Best Stocks Below Rs.50 – Ginni Filaments Ltd

Our 12th company in the Series of Best Stocks Below Rs. 50 is Ginni Filaments Ltd.

This company is good for investing purpose or not ?

Let’s start with the Company profile

Company Profile :

Ginni Filaments Limited is a textile company engaged in the manufacturing of cotton yarn, knitted fabric, non-woven fabric, garments and wipes.

Now Let’s check the important fundamental figures of this company. This is a small cap company with Market Cap ₹345cr. We can check more fundamental details below in depth:

Company Fundamental Detail :

PE Ratio: 8.36

Sector PE Ratio: -454.69

PE Ratio of this company is high but better than Sector’s PE. So it’s a Average PE than the peers of this company.

PB Ratio : 1.45

Sector PB Ratio : 6.17

PB Ratio of this company is low than Sector’s PB ratio. So it’s Average PB than the peers of this company.

Dividend Yield : 0.22

Sector Dividend Yield : 0.50%

Dividend Yield of this company is low than Sector. Dividend of this company is Below Average than the peers of this company.

ROE: 19.4%

ROCE: 25.8%

ROE (Return on equity) and ROCE (Return on capital equity) is Average

According to above data, this company is looking fundamentally average. Now We’ll check the company Financially data:

Company Financial Detail

2017 772.0116.15

We should check now liabilities of company also in the below table

Total Current & Non Current Liabilities

2021 2020 2019 2018

Liabilities of a company refers to the debt of that company. We should also aware the debt of company. In 2021, Company have 344.79 Cr. debt.

Let’s check the Free Cash flow of the company

Free Cash flow

2021 2020 2019 2018

Debt Level: Ginni Filaments’s net debt to equity ratio (64.5%) is considered high.

Reducing Debt: Ginni Filaments’s debt to equity ratio has reduced from 116.5% to 76% over the past 5 years.

Debt Coverage: Ginni Filaments’s debt is well covered by operating cash flow (21.2%).

Interest Coverage: Ginni Filaments’s interest payments on its debt are well covered by EBIT (5.2x coverage).

Share Holding Pattern

Promotor HoldingForeign Institution
Mutual Fund
Other Domestic InstitutionsRetail & Others
Jun 2021 69.72% 0.17%0.00% 0.00%30.10%
Mar 202167.24%0.01% 0.00% 0.00%32.75%
Dec 202067.24%0.01% 0.00%0.00%32.75%
Sep 202067.24%0.01%0.00%0.00%36.69%

Above table showing there is no big change in Promotors holding which is 69.72% in June 2021. FIIs invested in June 2021 with 0.17% and retail investor is 30.10%.

Now We’ll check the return of the company, This company started from Rs. 9.10 at 05 Jan 2000. This company given 103.74% returns in last 1 year from 2020 to 16 Dec 2021.

Investment Checklist for Ginni Filaments Ltd.

  • The company is currently profitable
  • Has a high level of debt
  • Shareholders have been diluted in the past year
  • Does not have a meaningful market cap (₹3B)
  • Earnings have grown by 39.2% per year over past 5 years
  • They do not pay a dividend
  • Share price has been stable over the past 3 months
  • The company’s earnings are high quality
  • Profit margins improved or Ginni Filaments became profitable
  • At least 3 years of financial data is available
  • Revenue is meaningful (₹9B)
  • Ginni Filaments does not have negative shareholders equity.

According to its historical performance we can predict stock target.

Entry Buying Zone : Premium members can see only

Target: Premium members can see only

Time Horizon:Premium members can see only

Risk Profile: Premium members can see only

Hope you liked Our 12th company in the Series of Best Stocks Below Rs. 50. We tried to cover many important things about this company, if you think anything left to cover, you can comment us and we’ll try to cover those things also.

Disclaimer: This is an Educational Initiative and is NOT registered under any SEBI regulations. All the information that we provide is just for Educational purposes and you should consult your financial adviser before taking any investment decision. Also we do NOT provide any form of Stock Tips or Advise on stocks or portfolios. My All Trades Only Education Purpose. All trades will be at your risk. You have the responsibility of any trade or any benefit or loss

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