NSEI:PIONEEREMB

Stock Analysis Report

Executive Summary

Pioneer Embroideries Limited, together with its subsidiaries, manufactures and sells embroideries, torchon/bobbin laces, raschel laces, and other garment accessories in India.

Rewards

Trading at 56.3% below its fair value

Became profitable this year

Risk Analysis

Interest payments are not well covered by earnings

Shareholders have been diluted in the past year

Does not have a meaningful market cap (₹821M)



Snowflake Analysis

Adequate balance sheet with acceptable track record.

Share Price & News

How has Pioneer Embroideries's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-5.3%

PIONEEREMB

1.5%

IN Luxury

-0.1%

IN Market


1 Year Return

16.2%

PIONEEREMB

16.3%

IN Luxury

10.4%

IN Market

Return vs Industry: PIONEEREMB matched the Indian Luxury industry which returned 15.4% over the past year.

Return vs Market: PIONEEREMB exceeded the Indian Market which returned 6.7% over the past year.


Shareholder returns

PIONEEREMBIndustryMarket
7 Day-5.3%1.5%-0.1%
30 Day5.8%5.8%1.8%
90 Day10.7%1.3%3.7%
1 Year16.2%16.2%17.1%16.3%12.4%10.4%
3 Year-41.7%-41.7%57.2%55.3%28.8%21.7%
5 Year21.4%21.4%94.8%91.5%35.7%23.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Pioneer Embroideries 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: PIONEEREMB (₹32.2) is trading below our estimate of fair value (₹73.65)

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


Price To Earnings Ratio

PE vs Industry: PIONEEREMB is poor value based on its PE Ratio (16.8x) compared to the Luxury industry average (11.2x).

PE vs Market: PIONEEREMB is poor value based on its PE Ratio (16.8x) compared to the Indian market (13.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PIONEEREMB is overvalued based on its PB Ratio (1x) compared to the IN Luxury industry average (0.6x).


Next Steps

Future Growth

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

19.3%

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 Pioneer Embroideries 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 Pioneer Embroideries performed over the past 5 years?

-15.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PIONEEREMB has high quality earnings.

Growing Profit Margin: PIONEEREMB became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PIONEEREMB has become profitable over the past 5 years, growing earnings by -15.1% per year.

Accelerating Growth: PIONEEREMB has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PIONEEREMB has become profitable in the last year, making it difficult to compare its past year earnings growth to the Luxury industry (1.2%).


Return on Equity

High ROE: PIONEEREMB's Return on Equity (5.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Pioneer Embroideries's financial position?


Financial Position Analysis

Short Term Liabilities: PIONEEREMB's short term assets (₹935.1M) exceed its short term liabilities (₹841.6M).

Long Term Liabilities: PIONEEREMB's short term assets (₹935.1M) exceed its long term liabilities (₹214.5M).


Debt to Equity History and Analysis

Debt Level: PIONEEREMB's debt to equity ratio (41.4%) is considered high.

Reducing Debt: PIONEEREMB's debt to equity ratio has reduced from 175.2% to 41.4% over the past 5 years.

Debt Coverage: PIONEEREMB's debt is well covered by operating cash flow (76.6%).

Interest Coverage: PIONEEREMB's interest payments on its debt are not well covered by EBIT (1.8x coverage).


Balance Sheet

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

Debt Coverage by Assets: PIONEEREMB's debt is covered by short term assets (assets are 2.8x debt).


Next Steps

Dividend

What is Pioneer Embroideries's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.5%markettop25%2.3%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if PIONEEREMB'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 PIONEEREMB's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of Pioneer Embroideries's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Harsh Bassi (45yo)

5.7yrs

Tenure

₹4,096,458

Compensation

Mr. Harsh Vardhan Bassi has been the Managing Director of Pioneer Embroideries Limited since May 23, 2014. Mr. Bassi served as a Compliance Officer of Pioneer Embroideries Limited until September 2008. Mr. ...


CEO Compensation Analysis

Compensation vs Market: Harsh's total compensation ($USD57.81K) is about average for companies of similar size in the Indian market ($USD50.75K).

Compensation vs Earnings: Harsh's compensation has been consistent with company performance over the past year.


Management Age and Tenure

3.6yrs

Average Tenure

60yo

Average Age

Experienced Management: PIONEEREMB's management team is considered experienced (3.6 years average tenure).


Board Age and Tenure

5.8yrs

Average Tenure

62.5yo

Average Age

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


Insider Trading

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 3.9%.


Management Team

  • Raj Sekhani (60yo)

    Executive Chairman

    • Tenure: 12.4yrs
    • Compensation: ₹6.04m
  • Harsh Bassi (45yo)

    MD & Executive Director

    • Tenure: 5.7yrs
    • Compensation: ₹4.10m
  • Ami Thakkar

    Compliance Officer & Company Secretary

    • Tenure: 3.6yrs
    • Compensation: ₹600.00k
  • Gangadharan Kandam Panicker (65yo)

    Executive Director

    • Tenure: 2.7yrs
    • Compensation: ₹2.00m
  • Deepak Sipani

    Chief Financial Officer

    • Tenure: 1.2yrs
    • Compensation: ₹1.81m

Board Members

  • Raj Sekhani (60yo)

    Executive Chairman

    • Tenure: 12.4yrs
    • Compensation: ₹6.04m
  • Harsh Bassi (45yo)

    MD & Executive Director

    • Tenure: 5.7yrs
    • Compensation: ₹4.10m
  • Joginder Baweja (66yo)

    Independent Director

    • Tenure: 5.9yrs
    • Compensation: ₹77.50k
  • Gopalkrishnan Sivaraman (66yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: ₹77.50k
  • Sujata Chakravarthy (59yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: ₹37.50k
  • Gangadharan Kandam Panicker (65yo)

    Executive Director

    • Tenure: 2.7yrs
    • Compensation: ₹2.00m

Company Information

Pioneer Embroideries Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pioneer Embroideries Limited
  • Ticker: PIONEEREMB
  • Exchange: NSEI
  • Founded: 1991
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹755.923m
  • Shares outstanding: 24.95m
  • Website: https://www.pelhakoba.com

Number of Employees


Location

  • Pioneer Embroideries Limited
  • Orient House
  • Unit No. 21 to 25, 2nd Floor
  • Mumbai
  • Maharashtra
  • 400062
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
514300BSE (Mumbai Stock Exchange)YesEquity SharesININROct 2004
PIONEEREMBNSEI (National Stock Exchange of India)YesEquity SharesININROct 2004

Biography

Pioneer Embroideries Limited, together with its subsidiaries, manufactures and sells embroideries, torchon/bobbin laces, raschel laces, and other garment accessories in India. Its products include dope dyed polyester yarns; embroidered laces-fabric and guipure, and embroidered dress materials; braided laces; embroidered fabrics, allover fabrics, and laces; and apparel. The company also provides elastics, flat bed knitted laces, and motifs/collars/necks. In addition, the company engages in the retail of embroidered clothing under the Hakoba brand. It also exports its products. Pioneer Embroideries Limited was founded 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 Analysis2020/01/27 12:58
End of Day Share Price2020/01/27 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.