Axita Cotton

Why is Axita Cotton Ltd falling/rising?

As of 07-Aug, Axita Cotton Ltd's stock price is at Rs 7.31, reflecting a 0.14% decline and significant underperformance compared to the Sensex, which has gained 0.52% over the past week. The stock has dropped 38.21% year-to-date and is trading near its 52-week low, indicating a bearish trend and decreased investor interest.

As of 07-Aug, Axita Cotton Ltd's stock price is falling, currently at Rs 7.31, which reflects a decrease of Rs 0.01 or 0.14%. The stock has been underperforming compared to the benchmark Sensex, with a decline of 0.41% over the past week while the Sensex has gained 0.52%. Over the last month, the stock has decreased by 3.31%, contrasting with a modest increase of 0.41% in the Sensex.<BR><BR>Year-to-date, Axita Cotton has experienced a significant drop of 38.21%, while the Sensex has only fallen by 7.89%. This trend of underperformance continues over longer periods, with the stock down 8.74% over the past year and a staggering 45.08% over the last three years, compared to a 19.02% rise in the Sensex during the same timeframe.<BR><BR>Additionally, the stock is currently trading close to its 52-week low, being only 3.28% above the low of Rs 7.07. It has also been on a consecutive decline for the last two days, with a total drop of 0.68% during this period. The stock is trading below its moving averages across all time frames, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a bearish trend.<BR><BR>Investor participation has also decreased, with delivery volume dropping by 51.22% compared to the 5-day average, suggesting a lack of interest from investors. Overall, these factors contribute to the ongoing decline in Axita Cotton Ltd's stock price.

Which are the latest news on Axita Cotton?

When is the next results date for Axita Cotton Ltd?

The next results date for Axita Cotton Ltd is 12 August 2026.

The next results date for Axita Cotton Ltd is scheduled for 12 August 2026.

Should I buy, sell or hold Axita Cotton Ltd?

What does Axita Cotton do?

Axita Cotton Ltd manufactures cotton bales and operates in the Garments & Apparels industry. As of March 2026, it reported net sales of 61 Cr and a net loss of 2 Cr, with a market cap of INR 297 Cr.

Overview: <BR>Axita Cotton Ltd is engaged in the manufacturing of cotton bales and operates within the Garments & Apparels industry, classified as a Micro Cap company.<BR><BR>History: <BR>Axita Cotton Limited was incorporated as a Private Limited Company on July 16, 2013, in Ahmedabad. It transitioned to a Public Limited Company and changed its name to "Axita Cotton Limited" on October 15, 2018. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot: <BR>- Net Sales: 61 Cr (Quarterly Results - Mar 2026) <BR>- Net Profit: -2 Cr (Quarterly Results - Mar 2026) <BR>- Market Cap: INR 297 Cr (Micro Cap) <BR><BR>Key Metrics: <BR>- P/E: N/A <BR>- Industry P/E: 23 <BR>- Dividend Yield: 0.00% <BR>- Debt-Equity: 0.19 <BR>- Return on Equity: 2.91% <BR>- Price to Book: 4.54 <BR><BR>Contact Details: <BR>Address: Survey No 324,357,358, Kadi Thol Road Borisana Kadi Mahesana Gujarat : 382715 <BR>Tel: 91-63587 47514 <BR>Email: cs@axitacotton.com <BR>Website: http://www.axitacotton.com

How big is Axita Cotton?

As of 10th June, Axita Cotton Ltd has a market capitalization of 297.00 Cr and reported net sales of 654.49 Cr, with a net loss of 1.32 Cr in the latest four quarters. Shareholder's funds are 62.68 Cr, and total assets are valued at 76.59 Cr as of March 2025.

As of 10th June, Axita Cotton Ltd has a market capitalization of 297.00 Cr, categorizing it as a Micro Cap company.<BR><BR>In the latest four quarters, Axita Cotton reported net sales of 654.49 Cr. However, the company experienced a loss of 1.32 Cr in net profit during the same period.<BR><BR>The latest reporting period for the balance sheet is March 2025. Shareholder's funds stand at 62.68 Cr, while total assets are valued at 76.59 Cr.

Who are in the management team of Axita Cotton?

The management team of Axita Cotton includes Nitinbhai Govindbhai Patel (Chairman & Managing Director), Kushal Nitinbhai Patel (Managing Director), and four Independent Directors: Kunjal Jayantkumar Soni, Vinod Rana, Apeksha Vyas, and Dixit Dipakkumar Shah. They oversee the company's operations and strategic direction.

The management team of Axita Cotton includes the following individuals:<BR><BR>1. **Nitinbhai Govindbhai Patel** - Chairman & Managing Director<BR>2. **Kushal Nitinbhai Patel** - Managing Director<BR>3. **Kunjal Jayantkumar Soni** - Independent Director<BR>4. **Vinod Rana** - Independent Director<BR>5. **Apeksha Vyas** - Independent Director<BR>6. **Dixit Dipakkumar Shah** - Independent Director<BR><BR>This team is responsible for overseeing the company's operations and strategic direction.

Who are the peers of the Axita Cotton?

Axita Cotton's peers include Omnitex Industri, Soma Textiles, Bella Casa Fashi, and others. In terms of returns, Omnitex Industri leads with 132.56% over one year, while Axita Cotton has a return of -5.22%.

Peers: The peers of Axita Cotton are Omnitex Industri, Soma Textiles, Bella Casa Fashi, DCM Nouvelle, Ashima, Logica Infoway, Atvo Enterprises, Rudra Ecovation, and Super Sales Ind.<BR><BR>Quality Snapshot: Excellent management risk is observed at Logica Infoway, while Average management risk is found at Omnitex Industri, Soma Textiles, Bella Casa Fashi, and Shree Karni, and the rest have Below Average management risk. Growth is Excellent at Logica Infoway, Average at Soma Textiles, Bella Casa Fashi, and DCM Nouvelle, while the rest exhibit Below Average growth. Good capital structure is noted at Axita Cotton and the rest have Below Average capital structure.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Omnitex Industri at 132.56%, while the lowest is Bella Casa Fashi at -53.31%. Axita Cotton's 1-year return of -5.22% is better than Bella Casa Fashi but worse than all other peers. Additionally, the six-month return is negative for Bella Casa Fashi, Ashima, and Rudra Ecovation.

What is the bonus history of Axita Cotton?

Axita Cotton has a history of bonus issues, including a 1:10 bonus effective February 13, 2026, a 1:3 bonus on September 20, 2024, another 1:3 bonus on December 22, 2023, a 1:2 bonus on January 11, 2022, and a 1:1 bonus on December 26, 2019. This reflects the company's commitment to rewarding shareholders.

Axita Cotton has a notable bonus history, with several bonus issues over the years. Here are the details:<BR><BR>1. The latest bonus issue is a 1:10 bonus, which will be effective from the ex-date of February 13, 2026.<BR>2. Prior to that, on September 20, 2024, the company issued a 1:3 bonus.<BR>3. On December 22, 2023, there was also a 1:3 bonus issue.<BR>4. Earlier, on January 11, 2022, Axita Cotton announced a 1:2 bonus.<BR>5. The company had a 1:1 bonus issue on December 26, 2019.<BR><BR>This history reflects Axita Cotton's approach to rewarding its shareholders through bonus shares over the years.

Are Axita Cotton Ltd latest results good or bad?

Axita Cotton Ltd's latest Q2 FY26 results are concerning, showing a slight revenue increase of 1.14% but a drastic 61.22% decline in net profit, with negative operating margins indicating significant profitability challenges. Overall, the results suggest operational distress that needs to be addressed for a sustainable turnaround.

Axita Cotton Ltd's latest results for Q2 FY26 present a mixed picture, leaning more towards the negative side. While the company reported a slight revenue increase of 1.14% year-on-year, reaching ₹156.70 crores, this growth is overshadowed by a significant decline in net profit, which fell by 61.22% to ₹1.33 crores compared to the same quarter last year. <BR><BR>The operating margin turned negative at -0.32%, a stark contrast to the 3.61% margin reported in Q2 FY25, indicating severe profitability pressures. This negative margin suggests that the company is struggling to manage its costs effectively, despite a modest sequential recovery from a loss in the previous quarter.<BR><BR>Moreover, the company's reliance on exceptional other income to achieve a positive net profit raises concerns about the sustainability of its profitability. Without this income, Axita Cotton would have reported an operating loss, highlighting underlying operational weaknesses.<BR><BR>Overall, while there are some signs of recovery, such as improved sequential performance, the year-on-year comparisons reveal significant challenges. The erosion of margins and profitability metrics suggests that the latest results are more concerning than positive, indicating operational distress that needs to be addressed for a sustainable turnaround.

How has been the historical performance of Axita Cotton?

For the fiscal year ending March 2025, Axita Cotton reported an operating income of 652.72 crore, with a profit after tax of 0.79 crore and an earnings per share (EPS) of 0.02. The company maintained total assets and liabilities of 76.59 crore, with a closing cash balance of 10 crore.

Answer:<BR>The historical performance of Axita Cotton for the year ending March 2025 shows a total operating income of 652.72 crore, with a total expenditure of 651.53 crore, resulting in an operating profit (PBDIT) of 2.54 crore. After accounting for interest and depreciation, the profit before tax stands at 1.10 crore, leading to a profit after tax of 0.79 crore. The earnings per share (EPS) is reported at 0.02, and the profit after tax margin is 0.12%. The company's total assets are valued at 76.59 crore, with total liabilities of 76.59 crore as well, indicating a balanced position. The cash flow from operating activities is 44 crore, while the net cash inflow is 4 crore, resulting in a closing cash and cash equivalent of 10 crore.<BR><BR>Breakdown:<BR>In the fiscal year ending March 2025, Axita Cotton achieved net sales of 652.72 crore, with no other operating income reported. The raw material cost was 33.89 crore, and the purchase of finished goods accounted for 586.95 crore, leading to a total expenditure of 651.53 crore. This resulted in an operating profit (PBDIT) of 2.54 crore. After deducting interest and depreciation, the profit before tax was 1.10 crore, culminating in a profit after tax of 0.79 crore. The company reported an EPS of 0.02 and a PAT margin of 0.12%. On the balance sheet, total assets and total liabilities were both recorded at 76.59 crore, with shareholder's funds amounting to 62.68 crore. The cash flow statement indicates a cash flow from operating activities of 44 crore, with a net cash inflow of 4 crore, resulting in a closing cash and cash equivalent of 10 crore.

Is Axita Cotton overvalued or undervalued?

As of August 12, 2025, Axita Cotton is considered risky and overvalued at a price of 8.80, with a troubling PE ratio of -198.73 and poor stock performance, significantly underperforming its peers like K P R Mill Ltd and Trident.

As of 12 August 2025, Axita Cotton's valuation grade has moved from very expensive to risky, indicating a significant shift in its financial outlook. The company appears to be overvalued at its current price of 8.80, especially considering its troubling PE ratio of -198.73 and EV to EBITDA of -65.31. The price to book value stands at 4.87, which further suggests that the stock is trading at a premium compared to its book value.<BR><BR>In comparison to peers, Axita Cotton's valuation metrics are starkly unfavorable. For instance, K P R Mill Ltd is categorized as very expensive with a PE ratio of 39.59, while Trident, which is rated fair, has a PE ratio of 32.59. This highlights that Axita Cotton is not only underperforming relative to its peers but also carries a higher risk profile. The company's recent stock performance has been poor, with a year-to-date return of -20.07%, contrasting sharply with the Sensex's positive return of 2.68% during the same period.

Who are the top shareholders of the Axita Cotton?

The top shareholder of Axita Cotton is Nitinbhai Govindbhai Patel, with a 26.5% stake, while individual investors hold 53.21%. There are no pledged promoter holdings, and foreign institutional investors own 2.04%, with no mutual funds currently invested.

The top shareholders of Axita Cotton include Nitinbhai Govindbhai Patel, who holds the highest promoter stake at 26.5%. Additionally, individual investors collectively hold a significant portion of 53.21%. The company does not have any pledged promoter holdings, and there are 7 foreign institutional investors (FIIs) that hold a total of 2.04%. There are no mutual funds currently holding shares in the company.

What is the technical trend for Axita Cotton?

As of June 2, 2025, Axita Cotton's trend is mildly bearish, indicated by mixed signals from MACD and RSI across different time frames, with a significant 1-year return of -40.29% relative to the Sensex.

As of 2 June 2025, the technical trend for Axita Cotton has changed from bearish to mildly bearish. The current stance is mildly bearish, driven by the weekly MACD showing mildly bullish momentum, while the monthly MACD remains bearish. The weekly RSI indicates bullish conditions, but the monthly RSI shows no signal, suggesting mixed signals across time frames. The Bollinger Bands and moving averages are both bearish on the daily and monthly charts, reinforcing the bearish outlook. Dow Theory indicates a mildly bearish trend in both weekly and monthly assessments. Overall, the strength of the bearish trend is supported by the negative performance relative to the Sensex over multiple periods, particularly the 1Y return of -40.29%.

Has Axita Cotton declared dividend?

Axita Cotton Ltd has declared a 10% dividend, amounting to 0.1 per share, with an ex-date of August 28, 2024. While the company shows significant total returns over longer periods, recent shorter-term performance has seen declines.

Axita Cotton Ltd has declared a 10% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 10%<BR>- Amount per share: 0.1<BR>- Ex-date: 28 Aug 24<BR><BR>Dividend Yield: 0.83%<BR><BR>Total Returns by Period:<BR>In the 6-month period, the price return was -24.31%, the dividend return was 0%, resulting in a total return of -24.31%.<BR><BR>For the 1-year period, the price return was -39.88%, the dividend return was 0.62%, leading to a total return of -39.26%.<BR><BR>Over the 2-year period, the price return was -40.3%, the dividend return was 0.63%, which resulted in a total return of -39.67%.<BR><BR>In the 3-year period, the price return was 0.12%, the dividend return was 6.01%, culminating in a total return of 6.13%.<BR><BR>During the 4-year period, the price return was 516.75%, the dividend return was 43.17%, resulting in a total return of 559.92%.<BR><BR>For the 5-year period, the price return was 343.16%, the dividend return was 36.81%, leading to a total return of 379.97%.<BR><BR>Overall, while Axita Cotton has declared a dividend, the total returns over the shorter periods show significant declines, with only the longer periods reflecting substantial gains. This indicates a mixed performance, with dividends providing some return amidst fluctuating price performance.