NSEI:PASHUPATI

Stock Analysis Report

Executive Summary

Pashupati Cotspin Limited manufactures, processes, and sells cotton yarns in India.

Rewards

Trading at 97.2% below its fair value

Risk Analysis

Earnings have declined by -14.02% per year over past 5 years

Interest payments are not well covered by earnings

Does not have a meaningful market cap (₹591M)

Unstable dividend track record



Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Pashupati Cotspin's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

PASHUPATI

-0.5%

IN Luxury

-1.5%

IN Market


1 Year Return

15.0%

PASHUPATI

18.2%

IN Luxury

10.7%

IN Market

Return vs Industry: PASHUPATI underperformed the Indian Luxury industry which returned 18.4% over the past year.

Return vs Market: PASHUPATI exceeded the Indian Market which returned 11.1% over the past year.


Shareholder returns

PASHUPATIIndustryMarket
7 Day0%-0.5%-1.5%
30 Day-8.7%3.0%-2.7%
90 Dayn/a9.2%1.3%
1 Year15.8%15.0%19.0%18.2%12.7%10.7%
3 Yearn/a52.2%48.8%22.0%15.1%
5 Yearn/a106.9%100.1%34.5%22.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Pashupati Cotspin 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: PASHUPATI (₹57.5) is trading below our estimate of fair value (₹2038.01)

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


Price To Earnings Ratio

PE vs Industry: PASHUPATI is poor value based on its PE Ratio (15.7x) compared to the Luxury industry average (11.1x).

PE vs Market: PASHUPATI is poor value based on its PE Ratio (15.7x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PASHUPATI is overvalued based on its PB Ratio (0.8x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Pashupati Cotspin 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 Pashupati 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.


Next Steps

Past Performance

How has Pashupati Cotspin performed over the past 5 years?

-14.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PASHUPATI has high quality earnings.

Growing Profit Margin: PASHUPATI's current net profit margins (0.8%) are lower than last year (1%).


Past Earnings Growth Analysis

Earnings Trend: PASHUPATI's earnings have declined by -14% per year over the past 5 years.

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

Earnings vs Industry: PASHUPATI had negative earnings growth (-14.8%) over the past year, making it difficult to compare to the Luxury industry average (2.7%).


Return on Equity

High ROE: PASHUPATI's Return on Equity (5.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Pashupati Cotspin's financial position?


Financial Position Analysis

Short Term Liabilities: PASHUPATI's short term assets (₹1.0B) exceed its short term liabilities (₹872.3M).

Long Term Liabilities: PASHUPATI's short term assets (₹1.0B) exceed its long term liabilities (₹628.6M).


Debt to Equity History and Analysis

Debt Level: PASHUPATI's debt to equity ratio (163%) is considered high.

Reducing Debt: PASHUPATI's debt to equity ratio has reduced from 381.5% to 163% over the past 5 years.

Debt Coverage: PASHUPATI's debt is well covered by operating cash flow (46.4%).

Interest Coverage: PASHUPATI's interest payments on its debt are not well covered by EBIT (1.3x coverage).


Balance Sheet

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

Debt Coverage by Assets: PASHUPATI's debt is not covered by short term assets (assets are 0.9x debt).


Next Steps

Dividend

What is Pashupati Cotspin's current dividend yield, its reliability and sustainability?

0.87%

Current Dividend Yield


Dividend Yield vs Market

company0.9%marketbottom25%0.6%markettop25%2.6%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: PASHUPATI's dividend (0.87%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: PASHUPATI's dividend (0.87%) is low compared to the top 25% of dividend payers in the Indian market (2.55%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether PASHUPATI's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if PASHUPATI's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (13.6%), PASHUPATI's dividend payments are thoroughly 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?

2.6yrs

Average management tenure


CEO

Saurinbhai Parikh (47yo)

2.6yrs

Tenure

0

Mr. Saurinbhai Jagdish-Bhai Parikh has been Chairman and Managing Director of Pashupati Cotspin Limited since July 03, 2017. Mr. Parikh is responsible for the expansion and overall management of the busine ...


Leadership Team

NamePositionTenureCompensationOwnership
Hareshkumar Shah
Chief Financial Officer2.6yrs₹300.00kno data
Bijal Thakkar
Company Secretary & Compliance Officer2.3yrs₹213.60kno data
Tushar Trivedi
Whole-Time Director2.6yrs₹240.00k8.02% 47.4m
Saurinbhai Parikh
Chairman & MD2.6yrsno data46.67% 276.0m

2.6yrs

Average Tenure

Experienced Management: PASHUPATI's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Tushar Trivedi
Whole-Time Director2.6yrs₹240.00k8.02% 47.4m
Saurinbhai Parikh
Chairman & MD2.6yrsno data46.67% 276.0m
Daksheshbhai Patel
Non Executive Director2.6yrsno data10.21% 60.4m
Sandip Parikh
Non-Executive Independent Director2.6yrsno datano data
Sheela Roy
Non-Executive Independent Director2.6yrsno datano data

2.6yrs

Average Tenure

50yo

Average Age

Experienced Board: PASHUPATI's board of directors are not considered experienced ( 2.6 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

Pashupati Cotspin Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pashupati Cotspin Limited
  • Ticker: PASHUPATI
  • Exchange: NSEI
  • Founded: 2013
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹591.330m
  • Shares outstanding: 10.28m
  • Website: https://www.pashupaticotspin.com

Number of Employees


Location

  • Pashupati Cotspin Limited
  • D-707, Ganesh Meridian
  • Opposite Gujarat High Court
  • Ahmedabad
  • Gujarat
  • 380060
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PASHUPATINSEI (National Stock Exchange of India)YesEquity SharesININROct 2017

Biography

Pashupati Cotspin Limited manufactures, processes, and sells cotton yarns in India. The company offers cotton yarns that include BCI/organic/fair trade cotton yarns and compact/combed/carded-knitting/weaving yarns; cotton bales; and cotton seeds. It also engages in the cotton ginning, cleaning, and bailing activities. Pashupati Cotspin Limited was incorporated in 2013 and is based in Ahmedabad, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 13:17
End of Day Share Price2020/02/05 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.