Shiva Texyarn Limited (SHIVATEX) AI Stock Analysis

• Market Cap: ₹1.88B
• Dividend Yield: 0.33%
• Average Volume (3M): 343.00
• Price to Earnings (P/E): 36.6
• Beta (1Y): 0.53
• Revenue Growth: 15.16%
• EPS Growth: 780.57%
• Country: IN
• Employees: 1,614
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Manufacturers
• EPS (TTM): 1.26
• Shares Outstanding: 12,962,713
• 10 Day Avg. Volume: 265
• 30 Day Avg. Volume: 343
• PEG Ratio: -0.09
• Price to Book (P/B): 1.70
• Price to Sales (P/S): 0.72
• P/FCF Ratio: 26.01
• 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: 59 Neutral
• Price Target: ₹156.00 ▼(-14.75% Downside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

The score is driven primarily by mixed financial performance—recent margin and cash-flow improvement offset by inconsistent revenue/profitability and notable leverage. Technical indicators are broadly neutral with negative MACD and a weaker longer-term trend, while valuation is reasonable on P/E but supported by a low dividend yield.

Positive Factors

Improved gross margin

A materially higher gross margin (49.25% in 2025) indicates the company has improved cost control or realized better product pricing. Sustained elevated gross margins bolster long-term profitability resilience versus peers in a cyclical textile sector and provide buffer against raw-material swings.

Free cash flow recovery

The rebound to positive free cash flow and healthy operating cash flow-to-net income in 2025 demonstrates stronger cash conversion. Durable cash generation improves capacity to service debt, fund maintenance capex, and support strategic investments without needing frequent external financing.

Recent top-line and EPS growth

Double-digit revenue growth and strong EPS improvement suggest renewed demand and operating leverage. Sustained revenue expansion alongside margin gains can support consistent earnings power and fund reinvestment, helping the company rebuild stability after prior volatility.

Negative Factors

Meaningful leverage

A debt-to-equity ratio near 0.8 reflects meaningful leverage for a mid-sized textile manufacturer. Elevated debt amplifies interest and refinancing risk, constrains strategic flexibility, and makes earnings and cash flow volatility more consequential for credit metrics over the medium term.

Inconsistent revenue and margins

Historical swings in revenue and net margins indicate cyclicality and operational inconsistency. This undermines predictability of cash flows and returns, complicating capital allocation and making it harder to sustain long-term investment or dividend policies amid textile market cycles.

Volatile historical cash flows

Despite recent free cash flow improvement, prior negative FCF and fluctuating operating cash flows point to sensitivity to working capital, input costs, and demand cycles. Persistent cash volatility can delay deleveraging and limit ability to fund growth without external capital.

Shiva Texyarn Limited Business Overview & Revenue Model

Company Description

Shiva Texyarn Limited manufactures and markets cotton yarn, and technical and other value-added textile products in India and internationally. It offers combed, carded, and compact yarns; slub and fancy yarns; quick dry products; quick fit products, including mattress protectors; and baby products under the Q-Club brand. The company also provides door, window, and shower curtains, as well as cushion covers; knitwear, light weight shells, seam sealed, multi layered, fleece and pile fabrics, and breathable film laminated garments; and extreme cold weather clothing, super high altitude mountaineering clothing, extreme cold weather combat glove systems, and internal and external frame rucksacks. In addition, it offers bedding range, such as sheets, duvet covets, and fleece blankets; kitchen articles comprising aprons, pot holders, and table cloths; bath, wipe, and swimming towels; acrylic coated, PU coating products, and art canvas and digital canvas products; and bags, such as sports and school bags, and girls and professional bags for camping and photography under the WULF name. The company was incorporated in 1980 and is based in Coimbatore, India. Shiva Texyarn Limited is a subsidiary of Vedanayagam Hospital Limited.

How the Company Makes Money

Shiva Texyarn Limited primarily makes money by manufacturing textile yarn and selling it to customers such as fabric manufacturers, garment makers, and other textile processors. Revenue is generated from (1) sale of finished yarn products, where earnings depend on volumes sold, product mix (e.g., different yarn specifications), and realized selling prices; and potentially (2) sale of other textile-related products/by-products if produced as part of its manufacturing process. Profitability is influenced by input costs (e.g., fiber/raw materials and energy), capacity utilization of its manufacturing facilities, and pricing dynamics in the yarn market. Specific revenue breakdown by segment, named major customers, or significant partnerships are not available in the provided prompt; null.

Shiva Texyarn Limited Financial Statement Overview

Summary

Mixed fundamentals: improved gross margin and better free cash flow in 2025, but revenue and profitability have been inconsistent over time. Leverage remains meaningful (debt-to-equity 0.78) with historical volatility in returns.

Income Statement

Shiva Texyarn Limited has shown inconsistent revenue growth over the years, with a decline in recent periods. The gross profit margin improved significantly in 2025 at 49.25%, indicating better cost management. However, net profit margin fluctuations, including a negative margin in previous years, suggest challenges in maintaining profitability. The EBIT and EBITDA margins experienced volatility, reflecting operational issues.

Balance Sheet

The debt-to-equity ratio has been high, indicating substantial leverage, which poses a financial risk. In 2025, the company had a debt-to-equity ratio of 0.78, showing some improvement but still reflecting significant debt levels. The equity ratio indicates moderate financial stability with 44.63% in 2025. Return on Equity (ROE) was positive in 2025 at 8.89%, signaling a return to profitability, but historical fluctuations indicate potential instability.

Cash Flow

The company exhibited a strong improvement in free cash flow in 2025, rebounding from negative figures in 2024. Operating cash flow to net income ratio was healthy in 2025, demonstrating efficient cash generation relative to net income. The free cash flow to net income ratio has improved, reflecting better cash management practices. However, fluctuations in cash flows over the years indicate potential volatility in operational efficiency.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.48B	3.22B	3.34B	4.11B	4.75B	3.40B
Gross Profit	1.61B	1.60B	822.40M	1.22B	1.25B	1.02B
EBITDA	411.18M	359.44M	114.73M	243.82M	564.67M	499.58M
Net Income	162.13M	120.63M	-107.67M	-66.40M	200.12M	122.81M
Balance Sheet
Total Assets	3.08B	3.04B	2.89B	3.08B	3.44B	3.10B
Cash, Cash Equivalents and Short-Term Investments	35.14M	27.40M	16.89M	7.18M	12.73M	21.21M
Total Debt	1.04B	1.06B	1.05B	1.04B	1.41B	1.21B
Total Liabilities	1.65B	1.68B	1.66B	1.74B	2.01B	1.86B
Stockholders Equity	1.43B	1.36B	1.23B	1.34B	1.42B	1.24B
Cash Flow
Free Cash Flow	99.26M	88.90M	-31.50M	396.35M	-56.56M	573.82M
Operating Cash Flow	131.28M	133.36M	37.83M	671.76M	197.86M	686.55M
Investing Cash Flow	-26.44M	-33.80M	50.53M	-55.83M	-258.93M	163.88M
Financing Cash Flow	-97.11M	-101.99M	-120.82M	-638.47M	52.59M	-842.22M

Shiva Texyarn Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 183.00
• 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:SHIVATEX, the sentiment is Negative. The current price of 183 is above the 20-day moving average (MA) of 159.44, above the 50-day MA of 167.92, and below the 200-day MA of 184.90, indicating a bearish trend. The MACD of -6.01 indicates Positive momentum. The RSI at 37.53 is Neutral, neither overbought nor oversold. The STOCH value of 12.59 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SHIVATEX.

Shiva Texyarn Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
LAMBODHARA	62 Neutral	₹1.03B	13.04	―	0.42%	13.13%	-2.13%
SHIVATEX	59 Neutral	₹1.88B	36.61	―	0.33%	15.16%	780.57%
MARALOVER	47 Neutral	₹1.73B	8.66	―	―	-0.90%	-304.07%
BASML	44 Neutral	₹1.64B	22.90	―	―	-8.50%	―
SUPERSPIN	42 Neutral	₹303.05M	9.82	―	―	-9.14%	-16.81%

Shiva Texyarn Limited Corporate Events

Shiva Texyarn Board Clears Q3 and Nine-Month FY26 Unaudited Results

Shiva Texyarn Limited’s board has approved the company’s unaudited standalone and consolidated financial results for the quarter and nine months ended 31 December 2025, in compliance with SEBI’s listing regulations. The filing shows continued revenue generation and profitability, with detailed disclosure of income, expenses, tax charges and earnings per share, and includes a limited review report from the company’s statutory auditors, underscoring regulatory compliance and providing investors and other stakeholders with updated visibility into the company’s financial performance ahead of the annual results.