Why is Acknit Industries Ltd ?
1
Weak Long Term Fundamental Strength with a 10.93% CAGR growth in Operating Profits over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.66 times
2
Flat results in Sep 25
- PBDIT(Q) Lowest at Rs 3.66 cr.
- OPERATING PROFIT TO NET SALES (Q) Lowest at 5.48%
- PBT LESS OI(Q) Lowest at Rs 1.89 cr.
3
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 1.93% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -8.99% returns
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Acknit Indus. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Acknit Indus.
-8.99%
-0.17
54.34%
Sensex
4.66%
0.39
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
9.08%
EBIT Growth (5y)
10.93%
EBIT to Interest (avg)
4.82
Debt to EBITDA (avg)
3.07
Net Debt to Equity (avg)
0.59
Sales to Capital Employed (avg)
1.84
Tax Ratio
24.84%
Dividend Payout Ratio
5.07%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
10.93%
ROE (avg)
11.46%
Valuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
22
Price to Book Value
0.91
EV to EBIT
9.81
EV to EBITDA
7.98
EV to Capital Employed
0.94
EV to Sales
0.56
PEG Ratio
NA
Dividend Yield
0.56%
ROCE (Latest)
9.64%
ROE (Latest)
8.95%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
Technical Movement
1What is working for the Company
NET SALES(Q)
Highest at Rs 66.80 cr
-4What is not working for the Company
PBDIT(Q)
Lowest at Rs 3.66 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at 5.48%
PBT LESS OI(Q)
Lowest at Rs 1.89 cr.
EPS(Q)
Lowest at Rs 4.64
Loading Valuation Snapshot...
Here's what is working for Acknit Indus.
Net Sales - Quarterly
Highest at Rs 66.80 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Acknit Indus.
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 3.66 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 5.48%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 1.89 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 4.64
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)






