ScoreWhy is H P Cotton Textile Mills Ltd ?
1
High Debt company with Weak Long Term Fundamental Strength
- High Debt Company with a Debt to Equity ratio (avg) at 2.38 times
- The company has been able to generate a Return on Equity (avg) of 8.14% signifying low profitability per unit of shareholders funds
2
The company has declared Positive results for the last 3 consecutive quarters
- PAT(9M) At Rs 2.62 cr has Grown at 370.10%
- NET SALES(9M) At Rs 106.79 cr has Grown at 36.68%
- ROCE(HY) Highest at 20.03%
3
With ROCE of 17.1, it has a Attractive valuation with a 1.5 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -18.43%, its profits have risen by 231.1% ; the PEG ratio of the company is 0.1
4
Majority shareholders : Promoters
5
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 2.12% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -18.43% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to H P Cotton Tex should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is H P Cotton Tex for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
H P Cotton Tex
-18.43%
-0.37
49.25%
Sensex
4.7%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
21.31%
EBIT Growth (5y)
73.39%
EBIT to Interest (avg)
0.14
Debt to EBITDA (avg)
1.61
Net Debt to Equity (avg)
2.09
Sales to Capital Employed (avg)
1.88
Tax Ratio
33.26%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
-0.30%
ROE (avg)
8.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
15
Industry P/E
22
Price to Book Value
2.44
EV to EBIT
8.57
EV to EBITDA
6.36
EV to Capital Employed
1.47
EV to Sales
0.58
PEG Ratio
0.06
Dividend Yield
NA
ROCE (Latest)
17.12%
ROE (Latest)
16.28%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Bullish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
PAT(9M)
At Rs 2.62 cr has Grown at 370.10%
NET SALES(9M)
At Rs 106.79 cr has Grown at 36.68%
ROCE(HY)
Highest at 20.03%
DEBT-EQUITY RATIO(HY)
Lowest at 2.17 times
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for H P Cotton Tex
Profit After Tax (PAT) - Nine Monthly
At Rs 2.62 cr has Grown at 370.10%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Net Sales - Nine Monthly
At Rs 106.79 cr has Grown at 36.68%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Debt-Equity Ratio - Half Yearly
Lowest at 2.17 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Profit After Tax (PAT) - Nine Monthly
Higher at Rs 2.62 Cr
than preceding 12 month period ended Sep 2025 of Rs -0.68 crMOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
PAT (Rs Cr)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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