Arvind
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Arvind Limited, together with its subsidiaries, manufactures, supplies, and exports textiles worldwide. The last earnings update was 71 days ago. More info.
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ARVIND Share Price and Events
7 Day Returns
1 Year Returns
ARVIND Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Arvind (ARVIND) | -2.1% | -2.4% | -5.8% | -79.2% | -68.2% | -53.6% |
| IN Luxury | 0.8% | 1.3% | 8.5% | -3.5% | 47.6% | 164.4% |
| IN Market | 1.1% | 1.8% | 5.7% | -0.9% | 41% | 72.2% |
1 Year Return vs Industry and Market
- ARVIND underperformed the Luxury industry which returned -3.5% over the past year.
- ARVIND underperformed the Market in India which returned -0.9% over the past year.
Value
Is Arvind 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
Arvind
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.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Arvind.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 7 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 18.3% |
| 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.
| 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))
= 0.731 (1 + (1- 35%) (134.87%)) |
1.249 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.25 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (1.249 * 8.6%) |
18.29% |
Discounted Cash Flow Calculation for NSEI:ARVIND using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Arvind 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.
| Levered FCF (INR, Millions) | Source |
Present Value Discounted (@ 18.29%) |
|
|---|---|---|---|
| 2019 | 2,433.00 | Analyst x1 | 2,056.85 |
| 2020 | 3,898.50 | Analyst x4 | 2,786.23 |
| 2021 | 4,719.00 | Analyst x1 | 2,851.21 |
| 2022 | 5,455.34 | Est @ 15.6% | 2,786.50 |
| 2023 | 6,174.77 | Est @ 13.19% | 2,666.36 |
| 2024 | 6,884.64 | Est @ 11.5% | 2,513.26 |
| 2025 | 7,594.61 | Est @ 10.31% | 2,343.81 |
| 2026 | 8,314.86 | Est @ 9.48% | 2,169.36 |
| 2027 | 9,055.18 | Est @ 8.9% | 1,997.25 |
| 2028 | 9,824.64 | Est @ 8.5% | 1,831.94 |
| Present value of next 10 years cash flows | ₹24,002.76 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= ₹9,824.64 × (1 + 7.55%) ÷ (18.29% – 7.55%) |
₹98,402.44 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= ₹98,402.44 ÷ (1 + 18.29%)10 |
₹18,348.51 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= ₹24,002.76 + ₹18,348.51 |
₹42,351.27 |
| Equity Value per Share (INR) |
= Total value / Shares Outstanding
= ₹42,351.27 / 258.62 |
₹163.76 |
| Calculation | Result | |
|---|---|---|
| Value per share (INR) | From above. | ₹163.76 |
| Current discount | Discount to share price of
₹87.70
= -1 x (₹87.70 - ₹163.76) / ₹163.76 |
46.4% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Arvind's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Arvind's share price is below the future cash flow value, and at a substantial discount (> 40%).
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 Arvind's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Arvind's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in INR | ₹11.08 |
| BSE:500101 Share Price ** | BSE (2019-04-18) in INR | ₹87.7 |
| India Luxury Industry PE Ratio | Median Figure of 240 Publicly-Listed Luxury Companies | 12.25x |
| India Market PE Ratio | Median Figure of 2,736 Publicly-Listed Companies | 16.34x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Arvind.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = BSE:500101 Share Price ÷ EPS (both in INR) = 87.7 ÷ 11.08 |
7.91x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Arvind is good value based on earnings compared to the IN Luxury industry average.
- Arvind is good value based on earnings compared to the India market.
Price based on expected Growth
Does
Arvind's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 7.91x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts |
29.4%per year |
| India Luxury Industry PEG Ratio | Median Figure of 25 Publicly-Listed Luxury Companies | 1.55x |
| India Market PEG Ratio | Median Figure of 584 Publicly-Listed Companies | 1.32x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 7.91x ÷ 29.4% |
0.27x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Arvind is good value based on expected growth next year.
Price based on value of assets
What value do investors place on
Arvind's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in INR | ₹103.78 |
| BSE:500101 Share Price * | BSE (2019-04-18) in INR | ₹87.7 |
| India Luxury Industry PB Ratio | Median Figure of 311 Publicly-Listed Luxury Companies | 0.74x |
| India Market PB Ratio | Median Figure of 3,627 Publicly-Listed Companies | 1.11x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = BSE:500101 Share Price ÷ Book Value per Share (both in INR) = 87.7 ÷ 103.78 |
0.85x |
* Primary Listing of Arvind.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Arvind is overvalued based on assets compared to the IN Luxury industry average.
Value checks
We assess Arvind's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Luxury industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Luxury industry average (and greater than 0)? (1 check) Arvind has a total score of 5/6, 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.
Future Performance
How is Arvind expected to perform in the next 1 to 3 years based on estimates from 7 analysts?
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!
Earnings growth vs Low Risk Savings
- Arvind's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
- Arvind's earnings growth is expected to exceed the India market average.
- Arvind's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NSEI:ARVIND Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts | 29.4% |
| NSEI:ARVIND Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts | 13.8% |
| 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 | 18.6% |
| India Market Revenue Growth Rate | Market Cap Weighted Average | 11.8% |
*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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 7 Analyst Estimates (S&P Global) | See Below |
| Date (Data in INR Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-03-31 | 153,895 | 10,719 | 6,441 | 2 |
| 2020-03-31 | 138,476 | 8,537 | 5,337 | 7 |
| 2019-03-31 | 120,454 | 7,959 | 3,957 | 1 |
| Date (Data in INR Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 111,532 | 2,869 | |
| 2018-09-30 | 111,640 | 3,153 | |
| 2018-06-30 | 110,880 | 3,162 | |
| 2018-03-31 | 108,213 | 4,285 | 3,095 |
| 2017-12-31 | 100,874 | 2,931 | |
| 2017-09-30 | 97,171 | 2,898 | |
| 2017-06-30 | 94,197 | 2,997 | |
| 2017-03-31 | 92,213 | 5,511 | 3,146 |
| 2016-12-31 | 94,434 | 3,671 | |
| 2016-09-30 | 91,417 | 3,819 | |
| 2016-06-30 | 87,677 | 3,809 | |
| 2016-03-31 | 78,960 | 6,503 | 3,142 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 7 Analyst Estimates (S&P Global) | See Below |
All data from Arvind Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in INR Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-03-31 | 24.95 | 25.50 | 24.40 | 2.00 |
| 2020-03-31 | 20.64 | 23.80 | 15.53 | 6.00 |
| 2019-03-31 | 15.00 | 15.00 | 15.00 | 1.00 |
| Date (Data in INR Millions) | EPS * |
|---|---|
| 2018-12-31 | 11.08 |
| 2018-09-30 | 12.19 |
| 2018-06-30 | 12.24 |
| 2018-03-31 | 11.97 |
| 2017-12-31 | 11.33 |
| 2017-09-30 | 11.23 |
| 2017-06-30 | 11.61 |
| 2017-03-31 | 12.18 |
| 2016-12-31 | 14.23 |
| 2016-09-30 | 14.80 |
| 2016-06-30 | 14.74 |
| 2016-03-31 | 12.17 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Arvind's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Arvind has a total score of 4/6, 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.
Past Performance
How has Arvind performed over the past 5 years?
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
Past Earnings growth analysis
- Arvind's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
- Arvind's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Arvind's 1-year earnings growth is negative, it can't be compared to the IN Luxury industry average.
Earnings and Revenue History
All data from Arvind Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in INR Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 111,532.40 | 2,868.50 | 18,473.60 | |
| 2018-09-30 | 111,639.90 | 3,152.60 | 18,419.30 | |
| 2018-06-30 | 110,880.20 | 3,162.40 | 18,530.80 | |
| 2018-03-31 | 108,212.70 | 3,094.70 | 18,202.20 | |
| 2017-12-31 | 100,873.50 | 2,931.30 | 17,422.70 | |
| 2017-09-30 | 97,170.60 | 2,897.50 | 17,097.80 | |
| 2017-06-30 | 94,197.30 | 2,996.80 | 16,648.30 | |
| 2017-03-31 | 92,212.70 | 3,146.30 | 16,177.80 | |
| 2016-12-31 | 94,433.90 | 3,670.70 | 15,533.30 | |
| 2016-09-30 | 91,417.10 | 3,819.10 | 14,833.40 | |
| 2016-06-30 | 87,677.10 | 3,808.70 | 14,237.80 | |
| 2016-03-31 | 78,959.50 | 3,141.90 | 13,395.70 | |
| 2015-12-31 | 81,713.60 | 3,073.70 | 16,255.20 | |
| 2015-09-30 | 80,875.80 | 3,131.70 | 16,092.00 | |
| 2015-06-30 | 79,557.80 | 3,154.00 | 15,816.00 | |
| 2015-03-31 | 78,514.00 | 3,478.70 | 12,129.10 | |
| 2014-12-31 | 76,119.40 | 3,869.20 | 13,847.30 | |
| 2014-09-30 | 73,111.70 | 3,799.90 | 13,495.50 | |
| 2014-06-30 | 71,152.30 | 3,767.80 | 13,204.70 | |
| 2014-03-31 | 68,621.20 | 3,585.20 | 12,952.30 | |
| 2013-12-31 | 64,240.80 | 3,356.30 | 11,337.20 | |
| 2013-09-30 | 60,322.40 | 3,088.30 | 11,070.70 | |
| 2013-06-30 | 56,167.20 | 2,835.60 | 10,747.40 | |
| 2013-03-31 | 52,925.20 | 2,484.10 | 10,380.00 | |
| 2012-12-31 | 51,242.70 | 4,304.70 | 9,288.50 | |
| 2012-09-30 | 50,190.10 | 4,098.00 | 8,986.80 | |
| 2012-06-30 | 49,219.40 | 4,072.90 | 8,673.00 |
*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.
- Arvind has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Arvind used its assets more efficiently than the IN Luxury industry average last year based on Return on Assets.
- Arvind's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Arvind's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Luxury industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Arvind 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.
Health
How is Arvind'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 Arvind's finances.
The net worth of a company is the difference between its assets and liabilities.
- Arvind is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Arvind's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is covered by short term assets, assets are 1.2x 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.
All data from Arvind Company Filings, last reported 3 months ago.
| Date (Data in INR Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 27,660.00 | 30,590.00 | |
| 2018-09-30 | 40,971.40 | 27,925.30 | 1,595.20 |
| 2018-06-30 | 40,881.30 | 33,285.50 | 423.10 |
| 2018-03-31 | 40,881.30 | 33,285.50 | 423.10 |
| 2017-12-31 | 39,034.50 | 33,219.40 | 1,676.40 |
| 2017-09-30 | 39,034.50 | 33,219.40 | 1,676.40 |
| 2017-06-30 | 37,196.00 | 29,722.70 | 225.50 |
| 2017-03-31 | 37,184.10 | 29,326.60 | 225.50 |
| 2016-12-31 | 28,849.30 | 32,599.50 | 3,460.40 |
| 2016-09-30 | 28,849.30 | 32,599.50 | 3,460.40 |
| 2016-06-30 | 29,646.00 | 35,568.20 | 686.60 |
| 2016-03-31 | 27,020.10 | 38,305.50 | 363.50 |
| 2015-12-31 | 27,869.00 | 33,679.90 | 927.90 |
| 2015-09-30 | 27,869.00 | 33,679.90 | 927.90 |
| 2015-06-30 | 27,586.40 | 34,128.10 | 847.40 |
| 2015-03-31 | 27,586.40 | 34,128.10 | 847.40 |
| 2014-12-31 | 26,187.90 | 31,132.20 | 893.70 |
| 2014-09-30 | 26,187.90 | 31,132.20 | 893.70 |
| 2014-06-30 | 26,072.20 | 31,083.50 | 1,676.10 |
| 2014-03-31 | 26,072.20 | 31,083.50 | 1,676.10 |
| 2013-12-31 | 23,869.90 | 28,227.20 | 781.00 |
| 2013-09-30 | 23,869.90 | 28,227.20 | 781.00 |
| 2013-06-30 | 22,647.80 | 25,840.90 | 1,965.60 |
| 2013-03-31 | 22,647.80 | 25,840.90 | 1,965.60 |
| 2012-12-31 | 21,748.10 | 22,576.20 | 1,008.60 |
| 2012-09-30 | 21,748.10 | 22,576.20 | 1,008.60 |
| 2012-06-30 | 20,367.30 | 21,300.90 | 708.50 |
- Arvind's level of debt (110.6%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (118.3% vs 110.6% today).
- Debt is not well covered by operating cash flow (14%, less than 20% of total debt).
- Interest payments on debt are not well covered by earnings (EBIT is 2.6x annual interest expense, ideally 3x coverage).
Financial health checks
We assess Arvind's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Arvind has a total score of 3/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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.
Dividends
What is Arvind'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
If you bought
₹2,000 of
Arvind
shares you are expected to receive
₹55
in your first year as a dividend.
Dividend Amount
- Arvind's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.5%).
- Arvind's dividend is above the markets top 25% of dividend payers in India (1.94%).
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.
| 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 7 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 | 1.9% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in ₹) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-03-31 | 4.03 | 3.00 |
| 2020-03-31 | 3.30 | 5.00 |
| 2019-03-31 | 2.75 | 2.00 |
| Date (Data in ₹) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2018-07-31 | 2.400 | 1.783 |
| 2018-05-09 | 2.400 | 0.594 |
| 2017-07-05 | 2.400 | 0.594 |
| 2017-05-11 | 2.400 | 0.635 |
| 2016-07-05 | 2.400 | 0.674 |
| 2016-05-12 | 2.400 | 0.765 |
| 2015-07-02 | 2.550 | 0.883 |
| 2015-05-14 | 2.550 | 1.046 |
| 2014-07-03 | 2.350 | 0.861 |
| 2014-05-15 | 2.350 | 1.143 |
| 2013-08-21 | 1.650 | 1.345 |
| 2012-10-18 | 1.000 | 1.209 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Whilst dividend payments have been stable, Arvind has been paying a dividend for less than 10 years.
- Dividend payments have increased, but Arvind only paid a dividend in the past 7 years.
Current Payout to shareholders
What portion of
Arvind's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (4.6x coverage).
- Dividends after 3 years are expected to be well covered by earnings (6.2x coverage).
Income/ dividend checks
We assess Arvind's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Arvind afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Arvind 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.
Management
CEO
| COMPENSATION | ₹69,890,221 |
| AGE | 64 |
CEO Bio
Mr. Sanjay S. Lalbhai has been an Executive Chairman of Arvind Limited since September 28, 2007 and serves as its Managing Director. Mr. Lalbhai is Chairman of Arvind Fashions Limited. Mr. Lalbhai is the Founder of Amplus Capital Advisors Pvt. Ltd. He serves as the Chairman of Arvind Lalbhai Group. He has been a Director of Arvind Lifestyle Brands Limited since September 24, 2010 and Aakar Foundationwear Limited since October 31, 2009. He serves as a Director of Amol Dicalite Limited. He serves as the President of Ahmedabad Education Society and Ahmedabad University. He has been an Independent Non-Executive Director at Adani Ports and Special Economic Zone Limited since December 24, 2012. He served as an Independent Non Executive Director at Torrent Pharmaceuticals Ltd. from January 23, 2003 to July 26, 2013. He serves as the Chairman of Council of Administration of Ahmedabad Textile Industry’s Research Association and a Member of the Council of Management of Physical Research Laboratory. He serves as the Chairman of Centre for Environmental Planning and Technology. Mr. Lalbhai is a Member on the Board of Governors of National Institute of Fashion Technology. Mr. Lalbhai holds a Bachelor's Degree in Science from Gujarat University and a Master's Degree in business management from the Jamnalal Bajaj Institute of Management Studies, Mumbai. He serves as Chairman & Non-Executive Director of The Anup Engineering Ltd.
CEO Compensation
- Sanjaybhai's compensation has been consistent with company performance over the past year.
- Sanjaybhai's remuneration is higher than average for companies of similar size in India.
Management Team
Sanjaybhai Lalbhai
Chairman & MD
₹70M
64
Jayesh Shah
CFO & Whole Time Director
₹47M
58
Ramnik Bhimani
Compliance Officer & Company Secretary
₹3M
Punit Lalbhai
Executive Director
₹37M
36
Kulin Lalbhai
Executive Director
₹37M
33
Abhishek Bansal
Head of Sustainability & BR Head
Samir Agrawal
Chief Strategy Officer
Pragnesh Shah
Chief Executive Officer of Cotton & Agri Business
6.5 yrs
Board of Directors Tenure
Average tenure and age of the Arvind board of directors in years:
- The tenure for the Arvind board of directors is about average.
Board of Directors
Jayesh Shah
CFO & Whole Time Director
₹47M
58
16.4 yrs
Punit Lalbhai
Executive Director
₹37M
36
6.8 yrs
Kulin Lalbhai
Executive Director
₹37M
33
6.8 yrs
Bakul Dholakia
Independent Director
₹830K
69
2.8 yrs
Sanjaybhai Lalbhai
Chairman & MD
₹70M
64
11.6 yrs
Dileep Choksi
Independent Director
₹820K
4.9 yrs
Renuka Ramnath
Independent Director
₹690K
57
8.5 yrs
Vallabh Bhanshali
Independent Director
₹600K
4.9 yrs
Samir Mehta
Independent Director
₹610K
53
4.8 yrs
Nilesh Shah
Independent Director
₹830K
55
3.9 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (₹) | Value (₹) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 06. Dec 18 | Buy | Aura Business Ventures Llp | Company | 03. Dec 18 | 04. Dec 18 | 125,000 | ₹102.54 | ₹12,607,262 | ||
| 30. Nov 18 | Buy | Aura Business Ventures Llp | Company | 28. Nov 18 | 29. Nov 18 | 167,500 | ₹104.98 | ₹17,331,678 | ||
| 29. Nov 18 | Buy | Rupa Shah | Individual | 27. Nov 18 | 28. Nov 18 | 37,600 | ₹175.31 | ₹6,591,604 | ||
| 29. Nov 18 | Buy | Darshil Shah | Individual | 27. Nov 18 | 28. Nov 18 | 37,600 | ₹175.36 | ₹6,593,462 | ||
| 28. Nov 18 | Buy | Aayojan Resources Pvt Ltd | Company | 26. Nov 18 | 26. Nov 18 | 5,495 | ₹308.90 | ₹1,697,432 | ||
| 03. Oct 18 | Buy | Rupa Shah | Individual | 28. Sep 18 | 28. Sep 18 | 10,000 | ₹316.76 | ₹3,167,601 | ||
| 03. Oct 18 | Buy | Adhinami Investments Pvt Ltd | Company | 28. Sep 18 | 28. Sep 18 | 4,500 | ₹326.04 | ₹1,467,201 | ||
| 27. Sep 18 | Buy | Rupa Shah | Individual | 25. Sep 18 | 26. Sep 18 | 20,000 | ₹345.55 | ₹6,910,971 | ||
| 27. Sep 18 | Buy | Darshil Shah | Individual | 25. Sep 18 | 26. Sep 18 | 20,000 | ₹345.56 | ₹6,911,287 | ||
| 27. Sep 18 | Buy | Adhinami Investments Pvt Ltd | Company | 25. Sep 18 | 26. Sep 18 | 4,500 | ₹344.97 | ₹1,552,350 | ||
| 24. Sep 18 | Buy | Adhinami Investments Pvt Ltd | Company | 21. Sep 18 | 21. Sep 18 | 1,000 | ₹360.00 | ₹360,000 | ||
| 10. Sep 18 | Buy | Adhinami Investments Pvt Ltd | Company | 05. Sep 18 | 05. Sep 18 | 2,500 | ₹377.61 | ₹944,020 | ||
Management checks
We assess Arvind's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Arvind 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.
News
Simply Wall St News
Could Arvind Limited's (NSE:ARVIND) Investor Composition Influence The Stock Price?
A look at the shareholders of Arvind Limited (NSE:ARVIND) can tell us which group is most powerful. … Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … Arvind is a smaller company with a market capitalization of ₹23b, so it may still be flying under the radar of many institutional investors.
Simply Wall St - – Full articleArvind Limited (NSE:ARVIND) Delivered A Better ROE Than Its Industry
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows Arvind has a return on equity of 11% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleHave Insiders Been Buying Arvind Limited (NSE:ARVIND) Shares?
We often see insiders buying up shares in companies that perform well over the long term. … So shareholders might well want to know whether insiders have been buying or selling shares in Arvind Limited (NSE:ARVIND). … In the last twelve months there was more buying than selling by Arvind insiders
Simply Wall St - – Full articleIs Arvind Limited's (NSE:ARVIND) CEO Being Overpaid?
This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … How Does Sanjaybhai Lalbhai's Compensation Compare With Similar Sized Companies. … Our data indicates that Arvind Limited is worth ₹23b, and total annual CEO compensation is ₹70m.
Simply Wall St - – Full articleImagine Owning Arvind And Trying To Stomach The 82% Share Price Drop
It must have been painful to be a Arvind Limited (NSE:ARVIND) shareholder over the last year, since the stock price plummeted 82% in that time. … To make matters worse, the returns over three years have also been really disappointing (the share price is 72% lower than three years ago). … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).
Simply Wall St - – Full articleA Close Look At Arvind Limited’s (NSE:ARVIND) 14% ROCE
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.
Simply Wall St - – Full articleAn Examination Of Arvind Limited (NSE:ARVIND)
Arvind Limited (NSE:ARVIND) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of ARVIND, it
Simply Wall St - – Full articleWas Arvind Limited's (NSE:ARVIND) Earnings Growth Better Than The Industry's?
When Arvind Limited (NSE:ARVIND) released its most recent earnings update (30 September 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … ARVIND's trailing twelve-month earnings (from 30 September 2018) of ₹3.2b has. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of -2.9%, indicating the rate at which ARVIND is growing has accelerated
Simply Wall St - – Full articleArvind Limited (NSE:ARVIND) Insiders Increased Their Holdings
Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. … So shareholders might well want to know whether insiders have been buying or selling shares in Arvind Limited (NSE:ARVIND). … The Last 12 Months Of Insider Transactions At Arvind.
Simply Wall St - – Full articleHow Much Of Arvind Limited (NSE:ARVIND) Do Institutions Own?
A look at the shareholders of Arvind Limited (NSE:ARVIND) can tell us which group is most powerful. … Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … With a market capitalization of ₹26b, Arvind is a small cap stock, so it might not be well known by many institutional investors.
Simply Wall St - – Full articleCompany Info
Description
Arvind Limited, together with its subsidiaries, manufactures, supplies, and exports textiles worldwide. It operates through Textiles, Branded Apparels, Arvind Internet, Engineering, and Other segments. It offers denim; woven and knit fabrics, such as jerseys, piques, ribs and interlocks, yarn-dyed, auto stripers, and jacquards and stretches, as well as athleisure and sportswear products; and long cloths, dress materials, and blouse materials using cotton, polyester viscose blend, polyester cotton blend, etc. The company also provides critical engineering process equipment, including heat exchangers, pressure vessels, reactors, columns/towers, and centrifuges for oil and gas, petrochemicals, and fertilizers and pharmaceuticals sectors; and a range of advanced materials, such as fire resistant fabrics and garments, work wears, filtration products, conveyor belt fabrics, coated products, and glass fabrics and structural composites. In addition, it operates approximately 1200 specialty retail stores that offer garments under various brand names, such as Flying Machine, Tommy Hilfiger, Arrow, US Polo, Izod, Elle, Cherokee, Mainstream, Excalibur, etc. Further, it supplies water and waste water treatment plants for industrial process, and waste water and zero liquid discharge solutions. Additionally, 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.
Details
| Name: | Arvind Limited |
| ARVIND | |
| Exchange: | NSEI |
| Founded: | 1931 |
| ₹22,680,716,951 | |
| 258,617,069 | |
| Website: | http://www.arvind.com |
| Address: |
Arvind Limited Naroda Road, Ahmedabad, Gujarat, 380025, India |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| BSE | 500101 | Equity Shares | Mumbai Stock Exchange | IN | INR | 11. Jun 1998 | |
| NSEI | ARVIND | Equity Shares | National Stock Exchange of India | IN | INR | 11. Jun 1998 |
Number of employees
Current staff
Industry
| Textiles | |
| Consumer Durables |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/19 12:51 |
| End of day share price update: | 2019/04/18 00:00 |
| Last estimates confirmation: | 2019/04/10 |
| Last earnings filing: | 2019/02/07 |
| Last earnings reported: | 2018/12/31 |
| 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.
