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Last Updated on: 06 September, 2025
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo

Precot Ltd: Intrinsic Value & Share Price Analysis

Share Price and Basic Stock Data

Last Updated: September 5, 2025, 5:07 pm

Market Cap 564 Cr.
Current Price 470
High / Low 690/331
Stock P/E11.6
Book Value 374
Dividend Yield0.64 %
ROCE12.6 %
ROE7.55 %
Face Value 10.0
PEG Ratio-0.58

Quick Insight

Based on the detailed financial data provided for Precot Ltd in the textiles-spinning-cotton blended industry, with a current share price of ₹488 and a market capitalization of ₹586 Cr., investors can observe a P/E ratio of 12.0 and ROE of 7.55%, indicating moderate profitability. The company's ROCE stands at 12.6%, suggesting efficient capital utilization, while a low P/BV ratio of 0.31x may indicate undervaluation. With a healthy operating profit margin of 14% and a comfortable interest coverage ratio of 4.02x, Precot Ltd seems to be managing its operations effectively despite having significant borrowings of ₹329 Cr. The company's CCC of 134 days warrants attention for potential working capital management improvements. Overall, investors should carefully monitor how Precot Ltd addresses its borrowing levels and working capital efficiency to drive sustainable growth and shareholder value in the future.

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

View Share Price Target for Precot Ltd

Competitors of Precot Ltd

Stock Name Market Cap Current Price High / Low Stock P/E Book Value Dividend Yield ROCE ROE Face Value
Mohite Industries Ltd 56.5 Cr. 2.81 16.4/2.3325.6 5.670.00 %8.00 %4.74 % 1.00
Hisar Spinning Mills Ltd 20.2 Cr. 54.0 84.0/40.76.31 67.50.00 %15.1 %12.3 % 10.0
Rudra Ecovation Ltd 431 Cr. 37.6 82.6/32.0 9.220.00 %3.03 %5.31 % 1.00
H P Cotton Textile Mills Ltd 41.0 Cr. 105 185/82.013.9 41.50.00 %19.2 %17.1 % 10.0
Gujarat Hy-Spin Ltd 44.4 Cr. 26.5 27.5/13.2444 11.40.00 %4.09 %0.52 % 10.0
Industry Average2,971.68 Cr171.9836.60123.720.41%11.49%10.27%7.02

All Competitor Stocks of Precot Ltd

Quarterly Result

MetricJun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025
Sales 253235227238224266228228208254212228206
Expenses 218222248238217250210206183226186200178
Operating Profit 3513-21-071618232528262829
OPM % 14%6%-9%-0%3%6%8%10%12%11%12%12%14%
Other Income 11142-12802-0-111
Interest 1099810128889848
Depreciation 8898755445457
Profit before tax 19-4-37-13-7-1618131413815
Tax % 25%-19%-24%-29%-58%0%-36%32%28%27%30%51%24%
Net Profit 14-3-28-9-3-19129119411
EPS in Rs 11.62-2.61-23.28-7.42-2.58-0.907.3410.127.838.767.693.129.42

Last Updated: August 20, 2025, 5:05 am

Below is a detailed analysis of the quarterly data for Precot Ltd based on the most recent figures (Jun 2025) and their trends compared to the previous period:

  • For Sales, as of Jun 2025, the value is 206.00 Cr.. The value appears to be declining and may need further review. It has decreased from 228.00 Cr. (Mar 2025) to 206.00 Cr., marking a decrease of 22.00 Cr..
  • For Expenses, as of Jun 2025, the value is 178.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 200.00 Cr. (Mar 2025) to 178.00 Cr., marking a decrease of 22.00 Cr..
  • For Operating Profit, as of Jun 2025, the value is 29.00 Cr.. The value appears strong and on an upward trend. It has increased from 28.00 Cr. (Mar 2025) to 29.00 Cr., marking an increase of 1.00 Cr..
  • For OPM %, as of Jun 2025, the value is 14.00%. The value appears strong and on an upward trend. It has increased from 12.00% (Mar 2025) to 14.00%, marking an increase of 2.00%.
  • For Other Income, as of Jun 2025, the value is 1.00 Cr.. The value appears strong and on an upward trend. It has increased from -11.00 Cr. (Mar 2025) to 1.00 Cr., marking an increase of 12.00 Cr..
  • For Interest, as of Jun 2025, the value is 8.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 4.00 Cr. (Mar 2025) to 8.00 Cr., marking an increase of 4.00 Cr..
  • For Depreciation, as of Jun 2025, the value is 7.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 5.00 Cr. (Mar 2025) to 7.00 Cr., marking an increase of 2.00 Cr..
  • For Profit before tax, as of Jun 2025, the value is 15.00 Cr.. The value appears strong and on an upward trend. It has increased from 8.00 Cr. (Mar 2025) to 15.00 Cr., marking an increase of 7.00 Cr..
  • For Tax %, as of Jun 2025, the value is 24.00%. The value appears to be improving (decreasing) as expected. It has decreased from 51.00% (Mar 2025) to 24.00%, marking a decrease of 27.00%.
  • For Net Profit, as of Jun 2025, the value is 11.00 Cr.. The value appears strong and on an upward trend. It has increased from 4.00 Cr. (Mar 2025) to 11.00 Cr., marking an increase of 7.00 Cr..
  • For EPS in Rs, as of Jun 2025, the value is 9.42. The value appears strong and on an upward trend. It has increased from 3.12 (Mar 2025) to 9.42, marking an increase of 6.30.

Overall, while many items appear to show a positive trend, any significant downward movement warrant further investigation.

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: August 23, 2025, 2:15 pm

MetricMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025TTM
Sales 738747684679709790726665993954841868900
Expenses 656725654650687732677571803923768755789
Operating Profit 82223029225949941903172114110
OPM % 11%3%4%4%3%7%7%14%19%3%9%13%12%
Other Income 1217-825476116672-15-9
Interest 33353944424240343039343130
Depreciation 39373834333133333333201922
Profit before tax 21-32-56-24-6-8-1333134-35204950
Tax % -48%1%0%0%0%0%28%0%21%-25%14%33%
Net Profit 30-33-56-24-6-8-1733105-26173335
EPS in Rs 25.37-27.20-46.27-19.69-4.81-6.89-13.7727.4687.85-21.6813.9827.4128.99
Dividend Payout % 8%0%0%0%0%0%0%0%7%0%11%11%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-20242024-2025
YoY Net Profit Growth (%)-210.00%-69.70%57.14%75.00%-33.33%-112.50%294.12%218.18%-124.76%165.38%94.12%
Change in YoY Net Profit Growth (%)0.00%140.30%126.84%17.86%-108.33%-79.17%406.62%-75.94%-342.94%290.15%-71.27%

Precot Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2014-2015 to 2024-2025.

Growth

Compounded Sales Growth
10 Years:2%
5 Years:4%
3 Years:-4%
TTM:-3%
Compounded Profit Growth
10 Years:10%
5 Years:31%
3 Years:-32%
TTM:64%
Stock Price CAGR
10 Years:24%
5 Years:74%
3 Years:20%
1 Year:5%
Return on Equity
10 Years:0%
5 Years:8%
3 Years:2%
Last Year:8%

Last Updated: September 5, 2025, 12:35 pm

Balance Sheet

Last Updated: July 25, 2025, 2:32 pm

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Equity Capital 121212121212121212121212
Reserves 14812266337331324298330432394406436
Borrowings 448383399352380354308329360379373329
Other Liabilities 8656701101019711387129122163161
Total Liabilities 694573547811824787732758933907954939
Fixed Assets 364336314557533512470444433447449513
CWIP 01151213323564
Investments 30161616171811111291511
Other Assets 299220216233272255249301456447434411
Total Assets 694573547811824787732758933907954939

Below is a detailed analysis of the balance sheet data for Precot Ltd based on the most recent figures (Mar 2025) and their trends compared to the previous period:

  • For Equity Capital, as of Mar 2025, the value is 12.00 Cr.. The value remains steady. There is no change compared to the previous period (Mar 2024) which recorded 12.00 Cr..
  • For Reserves, as of Mar 2025, the value is 436.00 Cr.. The value appears strong and on an upward trend. It has increased from 406.00 Cr. (Mar 2024) to 436.00 Cr., marking an increase of 30.00 Cr..
  • For Borrowings, as of Mar 2025, the value is 329.00 Cr.. The value appears to be improving (decreasing). Additionally, since Reserves exceed Borrowings, this is considered a positive sign. It has decreased from 373.00 Cr. (Mar 2024) to 329.00 Cr., marking a decrease of 44.00 Cr..
  • For Other Liabilities, as of Mar 2025, the value is 161.00 Cr.. The value appears to be improving (decreasing). It has decreased from 163.00 Cr. (Mar 2024) to 161.00 Cr., marking a decrease of 2.00 Cr..
  • For Total Liabilities, as of Mar 2025, the value is 939.00 Cr.. The value appears to be improving (decreasing). It has decreased from 954.00 Cr. (Mar 2024) to 939.00 Cr., marking a decrease of 15.00 Cr..
  • For Fixed Assets, as of Mar 2025, the value is 513.00 Cr.. The value appears strong and on an upward trend. It has increased from 449.00 Cr. (Mar 2024) to 513.00 Cr., marking an increase of 64.00 Cr..
  • For CWIP, as of Mar 2025, the value is 4.00 Cr.. The value appears to be declining and may need further review. It has decreased from 56.00 Cr. (Mar 2024) to 4.00 Cr., marking a decrease of 52.00 Cr..
  • For Investments, as of Mar 2025, the value is 11.00 Cr.. The value appears to be declining and may need further review. It has decreased from 15.00 Cr. (Mar 2024) to 11.00 Cr., marking a decrease of 4.00 Cr..
  • For Other Assets, as of Mar 2025, the value is 411.00 Cr.. The value appears to be declining and may need further review. It has decreased from 434.00 Cr. (Mar 2024) to 411.00 Cr., marking a decrease of 23.00 Cr..
  • For Total Assets, as of Mar 2025, the value is 939.00 Cr.. The value appears to be declining and may need further review. It has decreased from 954.00 Cr. (Mar 2024) to 939.00 Cr., marking a decrease of 15.00 Cr..

Notably, the Reserves (436.00 Cr.) exceed the Borrowings (329.00 Cr.), indicating a solid financial buffer.

Overall, while many items appear to show a positive trend, any significant downward movement or items where Borrowings exceed Reserves warrant further investigation.

Reserves and Borrowings Chart

Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Cash from Operating Activity +35912920117561265649121116
Cash from Investing Activity +-2011-7673-1513-16-64-31-70-37
Cash from Financing Activity +-22-104-23-87-17-68-82-171-23-50-81
Net Cash Flow-7-2-10-3-8-8-7-7-51-2

Free Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Free Cash Flow-366.00-361.00-369.00-323.00-358.00-295.00-259.00-235.00-170.00-348.00-301.00-215.00

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 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Debtor Days212025263837455651455748
Inventory Days17176124131127103106134180142162161
Days Payable201320202922383029377274
Cash Conversion Cycle17283129137135117112159203150147134
Working Capital Days-24-34-62-56-13-20-20-61826123
ROCE %8%-2%-1%2%-1%5%4%10%22%0%8%13%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025
Promoters61.51%61.51%61.51%61.51%61.51%61.51%61.51%61.51%61.51%61.51%61.51%61.51%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.27%0.23%0.23%0.23%0.23%0.03%
DIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.09%0.18%0.78%0.00%0.00%
Public38.49%38.49%38.49%38.49%38.49%38.49%38.23%38.17%38.09%37.48%38.26%38.46%
No. of Shareholders6,2746,3856,3576,1916,3356,4005,7215,7515,7716,3286,2016,216

Shareholding Pattern Chart

No. of Shareholders

Precot Ltd: Intrinsic Value & Share Price Analysis - Shareholder trend analysis

This stock is not held by any mutual fund.

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 25Mar 24Mar 23Mar 22Mar 21
FaceValue 10.0010.0010.0010.0010.00
Basic EPS (Rs.) 27.4113.99-21.6987.8527.46
Diluted EPS (Rs.) 27.4113.99-21.6987.8527.46
Cash EPS (Rs.) 42.9532.886.14114.9555.10
Book Value[Excl.RevalReserv]/Share (Rs.) 373.75348.51338.09370.10284.68
Book Value[Incl.RevalReserv]/Share (Rs.) 373.75348.51338.09370.10284.68
Revenue From Operations / Share (Rs.) 723.49814.80794.85827.73554.28
PBDIT / Share (Rs.) 96.0460.9129.18162.7182.37
PBIT / Share (Rs.) 80.5042.011.34135.6054.72
PBT / Share (Rs.) 56.5914.41-28.77111.4627.46
Net Profit / Share (Rs.) 27.4113.98-21.6887.8527.46
NP After MI And SOA / Share (Rs.) 27.4113.98-21.6887.8527.46
PBDIT Margin (%) 13.277.473.6719.6514.86
PBIT Margin (%) 11.125.150.1616.389.87
PBT Margin (%) 7.821.76-3.6113.464.95
Net Profit Margin (%) 3.781.71-2.7210.614.95
NP After MI And SOA Margin (%) 3.781.71-2.7210.614.95
Return on Networth / Equity (%) 7.334.01-6.4123.739.64
Return on Capital Employeed (%) 16.978.670.2829.3613.98
Return On Assets (%) 3.501.75-2.8711.294.32
Long Term Debt / Equity (X) 0.220.340.350.180.30
Total Debt / Equity (X) 0.720.880.930.800.80
Asset Turnover Ratio (%) 0.911.051.041.190.90
Current Ratio (X) 1.061.131.231.160.99
Quick Ratio (X) 0.480.500.500.510.54
Inventory Turnover Ratio (X) 2.172.392.682.862.67
Dividend Payout Ratio (NP) (%) 0.000.00-27.660.000.00
Dividend Payout Ratio (CP) (%) 0.000.0097.620.000.00
Earning Retention Ratio (%) 0.000.00127.660.000.00
Cash Earning Retention Ratio (%) 0.000.002.380.000.00
Interest Coverage Ratio (X) 4.021.860.966.743.02
Interest Coverage Ratio (Post Tax) (X) 2.801.270.274.642.01
Enterprise Value (Cr.) 463.04504.50514.76490.53408.23
EV / Net Operating Revenue (X) 0.530.510.530.490.61
EV / EBITDA (X) 4.026.9014.702.514.13
MarketCap / Net Operating Revenue (X) 0.160.140.150.140.21
Retention Ratios (%) 0.000.00127.660.000.00
Price / BV (X) 0.310.340.350.320.41
Price / Net Operating Revenue (X) 0.160.140.150.140.21
EarningsYield 0.220.11-0.180.730.22

After reviewing the key financial ratios for Precot Ltd, here is a detailed analysis based on the latest available data and recent trends:

  • For FaceValue, as of Mar 25, the value is 10.00. This value is within the healthy range. There is no change compared to the previous period (Mar 24) which recorded 10.00.
  • For Basic EPS (Rs.), as of Mar 25, the value is 27.41. This value is within the healthy range. It has increased from 13.99 (Mar 24) to 27.41, marking an increase of 13.42.
  • For Diluted EPS (Rs.), as of Mar 25, the value is 27.41. This value is within the healthy range. It has increased from 13.99 (Mar 24) to 27.41, marking an increase of 13.42.
  • For Cash EPS (Rs.), as of Mar 25, the value is 42.95. This value is within the healthy range. It has increased from 32.88 (Mar 24) to 42.95, marking an increase of 10.07.
  • For Book Value[Excl.RevalReserv]/Share (Rs.), as of Mar 25, the value is 373.75. It has increased from 348.51 (Mar 24) to 373.75, marking an increase of 25.24.
  • For Book Value[Incl.RevalReserv]/Share (Rs.), as of Mar 25, the value is 373.75. It has increased from 348.51 (Mar 24) to 373.75, marking an increase of 25.24.
  • For Revenue From Operations / Share (Rs.), as of Mar 25, the value is 723.49. It has decreased from 814.80 (Mar 24) to 723.49, marking a decrease of 91.31.
  • For PBDIT / Share (Rs.), as of Mar 25, the value is 96.04. This value is within the healthy range. It has increased from 60.91 (Mar 24) to 96.04, marking an increase of 35.13.
  • For PBIT / Share (Rs.), as of Mar 25, the value is 80.50. This value is within the healthy range. It has increased from 42.01 (Mar 24) to 80.50, marking an increase of 38.49.
  • For PBT / Share (Rs.), as of Mar 25, the value is 56.59. This value is within the healthy range. It has increased from 14.41 (Mar 24) to 56.59, marking an increase of 42.18.
  • For Net Profit / Share (Rs.), as of Mar 25, the value is 27.41. This value is within the healthy range. It has increased from 13.98 (Mar 24) to 27.41, marking an increase of 13.43.
  • For NP After MI And SOA / Share (Rs.), as of Mar 25, the value is 27.41. This value is within the healthy range. It has increased from 13.98 (Mar 24) to 27.41, marking an increase of 13.43.
  • For PBDIT Margin (%), as of Mar 25, the value is 13.27. This value is within the healthy range. It has increased from 7.47 (Mar 24) to 13.27, marking an increase of 5.80.
  • For PBIT Margin (%), as of Mar 25, the value is 11.12. This value is within the healthy range. It has increased from 5.15 (Mar 24) to 11.12, marking an increase of 5.97.
  • For PBT Margin (%), as of Mar 25, the value is 7.82. This value is below the healthy minimum of 10. It has increased from 1.76 (Mar 24) to 7.82, marking an increase of 6.06.
  • For Net Profit Margin (%), as of Mar 25, the value is 3.78. This value is below the healthy minimum of 5. It has increased from 1.71 (Mar 24) to 3.78, marking an increase of 2.07.
  • For NP After MI And SOA Margin (%), as of Mar 25, the value is 3.78. This value is below the healthy minimum of 8. It has increased from 1.71 (Mar 24) to 3.78, marking an increase of 2.07.
  • For Return on Networth / Equity (%), as of Mar 25, the value is 7.33. This value is below the healthy minimum of 15. It has increased from 4.01 (Mar 24) to 7.33, marking an increase of 3.32.
  • For Return on Capital Employeed (%), as of Mar 25, the value is 16.97. This value is within the healthy range. It has increased from 8.67 (Mar 24) to 16.97, marking an increase of 8.30.
  • For Return On Assets (%), as of Mar 25, the value is 3.50. This value is below the healthy minimum of 5. It has increased from 1.75 (Mar 24) to 3.50, marking an increase of 1.75.
  • For Long Term Debt / Equity (X), as of Mar 25, the value is 0.22. This value is within the healthy range. It has decreased from 0.34 (Mar 24) to 0.22, marking a decrease of 0.12.
  • For Total Debt / Equity (X), as of Mar 25, the value is 0.72. This value is within the healthy range. It has decreased from 0.88 (Mar 24) to 0.72, marking a decrease of 0.16.
  • For Asset Turnover Ratio (%), as of Mar 25, the value is 0.91. It has decreased from 1.05 (Mar 24) to 0.91, marking a decrease of 0.14.
  • For Current Ratio (X), as of Mar 25, the value is 1.06. This value is below the healthy minimum of 1.5. It has decreased from 1.13 (Mar 24) to 1.06, marking a decrease of 0.07.
  • For Quick Ratio (X), as of Mar 25, the value is 0.48. This value is below the healthy minimum of 1. It has decreased from 0.50 (Mar 24) to 0.48, marking a decrease of 0.02.
  • For Inventory Turnover Ratio (X), as of Mar 25, the value is 2.17. This value is below the healthy minimum of 4. It has decreased from 2.39 (Mar 24) to 2.17, marking a decrease of 0.22.
  • For Dividend Payout Ratio (NP) (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 20. There is no change compared to the previous period (Mar 24) which recorded 0.00.
  • For Dividend Payout Ratio (CP) (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 20. There is no change compared to the previous period (Mar 24) which recorded 0.00.
  • For Earning Retention Ratio (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 40. There is no change compared to the previous period (Mar 24) which recorded 0.00.
  • For Cash Earning Retention Ratio (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 40. There is no change compared to the previous period (Mar 24) which recorded 0.00.
  • For Interest Coverage Ratio (X), as of Mar 25, the value is 4.02. This value is within the healthy range. It has increased from 1.86 (Mar 24) to 4.02, marking an increase of 2.16.
  • For Interest Coverage Ratio (Post Tax) (X), as of Mar 25, the value is 2.80. This value is below the healthy minimum of 3. It has increased from 1.27 (Mar 24) to 2.80, marking an increase of 1.53.
  • For Enterprise Value (Cr.), as of Mar 25, the value is 463.04. It has decreased from 504.50 (Mar 24) to 463.04, marking a decrease of 41.46.
  • For EV / Net Operating Revenue (X), as of Mar 25, the value is 0.53. This value is below the healthy minimum of 1. It has increased from 0.51 (Mar 24) to 0.53, marking an increase of 0.02.
  • For EV / EBITDA (X), as of Mar 25, the value is 4.02. This value is below the healthy minimum of 5. It has decreased from 6.90 (Mar 24) to 4.02, marking a decrease of 2.88.
  • For MarketCap / Net Operating Revenue (X), as of Mar 25, the value is 0.16. This value is below the healthy minimum of 1. It has increased from 0.14 (Mar 24) to 0.16, marking an increase of 0.02.
  • For Retention Ratios (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 30. There is no change compared to the previous period (Mar 24) which recorded 0.00.
  • For Price / BV (X), as of Mar 25, the value is 0.31. This value is below the healthy minimum of 1. It has decreased from 0.34 (Mar 24) to 0.31, marking a decrease of 0.03.
  • For Price / Net Operating Revenue (X), as of Mar 25, the value is 0.16. This value is below the healthy minimum of 1. It has increased from 0.14 (Mar 24) to 0.16, marking an increase of 0.02.
  • For EarningsYield, as of Mar 25, the value is 0.22. This value is below the healthy minimum of 5. It has increased from 0.11 (Mar 24) to 0.22, marking an increase of 0.11.

Overall, while many metrics show healthy performance, any figures highlighted in red or significant downward trends warrant further investigation.

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Precot Ltd as of September 6, 2025 is: 263.72

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 September 6, 2025, Precot Ltd is Overvalued by 43.89% compared to the current share price 470.00

Intrinsic Value of Precot Ltd as of September 6, 2025 is: 211.27

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 September 6, 2025, Precot Ltd is Overvalued by 55.05% compared to the current share price 470.00

Last 5 Year EPS CAGR: -19.89%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -14.67, which is a positive sign.
  2. The company has shown consistent growth in sales (791.85 cr) and profit (10.23 cr) over the years.
  1. The stock has a low average ROCE of 5.67%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 139.83, which may not be favorable.
  3. The company has higher borrowings (366.17) compared to reserves (302.00), 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 Precot Ltd:
    1. Net Profit Margin: 3.78%
      • 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: 16.97% (Industry Average ROCE: 11.49%)
      • 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%: 7.33% (Industry Average ROE: 10.27%)
      • 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): 2.8
      • 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: 0.48
      • 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: 11.6 (Industry average Stock P/E: 36.6)
      • 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: 0.72
      • 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

Precot Ltd. is a Public Limited Listed company incorporated on 02/06/1962 and has its registered office in the State of Tamil Nadu, India. Company's Corporate Identification Number(CIN) is L17111TZ1962PLC001183 and registration number is 001183. Currently Company is involved in the business activities of Preparation and spinning of cotton fiber including blended* cotton. Company's Total Operating Revenue is Rs. 868.19 Cr. and Equity Capital is Rs. 12.00 Cr. for the Year ended 31/03/2025.
INDUSTRYADDRESSCONTACT
Textiles - Spinning - Cotton BlendedSF No. 559/4, D Block, 4th Floor, Hanudev Info Park, Coimbatore Tamil Nadu 641028secretary@precot.com
http://www.precot.com
Management
NamePosition Held
Mr. Ashwin ChandranChairman & Managing Director
Mr. Prashanth ChandranVice Chairman & Mng.Director
Mr. T KumarExecutive Director
Mr. P Vijay RaghunathDirector
Mr. Arun SelvarajDirector
Mr. Vinay Balaji NaiduDirector

FAQ

What is the intrinsic value of Precot Ltd?

Precot Ltd's intrinsic value (as of 05 September 2025) is 263.72 which is 43.89% lower the current market price of 470.00, indicating overvalued. Calculated using the PE ratio method, this valuation considers the company's ₹564 Cr. market cap, FY2025-2026 high/low of 690/331, reserves of ₹436 Cr, and liabilities of 939 Cr.

What is the Market Cap of Precot Ltd?

The Market Cap of Precot Ltd is 564 Cr..

What is the current Stock Price of Precot Ltd as on 05 September 2025?

The current stock price of Precot Ltd as on 05 September 2025 is 470.

What is the High / Low of Precot Ltd stocks in FY 2025-2026?

In FY 2025-2026, the High / Low of Precot Ltd stocks is 690/331.

What is the Stock P/E of Precot Ltd?

The Stock P/E of Precot Ltd is 11.6.

What is the Book Value of Precot Ltd?

The Book Value of Precot Ltd is 374.

What is the Dividend Yield of Precot Ltd?

The Dividend Yield of Precot Ltd is 0.64 %.

What is the ROCE of Precot Ltd?

The ROCE of Precot Ltd is 12.6 %.

What is the ROE of Precot Ltd?

The ROE of Precot Ltd is 7.55 %.

What is the Face Value of Precot Ltd?

The Face Value of Precot Ltd is 10.0.

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 Precot 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