Why is RSWM Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.05 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.05 times
- The company has been able to generate a Return on Equity (avg) of 9.22% signifying low profitability per unit of shareholders funds
2
Despite the size of the company, domestic mutual funds hold only 0.01% 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
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -19.27% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
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 RSWM Ltd for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
RSWM Ltd
-19.04%
-0.46
41.45%
Sensex
4.83%
0.41
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
17.38%
EBIT Growth (5y)
31.68%
EBIT to Interest (avg)
1.68
Debt to EBITDA (avg)
7.62
Net Debt to Equity (avg)
1.15
Sales to Capital Employed (avg)
1.59
Tax Ratio
43.87%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
1.87%
ROCE (avg)
5.46%
ROE (avg)
9.22%
Valuation Key Factors 
Factor
Value
P/E Ratio
90
Industry P/E
22
Price to Book Value
0.56
EV to EBIT
20.07
EV to EBITDA
8.40
EV to Capital Employed
0.79
EV to Sales
0.47
PEG Ratio
0.82
Dividend Yield
NA
ROCE (Latest)
3.96%
ROE (Latest)
0.61%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
21What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 2.28 times
OPERATING CF(Y)
Highest at Rs 426.39 Cr
PAT(Latest six months)
Higher at Rs 15.80 cr
PBT LESS OI(Q)
Highest at Rs 2.08 cr.
-3What is not working for the Company
NET SALES(Q)
Lowest at Rs 1,151.05 cr
NON-OPERATING INCOME(Q)
is 81.45 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for RSWM Ltd
Profit After Tax (PAT) - Latest six months
At Rs 15.80 cr has Grown at 148.95%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 2.28 times and Grown
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 2.08 cr has Grown at 113.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -15.68 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 2.08 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Latest six months
Higher at Rs 15.80 cr
than preceding 12 month period ended Sep 2025 of Rs -40.02 crMOJO Watch
In the half year the company has already crossed PAT of the previous twelve months
PAT (Rs Cr)
Operating Cash Flow - Annually
Highest at Rs 426.39 Cr
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Here's what is not working for RSWM Ltd
Net Sales - Quarterly
Lowest at Rs 1,151.05 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Non Operating Income - Quarterly
is 81.45 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT






