE vs Market: 530151 is poor value based on its PE Ratio (32.3x) compared to the Indian market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 530151's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 530151 is good value based on its PB Ratio (0.4x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Vijay Textiles 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 Vijay Textiles 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 Vijay Textiles performed over the past 5 years?

61.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 530151 has high quality earnings.

Growing Profit Margin: 530151's current net profit margins (2%) are lower than last year (4.4%).


Past Earnings Growth Analysis

Earnings Trend: 530151 has become profitable over the past 5 years, growing earnings by 61.7% per year.

Accelerating Growth: 530151's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 530151 had negative earnings growth (-67.3%) over the past year, making it difficult to compare to the Luxury industry average (2.5%).


Return on Equity

High ROE: 530151's Return on Equity (1.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Vijay Textiles's financial position?


Financial Position Analysis

Short Term Liabilities: 530151's short term assets (₹3.0B) exceed its short term liabilities (₹1.3B).

Long Term Liabilities: 530151's short term assets (₹3.0B) exceed its long term liabilities (₹1.3B).


Debt to Equity History and Analysis

Debt Level: 530151's debt to equity ratio (143.9%) is considered high.

Reducing Debt: 530151's debt to equity ratio has reduced from 147.5% to 143.9% over the past 5 years.


Balance Sheet

Inventory Level: 530151 has a high level of physical assets or inventory.

Debt Coverage by Assets: 530151's debt is covered by short term assets (assets are 1.7x 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: 530151 is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: 530151 is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

What is Vijay Textiles's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%0.6%markettop25%2.5%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 530151's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 530151'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 530151's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 530151's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 530151 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 530151'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?

8.7yrs

Average board tenure


CEO

Vijay Gupta (69yo)

15.8yrs

Tenure

₹4,200,000

Compensation

Mr. Vijay Kumar Gupta, B.Com. has been the Chairman and Managing Director of Vijay Textiles Ltd. since April 01,2004. Mr. Gupta has about 42 years of experience in Textiles Trading and Textile processing.  ...


CEO Compensation Analysis

Compensation vs Market: Vijay's total compensation ($USD58.73K) is about average for companies of similar size in the Indian market ($USD50.21K).

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


Board Members

NamePositionTenureCompensationOwnership
Vijay Gupta
Chairman & MD15.8yrs₹4.20m45.58% 207.7m
Susheel Gupta
CFO & Whole Time Director13.8yrs₹4.20m21.06% 95.9m
Muppidi Reddy
Independent Non-Executive Director19.3yrs₹65.00kno data
Alka Zanwar
Non-Executive Independent Director3.6yrs₹90.00kno data
Penmetsa Vikram
Independent Director3.6yrs₹95.00kno data
Pankaj Trivedi
Independent Non-Executive Director0.9yrsno datano data

8.7yrs

Average Tenure

56yo

Average Age

Experienced Board: 530151's board of directors are considered experienced (8.7 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 been diluted in the past year, with total shares outstanding growing by 27.3%.


Top Shareholders

Company Information

Vijay Textiles Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vijay Textiles Limited
  • Ticker: 530151
  • Exchange: BSE
  • Founded: 1990
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹455.642m
  • Shares outstanding: 15.29m
  • Website: https://null

Number of Employees


Location

  • Vijay Textiles Limited
  • Surya Towers
  • Ground Floor
  • Secunderabad
  • Andhra Pradesh
  • 500003
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
530151BSE (Mumbai Stock Exchange)YesEquity SharesININRAug 2004

Biography

Vijay Textiles Limited manufactures and sells textile fabrics in India. It markets its products through a wholesale network, as well as its five retail stores located in Hyderabad and Secunderabad. The company was incorporated in 1990 and is based in Secunderabad, 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 13:04
End of Day Share Price2020/02/17 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.