The company said the past few months had been “pessimistic” for the domestic industry due to high cotton prices and low demand for textiles and apparel in the West.
Emkay analysts Abhineet Anand and Chinmay said:
In a recent note to a client.
“Government Textile PLI (Production Linked Incentive) scheme is mainly focused on MMF (man-made fibres), which is currently the weak point of the Indian textile industry. This is an ecosystem similar to cotton textiles. It helps to build a moderate semester.”
CMP: 293.50 rupees
Target Price: Rs 455
Upside expectations: 55%
Year-to-date share price change: -41%
- A perfect place to endure the current predicament of the textile sector.strong balance sheet
- Largest spinning capacity in Japan, better operating rate, higher feasibility than other companies in the same industry
- Debt-to-equity ratio decreased from 1.24 times ten years ago to 0.24 times
nichin spinner
CMP: 184 rupees
Target Price: Rs 310
Upside expectations: 68%
Year-to-date share price change: -32%
- Moving upstream in the value chain by expanding the product portfolio
- Plans to increase yarn, knit and textile capacity by 30-50% in 12-15 months
- Increased demand and falling cotton prices remain the main triggers
Export of Gocardas
CMP: 342.50 Rupees
Target Price: Rs 575
Upside expectations: 68%
Year-to-date share price volatility: 4.4%
- Improved return on equity (RoE) profile and improved earnings prospects
- Earnings per share increased 24% for 2022-25 with RoE of 18%.
- 5-year average price-to-earnings ratio (PE) of 14x and RoE of 14%
