Ambika Cotton Mills Stock Price Analysis and Quick Research Report. Is Ambika Cotton Mills an attractive stock to invest in?

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Ambika Cotton Mills. 

• PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Ambika Cotton Mills has a PE ratio of 13.3732455113081 which is low and comparatively undervalued.

• Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Ambika Cotton Mills has ROA of 5.818% which is a bad sign for future performance. (Higher values are always desirable.)

• Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Ambika Cotton Mills has a Current ratio of 3.9198.

• Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Ambika Cotton Mills has a ROE of 7.4581%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Ambika Cotton Mills has a Debt to Equity ratio of 0.0561 which means that the company has low proportion of debt in its capital.

• Sales growth: Ambika Cotton Mills has reported revenue growth of -14.7414% which is poor in relation to its growth and performance. 

• Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Ambika Cotton Mills for the current financial year is 14.9040466597082%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Ambika Cotton Mills is Rs 37 and the yield is 2.6227%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Ambika Cotton Mills is Rs 105.0306. The higher the EPS, the better it is for investors. 

One can find all the Financial Ratios of Ambika Cotton Mills in Ticker for free. Also, one can get the intrinsic value of Ambika Cotton Mills by using Valuation Calculators, which are available with a Finology ONE subscription. 

Ambika Cotton Mills FAQs

Q1. What is Ambika Cotton Mills share price today?
Ans: The current share price of Ambika Cotton Mills is Rs 1404.6.

Q2. What is the market capitalisation of Ambika Cotton Mills?
Ans: Ambika Cotton Mills has a market capitalisation of Rs 804.1335 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Ambika Cotton Mills?
Ans: The PE ratio of Ambika Cotton Mills is 13.3732455113081 and the P/B ratio of Ambika Cotton Mills is 0.874081051197278, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Ambika Cotton Mills share?
Ans: The 52-week high share price of Ambika Cotton Mills is Rs 1797, and the 52-week low share price of Ambika Cotton Mills is Rs 1273.05.

Q5. Does Ambika Cotton Mills pay dividends?
Ans: Currently, Ambika Cotton Mills pays dividends. Dividend yield of Ambika Cotton Mills is around 2.6227%.

Q6. What are the face value and book value of Ambika Cotton Mills shares?
Ans: The face value of Ambika Cotton Mills shares is Rs 10, while the book value per share of Ambika Cotton Mills is around Rs 1606.9448. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of Ambika Cotton Mills?
Ans: Ambika Cotton Mills has a total debt of Rs 50.7245 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of Ambika Cotton Mills?
Ans: The ROE of Ambika Cotton Mills is 7.4581% and ROCE of Ambika Cotton Mills is 11.4687%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q9. Is Ambika Cotton Mills a good buy for the long term?
Ans: The Ambika Cotton Mills long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q10. Is Ambika Cotton Mills undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Ambika Cotton Mills appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q11. How to check Ambika Cotton Mills’s financials?
Ans: You can review Ambika Cotton Mills’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.