Market Cap
₹10.0b
Last Updated
2020/02/25 12:57 UTC
Data Sources
Company Financials +
Executive Summary
Arvind Limited, together with its subsidiaries, manufactures, supplies, and exports textiles worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued average dividend payer.
Similar Companies
Share Price & News
How has Arvind's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ARVIND's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
0.8%
ARVIND
-1.4%
IN Luxury
-1.4%
IN Market
1 Year Return
-47.9%
ARVIND
14.5%
IN Luxury
6.4%
IN Market
Return vs Industry: ARVIND underperformed the Indian Luxury industry which returned 14.5% over the past year.
Return vs Market: ARVIND underperformed the Indian Market which returned 6.4% over the past year.
Shareholder returns
| ARVIND | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.8% | -1.4% | -1.4% |
| 30 Day | -11.8% | 0.6% | -3.3% |
| 90 Day | -13.5% | 9.2% | 0.4% |
| 1 Year | -46.1%-47.9% | 15.2%14.5% | 8.4%6.4% |
| 3 Year | -89.3%-89.8% | 52.0%50.1% | 20.9%14.1% |
| 5 Year | -87.1%-87.9% | 105.3%98.5% | 30.7%18.5% |
Price Volatility Vs. Market
How volatile is Arvind's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
How Much Did Arvind Limited's (NSE:ARVIND) CEO Pocket Last Year?3 weeks ago | Simply Wall St
Earnings Miss: Arvind Limited Missed EPS By 28% And Analysts Are Revising Their Forecasts1 month ago | Simply Wall St
Evaluating Arvind Limited’s (NSE:ARVIND) Investments In Its BusinessValuation
Is Arvind undervalued compared to its fair value and its price relative to the market?
37.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ARVIND (₹38.7) is trading below our estimate of fair value (₹61.6)
Significantly Below Fair Value: ARVIND is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ARVIND is good value based on its PE Ratio (5.8x) compared to the Luxury industry average (11x).
PE vs Market: ARVIND is good value based on its PE Ratio (5.8x) compared to the Indian market (13.1x).
Price to Earnings Growth Ratio
PEG Ratio: ARVIND is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: ARVIND 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 Arvind forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
18.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ARVIND's forecast earnings growth (18.2% per year) is above the savings rate (6.5%).
Earnings vs Market: ARVIND's earnings (18.2% per year) are forecast to grow slower than the Indian market (20.4% per year).
High Growth Earnings: ARVIND's earnings are forecast to grow, but not significantly.
Revenue vs Market: ARVIND's revenue (7.8% per year) is forecast to grow slower than the Indian market (9% per year).
High Growth Revenue: ARVIND's revenue (7.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ARVIND's Return on Equity is forecast to be low in 3 years time (8.2%).
Next Steps
Past Performance
How has Arvind performed over the past 5 years?
-10.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ARVIND has high quality earnings.
Growing Profit Margin: ARVIND's current net profit margins (2.3%) are lower than last year (2.6%).
Past Earnings Growth Analysis
Earnings Trend: ARVIND's earnings have declined by -10.9% per year over the past 5 years.
Accelerating Growth: ARVIND's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ARVIND had negative earnings growth (-40.1%) over the past year, making it difficult to compare to the Luxury industry average (6.4%).
Return on Equity
High ROE: ARVIND's Return on Equity (6.3%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Arvind's financial position?
Financial Position Analysis
Short Term Liabilities: ARVIND's short term assets (₹30.9B) do not cover its short term liabilities (₹32.9B).
Long Term Liabilities: ARVIND's short term assets (₹30.9B) exceed its long term liabilities (₹12.0B).
Debt to Equity History and Analysis
Debt Level: ARVIND's debt to equity ratio (86.4%) is considered high.
Reducing Debt: ARVIND's debt to equity ratio has reduced from 118.9% to 86.4% over the past 5 years.
Debt Coverage: ARVIND's debt is well covered by operating cash flow (101.5%).
Interest Coverage: ARVIND's interest payments on its debt are not well covered by EBIT (2.2x coverage).
Balance Sheet
Inventory Level: ARVIND has a high level of physical assets or inventory.
Debt Coverage by Assets: ARVIND's debt is covered by short term assets (assets are 1.3x debt).
Next Steps
Dividend
What is Arvind's current dividend yield, its reliability and sustainability?
5.17%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ARVIND's dividend (5.17%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).
High Dividend: ARVIND's dividend (5.17%) is in the top 25% of dividend payers in the Indian market (2.61%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, ARVIND has been paying a dividend for less than 10 years.
Growing Dividend: ARVIND's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (30.1%), ARVIND's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ARVIND's dividends in 3 years are forecast to be well covered by earnings (24% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
7.6yrs
Average board tenure
CEO
Sanjaybhai Lalbhai (65yo)
₹62,560,573
Compensation
Mr. Sanjaybhai Shrenikbhai Lalbhai serves as Non Executive Chairman of The Anup Engineering Limited. Mr. Lalbhai has been an Executive Chairman of Arvind Limited since September 28, 2007 and serves as its ...
CEO Compensation Analysis
Compensation vs Market: Sanjaybhai's total compensation ($USD867.82K) is above average for companies of similar size in the Indian market ($USD50.06K).
Compensation vs Earnings: Sanjaybhai's compensation has been consistent with company performance over the past year.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & MD | 0yrs | ₹62.56m | 0.00060% ₹60.1k | |
| CFO & Whole Time Director | 17.3yrs | ₹41.50m | 0.26% ₹25.8m | |
| Executive Director | 7.6yrs | ₹32.48m | 0.0014% ₹144.2k | |
| Executive Director | 7.6yrs | ₹32.83m | no data | |
| Independent Director | 9.3yrs | ₹680.00k | 0.00011% ₹11.0k | |
| Independent Director | 3.6yrs | ₹820.00k | 0.0078% ₹782.1k | |
| Independent Director | 4.8yrs | ₹820.00k | 0.000080% ₹8.0k | |
| Independent Director | 5.8yrs | ₹840.00k | no data | |
| Independent Director | 0.8yrs | no data | no data |
7.6yrs
Average Tenure
59yo
Average Age
Experienced Board: ARVIND's board of directors are considered experienced (7.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ARVIND insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Arvind Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Arvind Limited
- Ticker: ARVIND
- Exchange: NSEI
- Founded: 1931
- Industry: Textiles
- Sector: Consumer Durables
- Market Cap: ₹10.014b
- Shares outstanding: 258.77m
- Website: https://arvind.com
Location
- Arvind Limited
- Naroda Road
- Ahmedabad
- Gujarat
- 380025
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 500101 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Jun 1998 |
| ARVIND | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Jun 1998 |
Biography
Arvind Limited, together with its subsidiaries, manufactures, supplies, and exports textiles worldwide. The company operates through Textiles, Advanced Material, and Others segments. It offers denim fabrics, shirting fabrics, woven and knitted fabrics, and voiles and garments products. The company also provides a range of specialized clothing and accessories for factory workers, fire-fighters, construction crews, soldiers, and healthcare and security personnel; hot-gas and liquid filtration products; interiors and seating solutions; and composites and coated fabrics. In addition, it supplies water and waste water treatment plants for industrial process, and waste water and zero liquid discharge solutions. Further, the company is involved in the e-commerce, technical textiles, agriculture produce, telecommunication, and other businesses, as well as offers EPABX and one to many radio solutions. Arvind Limited was founded in 1931 and is headquartered in Ahmedabad, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/25 12:57 |
| End of Day Share Price | 2020/02/25 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/03/31 |
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.