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Last Updated on: 14 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 539216 | NSE: GARMNTMNTR

Garment Mantra Lifestyle Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 12, 2024, 10:11 pm

Market Cap 49.8 Cr.
Current Price 2.48
High / Low4.61/2.20
Stock P/E16.4
Book Value 1.92
Dividend Yield0.00 %
ROCE7.86 %
ROE6.85 %
Face Value 1.00
PEG Ratio-0.83

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for Garment Mantra Lifestyle Ltd

Competitors of Garment Mantra Lifestyle Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Haria Exports Ltd 6.20 Cr. 5.379.36/3.8768.9 12.10.00 %0.64 %0.64 % 10.0
Haria Apparels Ltd 8.20 Cr. 5.366.80/4.3213.4 3.460.00 %18.6 %18.2 % 10.0
Garment Mantra Lifestyle Ltd 49.8 Cr. 2.484.61/2.2016.4 1.920.00 %7.86 %6.85 % 1.00
Cityman Ltd 30.7 Cr. 26.226.5/14.3 5.490.00 %4.69 %% 10.0
Bindal Exports Ltd 11.9 Cr. 25.825.8/16.128.3 22.10.00 %6.61 %2.96 % 10.0
Industry Average5,541.44 Cr1,930.9440.12139.570.19%12.96%15.23%7.28

All Competitor Stocks of Garment Mantra Lifestyle Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales21.9568.6157.4955.8539.0735.3728.1669.3727.3433.1033.3670.3340.69
Expenses19.5963.4852.0859.8537.3634.0026.6567.9125.8331.4630.6568.0638.43
Operating Profit2.365.135.41-4.001.711.371.511.461.511.642.712.272.26
OPM %10.75%7.48%9.41%-7.16%4.38%3.87%5.36%2.10%5.52%4.95%8.12%3.23%5.55%
Other Income0.000.000.010.200.040.040.090.090.020.010.090.050.00
Interest0.721.030.791.040.810.801.141.030.940.930.901.401.13
Depreciation0.180.180.160.440.160.220.190.330.190.170.220.210.18
Profit before tax1.463.924.47-5.280.780.390.270.190.400.551.680.710.95
Tax %26.03%27.04%25.06%-30.11%28.21%25.64%-29.63%36.84%30.00%27.27%16.67%47.89%26.32%
Net Profit1.082.863.35-3.700.560.300.350.110.290.411.400.370.70
EPS in Rs0.050.130.15-0.180.030.010.010.010.010.020.060.020.03

Last Updated: October 7, 2024, 8:00 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales150168204172164177
Expenses141153195166156169
Operating Profit9159689
OPM %6%9%4%4%5%5%
Other Income000000
Interest344444
Depreciation111111
Profit before tax6115234
Tax %29%29%21%44%26%
Net Profit484123
EPS in Rs0.500.390.180.050.120.13
Dividend Payout %0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)100.00%-50.00%-75.00%100.00%
Change in YoY Net Profit Growth (%)0.00%-150.00%-25.00%175.00%

Garment Mantra Lifestyle Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 4 years from 2020-2021 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:%
5 Years:%
3 Years:-1%
TTM:13%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:-32%
TTM:204%
Stock Price CAGR
10 Years:%
5 Years:13%
3 Years:-32%
1 Year:3%
Return on Equity
10 Years:%
5 Years:%
3 Years:7%
Last Year:7%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 3:32 pm

MonthMar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital31010101010
Reserves72124252729
Borrowings353944417842
Other Liabilities482623243422
Total Liabilities9296101100149103
Fixed Assets667766
CWIP-0-0-0-0-0-0
Investments111111
Other Assets8689949214296
Total Assets9296101100149103

Reserves and Borrowings Chart

Cash Flow

MonthMar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-45863
Cash from Investing Activity +-3-10-1-1-1
Cash from Financing Activity +75-5-733
Net Cash Flow111-235

Free Cash Flow

MonthMar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-26.00-24.00-35.00-35.00-70.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days5872579290
Inventory Days165138106108145
Days Payable8757384169
Cash Conversion Cycle136153125159166
Working Capital Days126133123143159
ROCE %24%11%7%8%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters49.14%49.14%49.14%49.14%49.82%50.10%50.10%50.10%50.10%30.18%30.18%30.18%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.30%
Public50.86%50.86%50.86%50.86%50.19%49.89%49.89%49.89%49.91%69.83%69.82%69.52%
No. of Shareholders1,0262,7275,6586,7056,6846,5276,4246,6246,92332,80930,30351,762

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.0010.0010.0010.00
Basic EPS (Rs.)0.260.093.859.7114.98
Diluted EPS (Rs.)0.260.093.859.7114.98
Cash EPS (Rs.)0.320.184.538.5217.54
Book Value[Excl.RevalReserv]/Share (Rs.)3.703.5135.9532.1594.22
Book Value[Incl.RevalReserv]/Share (Rs.)3.703.5135.9532.1594.22
Revenue From Operations / Share (Rs.)16.3517.13203.12167.06557.13
PBDIT / Share (Rs.)0.820.629.0615.1735.46
PBIT / Share (Rs.)0.740.538.1014.4732.89
PBT / Share (Rs.)0.330.164.5410.9421.20
Net Profit / Share (Rs.)0.240.093.577.8214.98
NP After MI And SOA / Share (Rs.)0.240.093.577.8214.98
PBDIT Margin (%)5.053.654.469.076.36
PBIT Margin (%)4.573.133.998.655.90
PBT Margin (%)2.040.942.236.553.80
Net Profit Margin (%)1.500.531.754.682.68
NP After MI And SOA Margin (%)1.500.531.754.682.68
Return on Networth / Equity (%)6.642.6510.3924.3422.68
Return on Capital Employeed (%)16.7313.4418.3034.4926.23
Return On Assets (%)1.650.923.548.214.36
Long Term Debt / Equity (X)0.200.140.230.290.46
Total Debt / Equity (X)2.101.181.271.201.96
Asset Turnover Ratio (%)1.321.711.271.380.00
Current Ratio (X)1.351.531.631.631.44
Quick Ratio (X)0.780.760.680.700.48
Inventory Turnover Ratio (X)3.102.912.572.160.00
Interest Coverage Ratio (X)1.991.672.544.313.03
Interest Coverage Ratio (Post Tax) (X)1.591.242.003.222.28
Enterprise Value (Cr.)104.1083.21140.72125.6256.23
EV / Net Operating Revenue (X)0.630.480.690.740.37
EV / EBITDA (X)12.5613.2315.468.255.89
MarketCap / Net Operating Revenue (X)0.370.240.480.520.09
Price / BV (X)1.661.212.852.740.81
Price / Net Operating Revenue (X)0.370.240.480.520.09
EarningsYield0.030.020.030.080.27

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Garment Mantra Lifestyle Ltd as of November 14, 2024 is: 2.20

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of November 14, 2024, Garment Mantra Lifestyle Ltd is Overvalued by 11.29% compared to the current share price 2.48

Intrinsic Value of Garment Mantra Lifestyle Ltd as of November 14, 2024 is: 1.77

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of November 14, 2024, Garment Mantra Lifestyle Ltd is Overvalued by 28.63% compared to the current share price 2.48

Last 5 Year EPS CAGR: -19.73%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (172.50 cr) and profit (5.17 cr) over the years.
  1. The stock has a low average ROCE of 10.00%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 136.80, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 147.80, which may not be favorable.
  4. The company has higher borrowings (46.50) compared to reserves (22.17), which may suggest financial risk.

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Garment Mantra Lifestyle Ltd:
    1. Net Profit Margin: 1.5%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 16.73% (Industry Average ROCE: 12.96%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: 6.64% (Industry Average ROE: 15.23%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 1.59
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 0.78
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 16.4 (Industry average Stock P/E: 40.12)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 2.1
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

Garment Mantra Lifestyle Ltd. is a Public Limited Listed company incorporated on 15/11/2011 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L18101TZ2011PLC017586 and registration number is 017586. Currently Company is involved in the business activities of Manufacture of all types of textile garments and clothing accessories. Company’s Total Operating Revenue is Rs. 103.92 Cr. and Equity Capital is Rs. 10.04 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Textiles - Readymade ApparelsNo.15, Murthy's Plaza, Karia Gounder Street, Tiruppur Tamil Nadu 641601accounts@junctionfabrics.in
www.garmentmantra.com
Management
NamePosition Held
Mr. Prem Dinanath AggarwalManaging Director
Mrs. Shikha Aggarwal PremWhole Time Director
Mr. R Senthil RajagopalIndependent Director
Mr. S ThirumuruganIndependent Director
Mr. T MuthiahIndependent Director

FAQ

What is the latest intrinsic value of Garment Mantra Lifestyle Ltd?

The latest intrinsic value of Garment Mantra Lifestyle Ltd as on 14 November 2024 is ₹2.20, which is 11.29% lower than the current market price of ₹2.48.

What is the Market Cap of Garment Mantra Lifestyle Ltd?

The Market Cap of Garment Mantra Lifestyle Ltd is 49.8 Cr..

What is the current Stock Price of Garment Mantra Lifestyle Ltd as on 14 November 2024?

The current stock price of Garment Mantra Lifestyle Ltd as on 14 November 2024 is ₹2.48.

What is the High / Low of Garment Mantra Lifestyle Ltd stocks in FY 2024?

In FY 2024, the High / Low of Garment Mantra Lifestyle Ltd stocks is 4.61/2.20.

What is the Stock P/E of Garment Mantra Lifestyle Ltd?

The Stock P/E of Garment Mantra Lifestyle Ltd is 16.4.

What is the Book Value of Garment Mantra Lifestyle Ltd?

The Book Value of Garment Mantra Lifestyle Ltd is 1.92.

What is the Dividend Yield of Garment Mantra Lifestyle Ltd?

The Dividend Yield of Garment Mantra Lifestyle Ltd is 0.00 %.

What is the ROCE of Garment Mantra Lifestyle Ltd?

The ROCE of Garment Mantra Lifestyle Ltd is 7.86 %.

What is the ROE of Garment Mantra Lifestyle Ltd?

The ROE of Garment Mantra Lifestyle Ltd is 6.85 %.

What is the Face Value of Garment Mantra Lifestyle Ltd?

The Face Value of Garment Mantra Lifestyle Ltd is 1.00.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Garment Mantra Lifestyle Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE