Vardhman Acrylics Ltd. (VARDHACRLC) AI Stock Analysis

• Market Cap: ₹3.66B
• Dividend Yield: 4.4%
• Average Volume (3M): 39.89K
• Price to Earnings (P/E): 30.8
• Beta (1Y): 0.96
• Revenue Growth: -27.54%
• EPS Growth: -19.67%
• Country: IN
• Employees: 326
• Sector: Basic Materials
• Sector Strength: 64
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.22
• Shares Outstanding: 80,363,750
• 10 Day Avg. Volume: 22,956
• 30 Day Avg. Volume: 39,888
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹48.00
• Price Target Upside: 5.52% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 61 Neutral
• Price Target: ₹48.00 ▲(5.52% Upside)

The overall stock score of 61 reflects a mixed financial performance with strengths in financial stability but challenges in revenue consistency and profitability. Technical analysis indicates a bearish trend with potential volatility. The valuation suggests the stock might be overvalued, though the dividend yield is a positive aspect. The absence of earnings call and corporate events data limits further insights.

Vardhman Acrylics Ltd. Business Overview & Revenue Model

Company Description

Vardhman Acrylics Ltd. (VARDHACRLC) is an Indian company primarily engaged in the manufacturing of acrylic fiber. Operating within the textile sector, the company produces a range of acrylic fiber products that are used in various applications including apparel, home textiles, and technical textiles. Vardhman Acrylics Ltd. is part of the larger Vardhman Group, which is known for its extensive presence in the textile industry.

How the Company Makes Money

The company generates revenue primarily through the sale of its acrylic fiber products. Vardhman Acrylics Ltd. supplies these fibers to textile manufacturers who use them for producing clothing and home textiles, among other products. The company's earnings are influenced by its ability to maintain strong relationships with key clients in the textile industry, ensuring consistent demand for its products. Additionally, Vardhman Acrylics Ltd. may engage in strategic partnerships and leverage the Vardhman Group's extensive network to expand its market reach and enhance its revenue streams.

Vardhman Acrylics Ltd. Financial Statement Overview

Summary

Vardhman Acrylics Ltd. demonstrates strengths in financial stability with a low leverage balance sheet. However, the income statement reveals challenges in maintaining consistent revenue and profitability margins. Cash flow performance is mixed, with improvements in operating cash flow but instability in free cash flow. The company needs to address operational inefficiencies and enhance its profitability margins to sustain long-term growth.

Income Statement

The company shows fluctuating revenue trends with a decline in recent years. Gross and net profit margins are inconsistent, indicating volatility in cost management and profitability. There is a noticeable decrease in EBIT and EBITDA margins, pointing to operational inefficiencies.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio, indicating financial stability and lower financial risk. The company maintains a strong equity ratio, reflecting a solid capital structure. However, a declining trend in stockholders' equity raises concerns about long-term growth potential.

Cash Flow

Operating cash flow shows improvement, but free cash flow has been inconsistent, impacting the company's ability to reinvest and distribute dividends. The operating cash flow to net income ratio is positive, suggesting decent cash conversion, although free cash flow growth is uneven.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.78B	2.82B	2.97B	4.26B	3.03B	2.80B
Gross Profit	744.70M	829.60M	993.60M	1.36B	687.55M	1.08B
EBITDA	241.60M	193.10M	272.67M	488.78M	232.36M	630.53M
Net Income	151.66M	118.30M	175.36M	328.58M	145.59M	429.17M
Balance Sheet
Total Assets	0.00	3.49B	3.28B	3.42B	3.02B	4.85B
Cash, Cash Equivalents and Short-Term Investments	639.10M	1.25B	821.69M	909.99M	818.51M	2.80B
Total Debt	0.00	1.80M	11.37M	3.39M	27.85M	3.59M
Total Liabilities	-2.33B	1.10B	848.30M	968.81M	900.44M	867.41M
Stockholders Equity	2.33B	2.39B	2.43B	2.45B	2.12B	3.98B
Cash Flow
Free Cash Flow	0.00	211.20M	43.56M	305.34M	-120.02M	389.48M
Operating Cash Flow	0.00	261.60M	76.04M	385.27M	-94.14M	394.57M
Investing Cash Flow	0.00	-90.80M	120.32M	-367.33M	1.90B	-825.75M
Financing Cash Flow	0.00	-170.90M	-195.03M	-26.03M	-1.98B	-11.04M

Vardhman Acrylics Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 45.49
• 50DMA: Negative
• 100DMA: Positive
• 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:VARDHACRLC, the sentiment is Positive. The current price of 45.49 is above the 20-day moving average (MA) of 44.96, below the 50-day MA of 47.36, and below the 200-day MA of 47.05, indicating a neutral trend. The MACD of -0.52 indicates Negative momentum. The RSI at 48.47 is Neutral, neither overbought nor oversold. The STOCH value of 65.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:VARDHACRLC.

Vardhman Acrylics Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.27B	6.37	0.76%	2.91%	3.10%	-36.03%
VARDHACRLC	61 Neutral	₹3.66B	30.80		4.40%	-27.54%	-19.67%
DIAMINESQ	―	₹3.51B	210.80		0.26%	―	―
INDIANACRY	―	₹1.01B	―		―	―	―
PASUPTAC	58 Neutral	₹3.76B	14.53		―	11.87%	11.41%
LORDSCHLO	50 Neutral	₹4.54B	31.60		―	30.63%	―
KANORICHEM	43 Neutral	₹3.63B	―		―	10.07%	-35.05%