ftInvstr
BANSWRAS · Consumer Cyclical ₹117.0 -0.15% Mkt Cap ₹405 Cr undervalued

BANSWRAS

Consumer Cyclical Textile Manufacturing
₹117.0
-0.15% today · 30d -5.15%
as of 2026-09-04
Price · Daily Candles
“Banswara Syntex: Net Profit Surges in Q4, but FIIs Pare Holdings, Leaving Growth Trajectory Under Scrutiny.”
Banswara Syntex delivered a robust 95.78% YoY net profit growth in Q4 2026 to ₹11 Cr, with annual net profit up 40.82% to ₹31 Cr. Despite a decent 7.52% Q4 revenue increase to ₹366 Cr, its 3-year revenue CAGR stands at -3.63%, raising questions about sustained top-line expansion. The stock’s PE of 16.6 and PB of 0.75 suggest a value proposition against its peers, with a high intrinsic value per share of ₹600.15.
BULL CASE
+Q4 2026 net profit soared by 95.78% year-on-year to ₹11 Cr, significantly boosting profitability.
+The intrinsic value per share of ₹600.15 indicates a substantial margin of safety at the current price of ₹122.5.
+Operating profit margin (OPM) improved by 3.27% YoY in Q4 2026 to 12.63%, demonstrating improved operational efficiency.
+The stock trades at a TTM PE of 16.6 and PB of 0.75, which is significantly lower than many peers like Welspun Living (PE 64.9, PB 3.9) and Arvind (PE 36.47, PB 1.96).
BEAR CASE
FIIs decreased their stake by 0.46 percentage points in Q4 2026, lowering holdings to 7.91%.
The 3-year revenue CAGR is negative at -3.63%, indicating a struggle for consistent top-line growth over the medium term.
Return on Capital Employed (RoCE) is 9.0%, which lags behind most peers such as Welspun Living (20.69%) and Arvind (21.22%).
Overall sales growth prediction for 1-year in the recent 2-year period is weak at 0.435, per ML predictions.
⟳ What Changed
₹ Latest Earnings · Q ending 2026-06-30
REVENUE
₹316 Cr
+3.22% YoY
NET PROFIT
₹5 Cr
OPM
8.92%
+2.0pp YoY
EPS
₹1.35
PE 16.6
Intrinsic value · DCF ₹176.93 · Margin of safety +51.2% (undervalued) · FCF yield 5.15%
◇ Sector Position
Banswara Syntex, with a TTM PE of 16.6 and ROCE of 9.0%, trades at a significant discount in the Textile Manufacturing sector compared to peers like Welspun Living (PE 64.9, ROCE 20.69%) and Arvind (PE 36.47, ROCE 21.22%).
PEERPEROCE %
BANSWRAS16.69.0
WELSPUNLIV64.920.69
ARVIND36.4721.22
TRIDENT33.6816.43
+ 2 more peers — sign in to view
ML Forward Growth Predictions 🔒

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64
SCORE / 100
Overall
6-axis composite of the sections below.
Performance POSITIVE 55
Valuation CHEAP 75
Growth STRONG 70
Profitability DECENT 58
Technicals NEUTRAL 55
Risk LOW 70
Key Stats
TTM PE
16.6
P/B
0.75
52W HIGH
₹144.0
OFF HIGH
-18.75%
DIV YIELD
0.99%
MKT CAP
₹405 Cr
◉ Active Signals
MACDNeutral0.1665
RSI(14)Neutral44.22
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