NSEI:JAKHARIA

Stock Analysis Report

Executive Summary

Jakharia Fabric Limited engages in the dyeing and processing of fabrics.

Rewards

Trading at 8.7% below its fair value

Earnings grew by 26.2% over the past year

Risk Analysis

Earnings have declined by -9.6% per year over past 5 years

Has a high level of debt

Does not have a meaningful market cap (₹731M)



Snowflake Analysis

Adequate balance sheet with proven track record.


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Donear Industries

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Share Price & News

How has Jakharia Fabric's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-3.7%

JAKHARIA

1.1%

IN Luxury

-0.8%

IN Market


1 Year Return

-0.3%

JAKHARIA

18.4%

IN Luxury

11.1%

IN Market

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

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


Shareholder returns

JAKHARIAIndustryMarket
7 Day-3.7%1.1%-0.8%
30 Day-3.7%3.3%-2.3%
90 Day-0.5%9.6%2.1%
1 Year-0.3%-0.3%19.2%18.4%13.1%11.1%
3 Yearn/a54.9%51.5%22.9%16.2%
5 Yearn/a106.1%99.4%34.9%22.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Jakharia Fabric undervalued compared to its fair value and its price relative to the market?

8.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: JAKHARIA (₹180.1) is trading below our estimate of fair value (₹197.25)

Significantly Below Fair Value: JAKHARIA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: JAKHARIA is poor value based on its PE Ratio (18.5x) compared to the Luxury industry average (11.1x).

PE vs Market: JAKHARIA is poor value based on its PE Ratio (18.5x) compared to the Indian market (13.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: JAKHARIA is overvalued based on its PB Ratio (1x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Jakharia Fabric 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 Jakharia Fabric 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 Jakharia Fabric performed over the past 5 years?

-9.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JAKHARIA has high quality earnings.

Growing Profit Margin: JAKHARIA's current net profit margins (3.6%) are higher than last year (3.1%).


Past Earnings Growth Analysis

Earnings Trend: JAKHARIA's earnings have declined by -9.6% per year over the past 5 years.

Accelerating Growth: JAKHARIA's earnings growth over the past year (26.2%) exceeds its 5-year average (-9.6% per year).

Earnings vs Industry: JAKHARIA earnings growth over the past year (26.2%) exceeded the Luxury industry 2.5%.


Return on Equity

High ROE: JAKHARIA's Return on Equity (6.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Jakharia Fabric's financial position?


Financial Position Analysis

Short Term Liabilities: JAKHARIA's short term assets (₹278.6M) do not cover its short term liabilities (₹298.7M).

Long Term Liabilities: JAKHARIA's short term assets (₹278.6M) exceed its long term liabilities (₹206.5M).


Debt to Equity History and Analysis

Debt Level: JAKHARIA's debt to equity ratio (47.5%) is considered high.

Reducing Debt: JAKHARIA's debt to equity ratio has reduced from 195.2% to 47.5% over the past 5 years.

Debt Coverage: JAKHARIA's debt is well covered by operating cash flow (29.7%).

Interest Coverage: JAKHARIA's interest payments on its debt are well covered by EBIT (7.3x coverage).


Balance Sheet

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

Debt Coverage by Assets: JAKHARIA's debt is covered by short term assets (assets are 1.3x debt).


Next Steps

Dividend

What is Jakharia Fabric's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.5%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

1.8yrs

Average management tenure


CEO

Nitin Shah (41yo)

₹8,000,000

Compensation

Mr. Nitin K. Shah serves as Managing Director and Director at Jakharia Fabric Limited. He has experience in the field of Textile Weaving. He has a good command over the Technicalities and the production Pr ...


CEO Compensation Analysis

Compensation vs Market: Nitin's total compensation ($USD111.87K) is above average for companies of similar size in the Indian market ($USD50.21K).

Compensation vs Earnings: Insufficient data to compare Nitin's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Jignesh Shah
Chairman0yrs₹4.00m5.83% 42.7m
Nitin Shah
MD & Director0yrs₹8.00m22.46% 164.3m
Manojkumar Tiwari
Chief Financial Officer1.8yrs₹414.00kno data
Bhavin Waghela
Company Secretary & Compliance Officer1.8yrs₹247.20kno data
Dixit Shah
Whole Time Executive Director0yrs₹4.00m10.02% 73.3m
Manekchand Shah
Whole Time Executive Director0yrs₹4.00m12.45% 91.0m
Himatlal Shah
Whole Time Executive Director12.7yrs₹4.00m1.5% 11.0m

1.8yrs

Average Tenure

41yo

Average Age

Experienced Management: JAKHARIA's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jignesh Shah
Chairman0yrs₹4.00m5.83% 42.7m
Nitin Shah
MD & Director0yrs₹8.00m22.46% 164.3m
Dixit Shah
Whole Time Executive Director0yrs₹4.00m10.02% 73.3m
Manekchand Shah
Whole Time Executive Director0yrs₹4.00m12.45% 91.0m
Himatlal Shah
Whole Time Executive Director12.7yrs₹4.00m1.5% 11.0m
Anant Sawant
Non-Executive Independent Director1.8yrsno datano data
Mukul Vora
Non Executive Independent Director1.8yrsno data0.020% 144.0k
Rajashri Kovil
Non-Executive Independent Director1.8yrsno datano data

1.8yrs

Average Tenure

52.5yo

Average Age

Experienced Board: JAKHARIA's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


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

Jakharia Fabric Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Jakharia Fabric Limited
  • Ticker: JAKHARIA
  • Exchange: NSEI
  • Founded: 2007
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹731.489m
  • Shares outstanding: 4.06m
  • Website: https://www.jakhariafabric.com

Number of Employees


Location

  • Jakharia Fabric Limited
  • Office No. 1224, Deoji Nagar
  • Narpoli Village
  • Thane
  • Maharashtra
  • 421302
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JAKHARIANSEI (National Stock Exchange of India)YesEquity SharesININRJul 2018

Biography

Jakharia Fabric Limited engages in the dyeing and processing of fabrics. Its product portfolio includes cotton fabric, polyester fabric, viscose fabric, and man-made and blended fabrics. It serves ready-made garment industry. The company was incorporated in 2007 and is based in Thane, 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 13:11
End of Day Share Price2020/02/17 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.