Ruby Mills Limited (RUBYMILLS) AI Stock Analysis

• Market Cap: ₹6.36B
• Dividend Yield: 0.78%
• Average Volume (3M): 2.05K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 1.86
• Revenue Growth: 31.27%
• EPS Growth: 38.24%
• Country: IN
• Employees: 188
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Manufacturers
• EPS (TTM): 3.29
• Shares Outstanding: 33,440,000
• 10 Day Avg. Volume: 726
• 30 Day Avg. Volume: 2,052
• PEG Ratio: -3.06
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 2.64
• P/FCF Ratio: -10.83
• 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: 64 Neutral
• Price Target: ₹204.00 ▼(-6.64% Downside)

Ruby Mills Limited's overall stock score is driven primarily by its strong financial performance, particularly in profitability and equity stability. However, the stock faces challenges with modest revenue growth, increased debt levels, and negative cash flow. Technical analysis indicates mixed signals, with bearish momentum and potential overbought conditions. The valuation is reasonable, with a fair P/E ratio and modest dividend yield.

Positive Factors

High gross & net margins

Sustained gross and net margins indicate structural pricing power and production efficiency in textile operations. High margins provide a durable earnings cushion against raw material swings, enable reinvestment in quality/capacity, and support profitability resilience over the next several quarters.

Robust equity position

A strong equity ratio signals balance-sheet stability and lower insolvency risk, improving access to finance on better terms. This structural capital buffer helps the company withstand cyclical textile demand, supports strategic capex, and preserves credit flexibility over a multi-month horizon.

Healthy operational margins

Robust EBIT and EBITDA margins reflect efficient cost structure and scalable production. These durable operational economics allow the firm to absorb input cost inflation, fund maintenance capex, and maintain competitiveness in both domestic and export markets if revenue trends stabilize.

Negative Factors

Negative free cash flow

Persistent negative free cash flow limits the company's ability to self-fund capex, working capital, or dividends, forcing reliance on external financing. Over 2–6 months this weakens financial flexibility, increases refinancing risk, and can constrain strategic investments or margin improvement initiatives.

Rising debt reliance

An increasing debt-to-equity ratio indicates growing leverage which elevates interest burden and reduces resilience to demand shocks. Coupled with negative FCF, higher leverage raises refinancing risk and limits the company's ability to pursue opportunities or weather cyclical downturns in the textile sector.

Modest revenue growth and EBIT decline

Slow top-line growth alongside falling EBIT suggests competitive pressure or demand weakness, limiting scale benefits. Structurally, this constrains margin expansion and reinvestment capacity, making it harder to improve cash generation or fund strategic initiatives over the medium term.

Ruby Mills Limited Business Overview & Revenue Model

Company Description

The Ruby Mills Limited manufactures textile products in India. It operates in two segments, Textiles, and Real Estate. The company offers cotton, blended yarn, and fabrics, as well as engages in the real estate development and related activities. It also exports its products. The company was incorporated in 1917 and is based in Mumbai, India.

How the Company Makes Money

Ruby Mills Limited generates revenue primarily through the sale of its textile products. The company manufactures and sells fabrics made from cotton and blended materials to various segments including fashion brands, garment manufacturers, and retailers. Key revenue streams include domestic sales within India and exports to international markets. The company also leverages its advanced manufacturing facilities and strategic partnerships with fashion and textile brands to enhance its market presence and expand its customer base. Additional revenue may be generated through innovative product offerings and collaborations with designers to create exclusive fabric lines.

Ruby Mills Limited Financial Statement Overview

Summary

Ruby Mills Limited exhibits strong profitability with a solid gross profit margin of 52.2% and a net profit margin of 17.4%. The company maintains a robust equity position with an equity ratio of 61.4%. However, challenges include modest revenue growth of 2.4%, a decline in EBIT, increased debt-to-equity ratio, and concerning cash flow issues with negative free cash flow.

Income Statement

Ruby Mills Limited has demonstrated a strong gross profit margin of 52.2% and a net profit margin of 17.4% in the latest fiscal year. However, the revenue growth has been modest at 2.4% compared to the previous year. The EBIT margin is solid at 14.0%, and the EBITDA margin is healthy at 28.8%. Despite these strengths, the decline in EBIT from the previous year indicates some operational challenges.

Balance Sheet

The company maintains a robust equity position with an equity ratio of 61.4%, indicating financial stability. However, the debt-to-equity ratio has increased to 0.52, suggesting a rising reliance on debt financing. The return on equity is commendable at 6.6%, but there's room for improvement in optimizing equity returns.

Cash Flow

Ruby Mills' cash flow situation is concerning with a negative free cash flow of -591 million INR. The operating cash flow to net income ratio is negative, reflecting cash generation issues. The company's free cash flow to net income ratio is also negative, indicating a need to improve cash management strategies.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.65B	2.43B	2.29B	2.60B	1.59B	1.23B
Gross Profit	1.58B	1.27B	629.14M	1.70B	812.08M	885.20M
EBITDA	738.55M	698.34M	674.46M	545.07M	542.34M	470.02M
Net Income	455.67M	423.13M	445.43M	352.26M	310.47M	258.48M
Balance Sheet
Total Assets	0.00	10.38B	8.75B	9.60B	9.66B	10.48B
Cash, Cash Equivalents and Short-Term Investments	1.10B	1.10B	732.49M	1.03B	258.86M	465.34M
Total Debt	0.00	3.28B	2.13B	2.41B	2.80B	3.95B
Total Liabilities	-6.37B	4.01B	2.75B	4.00B	4.37B	5.49B
Stockholders Equity	6.37B	6.37B	6.00B	5.60B	5.29B	4.99B
Cash Flow
Free Cash Flow	0.00	-591.48M	227.73M	1.18B	813.62M	161.28M
Operating Cash Flow	0.00	-376.43M	499.57M	1.25B	950.06M	175.36M
Investing Cash Flow	0.00	-844.87M	-775.33M	4.67M	210.35M	14.82M
Financing Cash Flow	0.00	1.09B	-349.47M	-478.44M	-1.28B	-42.76M

Ruby Mills Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 218.50
• 50DMA: Negative
• 100DMA: Negative
• 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:RUBYMILLS, the sentiment is Neutral. The current price of 218.5 is above the 20-day moving average (MA) of 201.69, above the 50-day MA of 212.94, and below the 200-day MA of 221.42, indicating a neutral trend. The MACD of -5.67 indicates Negative momentum. The RSI at 52.63 is Neutral, neither overbought nor oversold. The STOCH value of 36.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:RUBYMILLS.

Ruby Mills Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LAMBODHARA	69 Neutral	₹1.12B	13.80	―	0.42%	13.13%	-2.13%
RUBYMILLS	64 Neutral	₹6.36B	11.83	―	0.78%	31.27%	38.24%
CHEVIOT	63 Neutral	₹5.87B	10.43	―	0.45%	21.72%	-26.78%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
PASHUPATI	62 Neutral	₹12.63B	96.25	―	0.06%	―	―
RSWM	58 Neutral	₹6.43B	88.56	―	―	5.54%	―
BASML	47 Neutral	₹1.88B	14.48	―	―	-8.50%	―

Ruby Mills Limited Corporate Events

Ruby Mills to Set Up Three Wholly Owned Subsidiaries for Solar Open Access Investment

The Board of The Ruby Mills Limited has approved the incorporation of three wholly owned subsidiaries in Mumbai as special purpose vehicles to invest in a Solar Open Access project, signalling a strategic move into renewable energy-linked infrastructure. These entities are intended to provide greater flexibility in managing the company’s future investment in the project, with their creation subject to statutory and regulatory approvals, and further details to be disclosed to stock exchanges once the subsidiaries are formally incorporated.

Ruby Mills Closes Trading Window Ahead of Q3 FY2025 Results

Ruby Mills Limited has announced that its trading window for dealing in the company’s securities will be closed from January 1, 2026 until 48 hours after the board meeting at which the unaudited financial results for the quarter ended December 31, 2025 are considered. During this period, directors, officers, designated employees, related parties, various auditors, and their dependent family members are prohibited from trading in the company’s shares, reflecting the company’s adherence to SEBI’s insider trading regulations and its internal code of conduct aimed at ensuring fair disclosure and preventing misuse of unpublished price-sensitive information.

Ruby Mills Finalizes Settlement Agreement with Mindset Estates

Ruby Mills Limited has finalized a Settlement Agreement with Mindset Estates Private Limited regarding a Revenue Share Development Agreement. This settlement, mediated by Hon’ble Justice Mr. Sharukh J. Kathawala (Retd.), resolves all rights, obligations, and asset allocations between the parties, ensuring no further claims will arise outside the agreement’s scope.