tiprankstipranks
Trending News
More News >
Vardhman Polytex Ltd (IN:VARDMNPOLY)
:VARDMNPOLY
India Market
Advertisement

Vardhman Polytex Ltd (VARDMNPOLY) AI Stock Analysis

Compare
0 Followers

Top Page

IN:VARDMNPOLY

Vardhman Polytex Ltd

(VARDMNPOLY)

Rating:45Neutral
Price Target:
₹9.00
▲(0.11% Upside)
The overall stock score of 45 reflects significant financial challenges, including high leverage and cash flow issues, which are the most impactful factors. Technical indicators show a bearish trend, while valuation is moderate. The lack of earnings call and corporate events data limits further insights.

Vardhman Polytex Ltd (VARDMNPOLY) vs. iShares MSCI India ETF (INDA)

Vardhman Polytex Ltd Business Overview & Revenue Model

Company DescriptionVardhman Polytex Ltd (VARDMNPOLY) is a leading Indian textile company engaged primarily in the manufacturing and export of yarns and fabrics. The company focuses on delivering high-quality textile products and operates across various sectors, including cotton, polyester, and blended yarns. With a commitment to innovation and quality, Vardhman Polytex serves a diverse clientele, both domestically and internationally, in the textile and apparel industries.
How the Company Makes MoneyVardhman Polytex Ltd makes money through the production and sale of yarns and fabrics. Its primary revenue streams include the domestic sale of textile products to garment manufacturers and wholesalers, as well as export sales to international markets. The company benefits from strategic partnerships with global textile firms, which enhance its market reach and drive sales growth. Additionally, Vardhman Polytex's focus on quality and innovation helps maintain its competitive edge in the textile industry, contributing to its profitability.

Vardhman Polytex Ltd Financial Statement Overview

Summary
Vardhman Polytex Ltd faces substantial financial challenges with significant revenue contraction and profitability issues. The balance sheet shows high leverage with negative equity, and cash flow difficulties indicate reliance on external financing. Recent improvements are overshadowed by historical instability.
Income Statement
45
Neutral
Vardhman Polytex Ltd has experienced significant volatility in revenue and margins. The company showed a sharp decline in total revenue over the past years, with a large drop from 2022 to 2025. The gross profit margin and net profit margin have been highly inconsistent, signaling instability. Recent improvements in net income for 2025 are positive but remain overshadowed by historical losses.
Balance Sheet
30
Negative
The balance sheet reveals a precarious financial situation with negative stockholders' equity and a high debt-to-equity ratio, indicating over-leverage. Although total liabilities have decreased, they still exceed total assets, which is a concern. The equity ratio is negative, highlighting financial instability and risk.
Cash Flow
40
Negative
Cash flow metrics indicate a significant decline in operating cash flow and negative free cash flow over the recent periods. The operating cash flow to net income ratio is unfavorable, with the company struggling to generate sufficient cash from operations. Financing cash flow has been positive in recent years, suggesting reliance on external financing.
BreakdownTTMDec 2025Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue2.77B2.85B3.71B6.16B9.29B5.09B
Gross Profit490.07M183.47M54.71M773.57M2.31B1.30B
EBITDA349.80M379.85M-129.24M670.92M622.81M170.40M
Net Income148.85M149.24M-267.60M14.91M-155.56M-566.97M
Balance Sheet
Total Assets0.002.76B2.76B2.91B3.26B3.05B
Cash, Cash Equivalents and Short-Term Investments6.37M4.37M10.87M3.51M1.11M1.31M
Total Debt0.00496.52M761.90M4.47B5.29B5.23B
Total Liabilities3.71B5.03B6.37B6.54B6.90B6.54B
Stockholders Equity-3.71B-2.27B-3.61B-3.62B-3.64B-3.48B
Cash Flow
Free Cash Flow0.00-1.12B-139.56M390.85M594.57M222.56M
Operating Cash Flow0.00-1.08B-137.83M403.01M614.65M240.34M
Investing Cash Flow0.00259.44M262.88M-6.48M-6.46M-12.25M
Financing Cash Flow0.00810.36M-118.31M-393.63M-607.63M-228.61M

Vardhman Polytex Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price8.99
Price Trends
50DMA
10.50
Negative
100DMA
11.24
Negative
200DMA
11.34
Negative
Market Momentum
MACD
-0.41
Negative
RSI
40.52
Neutral
STOCH
24.74
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:VARDMNPOLY, the sentiment is Negative. The current price of 8.99 is below the 20-day moving average (MA) of 9.36, below the 50-day MA of 10.50, and below the 200-day MA of 11.34, indicating a bearish trend. The MACD of -0.41 indicates Negative momentum. The RSI at 40.52 is Neutral, neither overbought nor oversold. The STOCH value of 24.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:VARDMNPOLY.

Vardhman Polytex Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$20.49B14.78-2.88%3.11%1.86%-5.76%
56
Neutral
₹7.22B
3.85%9.72%24.23%
55
Neutral
₹4.27B21.74
0.80%7.72%-27.40%
48
Neutral
₹4.57B
-5.62%-416.23%
45
Neutral
₹4.13B12.36
-6.24%
41
Neutral
₹4.71B8.51
-96.88%-122.93%
₹6.08B
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:VARDMNPOLY
Vardhman Polytex Ltd
8.81
-3.21
-26.71%
IN:ASHIMASYN
Ashima Limited
25.00
-6.50
-20.63%
IN:BANSWRAS
Banswara Syntex Ltd
127.50
-20.46
-13.83%
IN:KOTHARIPRO
Kothari Products Limited.
76.55
-11.77
-13.33%
IN:LAKSHMILL
Lakshmi Mills Co. Ltd.
8,974.00
1,377.80
18.14%
IN:RSWM
RSWM Ltd
153.25
-63.50
-29.30%

Vardhman Polytex Ltd Corporate Events

Vardhman Polytex Reports Positive Q2 Financial Results
Aug 16, 2025

Vardhman Polytex Limited has announced its financial results for the quarter ending June 30, 2025, which were published in Business Standard and Desh Sewak newspapers. The company reported a total income from operations of Rs. 63,771.35 lakhs and a net profit after tax of Rs. 5,031.90 lakhs for the quarter. These results indicate a positive financial performance compared to the previous quarter, reflecting the company’s stable market position and potential growth in the textile industry.

Vardhman Polytex Announces Special Window for Share Transfer Requests
Jul 31, 2025

Vardhman Polytex Ltd has announced a special window for the re-lodgement of transfer requests for physical shares, as per the SEBI circular dated July 2025. The company reported that no requests were received, processed, approved, or rejected during July 2025, indicating a potential stabilization or lack of activity in this area. This announcement is part of the company’s compliance with regulatory requirements and may have implications for shareholders and market operations.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 21, 2025