Kitex Garments Stock Price Analysis and Quick Research Report. Is Kitex Garments 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 Kitex Garments. 

• 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). Kitex Garments has a PE ratio of 58.0357142857143 which is high and comparatively overvalued.

• 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. Kitex Garments has ROA of 3.9593% 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. Kitex Garments has a Current ratio of 2.2265.

• 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. Kitex Garments has a ROE of 5.0374%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Kitex Garments has a Debt to Equity ratio of 0.181 which means that the company has low proportion of debt in its capital.

• Sales growth: Kitex Garments has reported revenue growth of -39.7957% 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 Kitex Garments for the current financial year is 7.60148969748717%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Kitex Garments is Rs 0.5 and the yield is 0.4078%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Kitex Garments is Rs 2.1056. The higher the EPS, the better it is for investors. 

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

Kitex Garments FAQs

Q1. What is Kitex Garments share price today?
Ans: The current share price of Kitex Garments is Rs 122.2.

Q2. What is the market capitalisation of Kitex Garments?
Ans: Kitex Garments has a market capitalisation of Rs 2437.89 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Kitex Garments?
Ans: The PE ratio of Kitex Garments is 58.0357142857143 and the P/B ratio of Kitex Garments is 2.09327223673504, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Kitex Garments share?
Ans: The 52-week high share price of Kitex Garments is Rs 232.7, and the 52-week low share price of Kitex Garments is Rs 113.11.

Q5. Does Kitex Garments pay dividends?
Ans: Currently, Kitex Garments pays dividends. Dividend yield of Kitex Garments is around 0.4078%.

Q6. What are the face value and book value of Kitex Garments shares?
Ans: The face value of Kitex Garments shares is Rs 1, while the book value per share of Kitex Garments is around Rs 58.3775. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of Kitex Garments?
Ans: Kitex Garments has a total debt of Rs 208.735 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of Kitex Garments?
Ans: The ROE of Kitex Garments is 5.0374% and ROCE of Kitex Garments is 7.2322%. 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 Kitex Garments a good buy for the long term?
Ans: The Kitex Garments 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 Kitex Garments undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Kitex Garments appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

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