Pearl Global Industries Limited (PGIL) AI Stock Analysis

• Market Cap: ₹71.28B
• Dividend Yield: 0.77%
• Average Volume (3M): 4.36K
• Price to Earnings (P/E): 27.0
• Beta (1Y): 1.76
• Revenue Growth: 24.93%
• EPS Growth: 20.57%
• Country: IN
• Employees: 9,116
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Manufacturers
• EPS (TTM): 11.45
• Shares Outstanding: 46,146,015
• 10 Day Avg. Volume: 1,886
• 30 Day Avg. Volume: 4,360
• PEG Ratio: 0.68
• Price to Book (P/B): 5.34
• Price to Sales (P/S): 1.37
• P/FCF Ratio: 109.57
• 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: ₹2,255.00
• Price Target Upside: 39.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 60.97
• Revenue Forecast (FY): ₹49.98B

• Rating: 66 Neutral
• Price Target: ₹1,980.00 ▲(22.06% Upside)
• Action: Reiterated Date: 11/13/25
• Date: Action: Reiterated 11/13/25

Pearl Global Industries' strong financial performance is the most significant factor, supported by robust revenue growth and improving profitability. However, technical indicators suggest caution due to overbought conditions, and the valuation appears stretched with a high P/E ratio. These factors combined result in a moderate overall stock score.

Positive Factors

Sustained Revenue Growth

Pearl Global's ~19% revenue growth indicates sustained demand and expanding order book over multiple years. Durable top-line expansion supports scale economics, better factory utilization and stronger negotiating power with suppliers and buyers over a 2-6 month horizon.

Improving Profitability and Margins

Consistent gross and rising net margins reflect effective cost control and operating leverage in manufacturing. Healthy EBIT/EBITDA margins point to structural efficiency gains and the ability to sustain profitability through product mix or operational improvements over medium-term cycles.

Strong Operating Cash Generation

Positive operating cash flow demonstrates the business converts earnings into cash, supporting working capital needs and incremental capex without immediate equity dilution. This cash generation underpins resilience and funds growth initiatives over the coming months.

Negative Factors

Rising Debt Levels

While leverage remains manageable today, the trend of rising debt reduces financial flexibility and increases interest expense risk. If revenue or margins deteriorate, higher leverage could pressure liquidity and limit ability to invest or withstand demand shocks.

Variable Free Cash Flow & External Financing Reliance

Fluctuating free cash flow and apparent dependence on external financing create execution risk for capex, dividends and working capital. In tighter credit conditions or lower margins, this reliance could force higher-cost funding or curtail growth plans.

Export-Linked FX Exposure

A business model driven by exports exposes revenue and margins to currency volatility and global demand cycles. Sustained currency swings or poor hedging can erode profitability and cash flow, making earnings more variable despite core operational strengths.

Pearl Global Industries Limited Business Overview & Revenue Model

Company Description

Pearl Global Industries Limited, together with its subsidiaries, manufactures and exports readymade garments. The company offers knits, woven, and bottoms for men, women, and kids. It also provides supply chain solutions. The company offers its products through retailers in India, the United States, Bangladesh, Indonesia, Hong Kong, Vietnam, Spain, the United Kingdom, rest of Europe, and internationally. In addition, it is involved in the trading of garments through online. The company was formerly known as House of Pearl Fashions Limited. Pearl Global Industries Limited was founded in 1987 and is based in Gurugram, India.

How the Company Makes Money

PGIL generates revenue primarily through the manufacturing and export of garments and textiles. The company's revenue model is largely based on contract manufacturing, where it produces apparel for established brands, thereby earning a margin on the cost of production. Key revenue streams include sales of woven and knitted garments, as well as fabric sales to other manufacturers. Additionally, PGIL may benefit from strategic partnerships with global brands that help secure long-term contracts and provide a stable demand for its products. Factors contributing to its earnings include efficient production processes, a reputation for quality, and an ability to adapt to changing fashion trends and consumer preferences.

Pearl Global Industries Limited Financial Statement Overview

Summary

Pearl Global Industries demonstrates strong financial health with robust revenue growth and improving profitability. The balance sheet is stable, though rising debt levels should be monitored. Cash flows are positive, with strong operational cash generation, though variations in free cash flow and reliance on external financing necessitate careful financial management.

Income Statement

Pearl Global Industries has shown robust revenue growth, with a significant increase in total revenue from 2021 to 2025. The gross profit margin has remained strong, indicating effective cost management. The net profit margin has improved, reflecting enhanced profitability. EBIT and EBITDA margins are healthy, showcasing operational efficiency and solid earnings before interest and taxes. Overall, the income statement reflects a company on a positive growth trajectory with increasing profitability.

Balance Sheet

The company's balance sheet shows a stable financial position with a reasonable debt-to-equity ratio, suggesting manageable leverage levels. The return on equity has been improving, indicating effective use of shareholder funds. The equity ratio is solid, highlighting a good proportion of equity financing. However, the increasing debt levels warrant cautious monitoring to ensure they do not pose significant risk in the future.

Cash Flow

Operating cash flow remains positive, indicating strong cash generation from core business operations. The free cash flow has shown variability, reflecting fluctuating capital expenditures over the years. The ratio of operating cash flow to net income suggests effective conversion of earnings into cash. However, the cash flow from financing activities indicates a reliance on external financing, which could be a potential risk if not managed carefully.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	46.81B	45.06B	34.36B	31.58B	27.14B	14.91B
Gross Profit	21.94B	21.34B	5.78B	15.29B	9.00B	5.61B
EBITDA	4.41B	4.04B	3.17B	3.09B	1.95B	1.02B
Net Income	2.51B	2.48B	1.75B	1.49B	681.46M	172.71M
Balance Sheet
Total Assets	0.00	25.96B	19.85B	17.81B	17.81B	12.94B
Cash, Cash Equivalents and Short-Term Investments	5.66B	5.66B	3.66B	3.00B	1.55B	1.24B
Total Debt	0.00	7.73B	5.88B	5.58B	6.45B	4.40B
Total Liabilities	-11.46B	14.49B	11.68B	10.38B	11.66B	7.64B
Stockholders Equity	11.46B	11.56B	8.02B	7.22B	5.99B	5.17B
Cash Flow
Free Cash Flow	0.00	562.89M	2.23B	2.77B	-1.75B	628.15M
Operating Cash Flow	0.00	1.76B	3.52B	3.65B	-914.98M	946.14M
Investing Cash Flow	0.00	-1.04B	-1.28B	-256.99M	-396.32M	-260.47M
Financing Cash Flow	0.00	1.01B	-1.52B	-2.00B	1.53B	-619.42M

Pearl Global Industries Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1622.20
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PGIL, the sentiment is Neutral. The current price of 1622.2 is below the 20-day moving average (MA) of 1639.15, above the 50-day MA of 1575.74, and above the 200-day MA of 1457.03, indicating a neutral trend. The MACD of -9.52 indicates Positive momentum. The RSI at 45.72 is Neutral, neither overbought nor oversold. The STOCH value of 16.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:PGIL.

Pearl Global Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ICIL	67 Neutral	₹52.77B	46.93	―	0.74%	10.86%	-47.15%
PGIL	66 Neutral	₹71.28B	27.04	―	0.77%	24.93%	20.57%
JINDWORLD	64 Neutral	₹25.00B	38.06	―	0.13%	12.93%	-17.47%
SANGAMIND	63 Neutral	₹23.49B	39.65	―	0.45%	13.88%	-0.56%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
REDTAPE	61 Neutral	₹69.13B	32.59	―	0.60%	7.29%	14.72%
HIMATSEIDE	51 Neutral	₹12.72B	17.54	―	0.21%	-7.55%	-30.11%

Pearl Global Industries Limited Corporate Events

Pearl Global Says Share Price Surge Driven by Market Forces, Denies Undisclosed News

Pearl Global Industries Limited has told the National Stock Exchange of India that it is unaware of any undisclosed price-sensitive information that could explain the recent significant movement in its share price. Responding to a regulatory query, the company said it has been complying with disclosure obligations under SEBI’s Listing Regulations and has promptly communicated all relevant events and information to the exchanges. Management stressed that the recent volatility in the stock is attributable solely to broader market dynamics beyond the company’s control, implying no internal operational or strategic developments are behind the price swing.