Laxmi Cotspin Limited engages in processing and selling textiles in India.
+ 1 more risk
Undervalued with adequate balance sheet.
Share Price & News
How has Laxmi Cotspin's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LAXMICOT's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: Insufficient data to determine how LAXMICOT performed against the Indian Luxury industry.
Return vs Market: Insufficient data to determine how LAXMICOT performed against the Indian Market.
Price Volatility Vs. Market
How volatile is Laxmi Cotspin's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StHere's How P/E Ratios Can Help Us Understand Laxmi Cotspin Limited (NSE:LAXMICOT)
1 month ago | Simply Wall StWho Has Been Buying Laxmi Cotspin Limited (NSE:LAXMICOT) Shares?
2 months ago | Simply Wall StHow Much Of Laxmi Cotspin Limited (NSE:LAXMICOT) Do Insiders Own?
Is Laxmi Cotspin undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LAXMICOT (₹7.05) is trading below our estimate of fair value (₹23.71)
Significantly Below Fair Value: LAXMICOT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LAXMICOT is good value based on its PE Ratio (5.7x) compared to the Luxury industry average (7.8x).
PE vs Market: LAXMICOT is good value based on its PE Ratio (5.7x) compared to the Indian market (9.2x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate LAXMICOT's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: LAXMICOT is good value based on its PB Ratio (0.3x) compared to the IN Luxury industry average (0.4x).
How is Laxmi Cotspin forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 Laxmi Cotspin 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.
- Examine whether Laxmi Cotspin is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Laxmi Cotspin competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Consumer Durables industry.
How has Laxmi Cotspin performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LAXMICOT has high quality earnings.
Growing Profit Margin: LAXMICOT's current net profit margins (1.3%) are lower than last year (1.9%).
Past Earnings Growth Analysis
Earnings Trend: LAXMICOT's earnings have grown by 3.2% per year over the past 5 years.
Accelerating Growth: LAXMICOT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: LAXMICOT had negative earnings growth (-33%) over the past year, making it difficult to compare to the Luxury industry average (6.4%).
Return on Equity
High ROE: LAXMICOT's Return on Equity (4.4%) is considered low.
How is Laxmi Cotspin's financial position?
Financial Position Analysis
Short Term Liabilities: LAXMICOT's short term assets (₹612.6M) exceed its short term liabilities (₹353.4M).
Long Term Liabilities: LAXMICOT's short term assets (₹612.6M) exceed its long term liabilities (₹132.3M).
Debt to Equity History and Analysis
Debt Level: LAXMICOT's debt to equity ratio (79.9%) is considered high.
Reducing Debt: LAXMICOT's debt to equity ratio has reduced from 98.8% to 79.9% over the past 5 years.
Debt Coverage: LAXMICOT's debt is well covered by operating cash flow (37.4%).
Interest Coverage: LAXMICOT's interest payments on its debt are not well covered by EBIT (2x coverage).
Inventory Level: LAXMICOT has a high level of physical assets or inventory.
Debt Coverage by Assets: LAXMICOT's debt is covered by short term assets (assets are 1.6x debt).
What is Laxmi Cotspin's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LAXMICOT's dividend (7.09%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).
High Dividend: LAXMICOT's dividend (7.09%) is in the top 25% of dividend payers in the Indian market (4.18%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, LAXMICOT has been paying a dividend for less than 10 years.
Growing Dividend: LAXMICOT has only been paying a dividend for 2 years, and since then payments have not increased.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (40.4%), LAXMICOT's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Sanjay Rathi (53yo)
Mr. Sanjay Kachrulal Rathi has been Managing Director and Director of Laxmi Cotspin Limited since January 2, 2015 and October 19, 2005 respectively and served as its Chairman.
CEO Compensation Analysis
Compensation vs Market: Sanjay's total compensation ($USD55.72K) is about average for companies of similar size in the Indian market ($USD48.50K).
Compensation vs Earnings: Sanjay's compensation has been consistent with company performance over the past year.
|MD & Director||5.17yrs||₹4.20m||1.47% ₹1.8m|
|Additional Executive Director||3.75yrs||no data||1.94% ₹2.3m|
|Non-Executive Chairman||no data||no data||5.33% ₹6.4m|
|Non Executive Director||3yrs||no data||0.14% ₹165.2k|
|Non Executive Independent Director||no data||no data||no data|
|Non Executive Independent Director||no data||no data||0.035% ₹42.3k|
Experienced Board: LAXMICOT's board of directors are considered experienced (3.8 years average tenure).
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Laxmi Cotspin Limited's company bio, employee growth, exchange listings and data sources
- Name: Laxmi Cotspin Limited
- Ticker: LAXMICOT
- Exchange: NSEI
- Founded: 2005
- Industry: Textiles
- Sector: Consumer Durables
- Market Cap: ₹120.891m
- Shares outstanding: 17.15m
- Website: https://www.laxmicotspin.com
Number of Employees
- Laxmi Cotspin Limited
- Gut No.399
- Opposite Meenatai Thakare Vridhashram
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|LAXMICOT||NSEI (National Stock Exchange of India)||Yes||Equity Shares||IN||INR||Oct 2017|
Laxmi Cotspin Limited engages in processing and selling textiles in India. It provides cotton yarn, fabrics, and garments. The company also offers cotton bales, seeds, and oil and oil cakes. It exports its products to Asia and European countries. The company was incorporated in 2005 and is based in Jalna, India.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/03/28 13:41|
|End of Day Share Price||2020/03/25 00:00|
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.