NSEI:MOHOTAIND

Stock Analysis Report

Executive Summary

Mohota Industries Limited manufactures and sells yarn and fabrics primarily in India.


Snowflake Analysis

Adequate balance sheet and fair value.

Share Price & News

How has Mohota Industries's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-15.8%

MOHOTAIND

1.1%

IN Luxury

-0.07%

IN Market


1 Year Return

-82.2%

MOHOTAIND

17.4%

IN Luxury

9.5%

IN Market

Return vs Industry: MOHOTAIND underperformed the Indian Luxury industry which returned 17.4% over the past year.

Return vs Market: MOHOTAIND underperformed the Indian Market which returned 9.5% over the past year.


Shareholder returns

MOHOTAINDIndustryMarket
7 Day-15.8%1.1%-0.07%
30 Day-40.1%2.3%-1.3%
90 Day3.7%10.5%1.9%
1 Year-82.2%-82.2%18.1%17.4%11.5%9.5%
3 Year-90.9%-90.9%54.7%52.9%23.6%16.7%
5 Year-94.7%-94.7%107.0%100.1%35.5%22.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Mohota Industries undervalued compared to its fair value and its price relative to the market?

43.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MOHOTAIND (₹6.95) is trading below our estimate of fair value (₹12.34)

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


Price To Earnings Ratio

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

PE vs Market: MOHOTAIND 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 MOHOTAIND's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: MOHOTAIND is good value based on its PB Ratio (0.1x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Mohota Industries 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 Mohota Industries 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 Mohota Industries performed over the past 5 years?

-50.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MOHOTAIND is currently unprofitable.

Growing Profit Margin: MOHOTAIND is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MOHOTAIND is unprofitable, and losses have increased over the past 5 years at a rate of -50.5% per year.

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

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


Return on Equity

High ROE: MOHOTAIND has a negative Return on Equity (-13.47%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Mohota Industries's financial position?


Financial Position Analysis

Short Term Liabilities: MOHOTAIND's short term assets (₹841.4M) exceed its short term liabilities (₹733.7M).

Long Term Liabilities: MOHOTAIND's short term assets (₹841.4M) exceed its long term liabilities (₹216.5M).


Debt to Equity History and Analysis

Debt Level: MOHOTAIND's debt to equity ratio (35.2%) is considered satisfactory.

Reducing Debt: MOHOTAIND's debt to equity ratio has reduced from 202.7% to 35.2% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: MOHOTAIND's debt is covered by short term assets (assets are 1.2x debt).


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: MOHOTAIND has been profitable on average in the past, therefore cash runway is not a concern.

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


Next Steps

Dividend

What is Mohota Industries's current dividend yield, its reliability and sustainability?

1.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MOHOTAIND's dividend (1.33%) is higher than the bottom 25% of dividend payers in the Indian market (0.59%).

High Dividend: MOHOTAIND's dividend (1.33%) is low compared to the top 25% of dividend payers in the Indian market (2.59%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, MOHOTAIND has been paying a dividend for less than 10 years.

Growing Dividend: MOHOTAIND's dividend payments have increased, but the company has only paid a dividend for 6 years.


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: 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?

1.0yrs

Average board tenure


CEO

Vinod Kumar Mohota (58yo)

₹1,454,000

Compensation

Mr. VinodKumar Ranchhoddas Mohota has been Chairman of Mohota Industries Limited since November 14, 2018. Mr. Mohota serves as the Managing Director and Executive Director of Rai Saheb Rekhchand Mohota Spg ...


CEO Compensation Analysis

Compensation vs Market: Vinod Kumar's total compensation ($USD20.24K) is below average for companies of similar size in the Indian market ($USD50.06K).

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


Board Members

NamePositionTenureCompensationOwnership
Vinod Kumar Mohota
Chairman & MD0yrs₹1.45m0.91% 957.7k
Vinay Mohota
Whole-Time Director13.8yrs₹1.32m2.39% 2.5m
Santosh Rajpuria
Whole Time Director & Senior Manager of Secretarial1yrs₹321.60k0.014% 14.3k
Krishnakant Purshottam Tekriwal
Non Executive Director4.8yrs₹6.00kno data
Likhit Masram
Independent Non-executive Director1yrs₹4.00kno data
Ravindra Paliwal
Additional Independent Director0.9yrsno datano data
Vijaya Mohota
Additional Non-Executive Independent Woman Director0.4yrsno datano data

1.0yrs

Average Tenure

52yo

Average Age

Experienced Board: MOHOTAIND's board of directors are not considered experienced ( 1 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

Mohota Industries Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mohota Industries Limited
  • Ticker: MOHOTAIND
  • Exchange: NSEI
  • Founded: 1898
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹105.450m
  • Shares outstanding: 14.71m
  • Website: https://www.mohotaindustries.com

Number of Employees


Location

  • Mohota Industries Limited
  • Ram Mandir Ward
  • Wardha District
  • Hinganghat
  • Maharashtra
  • 442301
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
530047BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2003
MOHOTAINDNSEI (National Stock Exchange of India)YesEquity SharesININRFeb 2003

Biography

Mohota Industries Limited manufactures and sells yarn and fabrics primarily in India. The company offers various synthetic/cotton/polycotton ring spun yarns; and cotton, single and double dyed, cross dyed, and grey/RFD, as well as plain, twill, and satin bleached and dyed fabrics. It also exports its products to Europe, South America, the Middle East, and the Far East countries. The company was formerly known as The Rai Saheb Rekhchand Mohota Spinning & Weaving Mills Ltd. and changed its name to Mohota Industries Limited in November 2017. Mohota Industries Limited was founded in 1898 and is headquartered in Hinganghat, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 13:10
End of Day Share Price2020/02/24 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.