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Faze Three Ltd. (IN:FAZE3Q)
:FAZE3Q
India Market
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Faze Three Ltd. (FAZE3Q) AI Stock Analysis

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IN:FAZE3Q

Faze Three Ltd.

(FAZE3Q)

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Neutral 58 (OpenAI - 5.2)
Rating:58Neutral
Price Target:
₹574.00
▲(43.29% Upside)
Action:Reiterated
Date:06/25/26
The score is primarily weighed down by weak financial quality—particularly deeply negative free cash flow and declining margins—despite strong revenue growth and a still-manageable (but rising) leverage profile. Technicals are a support with clear trend strength, but valuation is a meaningful headwind due to the high P/E and no dividend yield provided.
Positive Factors
Strong revenue growth
Sustained top-line expansion (FY2026 +~14% YoY) indicates durable demand and successful scaling of manufacturing and sales channels. Higher revenue provides a foundation to absorb fixed costs, invest in product development, and support long-term market share gains across domestic and export customers.
Negative Factors
Sharp margin deterioration
A roughly 20 percentage-point decline in gross margin materially reduces operating leverage and earnings resilience. Sustained margin compression undermines cash generation and the ability to self-fund growth, forcing tougher pricing or cost actions to restore structural profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue growth
Sustained top-line expansion (FY2026 +~14% YoY) indicates durable demand and successful scaling of manufacturing and sales channels. Higher revenue provides a foundation to absorb fixed costs, invest in product development, and support long-term market share gains across domestic and export customers.
Read all positive factors

Faze Three Ltd. (FAZE3Q) vs. iShares MSCI India ETF (INDA)

Faze Three Ltd. Business Overview & Revenue Model

Company Description
Based in Mumbai, India, Faze Three Limited, established in 1982, is a key manufacturer and distributor of an extensive range of home textile items and automotive fabrics. Its comprehensive product portfolio for the home includes various soft furni...
How the Company Makes Money
Faze Three Ltd. makes money primarily by manufacturing and selling textile products—especially value-added fabrics and finished home-textile/technical-textile items—to business customers (e.g., brands, retailers, importers/exporters, and industria...

Faze Three Ltd. Financial Statement Overview

Summary
Solid revenue growth (FY2026 up ~14% YoY) and a still-moderate debt-to-equity (~0.61) are positives, but fundamentals are held back by sharp margin deterioration (gross margin ~30% vs. ~50% prior year) and very weak cash quality. Operating cash conversion is low (~0.13 of net income) and free cash flow is deeply negative (about -0.8bn in FY2025–FY2026), increasing reliance on financing if it persists.
Income Statement
64
Positive
Balance Sheet
70
Positive
Cash Flow
39
Negative
BreakdownMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue9.23B6.90B5.65B5.31B4.77B
Gross Profit2.80B3.48B1.05B2.45B2.10B
EBITDA825.50M922.30M943.00M999.30M867.20M
Net Income335.70M406.60M465.90M583.00M510.80M
Balance Sheet
Total Assets8.19B6.86B5.93B5.47B4.88B
Cash, Cash Equivalents and Short-Term Investments308.50M195.80M825.60M1.16B666.30M
Total Debt2.75B1.92B1.70B1.74B1.67B
Total Liabilities3.67B2.66B2.13B2.12B2.09B
Stockholders Equity4.52B4.20B3.81B3.35B2.78B
Cash Flow
Free Cash Flow-818.90M-803.50M-232.30M553.20M-391.70M
Operating Cash Flow392.80M122.70M370.10M1.10B-65.30M
Investing Cash Flow-1.19B-399.70M-454.50M-438.30M-508.20M
Financing Cash Flow818.30M35.50M-187.60M-60.40M608.40M

Faze Three Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price400.60
Price Trends
50DMA
544.99
Positive
100DMA
498.80
Positive
200DMA
483.99
Positive
Market Momentum
MACD
3.31
Positive
RSI
46.75
Neutral
STOCH
12.02
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:FAZE3Q, the sentiment is Positive. The current price of 400.6 is below the 20-day moving average (MA) of 593.13, below the 50-day MA of 544.99, and below the 200-day MA of 483.99, indicating a neutral trend. The MACD of 3.31 indicates Positive momentum. The RSI at 46.75 is Neutral, neither overbought nor oversold. The STOCH value of 12.02 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:FAZE3Q.

Faze Three Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
₹13.07B8.5423.77%
62
Neutral
₹13.82B30.160.78%47.75%2.92%
58
Neutral
₹13.43B40.8833.79%-17.48%
58
Neutral
₹13.96B154.100.06%
56
Neutral
₹11.72B-0.3538.89%145.27%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
50
Neutral
₹14.38B216.25-8.32%-48.06%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:FAZE3Q
Faze Three Ltd.
563.65
-137.95
-19.66%
IN:AYMSYNTEX
AYM Syntex Limited
238.75
12.95
5.74%
IN:INDORAMA
Indo Rama Synthetics (India) Limited
49.13
-2.37
-4.60%
IN:PASHUPATI
Pashupati Cotspin Ltd.
87.22
16.49
23.32%
IN:RAJRILTD
Raj Rayon Industries Limited
21.40
-5.60
-20.74%
IN:RUBYMILLS
Ruby Mills Limited
392.75
155.52
65.56%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 25, 2026