BSE:540952

Stock Analysis Report

Executive Summary

Lorenzini Apparels Limited engages in designing, manufacturing, and trading of readymade garments in India.

Snowflake

Fundamentals

Excellent balance sheet with questionable track record.


Similar Companies

Share Price & News

How has Lorenzini Apparels's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 540952 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

9.3%

540952

-1.4%

IN Luxury

0.5%

IN Market


1 Year Return

64.6%

540952

3.2%

IN Luxury

5.6%

IN Market

Return vs Industry: 540952 exceeded the Indian Luxury industry which returned 3.2% over the past year.

Return vs Market: 540952 exceeded the Indian Market which returned 5.6% over the past year.


Shareholder returns

540952IndustryMarket
7 Day9.3%-1.4%0.5%
30 Day9.2%-5.2%2.1%
90 Day11.6%9.0%10.4%
1 Year64.6%64.6%4.0%3.2%7.6%5.6%
3 Yearn/a65.9%63.7%37.0%29.9%
5 Yearn/a101.7%97.9%39.6%27.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Lorenzini Apparels undervalued compared to its fair value and its price relative to the market?

15.06x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 540952's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 540952's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 540952 is poor value based on its PE Ratio (15.1x) compared to the Luxury industry average (10.8x).

PE vs Market: 540952 is poor value based on its PE Ratio (15.1x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 540952's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 540952 is overvalued based on its PB Ratio (0.6x) compared to the IN Luxury industry average (0.6x).


Next Steps

Future Growth

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

20.6%

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 Lorenzini Apparels 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 Lorenzini Apparels performed over the past 5 years?

39.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 540952 has high quality earnings.

Growing Profit Margin: 540952's current net profit margins (1.4%) are lower than last year (2.1%).


Past Earnings Growth Analysis

Earnings Trend: 540952's earnings have grown significantly by 39.7% per year over the past 5 years.

Accelerating Growth: 540952's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 540952 had negative earnings growth (-14.8%) over the past year, making it difficult to compare to the Luxury industry average (1%).


Return on Equity

High ROE: 540952's Return on Equity (4.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Lorenzini Apparels's financial position?


Financial Position Analysis

Short Term Liabilities: 540952's short term assets (₹230.8M) exceeds its short term liabilities (₹124.2M)

Long Term Liabilities: 540952's short term assets (₹230.8M) exceeds its long term liabilities (22.9M)


Debt to Equity History and Analysis

Debt Level: 540952's debt to equity ratio (27%) is considered satisfactory.

Reducing Debt: 540952's debt to equity ratio has reduced from 318.2% to 27% over the past 5 years.

Debt Coverage: 540952's debt is not well covered by operating cash flow (5.2%).

Interest Coverage: 540952's interest payments on its debt are well covered by EBIT (3.4x coverage).


Balance Sheet

Inventory Level: 540952 has a high level of physical assets or inventory.

Debt Coverage by Assets: 540952's debt is covered by short term assets (assets are 7.7x debt).


Next Steps

Dividend

What is Lorenzini Apparels's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.5%industryaverage0.7%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 540952's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 540952'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 540952's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 540952'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 540952's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of Lorenzini Apparels's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Sandeep Jain (37yo)

10yrs

Tenure

0

Mr. Sandeep Jain is the Promoter and has been Managing Director and a Director of Lorenzini Apparels Limited since November 01, 2009. Mr. Jain has completed his Higher Secondary from Gurgaon, Haryana. He h ...


Management Age and Tenure

2.3yrs

Average Tenure

Experienced Management: 540952's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

2.7yrs

Average Tenure

38yo

Average Age

Experienced Board: 540952's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

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 24.7%.


Management Team

  • Sandeep Jain (37yo)

    MD & Director

    • Tenure: 10yrs
  • Deepika Jain (38yo)

    CFO & Whole-time Director

    • Tenure: 12.5yrs
  • Jai Sharma

    Company Secretary & Compliance Officer

    • Tenure: 0.6yrs

Board Members

  • Sandeep Jain (37yo)

    MD & Director

    • Tenure: 10yrs
  • Deepika Jain (38yo)

    CFO & Whole-time Director

    • Tenure: 12.5yrs
  • Rajit Sehgal (38yo)

    Non-Executive Director

    • Tenure: 2.4yrs
  • Mohinder Rustagi (41yo)

    Non-Executive & Independent Director

    • Tenure: 2.7yrs
  • Pardeep Singh (35yo)

    Non-Executive & Independent Director

    • Tenure: 2.7yrs

Company Information

Lorenzini Apparels Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lorenzini Apparels Limited
  • Ticker: 540952
  • Exchange: BSE
  • Founded: 2007
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹65.193m
  • Shares outstanding: 10.14m
  • Website: https://www.mymonteil.com

Number of Employees


Location

  • Lorenzini Apparels Limited
  • C-64, Phase-I
  • Okhla Industrial Area
  • New Delhi
  • Delhi
  • 110020
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
540952BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2018

Biography

Lorenzini Apparels Limited engages in designing, manufacturing, and trading of readymade garments in India. The company offers a range of formal, semi-formal, and casual wear for men under Monteil and Mune ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/22 13:06
End of Day Share Price2019/11/22 00:00
Earnings2019/09/30
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.