ScoreWhy is Vardhman Polytex Ltd ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of -8.01% and Operating profit at 0% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at 0 times
2
Flat results in Sep 25
- OPERATING CF(Y) Lowest at Rs -98.28 Cr
- ROCE(HY) Lowest at -27.16%
- NET SALES(Q) At Rs 61.72 cr has Fallen at -12.0% (vs previous 4Q average)
3
Risky - Negative Book Value
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -42.18%, its profits have risen by 921.2% ; the PEG ratio of the company is 0
4
69.62% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
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 -42.18% returns
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 Vardhman Polytex for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Vardhman Polytex
-42.18%
-0.75
56.08%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-8.01%
EBIT Growth (5y)
31.61%
EBIT to Interest (avg)
0
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.22
Sales to Capital Employed (avg)
0
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
69.62%
Institutional Holding
0.33%
ROCE (avg)
-13.14%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
22
Price to Book Value
-1.35
EV to EBIT
11.74
EV to EBITDA
9.34
EV to Capital Employed
-2.01
EV to Sales
1.25
PEG Ratio
0.01
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
PAT(Latest six months)
At Rs 6.65 cr has Grown at 165.71%
PBT LESS OI(Q)
At Rs 4.74 cr has Grown at 1655.6% (vs previous 4Q average
-10What is not working for the Company
OPERATING CF(Y)
Lowest at Rs -98.28 Cr
ROCE(HY)
Lowest at -27.16%
NET SALES(Q)
At Rs 61.72 cr has Fallen at -12.0% (vs previous 4Q average
DEBTORS TURNOVER RATIO(HY)
Lowest at 45.25 times
INTEREST(Q)
Highest at Rs 4.27 cr
Loading Valuation Snapshot...
Here's what is working for Vardhman Polytex
Profit After Tax (PAT) - Latest six months
At Rs 6.65 cr has Grown at 165.71%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 4.74 cr has Grown at 1655.6% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 0.27 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Here's what is not working for Vardhman Polytex
Operating Cash Flow - Annually
Lowest at Rs -98.28 Cr and Fallen
each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Net Sales - Quarterly
At Rs 61.72 cr has Fallen at -12.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 70.12 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Interest - Quarterly
Highest at Rs 4.27 cr
in the last five quarters and Increased by 15.72 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 45.25 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
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