Vardhman Textiles Limited (VTL) AI Stock Analysis

• Market Cap: ₹115.60B
• Dividend Yield: 1.03%
• Average Volume (3M): 24.36K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 0.87
• Revenue Growth: 3.86%
• EPS Growth: 16.76%
• Country: IN
• Employees: 24,929
• Sector: Consumer Defensive
• Sector Strength: 67
• Industry: Apparel - Manufacturers
• EPS (TTM): 7.30
• Shares Outstanding: 289,226,800
• 10 Day Avg. Volume: 13,240
• 30 Day Avg. Volume: 24,360
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹446.00
• Price Target Upside: 11.58% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: ₹446.00 ▲(11.58% Upside)

Vardhman Textiles Limited shows strong financial performance with robust profitability and a stable balance sheet, significantly influencing the overall score. However, technical analysis indicates bearish trends, and valuation metrics suggest the stock is reasonably priced. Historical cash flow volatility and significant debt levels remain areas to monitor closely.

Vardhman Textiles Limited Business Overview & Revenue Model

Company Description

Vardhman Textiles Limited (VTL) is a leading Indian textile manufacturing company, primarily engaged in the production of yarns, fabrics, and threads. The company operates across various segments of the textile industry, offering a comprehensive range of products that include cotton, polyester, acrylic, and blends of these fibers. VTL serves a diverse clientele, including domestic and international markets, and is known for its high-quality products and innovation in textile manufacturing.

How the Company Makes Money

Vardhman Textiles Limited generates revenue primarily through the sale of its textile products, which include yarns, fabrics, and threads. The company's revenue model is centered around large-scale manufacturing and distribution, catering to both domestic and international markets. VTL benefits from economies of scale by operating multiple production facilities equipped with modern machinery and technology. The company diversifies its revenue streams by offering a wide range of products that cater to various sectors within the textile industry, such as apparel, home textiles, and industrial textiles. Additionally, strategic partnerships and long-term contracts with global brands and retailers contribute significantly to VTL's earnings, ensuring consistent demand and a stable revenue flow.

Vardhman Textiles Limited Financial Statement Overview

Summary

Vardhman Textiles Limited exhibits robust financial health with steady revenue growth and improved profitability margins. The company's balance sheet reflects strong equity and effective debt reduction efforts, enhancing financial stability. Cash flow metrics show improvement, though past volatility highlights the need for cautious liquidity management.

Income Statement

Vardhman Textiles Limited demonstrates strong profitability with a gross profit margin consistently above 40% and impressive revenue growth over the years, notably a 6.2% increase from 2024 to 2025. The net profit margin improved significantly, reflecting enhanced cost management. However, fluctuations in EBIT and EBITDA margins suggest some operational volatility.

Balance Sheet

The balance sheet shows a solid equity base with an equity ratio of around 79% for 2025, indicating financial stability. The debt-to-equity ratio decreased from 0.28 in 2024 to 0.13 in 2025, showcasing effective debt management. Yet, the company maintains a substantial level of debt that warrants monitoring.

Cash Flow

The cash flow position has improved with a notable recovery in free cash flow from negative in 2024 to positive in 2025. Operating cash flow has rebounded strongly, supporting liquidity. However, historical volatility in cash flow metrics indicates potential cash management challenges.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	97.85B	97.85B	93.20B	99.25B	94.02B	60.63B
Gross Profit	37.41B	43.83B	25.29B	12.66B	45.39B	26.15B
EBITDA	14.98B	12.63B	12.99B	15.16B	24.98B	10.15B
Net Income	8.83B	8.83B	6.32B	7.95B	15.47B	4.14B
Balance Sheet
Total Assets	124.32B	124.32B	119.81B	113.33B	109.79B	96.27B
Cash, Cash Equivalents and Short-Term Investments	5.52B	5.52B	3.14B	15.44B	7.23B	7.14B
Total Debt	12.39B	12.39B	17.91B	16.78B	19.88B	21.32B
Total Liabilities	24.66B	24.66B	27.93B	26.81B	31.38B	30.20B
Stockholders Equity	98.96B	98.96B	91.00B	85.63B	77.04B	64.74B
Cash Flow
Free Cash Flow	0.00	6.11B	-13.39B	12.31B	9.26B	-746.40M
Operating Cash Flow	0.00	16.44B	-10.55B	18.53B	14.45B	1.68B
Investing Cash Flow	0.00	-8.92B	11.04B	-14.45B	-8.99B	-1.16B
Financing Cash Flow	0.00	-7.33B	-897.10M	-3.99B	-5.71B	-1.75B

Vardhman Textiles Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 399.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:VTL, the sentiment is Negative. The current price of 399.7 is below the 20-day moving average (MA) of 450.03, below the 50-day MA of 472.99, and below the 200-day MA of 465.73, indicating a bearish trend. The MACD of -25.29 indicates Positive momentum. The RSI at 24.62 is Positive, neither overbought nor oversold. The STOCH value of 11.22 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:VTL.

Vardhman Textiles Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$21.01B	14.53	-7.26%	3.13%	3.36%	-7.91%
VTL	62 Neutral	₹115.60B	13.34		1.03%	3.86%	16.76%
RUBYMILLS	62 Neutral	₹7.85B	18.56		―	2.40%	-0.90%
RSWM	54 Neutral	₹7.25B	―		3.85%	9.72%	24.09%
GLOSTERLTD	48 Neutral	₹7.64B	―		6.05%	45.83%	-123.39%
NAHARSPING	47 Neutral	₹7.25B	35.44		0.50%	5.16%	―