ScoreWhy is Kitex Garments Ltd ?
1
Weak Long Term Fundamental Strength with a -192.48% 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 42.28 times
- The company has been able to generate a Return on Equity (avg) of 8.35% signifying low profitability per unit of shareholders funds
2
With a fall in Net Sales of -19.45%, the company declared Very Negative results in Jun 26
- The company has declared negative results for the last 4 consecutive quarters
- INTEREST(Latest six months) At Rs 34.37 cr has Grown at 64.29%
- PBT LESS OI(Q) At Rs -20.99 cr has Fallen at -176.38%
- PAT(Q) At Rs -9.00 cr has Fallen at -143.4%
3
Risky - Negative Operating Profits
- The company has recorded a negative EBIT of Rs. -54.61 cr
- Over the past year, while the stock has generated a return of -27.19%, its profits have fallen by -131.3%
- The stock is trading risky as compared to its average historical valuations
4
Despite the size of the company, domestic mutual funds hold only 0.27% 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
Real-Time Research ReportHow 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 Kitex Garments for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Kitex Garments
-27.25%
-0.51
53.95%
Sensex
-4.77%
-0.35
13.44%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.89%
EBIT Growth (5y)
-192.48%
EBIT to Interest (avg)
11.84
Debt to EBITDA (avg)
9.33
Net Debt to Equity (avg)
1.02
Sales to Capital Employed (avg)
0.55
Tax Ratio
49.71%
Dividend Payout Ratio
7.19%
Pledged Shares
0
Institutional Holding
1.32%
ROCE (avg)
8.68%
ROE (avg)
8.35%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
28
Price to Book Value
2.58
EV to EBIT
-67.76
EV to EBITDA
844.86
EV to Capital Employed
1.78
EV to Sales
5.89
PEG Ratio
NA
Dividend Yield
0.38%
ROCE (Latest)
-0.78%
ROE (Latest)
-1.13%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 5.35 times
-27What is not working for the Company
INTEREST(Latest six months)
At Rs 34.37 cr has Grown at 64.29%
PBT LESS OI(Q)
At Rs -20.99 cr has Fallen at -176.38%
PAT(Q)
At Rs -9.00 cr has Fallen at -143.4%
ROCE(HY)
Lowest at 1.62%
DEBT-EQUITY RATIO(HY)
Highest at 1.17 times
NET SALES(Q)
At Rs 158.43 cr has Fallen at -19.45%
Loading Valuation Snapshot...
Here's what is working for Kitex Garments
Debtors Turnover Ratio- Half Yearly
Highest at 5.35 times and Grown
each half year in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Kitex Garments
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -20.99 cr has Fallen at -176.38%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs -9.00 cr has Fallen at -143.4%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Interest - Latest six months
At Rs 34.37 cr has Grown at 64.29%
over previous Half yearly periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Net Sales - Quarterly
At Rs 158.43 cr has Fallen at -19.45%
Year on Year (YoY)MOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Debt-Equity Ratio - Half Yearly
Highest at 1.17 times and Grown
each half year in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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