NSEI:LOVABLE

Stock Analysis Report

Executive Summary

Lovable Lingerie Limited manufactures and sells women’s innerwear in India.


Snowflake Analysis

Flawless balance sheet and fair value.

Share Price & News

How has Lovable Lingerie's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LOVABLE's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-9.3%

LOVABLE

-2.4%

IN Luxury

-3.0%

IN Market


1 Year Return

-63.7%

LOVABLE

-26.9%

IN Luxury

-29.2%

IN Market

Return vs Industry: LOVABLE underperformed the Indian Luxury industry which returned -26.9% over the past year.

Return vs Market: LOVABLE underperformed the Indian Market which returned -29.2% over the past year.


Shareholder returns

LOVABLEIndustryMarket
7 Day-9.3%-2.4%-3.0%
30 Day-42.6%-28.4%-26.9%
90 Day-49.2%-25.6%-28.5%
1 Year-63.4%-63.7%-26.2%-26.9%-27.7%-29.2%
3 Year-84.6%-84.8%0.8%-1.6%-15.2%-19.9%
5 Year-88.5%-88.7%43.7%38.6%-3.1%-8.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Lovable Lingerie undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LOVABLE (₹37.45) is trading below our estimate of fair value (₹107.8)

Significantly Below Fair Value: LOVABLE is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: LOVABLE is unprofitable, so we can't compare its PE Ratio to the Luxury industry average.

PE vs Market: LOVABLE is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: LOVABLE is good value based on its PB Ratio (0.3x) compared to the IN Luxury industry average (0.4x).


Next Steps

Future Growth

How is Lovable Lingerie forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

19.9%

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 Lovable Lingerie 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 Lovable Lingerie performed over the past 5 years?

-52.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LOVABLE is currently unprofitable.

Growing Profit Margin: LOVABLE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LOVABLE is unprofitable, and losses have increased over the past 5 years at a rate of -52.6% per year.

Accelerating Growth: Unable to compare LOVABLE's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: LOVABLE is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (6.4%).


Return on Equity

High ROE: LOVABLE has a negative Return on Equity (-0.19%), as it is currently unprofitable.


Next Steps

Financial Health

How is Lovable Lingerie's financial position?


Financial Position Analysis

Short Term Liabilities: LOVABLE's short term assets (₹1.1B) exceed its short term liabilities (₹260.4M).

Long Term Liabilities: LOVABLE's short term assets (₹1.1B) exceed its long term liabilities (₹98.5M).


Debt to Equity History and Analysis

Debt Level: LOVABLE is debt free.

Reducing Debt: LOVABLE has no debt compared to 5 years ago when its debt to equity ratio was 4%.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if LOVABLE's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: LOVABLE has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: Insufficient data to determine if LOVABLE has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Lovable Lingerie's current dividend yield, its reliability and sustainability?

1.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: LOVABLE's dividend (1.33%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).

High Dividend: LOVABLE's dividend (1.33%) is low compared to the top 25% of dividend payers in the Indian market (4.18%).


Stability and Growth of Payments

Stable Dividend: LOVABLE has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: LOVABLE has only been paying a dividend for 9 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: LOVABLE is paying a dividend but the company is unprofitable.


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.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.8yrs

Average management tenure


CEO

Lattupalli Reddy (51yo)

10.08s

Tenure

₹1,897,000

Compensation

Mr. Lattupalli Vinay Reddy has been the Chairman and Managing Director of Lovable Lingerie Limited since February 1, 2010 and served as its Compliance Officer. Mr. Reddy serves as Director of Lovable Linge ...


CEO Compensation Analysis

Compensation vs Market: Lattupalli's total compensation ($USD25.17K) is below average for companies of similar size in the Indian market ($USD48.50K).

Compensation vs Earnings: Lattupalli's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Lattupalli Reddy
Chairman & MD10.08yrs₹1.90m61.51% 342.7m
Raghunathan Govindarajan
Chief Financial Officer6.83yrs₹1.14mno data
Divya Shrimali
Company Secretary & Compliance Officer2.08yrs₹411.56kno data
Prakash Ramanna
General Manager of Sales & Marketingno data₹973.00kno data
Lakshmipuram Srinivasan
Head of Procurement & Planningno data₹635.00kno data

6.8yrs

Average Tenure

51yo

Average Age

Experienced Management: LOVABLE's management team is seasoned and experienced (6.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Lattupalli Reddy
Chairman & MD10.08yrs₹1.90m61.51% 342.7m
Sivabalan Pandian
Independent Non-Executive Director9.5yrs₹60.00kno data
Gopal Sehjpal
Non-Executive Independent Director9.5yrs₹89.00kno data
Anantharaman Mahadevan
Non-Executive Independent Director8.5yrs₹53.00kno data
Taruna Reddy
Non-Executive Non Independent Woman Director5yrs₹33.00k2.3% 12.8m

9.5yrs

Average Tenure

61yo

Average Age

Experienced Board: LOVABLE's board of directors are considered experienced (9.5 years average tenure).


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 been diluted in the past year, with total shares outstanding growing by 11.4%.


Top Shareholders

Company Information

Lovable Lingerie Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lovable Lingerie Limited
  • Ticker: LOVABLE
  • Exchange: NSEI
  • Founded: 1987
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹557.220m
  • Shares outstanding: 14.80m
  • Website: https://www.lovableindia.in

Number of Employees


Location

  • Lovable Lingerie Limited
  • A-46, Road No. 2
  • MIDC
  • Mumbai
  • Maharashtra
  • 400093
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
533343BSE (Mumbai Stock Exchange)YesEquity SharesININRMar 2011
LOVABLENSEI (National Stock Exchange of India)YesEquity SharesININRMar 2011

Biography

Lovable Lingerie Limited manufactures and sells women’s innerwear in India. Its products include brassieres, panties, slips/camisoles, homewear, shapewear, foundation garments, and sleepwear products. The company also offers athleisure, bottoms, capris, long tops, printed tracks, shorts, and tops. The company offers its products primarily under the Lovable, Daisy Dee, and College Style brands. Lovable Lingerie Limited was incorporated in 1987 and is headquartered in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 13:09
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.