NSEI:SGL

Stock Analysis Report

Executive Summary

STL Global Limited manufactures and sells textile products in India.


Snowflake Analysis

Good value with acceptable track record.

Share Price & News

How has STL Global's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

SGL

-4.4%

IN Luxury

-3.5%

IN Market


1 Year Return

4.0%

SGL

12.8%

IN Luxury

5.2%

IN Market

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

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


Shareholder returns

SGLIndustryMarket
7 Day0%-4.4%-3.5%
30 Day-9.0%-1.4%-3.9%
90 Day7.4%6.0%-2.1%
1 Year4.0%4.0%13.5%12.8%7.2%5.2%
3 Year-48.0%-48.0%45.8%44.0%18.9%12.4%
5 Year167.3%167.3%97.3%93.7%29.4%17.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is STL Global 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: SGL (₹6.55) is trading below our estimate of fair value (₹24.88)

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


Price To Earnings Ratio

PE vs Industry: SGL is good value based on its PE Ratio (0.4x) compared to the Luxury industry average (10.6x).

PE vs Market: SGL is good value based on its PE Ratio (0.4x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SGL has negative assets, so we can't compare its PB Ratio to the IN Luxury industry average.


Next Steps

Future Growth

How is STL Global 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 STL Global 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 STL Global performed over the past 5 years?

66.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SGL has a high level of non-cash earnings.

Growing Profit Margin: SGL's current net profit margins (32.2%) are higher than last year (25.5%).


Past Earnings Growth Analysis

Earnings Trend: SGL has become profitable over the past 5 years, growing earnings by 66% per year.

Accelerating Growth: SGL's earnings growth over the past year (48.6%) is below its 5-year average (66% per year).

Earnings vs Industry: SGL earnings growth over the past year (48.6%) exceeded the Luxury industry 6.4%.


Return on Equity

High ROE: SGL's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is STL Global's financial position?


Financial Position Analysis

Short Term Liabilities: SGL has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: SGL has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: SGL has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: SGL's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: SGL's debt is not well covered by operating cash flow (16.8%).

Interest Coverage: SGL earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: SGL has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Next Steps

Dividend

What is STL Global's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if SGL'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 SGL'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?

4.0yrs

Average board tenure


CEO

Vishal Aggarwal (48yo)

2.8yrs

Tenure

₹1,200,000

Compensation

Mr. Vishal Aggarwal, B.Tech., MBA, has been the Chairman and Managing Director at STL Global Limited since April 1, 2017. Mr. Aggarwal served as the Joint Managing Director of STL Global Ltd (formerly know ...


CEO Compensation Analysis

Compensation vs Market: Vishal's total compensation ($USD16.76K) is below average for companies of similar size in the Indian market ($USD50.10K).

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


Board Members

NamePositionTenureCompensationOwnership
Vishal Aggarwal
Chairman & MD2.8yrs₹1.20m4.62% 8.2m
Sanjiv Aggarwal
Whole Time Director14.4yrs₹900.00kno data
Anjana Mehra
Non-Executive Woman Independent Director5.1yrs₹36.00kno data
Sanjay Aggarwal
Additional Independent Non Executive Director1yrs₹4.00kno data

4.0yrs

Average Tenure

56.5yo

Average Age

Experienced Board: SGL's board of directors are considered experienced (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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

STL Global Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: STL Global Limited
  • Ticker: SGL
  • Exchange: NSEI
  • Founded: 1997
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹176.790m
  • Shares outstanding: 26.99m
  • Website: https://www.stl-global.com

Number of Employees


Location

  • STL Global Limited
  • Plot No. 207-208
  • Sector-58
  • Faridabad
  • Haryana
  • 121004
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532730BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 2006
SGLNSEI (National Stock Exchange of India)YesEquity SharesININRApr 2006

Biography

STL Global Limited manufactures and sells textile products in India. The company operates through two segments, Textile and Real Estate. It is involved in knitting, dyeing and processing, yarn dyeing, woven processing, thread sewing, and readymade garments manufacturing businesses. The company also produces and exports men’s wear, women’s tops, boys and girls wear, kids and infants wear, and knitted and woven bed sheets to the United States, Canada, the European Union, and internationally. The company was formerly known as Shivalik Global Ltd and changed its name to STL Global Limited. STL Global Limited was founded in 1997 and is based in Faridabad, 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 12:47
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.