NSEI:JETKNIT

Stock Analysis Report

Executive Summary

Jet Knitwears Limited manufactures and exports cotton hosiery products for men and women in India.

Rewards

PE ratio (5.2x) is below the Indian market (12.8x)

Earnings grew by 13.9% over the past year

Risk Analysis

Interest payments are not well covered by earnings

Does not have a meaningful market cap (₹98M)



Snowflake Analysis

Proven track record and fair value.

Share Price & News

How has Jet Knitwears's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-4.7%

JETKNIT

0.6%

IN Luxury

-2.5%

IN Market


1 Year Return

-60.2%

JETKNIT

8.3%

IN Luxury

5.0%

IN Market

Return vs Industry: JETKNIT underperformed the Indian Luxury industry which returned 8.3% over the past year.

Return vs Market: JETKNIT underperformed the Indian Market which returned 5% over the past year.


Shareholder returns

JETKNITIndustryMarket
7 Day-4.7%0.6%-2.5%
30 Day12.3%-0.2%-1.3%
90 Dayn/a6.9%5.7%
1 Year-60.2%-60.2%9.1%8.3%7.0%5.0%
3 Yearn/a59.8%57.9%30.3%23.4%
5 Yearn/a109.6%105.9%42.1%29.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Jet Knitwears undervalued compared to its fair value and its price relative to the market?

5.17x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: JETKNIT (₹22.3) is trading above our estimate of fair value (₹3.08)

Significantly Below Fair Value: JETKNIT is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: JETKNIT is good value based on its PE Ratio (5.2x) compared to the Luxury industry average (10.4x).

PE vs Market: JETKNIT is good value based on its PE Ratio (5.2x) compared to the Indian market (12.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: JETKNIT is good value based on its PB Ratio (0.3x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Jet Knitwears 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 Jet Knitwears 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 Jet Knitwears performed over the past 5 years?

29.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JETKNIT has high quality earnings.

Growing Profit Margin: JETKNIT's current net profit margins (3.1%) are higher than last year (2.9%).


Past Earnings Growth Analysis

Earnings Trend: JETKNIT's earnings have grown significantly by 29% per year over the past 5 years.

Accelerating Growth: JETKNIT's earnings growth over the past year (13.9%) is below its 5-year average (29% per year).

Earnings vs Industry: JETKNIT earnings growth over the past year (13.9%) exceeded the Luxury industry 1%.


Return on Equity

High ROE: JETKNIT's Return on Equity (8.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Jet Knitwears's financial position?


Financial Position Analysis

Short Term Liabilities: JETKNIT's short term assets (₹349.6M) exceed its short term liabilities (₹193.9M).

Long Term Liabilities: JETKNIT's short term assets (₹349.6M) exceed its long term liabilities (₹10.2M).


Debt to Equity History and Analysis

Debt Level: JETKNIT's debt to equity ratio (72.6%) is considered high.

Reducing Debt: JETKNIT's debt to equity ratio has reduced from 238.9% to 72.6% over the past 5 years.

Debt Coverage: JETKNIT's debt is not well covered by operating cash flow (6.8%).

Interest Coverage: JETKNIT's interest payments on its debt are not well covered by EBIT (2.9x coverage).


Balance Sheet

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

Debt Coverage by Assets: JETKNIT's debt is covered by short term assets (assets are 2.8x debt).


Next Steps

Dividend

What is Jet Knitwears'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 JETKNIT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

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

Growing Dividend: Insufficient data to determine if JETKNIT'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 JETKNIT'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 Jet Knitwears's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average management tenure


CEO

Balram Narula (68yo)

4.5yrs

Tenure

₹540,000

Compensation

Mr. Balram Kumar Narula founded Jet Knitwears Pvt. Ltd. in 1996 and has been its Managing Director since June 01, 2015. Mr. Narula has a rich experience of more than 45 years in Manufacturing and Marketing ...


CEO Compensation Analysis

Compensation vs Market: Balram's total compensation ($USD7.60K) is below average for companies of similar size in the Indian market ($USD50.68K).

Compensation vs Earnings: Balram's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.3yrs

Average Tenure

62yo

Average Age

Experienced Management: JETKNIT's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

7.5yrs

Average Tenure

68yo

Average Age

Experienced Board: JETKNIT's board of directors are considered experienced (7.5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy₹73,20027 Mar 19
Kanchan Narula
EntityIndividual
Shares1,500
Max Price₹48.80
Buy₹72,82520 Mar 19
Usha Narula
EntityIndividual
Shares1,500
Max Price₹48.55

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Balram Narula (68yo)

    MD & Director

    • Tenure: 4.5yrs
    • Compensation: ₹540.00k
  • Anil Narula (63yo)

    Whole-Time Director

    • Tenure: 23.7yrs
    • Compensation: ₹540.00k
  • Rakesh Narula (61yo)

    Whole-Time Director

    • Tenure: 23.7yrs
    • Compensation: ₹540.00k
  • Ankur Narula (40yo)

    Chief Financial Officer

    • Tenure: 4.3yrs
    • Compensation: ₹600.00k
  • Rohit Narula

    President of Marketing

    • Tenure: 0yrs
    • Compensation: ₹480.00k
  • Gaurav Narula

    President of Production

    • Tenure: 0yrs
  • Saurabh Narula

    President of Sales

    • Tenure: 0yrs
  • Vaibhav Narula

    Vice President of Production - Kanpur

    • Tenure: 0yrs
  • Prashant Narula

    Vice President of Production - Tirupur

    • Tenure: 0yrs
  • Divya Saxena

    Company Secretary & Compliance Officer

    • Tenure: 2.1yrs
    • Compensation: ₹216.00k

Board Members

  • Balram Narula (68yo)

    MD & Director

    • Tenure: 4.5yrs
    • Compensation: ₹540.00k
  • Anil Narula (63yo)

    Whole-Time Director

    • Tenure: 23.7yrs
    • Compensation: ₹540.00k
  • Rakesh Narula (61yo)

    Whole-Time Director

    • Tenure: 23.7yrs
    • Compensation: ₹540.00k
  • Ashok Bajpai (68yo)

    Independent & Non-Executive Director

    • Tenure: 4.3yrs
  • Ramesh Chandra (81yo)

    Independent & Non-Executive Director

    • Tenure: 4.3yrs
  • Dinesh Parashar (69yo)

    Independent & Non-Executive Director

    • Tenure: 4.3yrs

Company Information

Jet Knitwears Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Jet Knitwears Limited
  • Ticker: JETKNIT
  • Exchange: NSEI
  • Founded: 1969
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹98.281m
  • Shares outstanding: 4.41m
  • Website: https://www.jetlycot.com

Number of Employees


Location

  • Jet Knitwears Limited
  • 119/410 B-1, Darshan Purwa
  • Kanpur
  • Uttar Pradesh
  • 208012
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JETKNITNSEI (National Stock Exchange of India)YesEquity SharesININROct 2016

Biography

Jet Knitwears Limited manufactures and exports cotton hosiery products for men and women in India. It offers vests, brassiere, panties, socks, t-shirts, thermals, lowers, etc.; and underwear, including box ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/10 13:11
End of Day Share Price2019/12/05 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.