ScoreWhy is Vardhman Textiles Ltd ?
1
Company has a Debt to Equity ratio (avg) of 0.10 times
2
Poor long term growth as Net Sales has grown by an annual rate of 9.96% over the last 5 years
3
The company has declared positive results in Jun'2026 after 2 consecutive negative quarters
- NET SALES(Q) Highest at Rs 2,703.08 cr
- PBDIT(Q) Highest at Rs 473.60 cr.
- OPERATING PROFIT TO NET SALES(Q) Highest at 17.52%
4
With ROE of 7.1, it has a Very Expensive valuation with a 1.7 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 32.97%, its profits have fallen by -15.6%
5
High Institutional Holdings at 20.76%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
6
Market Beating Performance
- The stock has generated a return of 32.97% in the last 1 year, much higher than market (BSE500) returns of 0.98%
7
With its market cap of Rs 18,179 cr, it is the second biggest company in the sector (behind K P R Mill Ltd)and constitutes 6.85% of the entire sector
- Its annual Sales of Rs 9,869.05 are 5.77% of the industry
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Vardhman Textile 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 Vardhman Textile for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Vardhman Textile
32.97%
0.88
37.29%
Sensex
-4.36%
-0.33
13.57%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
9.96%
EBIT Growth (5y)
11.46%
EBIT to Interest (avg)
10.66
Debt to EBITDA (avg)
1.19
Net Debt to Equity (avg)
0.07
Sales to Capital Employed (avg)
0.92
Tax Ratio
21.14%
Dividend Payout Ratio
16.10%
Pledged Shares
0
Institutional Holding
20.76%
ROCE (avg)
11.44%
ROE (avg)
10.46%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
52
Price to Book Value
1.73
EV to EBIT
24.47
EV to EBITDA
15.29
EV to Capital Employed
1.68
EV to Sales
1.92
PEG Ratio
NA
Dividend Yield
0.80%
ROCE (Latest)
6.86%
ROE (Latest)
7.09%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Bullish
OBV
Mildly Bearish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
NET SALES(Q)
Highest at Rs 2,703.08 cr
PBDIT(Q)
Highest at Rs 473.60 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 17.52%
PBT LESS OI(Q)
Highest at Rs 340.01 cr.
PAT(Q)
Highest at Rs 309.83 cr.
EPS(Q)
Highest at Rs 10.89
-3What is not working for the Company
ROCE(HY)
Lowest at 8.47%
Loading Valuation Snapshot...
Here's what is working for Vardhman Textile
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 340.01 cr has Grown at 85.9% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 182.91 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 309.83 cr has Grown at 66.3% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 186.31 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 2,703.08 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 473.60 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 17.52%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 340.01 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 309.83 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 10.89
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Vardhman Textile
Non Operating Income - Quarterly
Highest at Rs 78.06 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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