BSE:532957

Stock Analysis Report

Executive Summary

Gokak Textiles Limited manufactures and sells textile products in India.


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 532957's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

532957

-2.4%

IN Luxury

-1.1%

IN Market


1 Year Return

-36.0%

532957

-28.4%

IN Luxury

-31.7%

IN Market

Return vs Industry: 532957 underperformed the Indian Luxury industry which returned -28.8% over the past year.

Return vs Market: 532957 matched the Indian Market which returned -32.1% over the past year.


Shareholder returns

532957IndustryMarket
7 Day0%-2.4%-1.1%
30 Day3.2%-28.3%-25.1%
90 Day61.7%-27.9%-30.6%
1 Year-36.0%-36.0%-27.8%-28.4%-30.3%-31.7%
3 Year-73.3%-73.3%-4.4%-6.7%-20.1%-24.4%
5 Year-80.0%-80.0%31.7%26.9%-11.0%-15.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Gokak Textiles undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Gokak Textiles is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Gokak Textiles has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of 532957’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Gokak Textiles regulatory filings.
  • Explore potentially undervalued companies in the Consumer Durables industry.

Future Growth

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

19.7%

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 Gokak 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 Gokak Textiles performed over the past 5 years?

1.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 532957 is currently unprofitable.

Growing Profit Margin: 532957 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 532957 is unprofitable, but has reduced losses over the past 5 years at a rate of 1.3% per year.

Accelerating Growth: Unable to compare 532957's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 532957 is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (7.5%).


Return on Equity

High ROE: 532957's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Gokak Textiles's financial position?


Financial Position Analysis

Short Term Liabilities: 532957 has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: 532957 has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: 532957 has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: 532957's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


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: 532957 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 532957 has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -24.7% each year


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 532957's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 532957'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 532957's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 532957'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 532957'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?

2.9yrs

Average management tenure


CEO

Ramesh Patil (62yo)

3.75s

Tenure

₹5,214,000

Compensation

Mr. Ramesh Ramrao Patil has been Chief Executive Officer, Managing Director and Whole Time Director at Gokak Textiles Ltd., since July 18, 2016. 


CEO Compensation Analysis

Compensation vs Market: Ramesh's total compensation ($USD68.34K) is above average for companies of similar size in the Indian market ($USD47.77K).

Compensation vs Earnings: Ramesh's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Ramesh Patil
CEO, MD & Whole Time Director3.75yrs₹5.21mno data
Avadhut Sarnaik
Chief Financial Officer1.17yrs₹3.38mno data
Rakesh Nanwani
Company Secretary & Compliance Officer2.92yrs₹585.60kno data
A. Nandkumar
Deputy General Manager of Accounts & Costingno datano datano data

2.9yrs

Average Tenure

Experienced Management: 532957's management team is considered experienced (2.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ramesh Patil
CEO, MD & Whole Time Director3.75yrs₹5.21mno data
Pradip Kapadia
Non-Executive Independent Director11.58yrs₹475.00kno data
Dasu Prasad
Non-Executive Independent Director7.92yrs₹400.00kno data
Vasant Sanzgiri
Non-Executive Non-Independent Director7.92yrs₹170.00kno data
Tripti Navani
Non-Executive & Non-Independent Woman Director1.67yrs₹50.00kno data
Nikhil Bhatia
Additional & Independent Director0.92yrno datano data

5.8yrs

Average Tenure

61.5yo

Average Age

Experienced Board: 532957's board of directors are considered experienced (5.8 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

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


Key Information

  • Name: Gokak Textiles Limited
  • Ticker: 532957
  • Exchange: BSE
  • Founded: 1885
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹84.491m
  • Shares outstanding: 6.50m
  • Website: https://www.gokakmills.com

Location

  • Gokak Textiles Limited
  • Ideal Homes
  • 1st, 2nd Floors
  • Bengaluru
  • Karnataka
  • 560098
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532957BSE (Mumbai Stock Exchange)YesEquity SharesININRMar 2008

Biography

Gokak Textiles Limited manufactures and sells textile products in India. It offers cotton, blended, dyed, knitting, weaving, industrial, and customized yarns, as well as yarns for towels, socks, sweaters, and home furnishings; canvas products, such as tents, tarpaulins, and animal and agriculture covers; and towels and knitted garments. Gokak Textiles Limited also exports its products to approximately 35 countries worldwide. The company was formerly known as ANS Textiles (Bangalore) Limited and changed its name to Gokak Textiles Limited in January 2007. The company was founded in 1885 and is based in Bengaluru, India. Gokak Textiles Limited is a subsidiary of Shapoorji Pallonji and Company Private Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/07 13:08
End of Day Share Price2020/04/03 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.