ScoreWhy is Iris Clothings Ltd ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.46 times
2
Poor long term growth as Operating profit has grown by an annual rate 18.98% of over the last 5 years
3
Flat results in Dec 25
- PAT(Q) At Rs 3.01 cr has Fallen at -11.5% (vs previous 4Q average)
- OPERATING PROFIT TO NET SALES (Q) Lowest at 12.37%
4
With ROCE of 13.5, it has a Very Expensive valuation with a 4.5 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 -100.00%, its profits have risen by 17.5% ; the PEG ratio of the company is 48.6
5
Despite the size of the company, domestic mutual funds hold only 0% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
6
Below par performance in long term as well as near term
- Along with generating -100.00% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Iris Clothings 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 Iris Clothings for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Iris Clothings
21.52%
0.51
41.91%
Sensex
9.01%
0.78
11.54%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
17.44%
EBIT Growth (5y)
18.98%
EBIT to Interest (avg)
5.90
Debt to EBITDA (avg)
1.60
Net Debt to Equity (avg)
0.20
Sales to Capital Employed (avg)
1.21
Tax Ratio
26.46%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.88%
ROCE (avg)
17.39%
ROE (avg)
16.22%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
49
Industry P/E
26
Price to Book Value
5.23
EV to EBIT
32.61
EV to EBITDA
27.19
EV to Capital Employed
4.53
EV to Sales
4.21
PEG Ratio
48.60
Dividend Yield
NA
ROCE (Latest)
13.53%
ROE (Latest)
10.76%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
NET SALES(Latest six months)
At Rs 92.99 cr has Grown at 24.58%
-3What is not working for the Company
PAT(Q)
At Rs 3.01 cr has Fallen at -11.5% (vs previous 4Q average
OPERATING PROFIT TO NET SALES (Q)
Lowest at 12.37%
Loading Valuation Snapshot...
Here's what is working for Iris Clothings
Net Sales - Quarterly
Highest at Rs 48.67 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 48.67 cr has Grown at 25.4% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 38.83 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Iris Clothings
Profit After Tax (PAT) - Quarterly
At Rs 3.01 cr has Fallen at -11.5% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 3.40 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 12.37%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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