NSEI:MONTECARLO

Stock Analysis Report

Executive Summary

Monte Carlo Fashions Limited engages in manufacturing, and trading woolen/cotton readymade apparels under the Monte Carlo brand primarily in India.


Snowflake Analysis

Excellent balance sheet and good value.


Similar Companies

Share Price & News

How has Monte Carlo Fashions's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-12.9%

MONTECARLO

-4.4%

IN Luxury

-3.5%

IN Market


1 Year Return

-41.7%

MONTECARLO

12.8%

IN Luxury

5.2%

IN Market

Return vs Industry: MONTECARLO underperformed the Indian Luxury industry which returned 12.8% over the past year.

Return vs Market: MONTECARLO underperformed the Indian Market which returned 5.2% over the past year.


Shareholder returns

MONTECARLOIndustryMarket
7 Day-12.9%-4.4%-3.5%
30 Day-27.1%-1.4%-3.9%
90 Day-24.1%6.0%-2.1%
1 Year-41.7%-41.7%13.5%12.8%7.2%5.2%
3 Year-44.1%-46.7%45.8%44.0%18.9%12.4%
5 Year-56.5%-60.3%97.3%93.7%29.4%17.7%

Price Volatility Vs. Market

How volatile is Monte Carlo Fashions's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Monte Carlo Fashions undervalued compared to its fair value and its price relative to the market?

46.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MONTECARLO (₹206.6) is trading below our estimate of fair value (₹383.28)

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


Price To Earnings Ratio

PE vs Industry: MONTECARLO is good value based on its PE Ratio (8x) compared to the Luxury industry average (10.6x).

PE vs Market: MONTECARLO is good value based on its PE Ratio (8x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: MONTECARLO is overvalued based on its PB Ratio (0.9x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Monte Carlo Fashions forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

19.7%

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 Monte Carlo Fashions 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 Monte Carlo Fashions performed over the past 5 years?

-0.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MONTECARLO has high quality earnings.

Growing Profit Margin: MONTECARLO's current net profit margins (7.6%) are lower than last year (8.6%).


Past Earnings Growth Analysis

Earnings Trend: MONTECARLO's earnings have declined by -0.2% per year over the past 5 years.

Accelerating Growth: MONTECARLO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: MONTECARLO had negative earnings growth (-12.2%) over the past year, making it difficult to compare to the Luxury industry average (6.4%).


Return on Equity

High ROE: MONTECARLO's Return on Equity (11.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Monte Carlo Fashions's financial position?


Financial Position Analysis

Short Term Liabilities: MONTECARLO's short term assets (₹7.0B) exceed its short term liabilities (₹4.3B).

Long Term Liabilities: MONTECARLO's short term assets (₹7.0B) exceed its long term liabilities (₹992.1M).


Debt to Equity History and Analysis

Debt Level: MONTECARLO's debt to equity ratio (36.7%) is considered satisfactory.

Reducing Debt: MONTECARLO's debt to equity ratio has increased from 31.1% to 36.7% over the past 5 years.

Debt Coverage: MONTECARLO's debt is well covered by operating cash flow (43.2%).

Interest Coverage: MONTECARLO's interest payments on its debt are well covered by EBIT (6.5x coverage).


Balance Sheet

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

Debt Coverage by Assets: MONTECARLO's debt is covered by short term assets (assets are 4x debt).


Next Steps

Dividend

What is Monte Carlo Fashions's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%0.6%markettop25%2.7%industryaverage0.7%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if MONTECARLO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: MONTECARLO is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MONTECARLO'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?

5.8yrs

Average board tenure


CEO

Jawahar Oswal (76yo)

8.5yrs

Tenure

0

Mr. Jawahar Lal Oswal has been the Managing Director and Director of Monte Carlo Fashions Limited since August 10, 2011. Mr. Oswal serves as the Chairman and at Nahar Poly Films Limitedand served as its Ma ...


Board Members

NamePositionTenureCompensationOwnership
Jawahar Oswal
Chairman & MD8.5yrsno data0.54% 23.9m
Sandeep Jain
Executive Director11.6yrs₹18.83m0.0017% 74.0k
Monica Oswal
Executive Director3.5yrs₹9.18m1.66% 73.9m
Ruchika Oswal
Executive Director3.5yrs₹9.05m1.66% 73.9m
Rishabh Oswal
President of Commercial & Executive Director1.8yrs₹6.98m0.0024% 107.4k
Suresh Singla
Independent Director5.7yrs₹75.00kno data
Dinesh Gogna
Non-Executive Non-Independent Director11.6yrs₹125.00k0.0048% 214.7k
Ajit Chatha
Independent Director5.9yrs₹75.00kno data
Paurush Roy
Independent Director7.7yrsno datano data
Manisha Gupta
Independent Director5.7yrs₹100.00kno data

5.8yrs

Average Tenure

47.5yo

Average Age

Experienced Board: MONTECARLO's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: MONTECARLO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Monte Carlo Fashions Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Monte Carlo Fashions Limited
  • Ticker: MONTECARLO
  • Exchange: NSEI
  • Founded: 2008
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹4.455b
  • Shares outstanding: 20.73m
  • Website: https://www.montecarlocorporate.com

Number of Employees


Location

  • Monte Carlo Fashions Limited
  • B-XXIX-106 G.T. Road
  • Sherpur
  • Ludhiana
  • Punjab
  • 141003
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
538836BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2014
MONTECARLONSEI (National Stock Exchange of India)YesEquity SharesININRDec 2014

Biography

Monte Carlo Fashions Limited engages in manufacturing, and trading woolen/cotton readymade apparels under the Monte Carlo brand primarily in India. The company provides shirts, trousers, denims, Bermudas, lowers, hi-street fashion shirts, tops, dresses, jumpsuits, urban tunics, shrugs, shorts, capris, narrow pants, leggings, track suits, T-shirts, ties, belts, and socks for men, women, and tweens. It also offers home furnishings and kids’ apparel. The company sells its products through approximately 262 executive brand outlets, 2,500 multiple brand outlets, and 306 national chain stores, as well as through e-commerce Websites. Monte Carlo Fashions Limited was incorporated in 2008 and is based in Ludhiana, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/27 13:34
End of Day Share Price2020/02/27 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.