Nandani Creation Ltd. (JAIPURKURT) AI Stock Analysis

• Market Cap: ₹691.47M
• Dividend Yield: N/A
• Average Volume (3M): 14.55K
• Price to Earnings (P/E): 29.2
• Beta (1Y): 0.81
• Revenue Growth: 37.68%
• EPS Growth: -67.76%
• Country: IN
• Employees: 93
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): 0.15
• Shares Outstanding: 19,090,714
• 10 Day Avg. Volume: 14,706
• 30 Day Avg. Volume: 14,554
• PEG Ratio: 0.05
• Price to Book (P/B): 1.68
• Price to Sales (P/S): 1.26
• P/FCF Ratio: -4.46
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹41.00 ▲(51.80% Upside)

The score is held back primarily by weak cash flow (negative free cash flow and operating cash outflows) despite strong revenue growth and improving margins. Technicals are supportive with a bullish trend, but overbought signals add near-term risk. Valuation is moderately expensive (P/E ~29.3) with no dividend yield provided.

Positive Factors

Revenue Growth

Sustained ~54% YoY revenue expansion signals strong underlying demand and successful channel reach. Over a 2-6 month horizon this trend supports capacity utilization, bargaining power with suppliers, and the ability to invest in product and distribution to reinforce market position.

Margin Improvement

Healthier gross (~36.7%) and improving net margins indicate better product mix, pricing power, or cost control. These structural margin gains create durable cushion for reinvestment, support operating leverage as volumes grow, and reduce sensitivity to input cost swings over months ahead.

Diversified Sales Channels & Brand Reach

A multichannel model (own e-commerce, boutiques, retail chains, wholesale, influencer collaborations) reduces dependency on any single route to market. This durable diversification helps revenue resilience across seasons and supports scalable customer acquisition and brand building.

Negative Factors

Negative Free Cash Flow

Persistently negative FCF (-196.7M) and operating cash outflows constrain self-funding of inventory, marketing and capex. Over months this forces reliance on external financing, raises refinancing risk, and limits the company's ability to organically scale or absorb shocks.

Earnings Quality / EPS Decline

A steep EPS decline (~-68%) despite revenue growth suggests earnings volatility or non-cash/one-off items affecting profitability. Structurally, this weakens confidence in sustainable bottom-line improvement and may signal margin pressure or cost absorption that could persist for months.

Balance Sheet Buffer Is Modest

Moderate leverage (D/E 0.51) and a relatively low equity ratio (56.4%) provide limited shock absorption. If liabilities rise or cash flow remains weak, the company faces greater refinancing and liquidity pressure over the medium term, constraining strategic flexibility.

Nandani Creation Ltd. Business Overview & Revenue Model

Company Description

Nandani Creation Limited, together with its subsidiaries, manufactures, imports, exports, and trades in apparels for men, women, and children in India and internationally. The company offers kurtis, dresses and tunics, tops, palazzos, suit sets, kurta palazzo sets, kurta skirt sets, ethnic tops, pants, patialas, salwar suits, dupattas, jackets, jumpsuits, bottom wears, etc. It also provides sportswear, active wear, daily wears, fashion wears, party wears, wearing apparels, purses, belts, wallets, and other allied goods. The company sells its products under the Jaipur Kurti and Amaiva brand name; and through its own website, jaipurkurti.com, as well as 3 retail stores in Jaipur. Nandani Creation Limited was founded in 2004 and is based in Jaipur, India.

How the Company Makes Money

Nandani Creation Ltd. generates revenue primarily through the sale of its textile products, including Kurtis and ethnic wear, via both online and physical retail channels. The company has established a robust e-commerce platform that allows it to reach a wider audience, complemented by strategic partnerships with local boutiques and larger retail chains. In addition to direct sales, Nandani Creation Ltd. also earns income through wholesale distribution of its products to other retailers. Seasonal collections and limited edition releases create additional revenue opportunities, while collaborations with fashion influencers and participation in trade shows enhance brand visibility and drive sales.

Nandani Creation Ltd. Financial Statement Overview

Summary

Nandani Creation Ltd. shows strong revenue growth and improved profitability metrics, with a notable increase in net profit margin. However, challenges with negative free cash flow and high operating cash outflows could impact financial flexibility. The balance sheet reflects moderate leverage, but an improved ROE suggests better capital efficiency. Focus on improving cash flow management is needed.

Income Statement

Nandani Creation Ltd. has shown a strong revenue growth rate of approximately 54.3% from 2024 to 2025 and has improved its net profit margin to 5.3% in 2025 from 1.2% in 2024. Gross profit margins remain healthy at around 36.7% in 2025. Despite the positive growth trends, the company needs to maintain stability in EBIT and EBITDA margins, which are currently at 10.2% and 14.8% respectively in 2025.

Balance Sheet

The company's debt-to-equity ratio is 0.51 in 2025, indicating a moderate level of leverage. The return on equity (ROE) improved to 7.1% in 2025, showing better profitability. However, a low equity ratio of 56.4% suggests potential risks if liabilities increase, though it is a slight improvement from previous years.

Cash Flow

Free cash flow remains negative at -196.7 million in 2025, worsened by a significant operating cash outflow. The operating cash flow to net income ratio is negative, reflecting cash management challenges. However, the company has managed to secure financing to support its operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	696.41M	696.41M	451.13M	488.82M	626.79M	478.09M
Gross Profit	274.25M	255.45M	178.46M	213.71M	225.74M	214.07M
EBITDA	102.93M	102.93M	47.72M	38.87M	28.89M	50.48M
Net Income	37.11M	37.11M	5.46M	1.10M	4.98M	16.05M
Balance Sheet
Total Assets	927.07M	927.07M	697.38M	481.46M	431.48M	338.32M
Cash, Cash Equivalents and Short-Term Investments	5.89M	5.89M	3.51M	35.83M	2.87M	3.37M
Total Debt	266.72M	278.02M	264.67M	151.07M	174.76M	96.86M
Total Liabilities	404.32M	404.32M	398.71M	191.50M	273.55M	184.64M
Stockholders Equity	522.75M	522.75M	298.67M	289.96M	157.93M	153.67M
Cash Flow
Free Cash Flow	0.00	-196.69M	-77.26M	-23.14M	-67.92M	12.61M
Operating Cash Flow	0.00	-189.11M	-67.81M	-12.35M	-31.84M	16.88M
Investing Cash Flow	0.00	-7.42M	-53.50M	-32.06M	-33.16M	-5.30M
Financing Cash Flow	0.00	198.54M	88.78M	77.25M	65.98M	-11.34M

Nandani Creation Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 27.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JAIPURKURT, the sentiment is Positive. The current price of 27.01 is below the 20-day moving average (MA) of 31.44, below the 50-day MA of 32.31, and below the 200-day MA of 39.36, indicating a neutral trend. The MACD of 1.72 indicates Negative momentum. The RSI at 66.11 is Neutral, neither overbought nor oversold. The STOCH value of 76.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:JAIPURKURT.

Nandani Creation Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BLBLIMITED	69 Neutral	₹722.67M	5.70	―	―	-19.34%	14.87%
KHAITANLTD	66 Neutral	₹472.63M	7.71	―	―	45.19%	41.70%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JAIPURKURT	62 Neutral	₹691.47M	29.16	―	―	37.68%	-67.76%
BANG	53 Neutral	₹640.03M	11.79	―	―	25.07%	―
NKIND	38 Underperform	₹402.66M	-6.93	―	―	-31.23%	-9236.29%

Nandani Creation Ltd. Corporate Events

Nandani Creation Shuts Trading Window Ahead of December-Quarter Results

Nandani Creation Limited has announced the closure of its trading window for equity shares from 1 January 2026 until 48 hours after the declaration of its standalone and consolidated unaudited financial results for the quarter ended 31 December 2025. The move, in line with SEBI’s Prohibition of Insider Trading Regulations and the company’s internal code of conduct, restricts directors, designated employees, and their immediate relatives from dealing in the company’s shares during this period, underscoring ongoing efforts to strengthen governance and ensure fair disclosure ahead of its next financial results, with the exact board meeting date to be communicated in due course.