NSEI:PATSPINLTD

Stock Analysis Report

Executive Summary

Patspin India Limited manufactures and sells combed cotton yarns in India.

Rewards

Trading at 95.7% below its fair value

Risk Analysis

Earnings have declined by -26.61% per year over past 5 years

Does not have a meaningful market cap (₹122M)

Currently unprofitable and not forecast to become profitable over the next 3 years

Highly volatile share price over past 3 months



Snowflake Analysis

Fair value with imperfect balance sheet.

Share Price & News

How has Patspin India's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-20.0%

PATSPINLTD

-0.5%

IN Luxury

-1.5%

IN Market


1 Year Return

-61.8%

PATSPINLTD

18.2%

IN Luxury

10.7%

IN Market

Return vs Industry: PATSPINLTD underperformed the Indian Luxury industry which returned 18.2% over the past year.

Return vs Market: PATSPINLTD underperformed the Indian Market which returned 10.7% over the past year.


Shareholder returns

PATSPINLTDIndustryMarket
7 Day-20.0%-0.5%-1.5%
30 Day-29.6%3.0%-2.7%
90 Day-27.6%9.2%1.3%
1 Year-61.8%-61.8%19.0%18.2%12.7%10.7%
3 Year-73.2%-73.2%52.2%48.8%22.0%15.1%
5 Year-47.2%-47.2%106.9%100.1%34.5%22.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Patspin India 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: PATSPINLTD (₹3.8) is trading below our estimate of fair value (₹87.45)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: PATSPINLTD is good value based on its PB Ratio (0.3x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is Patspin India 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 Patspin India 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 Patspin India performed over the past 5 years?

-26.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PATSPINLTD is currently unprofitable.

Growing Profit Margin: PATSPINLTD is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PATSPINLTD is unprofitable, and losses have increased over the past 5 years at a rate of -26.6% per year.

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

Earnings vs Industry: PATSPINLTD is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (5.6%).


Return on Equity

High ROE: PATSPINLTD has a negative Return on Equity (-58.63%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Patspin India's financial position?


Financial Position Analysis

Short Term Liabilities: PATSPINLTD's short term assets (₹1.3B) do not cover its short term liabilities (₹2.3B).

Long Term Liabilities: PATSPINLTD's short term assets (₹1.3B) exceed its long term liabilities (₹606.1M).


Debt to Equity History and Analysis

Debt Level: PATSPINLTD's debt to equity ratio (395%) is considered high.

Reducing Debt: PATSPINLTD's debt to equity ratio has reduced from 806% to 395% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: PATSPINLTD's debt is not covered by short term assets (assets are 0.8x 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: Insufficient data to determine if PATSPINLTD has enough cash runway based on its current free cash flow.

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


Next Steps

Dividend

What is Patspin India's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.6%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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


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: No need to calculate the sustainability of PATSPINLTD'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?

4.9yrs

Average management tenure


CEO

Umang Patodia (50yo)

12.8yrs

Tenure

0

Mr. Umang Patodia has been the Managing Director of Patspin India Ltd., since April 1, 2007. Mr. Patodia has 16 years of experience. He serves as an Executive Director of Patspin India Ltd. He served as an ...


CEO Compensation Analysis

Compensation vs Market: Umang's total compensation ($USD0.00) is below average for companies of similar size in the Indian market ($USD50.34K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Umang Patodia
MD & Executive Director12.8yrsno data0.037% 45.4k
T. Ravindran
CFO & GM of Finance3.8yrs₹1.78m0.00032% 390.8
Dipu George
Company Secretary & Compliance Officer4.9yrs₹479.46k0.000030% 36.6

4.9yrs

Average Tenure

Experienced Management: PATSPINLTD's management team is considered experienced (4.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Umang Patodia
MD & Executive Director12.8yrsno data0.037% 45.4k
Binod Patodia
Non-Executive Chairman0yrs₹30.00k0.22% 272.0k
N. Bafna
Independent Director19.7yrs₹85.00kno data
Prem Malik
Independent Director7.8yrs₹62.50kno data
Rajesh Jacob
Nominee Director3.3yrs₹7.50kno data
Sthanunathan Sundareshan
Independent Director5.4yrs₹67.50kno data
Kalpana Thakker
Woman Director0.3yrsno datano data

5.4yrs

Average Tenure

70.5yo

Average Age

Experienced Board: PATSPINLTD's board of directors are considered experienced (5.4 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Patspin India Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Patspin India Limited
  • Ticker: PATSPINLTD
  • Exchange: NSEI
  • Founded: 1991
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹122.134m
  • Shares outstanding: 30.92m
  • Website: https://www.patspin.com

Number of Employees


Location

  • Patspin India Limited
  • 43, Mittal Chambers
  • 4th Floor
  • Mumbai
  • Maharashtra
  • 400021
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
514326BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 1995
PATSPINLTDNSEI (National Stock Exchange of India)YesEquity SharesININRMay 1995

Biography

Patspin India Limited manufactures and sells combed cotton yarns in India. It offers yarns of various counts from NE 20’s to NE 100’s. The company also exports its products. Patspin India Limited was incorporated in 1991 and is based in Mumbai, India. 


Company Analysis and Financial Data Status

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