RSWM Ltd (RSWM) AI Stock Analysis

• Market Cap: ₹7.25B
• Dividend Yield: 3.85%
• Average Volume (3M): 3.00K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.24
• Revenue Growth: 9.72%
• EPS Growth: 24.23%
• Country: IN
• Employees: 18,622
• Sector: Consumer Defensive
• Sector Strength: 67
• Industry: Apparel - Manufacturers
• EPS (TTM): 1.78
• Shares Outstanding: 47,101,685
• 10 Day Avg. Volume: 3,889
• 30 Day Avg. Volume: 2,995
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹153.00
• Price Target Upside: -1.32% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: ₹153.00 ▼(-1.32% Downside)

RSWM Ltd's overall score reflects strong revenue growth and improved cash flows, but is weighed down by profitability challenges and bearish technical indicators. High leverage and a negative P/E ratio further impact the stock's attractiveness.

RSWM Ltd Business Overview & Revenue Model

Company Description

RSWM Ltd is a leading Indian textile manufacturer, specializing in the production of high-quality yarns and fabrics. Operating in the textiles and apparel industry, RSWM offers a diverse range of products including cotton, synthetic, and blended yarns, as well as denim and fabrics. The company serves both domestic and international markets, leveraging its extensive manufacturing capabilities and innovative product offerings.

How the Company Makes Money

RSWM Ltd generates revenue primarily through the sale of its textile products, including yarns and fabrics, to various sectors such as apparel, home textiles, and industrial applications. The company capitalizes on its large-scale manufacturing facilities and a broad distribution network to reach customers across different regions. Key revenue streams include domestic sales within India and exports to markets in Asia, Europe, and the Americas. Additionally, RSWM engages in strategic partnerships and collaborations to enhance its product offerings and market reach, contributing to its overall revenue growth.

RSWM Ltd Financial Statement Overview

Summary

RSWM Ltd exhibits growth potential with increasing revenues and improved cash flows, but faces profitability challenges with recent net losses. The company shows resilience in gross profit margins, yet high leverage poses financial risk. Strategic cost management and debt reduction could enhance financial health.

Income Statement

RSWM Ltd has experienced positive revenue growth, with a significant increase from the previous year, indicating strong market demand for its products. However, the net profit margin is concerning, as the company recorded a net loss in the most recent year. The gross profit margin remains robust, suggesting efficient production, but the negative EBIT margin indicates challenges in managing operating expenses.

Balance Sheet

The balance sheet shows a sound equity position, although the debt-to-equity ratio is relatively high, indicating leverage risks. The equity ratio suggests decent capitalization, yet the return on equity is negative due to the net loss, impacting shareholder returns. The company needs to manage its liabilities better to improve financial stability.

Cash Flow

RSWM Ltd's cash flow situation has improved, with a strong recovery in operating cash flows and positive free cash flow this year. The operating cash flow to net income ratio is favorable, indicating effective cash generation relative to earnings. However, the historical volatility in free cash flow growth is a point of concern.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	48.26B	39.66B	37.33B	37.94B	22.97B
Gross Profit	17.29B	12.74B	13.49B	15.81B	9.36B
EBITDA	2.42B	2.30B	3.47B	4.69B	2.20B
Net Income	-400.20M	-210.56M	1.23B	2.46B	208.30M
Balance Sheet
Total Assets	36.11B	36.94B	28.90B	25.74B	20.69B
Cash, Cash Equivalents and Short-Term Investments	669.70M	69.58M	32.13M	68.96M	53.35M
Total Debt	17.16B	18.90B	11.57B	11.03B	9.26B
Total Liabilities	23.14B	23.96B	15.73B	15.38B	12.77B
Stockholders Equity	12.97B	12.97B	13.17B	10.35B	7.92B
Cash Flow
Free Cash Flow	2.98B	-3.07B	-2.45B	-1.46B	2.88B
Operating Cash Flow	4.26B	-757.80M	889.17M	2.10B	3.20B
Investing Cash Flow	-1.13B	-3.62B	-2.39B	-3.18B	66.46M
Financing Cash Flow	-3.07B	4.39B	1.47B	1.11B	-3.26B

RSWM Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 155.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RSWM, the sentiment is Negative. The current price of 155.05 is below the 20-day moving average (MA) of 160.52, below the 50-day MA of 169.03, and below the 200-day MA of 167.61, indicating a bearish trend. The MACD of -4.97 indicates Positive momentum. The RSI at 35.53 is Neutral, neither overbought nor oversold. The STOCH value of 17.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RSWM.

RSWM Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMBIKCO	66 Neutral	₹8.28B	13.77		2.42%	-15.50%	-5.69%
LAMBODHARA	64 Neutral	₹1.31B	18.59		0.40%	17.57%	47.34%
Sector *	63 Neutral	$21.01B	14.53	-7.26%	3.13%	3.36%	-7.91%
RSWM	54 Neutral	₹7.25B	―		3.85%	9.72%	24.23%
BASML	46 Neutral	₹2.38B	24.21		―	-20.14%	―

RSWM Ltd Corporate Events

RSWM Limited to Transfer Unclaimed Equity Shares to IEPF

RSWM Limited announced the proposed transfer of equity shares, for which dividends have not been claimed for seven consecutive years, to the Investor Education and Protection Fund (IEPF) Authority. This move is in compliance with Section 124(6) of the Companies Act, 2013, and relevant SEBI regulations, ensuring adherence to statutory requirements and potentially impacting shareholders with unclaimed dividends.