LMW Limited (LMW) AI Stock Analysis

• Market Cap: ₹169.35B
• Dividend Yield: 0.2%
• Average Volume (3M): 110.00
• Price to Earnings (P/E): 144.9
• Beta (1Y): 1.12
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IN
• Employees: 3,627
• Sector: Consumer Goods
• Sector Strength: N/A
• Industry: Industrial - Machinery
• EPS (TTM): 28.95
• Shares Outstanding: 10,683,000
• 10 Day Avg. Volume: 92
• 30 Day Avg. Volume: 110
• PEG Ratio: -2.25
• Price to Book (P/B): 6.04
• Price to Sales (P/S): 5.77
• P/FCF Ratio: -165.92
• 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: 46 Neutral
• Price Target: ₹14,627.00 ▼(-4.66% Downside)

The score is held back primarily by weakened FY2025 financial performance (large revenue drop, margin compression, and very weak cash conversion/negative free cash flow). Technicals also reflect a bearish trend (below major DMAs with negative MACD). Valuation further pressures the rating due to a very high P/E and low yield, partially offset by the company’s debt-free balance sheet.

LMW Limited Business Overview & Revenue Model

Company Description

LMW Limited, together with its subsidiaries, manufactures and sells textile spinning machinery in India and internationally. The company operates through Textile Machinery Division, Machine Tool Division & Foundry Division, and Advanced Technology Centre segments. Its Textile Machinery Division segment offers textile spinning machinery. The Machine Tool Division & Foundry Division producing precision castings for prominent international clients, manufacturing requirements. Its Advanced Technology Centre segments design and manufactures components and sub-assemblies for the global aerospace sector. It also offers products such as turning, milling, and turnmill. The company was formerly known as Lakshmi Machine Works Limited and changed its name to LMW Limited in September 2024. LMW Limited was incorporated in 1962 and is headquartered in Coimbatore, India.

How the Company Makes Money

LMW Limited Financial Statement Overview

Summary

FY2025 showed sharp operating deterioration: revenue declined ~37% YoY, net margin compressed to ~3.5% (from ~8.1% in FY2024), and profitability volatility increased. The balance sheet remains a key stabilizer with zero debt, but cash conversion and earnings power weakened materially in the latest year.

Income Statement

Profitability weakened sharply in FY2025: revenue fell ~37% year over year, and margins compressed meaningfully (net margin down to ~3.5% from ~8.1% in FY2024; operating profitability also dropped). Gross margin held up around ~32%, but the step-down in operating and net profit suggests a tougher cost/volume environment. Longer-term, FY2023–FY2024 were solid with healthy margins and strong earnings, but the latest year shows elevated volatility.

Balance Sheet

The balance sheet is conservatively positioned with zero debt and a stable equity base, which reduces financial risk and provides flexibility through cycles. Returns on equity were strong in FY2023–FY2024 (~16% and ~14%) but fell materially in FY2025 (~3.7%) as profits declined, indicating weaker efficiency despite solid capitalization.

Cash Flow

Cash generation deteriorated: operating cash flow dropped significantly in FY2025 and covered only a small portion of net income (~3%), pointing to weaker cash conversion. Free cash flow turned meaningfully negative in FY2024–FY2025 after being strongly positive in FY2022–FY2023, suggesting higher investment needs and/or working-capital pressure. This is the clearest near-term weakness across the statements.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	29.09B	46.18B	46.39B	31.16B
Gross Profit	9.28B	13.99B	13.94B	9.34B
EBITDA	1.42B	4.35B	4.50B	2.47B
Net Income	1.03B	3.74B	3.84B	1.81B
Balance Sheet
Total Assets	40.08B	40.31B	40.90B	36.46B
Cash, Cash Equivalents and Short-Term Investments	17.11B	13.04B	10.86B	7.59B
Total Debt	0.00	0.00	0.00	0.00
Total Liabilities	12.30B	13.28B	17.52B	16.56B
Stockholders Equity	27.77B	27.04B	23.39B	19.90B
Cash Flow
Free Cash Flow	-1.01B	-105.50M	860.30M	4.09B
Operating Cash Flow	290.40M	1.41B	3.64B	4.85B
Investing Cash Flow	728.40M	-741.20M	-2.42B	-4.48B
Financing Cash Flow	-803.70M	-1.05B	-429.70M	-109.56M

LMW Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRIDENT	69 Neutral	₹149.26B	32.57	―	1.84%	0.75%	37.44%
VTL	68 Neutral	₹142.04B	18.32	―	1.13%	2.50%	6.26%
JYOTHYLAB	61 Neutral	₹89.42B	25.71	―	1.24%	1.62%	-7.32%
GODREJAGRO	58 Neutral	₹107.49B	24.06	―	1.92%	5.24%	9.79%
Sector *	57 Neutral	$3.13B	9.23	-34.32%	3.14%	-25.56%	-353.61%
HONASA	54 Neutral	₹90.31B	68.60	―	―	10.59%	67.55%
LMW	46 Neutral	₹169.35B	144.86	―	0.20%	―	―

LMW Limited Corporate Events

LMW Limited Schedules Virtual Analyst and Investor Meet for January 29

LMW Limited has notified the stock exchanges of its upcoming virtual group analyst and investor meet, scheduled for 29 January 2026, in compliance with disclosure norms under Regulation 30 of SEBI’s Listing Obligations and Disclosure Requirements. The company emphasized that no unpublished price-sensitive information will be shared during the meeting and indicated that the schedule may be subject to change, signaling a routine but transparent engagement with the investor community aimed at maintaining regulatory compliance and communication with stakeholders.

LMW Limited Announces Sale of Stake in Super Sales India

LMW Limited’s Board of Directors has approved the sale of 300,000 equity shares, representing 9.77% of its paid-up share capital, in Super Sales India Limited. This strategic move may impact the company’s financial position and influence its market strategy, potentially affecting stakeholders’ interests.