Sumeet Industries Limited (SUMEETINDS) AI Stock Analysis

• Market Cap: ₹13.78B
• Dividend Yield: N/A
• Average Volume (3M): 77.91K
• Price to Earnings (P/E): 7.5
• Beta (1Y): -0.03
• Revenue Growth: 0.58%
• EPS Growth: N/A
• Country: IN
• Employees: 608
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.19
• Shares Outstanding: 526,325,700
• 10 Day Avg. Volume: 127,523
• 30 Day Avg. Volume: 77,909
• PEG Ratio: -0.04
• Price to Book (P/B): 7.03
• Price to Sales (P/S): 1.30
• P/FCF Ratio: 3.20
• 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: 61 Neutral
• Price Target: ₹28.00 ▲(7.12% Upside)

The overall stock score is primarily influenced by the company's financial performance challenges, particularly in profitability and leverage. However, the positive technical indicators and undervaluation provide a counterbalance, suggesting potential for future growth if operational efficiencies improve.

Positive Factors

Brand & Product Portfolio

Sumeet's recognized brand and iconic mixer grinders create durable consumer loyalty and pricing power in core categories. A strong reputation in domestic and export markets supports repeat purchases and shelf space, underpinning steady long-term demand across cycles.

Diversified Sales Channels

An omnichannel distribution model—retail, online and distributor partnerships—broadens market access and reduces reliance on a single channel. This structural mix enhances resilience to changing consumer habits and supports sustained revenue generation over several quarters.

Improving Cash Generation

Notable free cash flow growth and healthy operating-cash-to-income conversion indicate the business is improving cash conversion. Strong underlying cash generation provides durable capacity to reinvest, service debt or fund working capital without depending solely on equity raises.

Negative Factors

High Leverage

Elevated debt levels constrain strategic flexibility and increase interest burden, reducing capacity for capex or market expansion. In an industry with volatile margins, high leverage heightens solvency risk and can limit management's ability to invest in durable competitiveness.

Inconsistent Revenue Trends

Erratic top-line performance and a recent significant decline undermine visibility for scale economies and planning. Persistent revenue volatility hampers forecasting, weakens bargaining power with channels, and makes margin recovery and investment returns less predictable.

Volatile Profitability & Low Margins

While some margin improvement exists, low and volatile net and operating margins point to structural inefficiencies. Sustained thin margins reduce buffers against cost shocks, slow debt paydown, and limit ability to fund innovation or marketing needed for long-term competitive positioning.

Sumeet Industries Limited Business Overview & Revenue Model

Company Description

Sumeet Industries Limited manufactures and sells yarns in India. The company provides polyester and textile grade chips, as well as partially oriented, fully draw, texturized, micro filament, carpet, bright, and dope dyed black yarns. It also exports its products to Egypt, Tunisia, Saudi Arabia, China, Argentina, Poland, Portugal, Morocco, Columbia, Bangladesh, Russia, Ethiopia, Mexico, Nepal, Brazil, Peru, Algeria, Thailand, the United States, Singapore, Turkey, Kenya, etc. The company was formerly known as Sumeet Synthetics Limited and changed its name to Sumeet Industries Limited in 1996. Sumeet Industries Limited was incorporated in 1988 and is based in Surat, India.

How the Company Makes Money

Sumeet Industries Limited generates revenue primarily through the sale of its kitchen appliances, which include mixer grinders, blenders, and other related products. The company leverages its established brand reputation to attract both retail and wholesale customers, thus maintaining a steady sales volume. Key revenue streams include both direct sales through physical retail outlets and online platforms, allowing access to a broader market. Additionally, Sumeet Industries may engage in partnerships with distributors and retailers to enhance its market reach. By focusing on product innovation and quality, the company aims to retain customer loyalty and drive repeat purchases, significantly contributing to its overall earnings.

Sumeet Industries Limited Financial Statement Overview

Summary

Sumeet Industries faces challenges with profitability and leverage, as indicated by inconsistent income statement metrics and a high debt-to-equity ratio. However, improvements in cash flow generation are a positive sign for future financial stability.

Income Statement

Sumeet Industries has shown inconsistent revenue growth with a significant decline in the latest year. The gross profit margin improved substantially, but the net profit margin remains volatile, indicating profitability challenges. EBIT and EBITDA margins have improved but are still low, reflecting operational inefficiencies.

Balance Sheet

The company has a high debt-to-equity ratio, indicating significant leverage and potential financial risk. The equity ratio is low, suggesting limited financial stability. Return on equity is positive but inconsistent, reflecting fluctuating profitability.

Cash Flow

Sumeet Industries has shown strong free cash flow growth, indicating improved cash generation capabilities. The operating cash flow to net income ratio is healthy, suggesting efficient cash conversion. However, the free cash flow to net income ratio indicates reliance on non-operational cash flows.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.85B	10.03B	9.85B	10.33B	8.94B	5.74B
Gross Profit	2.10B	2.05B	-514.13M	-9.43M	852.96M	581.62M
EBITDA	1.45B	123.17M	-395.40M	-292.22M	530.78M	268.67M
Net Income	1.87B	1.70B	-590.12M	-587.22M	29.14M	-71.16M
Balance Sheet
Total Assets	0.00	4.28B	4.28B	4.55B	5.97B	6.25B
Cash, Cash Equivalents and Short-Term Investments	404.16M	404.16M	211.09M	46.27M	3.06M	8.34M
Total Debt	0.00	711.70M	4.90B	4.89B	5.21B	5.53B
Total Liabilities	-1.85B	2.43B	6.04B	5.71B	6.50B	6.79B
Stockholders Equity	1.85B	1.85B	-1.77B	-1.16B	-528.22M	-543.72M
Cash Flow
Free Cash Flow	0.00	4.07B	147.81M	720.99M	593.05M	219.40M
Operating Cash Flow	0.00	4.10B	147.91M	729.63M	605.24M	236.06M
Investing Cash Flow	0.00	-8.64M	7.29M	-7.74M	5.33M	11.15M
Financing Cash Flow	0.00	-3.90B	9.62M	-678.68M	-615.84M	-244.02M

Sumeet Industries Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.14
• 50DMA: Negative
• 100DMA: Negative
• 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:SUMEETINDS, the sentiment is Negative. The current price of 26.14 is below the 20-day moving average (MA) of 27.52, below the 50-day MA of 29.52, and above the 200-day MA of 25.98, indicating a neutral trend. The MACD of -0.92 indicates Negative momentum. The RSI at 39.79 is Neutral, neither overbought nor oversold. The STOCH value of 31.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SUMEETINDS.

Sumeet Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SUMEETINDS	61 Neutral	₹13.78B	7.48	―	―	0.58%	―
JOCIL	51 Neutral	₹904.55M	58.46	―	0.34%	―	―
PEARLPOLY	44 Neutral	₹324.41M	-5.70	―	―	―	―
RAMANEWS	44 Neutral	₹4.47B	-4.20	―	―	―	―

Sumeet Industries Limited Corporate Events

Sumeet Industries Seeks Reclassification of Erstwhile Promoters as Public Shareholders

Sumeet Industries Limited has applied to the stock exchanges to reclassify its erstwhile promoters and promoter group as public shareholders under Regulation 31A(9) of SEBI’s Listing Obligations and Disclosure Requirements, following the approval of a resolution plan under the Insolvency and Bankruptcy Code by the National Company Law Tribunal. The reclassification request covers multiple individual and corporate entities that now hold no shares in the company, signaling a formal severance of promoter status and potentially paving the way for a more diversified shareholding structure and new controlling interests post-insolvency resolution.