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Welspun India

NSEI:WELSPUNIND
Snowflake Description

Reasonable growth potential with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WELSPUNIND
NSEI
₹47B
Market Cap
  1. Home
  2. IN
  3. Consumer Durables
Company description

Welspun India Limited manufactures and sells home textile products in India and internationally. The last earnings update was 15 days ago. More info.


Add to Portfolio Compare Print
  • Welspun India has significant price volatility in the past 3 months.
WELSPUNIND Share Price and Events
7 Day Returns
-7.5%
NSEI:WELSPUNIND
-2.5%
IN Luxury
-2.1%
IN Market
1 Year Returns
-27.4%
NSEI:WELSPUNIND
-8.9%
IN Luxury
-8.6%
IN Market
WELSPUNIND Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Welspun India (WELSPUNIND) -7.5% -21.9% -24.6% -27.4% -45.9% 378.9%
IN Luxury -2.5% -2% -3.9% -8.9% 47.6% 187.3%
IN Market -2.1% -4.5% -3.5% -8.6% 40.3% 78.7%
1 Year Return vs Industry and Market
  • WELSPUNIND underperformed the Luxury industry which returned -8.9% over the past year.
  • WELSPUNIND underperformed the Market in India which returned -8.6% over the past year.
Price Volatility
WELSPUNIND
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Welspun India undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Welspun India to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Welspun India.

NSEI:WELSPUNIND Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NSEI:WELSPUNIND
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 7.5%
Luxury Unlevered Beta Simply Wall St/ S&P Global 0.57
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.574 (1 + (1- 35%) (76.57%))
0.86
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.86
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.86 * 7.45%)
13.95%

Discounted Cash Flow Calculation for NSEI:WELSPUNIND using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Welspun India is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NSEI:WELSPUNIND DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (INR, Millions) 3,999.00 4,017.00 2,224.00 2,389.23 2,566.73
Source Analyst x1 Analyst x1 Analyst x1 Est @ 7.43% Est @ 7.43%
Present Value
Discounted (@ 13.95%)
3,509.28 3,093.40 1,502.92 1,416.86 1,335.72
Present value of next 5 years cash flows ₹10,858.18
NSEI:WELSPUNIND DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= ₹2,566.73 × (1 + 7.55%) ÷ (13.95% – 7.55%)
₹43,100.23
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= ₹43,100.23 ÷ (1 + 13.95%)5
₹22,429.25
NSEI:WELSPUNIND Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= ₹10,858.18 + ₹22,429.25
₹33,287.43
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹33,287.43 / 1,004.73
₹32.96
NSEI:WELSPUNIND Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NSEI:WELSPUNIND represents 0.99473x of BSE:514162
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.99473x
Value per Share
(Listing Adjusted, INR)
= Value per Share (INR) x Listing Adjustment Factor
= ₹ 33.13 x 0.99473
₹32.96
Value per share (INR) From above. ₹32.96
Current discount Discount to share price of ₹47.15
= -1 x (₹47.15 - ₹32.96) / ₹32.96
-43.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Welspun India is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Welspun India's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Welspun India's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NSEI:WELSPUNIND PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in INR ₹3.74
BSE:514162 Share Price ** BSE (2019-02-19) in INR ₹47.4
India Luxury Industry PE Ratio Median Figure of 237 Publicly-Listed Luxury Companies 11.54x
India Market PE Ratio Median Figure of 2,715 Publicly-Listed Companies 15.16x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Welspun India.

NSEI:WELSPUNIND PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:514162 Share Price ÷ EPS (both in INR)

= 47.4 ÷ 3.74

12.67x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Welspun India is overvalued based on earnings compared to the IN Luxury industry average.
  • Welspun India is good value based on earnings compared to the India market.
Price based on expected Growth
Does Welspun India's expected growth come at a high price?
Raw Data
NSEI:WELSPUNIND PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.67x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
26.6%per year
India Luxury Industry PEG Ratio Median Figure of 27 Publicly-Listed Luxury Companies 1.09x
India Market PEG Ratio Median Figure of 606 Publicly-Listed Companies 1.1x

*Line of best fit is calculated by linear regression .

NSEI:WELSPUNIND PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.67x ÷ 26.6%

0.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Welspun India is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Welspun India's assets?
Raw Data
NSEI:WELSPUNIND PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in INR ₹26.21
BSE:514162 Share Price * BSE (2019-02-19) in INR ₹47.4
India Luxury Industry PB Ratio Median Figure of 307 Publicly-Listed Luxury Companies 0.69x
India Market PB Ratio Median Figure of 3,587 Publicly-Listed Companies 1.04x
NSEI:WELSPUNIND PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:514162 Share Price ÷ Book Value per Share (both in INR)

= 47.4 ÷ 26.21

1.81x

* Primary Listing of Welspun India.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Welspun India is overvalued based on assets compared to the IN Luxury industry average.
X
Value checks
We assess Welspun India's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Luxury industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Luxury industry average (and greater than 0)? (1 check)
  5. Welspun India has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Welspun India expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
26.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Welspun India expected to grow at an attractive rate?
  • Welspun India's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Welspun India's earnings growth is expected to exceed the India market average.
  • Welspun India's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
NSEI:WELSPUNIND Future Growth Rates Data Sources
Data Point Source Value (per year)
NSEI:WELSPUNIND Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 26.6%
NSEI:WELSPUNIND Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 13.9%
India Luxury Industry Earnings Growth Rate Market Cap Weighted Average 18.3%
India Luxury Industry Revenue Growth Rate Market Cap Weighted Average 15%
India Market Earnings Growth Rate Market Cap Weighted Average 18.5%
India Market Revenue Growth Rate Market Cap Weighted Average 11.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NSEI:WELSPUNIND Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NSEI:WELSPUNIND Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 88,329 7,224 6,739 1
2020-03-31 74,816 9,617 5,549 2
2019-03-31 66,462 13,599 4,119 1
NSEI:WELSPUNIND Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-12-31 64,757 3,758
2018-09-30 62,333 4,061
2018-06-30 60,604 3,879
2018-03-31 60,506 5,450 3,850
2017-12-31 59,407 4,522
2017-09-30 60,436 5,241
2017-06-30 65,874 2,800
2017-03-31 66,385 8,322 3,576
2016-12-31 65,558 3,659
2016-09-30 65,001 3,948
2016-06-30 61,790 7,217
2016-03-31 57,470 13,280 7,365

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Welspun India's earnings are expected to grow significantly at over 20% yearly.
  • Welspun India's revenue is expected to grow by 13.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NSEI:WELSPUNIND Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Welspun India Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:WELSPUNIND Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 6.70 6.70 6.70 1.00
2020-03-31 5.55 5.90 5.19 2.00
2019-03-31 4.10 4.10 4.10 1.00
NSEI:WELSPUNIND Past Financials Data
Date (Data in INR Millions) EPS *
2018-12-31 3.74
2018-09-30 4.04
2018-06-30 3.86
2018-03-31 3.83
2017-12-31 4.50
2017-09-30 5.22
2017-06-30 2.79
2017-03-31 3.56
2016-12-31 3.65
2016-09-30 3.93
2016-06-30 7.19
2016-03-31 7.33

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Welspun India is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Welspun India's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Welspun India has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Welspun India performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Welspun India's growth in the last year to its industry (Luxury).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Welspun India's year on year earnings growth rate has been positive over the past 5 years.
  • Welspun India's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Welspun India's 1-year earnings growth is negative, it can't be compared to the IN Luxury industry average.
Earnings and Revenue History
Welspun India's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Welspun India Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:WELSPUNIND Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 64,757.05 3,757.57 8,533.79
2018-09-30 62,333.25 4,060.67 8,398.49
2018-06-30 60,603.55 3,879.07 8,315.69
2018-03-31 60,506.25 3,849.67 8,233.79
2017-12-31 59,406.78 4,521.82 8,074.46
2017-09-30 60,435.78 5,241.42 8,030.86
2017-06-30 65,873.70 2,799.80 6,493.60
2017-03-31 66,385.45 3,575.62 7,706.56
2016-12-31 65,558.15 3,659.35 7,225.68
2016-09-30 65,000.95 3,948.15 7,003.38
2016-06-30 61,789.60 7,217.10 5,664.70
2016-03-31 57,470.19 7,365.00 6,206.49
2015-12-31 57,175.71 6,709.60 8,832.69 65.39
2015-09-30 55,731.01 6,404.40 8,543.69 65.39
2015-06-30 49,341.01 5,979.70 4,694.73
2015-03-31 53,031.51 5,397.90 5,290.47
2014-12-31 51,327.61 4,601.18 7,300.52 58.70
2014-09-30 49,095.29 4,260.38 7,041.14 58.70
2014-06-30 46,581.60 1,071.64 3,682.92
2014-03-31 43,736.65 920.22 6,446.62 58.70
2013-12-31 40,021.88 735.07 5,524.35 47.91
2013-09-30 41,221.11 406.65 5,829.96 47.91
2013-06-30 37,912.96 2,770.00 3,039.53
2013-03-31 36,481.12 2,247.31 5,203.89 47.91
2012-12-31 41,127.95 908.01 7,071.26 54.05
2012-09-30 35,831.46 322.85 3,168.94
2012-06-30 34,443.58 61.71 3,106.16
2012-03-31 32,205.46 -133.72 5,658.45 54.05

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Welspun India has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Welspun India used its assets more efficiently than the IN Luxury industry average last year based on Return on Assets.
  • Welspun India's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Welspun India's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Luxury industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Welspun India has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Welspun India's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Welspun India's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Welspun India is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Welspun India's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Welspun India's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Welspun India Company Filings, last reported 1 month ago.

NSEI:WELSPUNIND Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 26,956.40 36,079.70 9,090.70
2018-09-30 26,956.40 36,079.70 9,090.70
2018-06-30 26,523.72 32,807.11 2,243.22
2018-03-31 26,523.72 32,807.11 2,243.22
2017-12-31 25,288.80 33,119.60 6,667.90
2017-09-30 25,288.80 33,119.60 6,667.90
2017-06-30 24,326.80 31,881.00 5,091.40
2017-03-31 24,326.75 33,113.70 2,720.92
2016-12-31 20,809.00 31,763.40 9,116.50
2016-09-30 20,809.00 31,763.40 9,116.50
2016-06-30 20,379.50 25,608.70 1,776.50
2016-03-31 20,112.45 32,481.55 1,415.98
2015-12-31 17,661.40 26,719.50 5,395.30
2015-09-30 17,661.40 26,719.50 5,395.30
2015-06-30 14,696.69 25,980.47 4,657.24
2015-03-31 14,696.69 30,880.81 4,657.24
2014-12-31 13,097.79 25,386.72 3,171.20
2014-09-30 13,097.79 25,386.72 3,171.20
2014-06-30 11,412.94 28,143.54 2,973.52
2014-03-31 11,412.95 30,622.11 2,973.52
2013-12-31 7,719.89 23,142.56 2,370.45
2013-09-30 7,719.89 23,142.56 2,370.45
2013-06-30 10,151.72 21,200.31 2,118.33
2013-03-31 10,151.72 20,410.12 2,118.33
2012-12-31 8,612.72 15,830.18 1,867.05
2012-09-30 8,612.72 15,830.18 1,867.05
2012-06-30
2012-03-31 7,678.02 19,783.06 2,678.88
  • Welspun India's level of debt (133.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (299.3% vs 133.8% today).
  • Debt is not well covered by operating cash flow (15.1%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 8x coverage).
X
Financial health checks
We assess Welspun India's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Welspun India has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.37%
Current annual income from Welspun India dividends. Estimated to be 2.67% next year.
If you bought ₹2,000 of Welspun India shares you are expected to receive ₹27 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Welspun India's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.56%).
  • Welspun India's dividend is below the markets top 25% of dividend payers in India (2.12%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NSEI:WELSPUNIND Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
India Luxury Industry Average Dividend Yield Market Cap Weighted Average of 109 Stocks 0.7%
India Market Average Dividend Yield Market Cap Weighted Average of 1397 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.6%
India Top 25% Dividend Yield 75th Percentile 2.1%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NSEI:WELSPUNIND Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 1.60 1.00
2020-03-31 1.20 1.00
2019-03-31 1.00 1.00
NSEI:WELSPUNIND Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2018-05-16 0.650 1.091
2017-08-29 0.650 0.977
2016-07-28 1.300 1.746
2016-03-10 0.710 0.701
2015-10-20 1.400 1.698
2015-08-05 1.500 1.854
2015-01-29 0.600 1.292
2014-11-05 0.600 1.726
2014-09-25 0.300 1.020
2013-09-24 0.400 3.871
2013-02-07 0.400 6.503
2012-11-08 0.400 6.087
2011-05-30 0.000 0.000
2010-05-13 0.100 1.712
2010-05-12 0.100 1.117

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Welspun India has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Welspun India only paid a dividend in the past 9 years.
Current Payout to shareholders
What portion of Welspun India's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (5.8x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (4.3x coverage).
X
Income/ dividend checks
We assess Welspun India's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Welspun India afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Welspun India has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Dipali Goenka
COMPENSATION ₹53,690,000
AGE 49
TENURE AS CEO 16.8 years
CEO Bio

Mrs. Dipali Goenka has been a Joint-Managing Director of Welspun India Ltd. since April 2002 and has been its Chief Executive Officer since April 2002. Mrs. Goenka serves as Managing Director at Welspun Global Brands Limited since January 4, 2011. She has been an Executive Director of Welspun India Ltd. since April 1, 2013. She serves as a Director of Welspun Retail Limited. She served as a Director of Welspun Global Brands Limited since April 1, 2011.

CEO Compensation
  • Dipali's compensation has been consistent with company performance over the past year.
  • Dipali's remuneration is higher than average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Welspun India management team in years:

6.2
Average Tenure
56
Average Age
  • The average tenure for the Welspun India management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Dipali Goenka

TITLE
CEO, Joint MD & Executive Director
COMPENSATION
₹54M
AGE
49
TENURE
16.8 yrs

Rajesh Ramesh Mandawewala

TITLE
MD & Executive Director
COMPENSATION
₹56M
AGE
56
TENURE
7.8 yrs

Altaf Jiwani

TITLE
Chief Financial Officer
AGE
51
TENURE
4 yrs

Shashikant Thorat

TITLE
Compliance Officer & Company Secretary
TENURE
9.5 yrs

Ashok Joshi

TITLE
Head of Business Operations & Executive Director
AGE
58
TENURE
5.6 yrs

Barry Leonard

TITLE
Chief Executive Officer of Welspun USA Inc and President of Welspun USA Inc

Robert Walker

TITLE
Chief Executive Officer of UK

Suneel Mohnot

TITLE
President of Commercial
AGE
59
TENURE
5.5 yrs

Swapan Nath

TITLE
Executive Director
COMPENSATION
₹5M
AGE
57
TENURE
2.3 yrs

Milind Hardikar

TITLE
Executive Director of Textile Park
AGE
56
TENURE
6.8 yrs
Board of Directors Tenure

Average tenure and age of the Welspun India board of directors in years:

5.5
Average Tenure
55
Average Age
  • The tenure for the Welspun India board of directors is about average.
Board of Directors

Balkrishan Gopiram Goenka

TITLE
Chairman of the Board
COMPENSATION
₹39M
AGE
52
TENURE
7.8 yrs

Dipali Goenka

TITLE
CEO, Joint MD & Executive Director
COMPENSATION
₹54M
AGE
49
TENURE
5.8 yrs

Rajesh Ramesh Mandawewala

TITLE
MD & Executive Director
COMPENSATION
₹56M
AGE
56
TENURE
7.8 yrs

Arun Todarwal

TITLE
Non Executive & Independent Director
COMPENSATION
₹890K
AGE
61
TENURE
6.2 yrs

Arvind Singhal

TITLE
Independent Non-Executive Director
COMPENSATION
₹210K
TENURE
5.1 yrs

Pradeep Poddar

TITLE
Independent Director
COMPENSATION
₹630K
AGE
64
TENURE
2.4 yrs

Shalil Awale

TITLE
Nominee Director
AGE
50
TENURE
0.4 yrs

Anisha Motwani

TITLE
Independent Director
AGE
55
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
05. Mar 18 Sell Methodical Investment & Trading Co Pvt Ltd Company 26. Feb 18 26. Feb 18 -76,940 ₹63.40 ₹-4,877,992
X
Management checks
We assess Welspun India's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Welspun India has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Boasting A 15% Return On Equity, Is Welspun India Limited (NSE:WELSPUNIND) A Top Quality Stock?

Our data shows Welspun India has a return on equity of 15% for the last year. … One way to conceptualize this, is that for each ₹1 of shareholders' equity it has, the company made ₹0.15 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Many Welspun India Limited (NSE:WELSPUNIND) Shares Do Institutions Own?

The big shareholder groups in Welspun India Limited (NSE:WELSPUNIND) have power over the company. … With a market capitalization of ₹59b, Welspun India is a decent size, so it is probably on the radar of institutional investors. … Taking a look at the our data on the ownership groups (below), it's seems that

Simply Wall St -

Estimating The Fair Value Of Welspun India Limited (NSE:WELSPUNIND)

by taking the expected future cash flows and discounting them to their present value. … discounted cash flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model

Simply Wall St -

Why Welspun India Limited’s (NSE:WELSPUNIND) Return On Capital Employed Might Be A Concern

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Does Welspun India Limited's (NSE:WELSPUNIND) CEO Salary Reflect Performance?

How Does Dipali Goenka's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that Welspun India Limited has a market cap of ₹60b, and is paying total annual CEO compensation of ₹54m. … We looked at a group of companies with market capitalizations from ₹29b to ₹116b, and the median CEO compensation was ₹25m.

Simply Wall St -

Despite Its High P/E Ratio, Is Welspun India Limited (NSE:WELSPUNIND) Still Undervalued?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … Welspun India has a price to earnings ratio of 14.8, based on the last twelve months. … How Do I Calculate Welspun India's Price To Earnings Ratio

Simply Wall St -

Should You Be Excited About Welspun India Limited's (NSE:WELSPUNIND) 16% Return On Equity?

Our data shows Welspun India has a return on equity of 16% for the last year. … That means that for every ₹1 worth of shareholders' equity, it generated ₹0.16 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Should You Buy Welspun India Limited (NSE:WELSPUNIND) For Its 1.1% Dividend?

Historically, Welspun India Limited (NSE:WELSPUNIND) has paid a dividend to shareholders. … Let's take a look at Welspun India in more detail. … View our latest analysis for Welspun India

Simply Wall St -

Calculating The Fair Value Of Welspun India Limited (NSE:WELSPUNIND)

Today I will be providing a simple run through of a valuation method used to estimate the attractiveness of Welspun India Limited (NSE:WELSPUNIND) as an investment opportunity. … by projecting its future cash flows and then discounting them to today's value. … If you are reading this and its not October 2018 then I highly recommend you check out the latest calculation for Welspun India by following the link below

Simply Wall St -

Why I Like Welspun India Limited (NSE:WELSPUNIND)

In the case of Welspun India Limited (NSE:WELSPUNIND), there's. … is a company with great financial health as well as a. … For those interested in understanding where the figures come from and want to see the analysis,

Simply Wall St -

Company Info

Map
Description

Welspun India Limited manufactures and sells home textile products in India and internationally. The company offers towels, including wash cloths, face towels, hand towels, bath towels, bath sheets, terry, and beach towels; bath rugs/mats, such as cotton, nylon, polyethylene terephthalate, and polyester filament-based Drylon and Resilon yarn rugs; area and bi-component fibre rugs; bathrobes; and bed sheets and carpets. It also provides utility bedding products comprising pillow fillers, mattress pads, and down-alternative filled comforters; and fashion bedding products for the bedroom. The company offers its products under the Christy, Kingsley Home, Crowning Touch, Spaces, Welhome, Amy Butler, and Spun brands. In addition, it generates power. The company was formerly known as Welspun Winilon Silk Mills Pvt. Ltd. and changed its name to Welspun India Limited in 1995. The company was founded in 1985 and is based in Mumbai, India. Welspun India Limited is a subsidiary of Prasert Multiventure Private Limited.

Details
Name: Welspun India Limited
WELSPUNIND
Exchange: NSEI
Founded: 1985
₹47,121,609,535
1,004,725,150
Website: http://www.welspunindia.com
Address: Welspun India Limited
Welspun House,
6th Floor,
Mumbai,
Maharashtra, 400013,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 514162 Equity Shares Mumbai Stock Exchange IN INR 02. Jan 1996
NSEI WELSPUNIND Equity Shares National Stock Exchange of India IN INR 02. Jan 1996
Number of employees
Current staff
Staff numbers
0
Welspun India employees.
Industry
Textiles
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/19 13:10
End of day share price update: 2019/02/19 00:00
Last estimates confirmation: 2019/02/05
Last earnings filing: 2019/02/04
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.