Monte Carlo Fashions Ltd. (MONTECARLO) AI Stock Analysis

• Market Cap: ₹13.80B
• Dividend Yield: 3.01%
• Average Volume (3M): 6.00K
• Price to Earnings (P/E): 17.6
• Beta (1Y): 1.02
• Revenue Growth: 6.08%
• EPS Growth: 31.44%
• Country: IN
• Employees: 2,020
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -7.82
• Shares Outstanding: 20,732,063
• 10 Day Avg. Volume: 13,692
• 30 Day Avg. Volume: 6,000
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹662.00
• Price Target Upside: -0.53% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ₹662.00 ▼(-0.53% Downside)

Monte Carlo Fashions Ltd. demonstrates solid revenue growth and reasonable valuation, which are key strengths. However, profitability pressures, declining ROE, and liquidity challenges weigh on the overall score. Technical indicators suggest mixed momentum, contributing to a moderate outlook.

Monte Carlo Fashions Ltd. Business Overview & Revenue Model

Company Description

Monte Carlo Fashions Limited engages in manufacturing and trading woolen/cotton readymade apparels under the Monte Carlo brand in India and internationally. The company provides shirts, trousers, denims, Bermudas, lowers, hi-street fashion shirts, tops, dresses, jumpsuits, urban tunics, shrugs, shorts, capris, narrow pants, leggings, track suits, T-shirts, ties, belts, and socks for men, women, and tweens. It also offers home furnishings and kids' apparel. The company sells its products through approximately 298 executive brand outlets, 1777 multiple brand outlets, 622 national chain stores, and 153 shop-in-shop stores, as well as through e-commerce portals. Monte Carlo Fashions Limited was incorporated in 2008 and is based in Ludhiana, India.

How the Company Makes Money

Monte Carlo Fashions Ltd. generates revenue primarily through the sale of its apparel products. The company's key revenue streams include retail sales through its vast network of exclusive brand outlets and multi-brand outlets across India. Additionally, Monte Carlo leverages e-commerce platforms to reach a wider audience and enhance its sales. The company also engages in strategic partnerships with various retail chains and online marketplaces to expand its market presence and increase sales volume. Its focus on quality, brand reputation, and customer satisfaction significantly contributes to its earnings.

Monte Carlo Fashions Ltd. Financial Statement Overview

Summary

Monte Carlo Fashions Ltd. shows solid revenue growth and operational efficiency with a stable gross profit margin. However, fluctuations in net profit margin and declining ROE highlight profitability and equity utilization concerns. The rising debt-to-equity ratio suggests increased leverage, while cash flow metrics indicate potential liquidity challenges.

Income Statement

Monte Carlo Fashions Ltd. exhibits strong revenue growth, with a notable increase from INR 6,212 million in 2021 to INR 11,004 million in 2025. Gross profit margin has been stable, averaging around 31% to 35%. However, net profit margin has fluctuated, peaking at 11.85% in 2023 but dropping to 7.38% in 2025, indicating some profitability pressures. EBIT and EBITDA margins show healthy operational efficiency, though there's a decline in EBIT margin from 2024 to 2025.

Balance Sheet

The company maintains a solid equity base, with the equity ratio improving from 60.79% in 2021 to 48.63% in 2025. However, the debt-to-equity ratio increased to 0.62 in 2025, reflecting higher leverage. Return on Equity (ROE) decreased from 19.73% in 2023 to 9.73% in 2025, pointing to less effective equity utilization.

Cash Flow

Operating cash flow decreased significantly from INR 814.6 million in 2024 to INR 593.5 million in 2025. Free cash flow showed volatility, with a decline in 2025 compared to the previous year. The operating cash flow to net income ratio is less than ideal, indicating challenges in converting profits into cash.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2020
Income Statement
Total Revenue	11.01B	11.00B	11.18B	10.61B	9.03B	6.21B
Gross Profit	4.30B	3.45B	5.25B	4.04B	3.76B	2.49B
EBITDA	2.02B	2.22B	2.38B	1.71B	2.06B	1.36B
Net Income	737.50M	811.70M	1.33B	599.40M	1.14B	662.96M
Balance Sheet
Total Assets	0.00	17.16B	14.96B	15.16B	11.22B	9.37B
Cash, Cash Equivalents and Short-Term Investments	1.49B	1.73B	1.98B	1.29B	2.09B	2.10B
Total Debt	0.00	5.14B	3.31B	3.82B	1.56B	1.18B
Total Liabilities	-7.48B	8.81B	7.20B	7.21B	4.34B	3.33B
Stockholders Equity	7.48B	8.34B	7.76B	7.95B	6.87B	6.04B
Cash Flow
Free Cash Flow	0.00	212.90M	-585.90M	466.90M	454.72M	947.82M
Operating Cash Flow	0.00	593.50M	-52.90M	814.60M	705.53M	1.12B
Investing Cash Flow	0.00	-456.00M	-463.40M	35.30M	-481.88M	-822.00M
Financing Cash Flow	0.00	-142.50M	529.20M	-852.20M	-223.85M	-308.09M

Monte Carlo Fashions Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 665.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MONTECARLO, the sentiment is Positive. The current price of 665.55 is above the 20-day moving average (MA) of 620.49, above the 50-day MA of 585.87, and above the 200-day MA of 613.11, indicating a bullish trend. The MACD of 28.26 indicates Negative momentum. The RSI at 70.42 is Negative, neither overbought nor oversold. The STOCH value of 63.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:MONTECARLO.

Monte Carlo Fashions Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MONTECARLO	71 Outperform	₹13.80B	17.64	―	3.01%	6.08%	31.44%
MUNJALAU	67 Neutral	₹10.38B	25.62	8.75%	0.96%	8.73%	0.25%
CANTABIL	66 Neutral	₹21.21B	27.15	19.04%	0.40%	19.03%	25.30%
RUPA	64 Neutral	₹15.85B	20.24	8.19%	1.50%	-1.50%	2.97%
INDTERRAIN	46 Neutral	₹1.63B	-4.28	-23.33%	―	-21.08%	-21.17%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Monte Carlo Fashions Ltd. Corporate Events

Monte Carlo Fashions Ltd. Announces Trading Window Closure

Monte Carlo Fashions Ltd. has announced the closure of its trading window in compliance with SEBI regulations and its internal code of conduct. This closure will be in effect from July 1, 2025, until 48 hours after the declaration of the company’s unaudited financial results for the quarter ending June 30, 2025. The decision reflects the company’s commitment to regulatory compliance and transparency in its financial reporting, potentially impacting stakeholders by temporarily restricting trading activities.