Sangam (India) Limited (SANGAMIND) AI Stock Analysis

• Market Cap: ₹23.03B
• Dividend Yield: 0.45%
• Average Volume (3M): 7.08K
• Price to Earnings (P/E): 61.9
• Beta (1Y): 1.89
• Revenue Growth: 13.88%
• EPS Growth: -0.56%
• Country: IN
• Employees: 9,931
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Manufacturers
• EPS (TTM): 4.60
• Shares Outstanding: 50,246,560
• 10 Day Avg. Volume: 15,463
• 30 Day Avg. Volume: 7,079
• PEG Ratio: -2.98
• Price to Book (P/B): 2.12
• Price to Sales (P/S): 0.75
• P/FCF Ratio: 77.94
• 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: ₹466.00 ▼(-3.26% Downside)

Sangam (India) Limited's stock score is primarily influenced by its mixed financial performance and technical analysis. The company faces challenges in profitability and cash flow consistency, while technical indicators suggest a neutral to slightly positive trend. The high P/E ratio indicates potential overvaluation, which weighs down the overall score.

Positive Factors

Vertically Integrated Business Model

Sangam (India) Limited's vertically integrated model enhances efficiency and cost-effectiveness, providing a competitive edge by controlling quality and reducing dependency on external suppliers.

Revenue Growth

Consistent revenue growth of 11.71% indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Product Diversification

Sangam's diverse product range in textiles, including yarns and fabrics, mitigates risk by catering to varied market segments, enhancing resilience against market fluctuations.

Negative Factors

Profitability Challenges

Ongoing cost pressures and inefficiencies hinder profitability, requiring strategic improvements in cost management and operational processes to sustain long-term growth.

High Leverage

High leverage poses financial risks, especially in volatile markets, potentially limiting the company's ability to invest in growth opportunities and manage economic downturns.

Inconsistent Cash Flow

Inconsistent free cash flow due to high capital expenditures limits financial flexibility, impacting the company's ability to fund new projects and manage debt effectively.

Sangam (India) Limited Business Overview & Revenue Model

Company Description

Sangam (India) Limited manufactures and sells PV dyed yarns in India and internationally. Its product portfolio includes PV dyed/grey yarns, cotton spun and open ended yarns, indigo rope dyed yarns, texturized yarns, PV fabrics and processed fabrics, synthetic blended fabrics, cotton knitted fabrics, and denim fabrics, as well as seamless garments, such as air wear, intimate wear, shape wear, leisure wear, active wear, and casual wear garments for women. The company also produces steel; solar, thermal, and wind power; and develops real estate properties. It markets its products under the C9 Airwear, Sangam Suitings, Sangam Denims, and Sangam Yarns brands through online and offline channels. The company also exports its products. Sangam (India) Limited was incorporated in 1984 and is headquartered in Mumbai, India.

How the Company Makes Money

Sangam (India) Limited generates revenue primarily through the production and sale of textiles, including yarn and fabric. The company's revenue model is built on multiple key streams, including direct sales to manufacturers, retailers, and wholesalers, as well as exports to international markets. SANGAMIND capitalizes on its extensive distribution network and brand reputation to secure long-term contracts and partnerships with major players in the fashion and apparel industry, providing a stable income source. Additionally, the company may benefit from collaborations with fashion brands for co-branded products and sustainable textile initiatives, further enhancing its revenue potential.

Sangam (India) Limited Financial Statement Overview

Summary

Sangam (India) Limited shows a mixed financial performance. Revenue growth is present but profitability is challenged by cost pressures and operational inefficiencies. The balance sheet indicates moderate leverage, posing some risk, while cash flow generation is inconsistent. Improvements in operational efficiencies and cost management are needed.

Income Statement

Sangam (India) Limited shows a mixed income statement performance. The gross profit margin has significantly dropped from previous years, indicating cost pressures or changes in pricing. Net profit margin is low, reflecting challenges in converting revenue to profit. Revenue has shown growth overall, but with fluctuations between years, suggesting potential volatility in sales. The EBIT margin has declined, indicating reduced operational efficiency. EBITDA margin is relatively stable but could improve. The company needs to focus on cost control and operational efficiency to enhance profitability.

Balance Sheet

The balance sheet shows moderate strength. The debt-to-equity ratio is relatively high, indicating significant leverage which poses financial risk, especially in volatile market conditions. Return on equity has seen fluctuation but is overall moderate, reflecting a reasonable return for shareholders. Equity ratio suggests a balanced approach towards funding through equity as opposed to relying heavily on debt. Improvements in equity and reduction in debt would strengthen financial stability.

Cash Flow

Cash flow analysis reveals some concerns. The operating cash flow to net income ratio is healthy, indicating good cash generation from operations. However, free cash flow has been inconsistent, showing negative figures in some years due to high capital expenditures. Free cash flow to net income is weak, suggesting limited cash availability post-investment activities. The company should aim to optimize capital expenditure to enhance free cash flow generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	29.54B	28.57B	26.28B	26.78B	24.02B	13.36B
Gross Profit	7.07B	4.56B	7.73B	11.79B	9.10B	5.01B
EBITDA	2.51B	2.53B	2.15B	2.93B	3.02B	1.31B
Net Income	196.50M	318.00M	408.20M	1.31B	1.41B	42.10M
Balance Sheet
Total Assets	0.00	29.55B	27.29B	21.61B	18.24B	14.09B
Cash, Cash Equivalents and Short-Term Investments	1.31B	1.31B	104.40M	70.60M	11.30M	1.90M
Total Debt	0.00	11.38B	10.66B	8.26B	6.10B	5.89B
Total Liabilities	-10.07B	19.48B	17.45B	12.77B	11.08B	8.56B
Stockholders Equity	10.07B	10.07B	9.84B	8.83B	7.16B	5.52B
Cash Flow
Free Cash Flow	0.00	274.30M	-2.48B	-1.73B	-1.13B	715.10M
Operating Cash Flow	0.00	3.42B	1.60B	2.16B	910.60M	1.33B
Investing Cash Flow	0.00	-3.79B	-3.90B	-3.54B	-1.92B	-429.30M
Financing Cash Flow	0.00	591.00M	2.30B	1.43B	1.13B	-931.70M

Sangam (India) Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 481.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SANGAMIND, the sentiment is Positive. The current price of 481.7 is above the 20-day moving average (MA) of 454.55, above the 50-day MA of 449.19, and above the 200-day MA of 422.41, indicating a bullish trend. The MACD of 12.30 indicates Negative momentum. The RSI at 63.44 is Neutral, neither overbought nor oversold. The STOCH value of 62.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:SANGAMIND.

Sangam (India) Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLSEL	72 Outperform	₹13.16B	13.98	―	0.95%	-11.39%	-12.82%
DOLLAR	69 Neutral	₹19.00B	17.97	―	0.82%	11.71%	14.14%
HUHTAMAKI	66 Neutral	₹15.17B	15.24	―	0.95%	-1.59%	-75.34%
SANGAMIND	64 Neutral	₹23.03B	61.86	―	0.45%	13.88%	-0.56%
RSWM	64 Neutral	₹6.41B	79.48	―	―	5.54%	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
MARALOVER	47 Neutral	₹1.74B	-6.66	―	―	-0.90%	-304.07%

Sangam (India) Limited Corporate Events

Sangam (India) Limited Faces Credit Rating Downgrade

Sangam (India) Limited announced that India Ratings and Research has downgraded its bank loan facilities from ‘IND A’ to ‘IND A-‘ with a stable outlook. This rating change reflects a shift in the company’s credit profile, which may impact its borrowing costs and investor perceptions. The downgrade could influence the company’s financial strategies and market positioning, potentially affecting stakeholders’ confidence.