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TOWL

Towellers KASE:TOWL Stock Report

Last Price

PK₨102.58

Market Cap

PK₨1.6b

7D

6.3%

1Y

-4.8%

Updated

30 Sep, 2022

Data

Company Financials
TOWL fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance2/6
Financial Health6/6
Dividends1/6

TOWL Stock Overview

Towellers Limited manufactures and sells textile made ups, garments, and towels in Pakistan.

Towellers Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Towellers
Historical stock prices
Current Share PricePK₨102.58
52 Week HighPK₨118.00
52 Week LowPK₨80.52
Beta0.026
1 Month Change13.26%
3 Month Change12.17%
1 Year Change-4.84%
3 Year Change19.28%
5 Year Change-14.61%
Change since IPO689.08%

Recent News & Updates

Shareholder Returns

TOWLPK LuxuryPK Market
7D6.3%-0.6%1.3%
1Y-4.8%-7.8%-14.3%

Return vs Industry: TOWL exceeded the PK Luxury industry which returned -7.3% over the past year.

Return vs Market: TOWL exceeded the PK Market which returned -14.5% over the past year.

Price Volatility

Is TOWL's price volatile compared to industry and market?
TOWL volatility
TOWL Average Weekly Movement11.3%
Luxury Industry Average Movement6.1%
Market Average Movement4.9%
10% most volatile stocks in PK Market8.4%
10% least volatile stocks in PK Market3.1%

Stable Share Price: TOWL is more volatile than 90% of PK stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: TOWL's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of PK stocks.

About the Company

FoundedEmployeesCEOWebsite
19731,195Mehreen Aghahttps://towellers.com

Towellers Limited manufactures and sells textile made ups, garments, and towels in Pakistan. Its products include institutional, retail, and kitchen towels; crew neck T-shirts, yarn dyed polos', fleece jackets, and French terry pants; duvet covers, sheet sets, and fitted sheets; and socks. The company also provides baby products, such as swaddle sheets, burp cloths, thermal baby blankets, cellular blankets, crib sheets knits/bassinet sheets, hooded towels, wash cloths, play mats, jersey swaddle wraps, nap mats, nursery robes, changing pad covers, and reversible jersey blankets.

Towellers Fundamentals Summary

How do Towellers's earnings and revenue compare to its market cap?
TOWL fundamental statistics
Market CapPK₨1.64b
Earnings (TTM)PK₨620.28m
Revenue (TTM)PK₨6.26b

2.8x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TOWL income statement (TTM)
RevenuePK₨6.26b
Cost of RevenuePK₨5.00b
Gross ProfitPK₨1.26b
Other ExpensesPK₨642.65m
EarningsPK₨620.28m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)36.49
Gross Margin20.16%
Net Profit Margin9.90%
Debt/Equity Ratio0.0%

How did TOWL perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

n/a

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is TOWL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TOWL?

Other financial metrics that can be useful for relative valuation.

TOWL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.2x
Enterprise Value/EBITDA1.8x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does TOWL's PE Ratio compare to its peers?

TOWL PE Ratio vs Peers
The above table shows the PE ratio for TOWL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average1.5x
ELSM Ellcot Spinning Mills
1xn/aPK₨1.7b
CRTM Crescent Textile Mills
1.9xn/aPK₨1.7b
REWM Reliance Weaving Mills
0.6xn/aPK₨1.9b
CTM Colony Textile Mills
2.3xn/aPK₨1.7b
TOWL Towellers
2.8xn/aPK₨1.6b

Price-To-Earnings vs Peers: TOWL is expensive based on its Price-To-Earnings Ratio (2.8x) compared to the peer average (1.5x).


Price to Earnings Ratio vs Industry

How does TOWL's PE Ratio compare vs other companies in the PK Luxury Industry?

Price-To-Earnings vs Industry: TOWL is expensive based on its Price-To-Earnings Ratio (2.8x) compared to the PK Luxury industry average (1.9x)


Price to Earnings Ratio vs Fair Ratio

What is TOWL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TOWL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio2.8x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate TOWL's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of TOWL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TOWL (PKR102.58) is trading above our estimate of fair value (PKR31.68)

Significantly Below Fair Value: TOWL is trading above our estimate of fair value.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


20.6%

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 Towellers 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.


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  • Examine Towellers's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.

Past Performance

How has Towellers performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


59.8%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: TOWL has high quality earnings.

Growing Profit Margin: TOWL's current net profit margins (9.9%) are higher than last year (9.6%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if TOWL's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare TOWL's past year earnings growth to its 5-year average.

Earnings vs Industry: TOWL earnings growth over the past year (59.8%) underperformed the Luxury industry 234.7%.


Return on Equity

High ROE: TOWL's Return on Equity (18.9%) is considered low.


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Financial Health

How is Towellers's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TOWL's short term assets (PKR2.4B) exceed its short term liabilities (PKR844.5M).

Long Term Liabilities: TOWL's short term assets (PKR2.4B) exceed its long term liabilities (PKR174.8M).


Debt to Equity History and Analysis

Debt Level: TOWL is debt free.

Reducing Debt: TOWL has no debt compared to 5 years ago when its debt to equity ratio was 15.1%.

Debt Coverage: TOWL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: TOWL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

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

Dividend Score

1/6

Dividend Score 1/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


3.90%

Current Dividend Yield

Dividend Yield vs Market

Towellers Dividend Yield vs Market
How does Towellers dividend yield compare to the market?
SegmentDividend Yield
Company (Towellers)3.9%
Market Bottom 25% (PK)3.6%
Market Top 25% (PK)11.4%
Industry Average (Luxury)4.5%
Analyst forecast in 3 Years (Towellers)n/a

Notable Dividend: TOWL's dividend (3.9%) is higher than the bottom 25% of dividend payers in the PK market (3.74%).

High Dividend: TOWL's dividend (3.9%) is low compared to the top 25% of dividend payers in the PK market (11.63%).


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Insufficient data to calculate cash payout ratio to determine if its dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.4yrs

Average board tenure


CEO

Mehreen Agha

no data

Tenure

Mrs. Mehreen Obaid Agha serves as the Chief Executive Officer, Managing Director and Executive Director at Towellers Limited.


Board Members

Experienced Board: TOWL's board of directors are not considered experienced ( 2.4 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

What is the ownership structure of TOWL?
Owner TypeNumber of SharesOwnership Percentage
Private Companies75,8000.4%
Institutions1,001,0595.9%
General Public1,624,9349.6%
Individual Insiders14,298,20784.1%

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


Top Shareholders

Top 21 shareholders own 90.44% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
23.43%
Muhammad Obaid
3,983,469PKR408.6m0%no data
14.51%
Mahjabeen Obaid
2,467,043PKR253.1m0%no data
14.47%
Hadeel Obaid
2,459,751PKR252.3m0%no data
14.47%
Sana Bilal
2,459,748PKR252.3m0%no data
14.47%
Mehreen Agha
2,459,748PKR252.3m0%no data
3.09%
The National Ahlia Insurance Company, Asset Management Arm
526,000PKR54.0m0%41.32%
2.76%
Zeeshan Sattar
468,448PKR48.1m0%no data
1.5%
UBL Fund Managers Limited
254,500PKR26.1m0%0.12%
0.76%
Pakistan Reinsurance Company Ltd., Asset Management Arm
129,759PKR13.3m0%1.69%
0.38%
Market 786 (Private) Limited, Asset Management Arm
65,200PKR6.7m0%99.59%
0.093%
Chenab Textile Corp
15,800PKR1.6m0%no data
0.088%
Fine Fabrico
15,000PKR1.5m0%no data
0.088%
Khadim Ali Shah Bukhari Securities (Private) Limited
15,000PKR1.5m0%no data
0.077%
MRA Securities (Pvt) Limited, Asset Management Arm
13,100PKR1.3m0%0.25%
0.059%
Ranjha Linen
10,000PKR1.0m0%no data
0.059%
Tumbi (Private) Limited
10,000PKR1.0m0%no data
0.059%
Iftikhar Corp.
10,000PKR1.0m0%no data
0.059%
Aba Ali Habib Securities (Private) Limited, Asset Management Arm
10,000PKR1.0m0%0.5%
0.0059%
Axis Global Limited, Asset Management Arm
1,000PKR102.6k0%2.62%
0.0059%
Y. S. Securities & Services (Pvt) Ltd, Asset Management Arm
1,000PKR102.6k0%14.6%
0.0029%
Time Securities (Pvt) Ltd., Asset Management Arm
500PKR51.3k0%6.68%

Company Information

Towellers Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Towellers Limited
  • Ticker: TOWL
  • Exchange: KASE
  • Founded: 1973
  • Industry: Textiles
  • Sector: Consumer Durables
  • Implied Market Cap: PK₨1.645b
  • Shares outstanding: 17.00m
  • Website: https://towellers.com

Number of Employees


Location

  • Towellers Limited
  • Towellers House
  • Block 1
  • Karachi
  • 75950
  • Pakistan


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TOWLKASE (Pakistan Stock Exchange Limited)YesOrdinary SharesPKPKRAug 1996

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/30 00:00
End of Day Share Price2022/09/30 00:00
Earnings2021/09/30
Annual Earnings2021/06/30


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.