Check Before You Invest : Charms Industries Ltd

BSE: 531327 NSE: ISIN: INE442C01012

| Sector: BFSI | Industry: Finance - Others

Snapshot

Q.1 Which industry/sub-sector does Charms Industries Ltd belong to?

Charms Industries Ltd belongs to the BFSI sector, operating specifically within the Finance - Others segment.

Q.2 Is Charms Industries Ltd a good quality company?

Charms Industries Ltd is a quality company, based on a 9-year financial track record.

Q.3 Is Charms Industries Ltd undervalued or overvalued?

Charms Industries Ltd appears Overvalued, as its key valuation ratios are above with their past averages.

Q.4 Is Charms Industries Ltd a good buy now?

Charms Industries Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Charms Industries Ltd?

Charms Industries Ltd revenue growth is -92.3% for FY-2025, which is below its 5-year CAGR of -64.2%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Charms Industries Ltd?

Charms Industries Ltd Return on capital employed is -29.4% for FY-2025, which is in line with its 5-year historical median of -28.7%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Charms Industries Ltd?

Charms Industries Ltd Return on Asset is -22.7%, which is in line with its 5-year historical median of -22.7%, indicating stable asset utilization efficiency.

Q.4 Return on Equity (ROE) of Charms Industries Ltd?

Charms Industries Ltd Return on equity is -159.7% for FY-2025, which is below its 5-year historical median of -43.3%, indicating the business is making worse use of its shareholders capital.

Q.5 Gross Profit margin of Charms Industries Ltd?

Charms Industries Ltd Gross profit margin which is the profit after deduction of direct costs, is -451.8% for FY-2025, which is in line with its 5-year median of -451.8%, indicating stable margins.

Q.6 Operating Profit Margin of Charms Industries Ltd?

Charms Industries Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is -455.59% for FY-2025, which is in line with its 5-year median of -455.59% indicating stable margins.

Q.7 Net Profit Margin of Charms Industries Ltd?

Charms Industries Ltd Net Profit Margin is -455.83% for FY-2025, is in line with with its 5-year median of -455.83%, indicating stable margins.

	Current Level	5-year Historic Median
Gross Profit Margin	-451.8	-451.8
Operating Profit Margin	-455.59	-455.59
Net Profit Margin	-455.83	-455.83

Q.8 Debt to Equity ratio of Charms Industries Ltd?

Charms Industries Ltd Debt-to-Equity ratio is 21.79, which is above with the industry average of 0.11, indicating higher debt levels in the industry.

Q.9 Debt to cash flow from operations of Charms Industries Ltd?

Charms Industries Ltd Debt to cash flow from operations is -9.26, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Charms Industries Ltd?

Promoters hold 24.37% of the Charms Industries Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Charms Industries Ltd vs industry peers?

Charms Industries Ltd revenue CAGR is -64.20%, compared to the industry median CAGR of 28.9%, indicating slower growth and losing its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	-92.3	28.9
Gross Profit Growth	0	41.8
Operating Profit Growth	0	43.1
Net Profit Growth	0	48.2

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.05	0.59
ROE	-159.7	6.08
ROCE	-29.4	9.75
Cash Conversion Cycle (days)	140.09	9

Valuation & price assessment

Q.1 Stock return of Charms Industries Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 10.1% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	10.1%	29.7%	14.1%	-1.1%

Q.3 Valuation ratios of Charms Industries Ltd vs historical?

The current P/E is higher that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	-	-21.18	40.60
Price to Book	-29.66	4.83	4.06
Price to Sales	-	19.54	9.29
EV to EBITDA	-20.22	-19.95	25.96

Check more companies

1. Anand Rathi Wealth

2. Prudent Corporate

3. Centrum Capital

4. Delphi World Money

5. Nidhi Granites

6. Viram Suvarn

7. Sodhani Capital

8. Caspian Corpo. Serv.

9. Navigant Corp.Adv

10. Onesource Inds.& Ven

Check trending companies

1. JSW Infrastructure Ltd.

2. Aditya Birla Fashion and Retail Ltd.

3. Zydus Lifesciences Ltd.

4. Techno Electric & Engineering Company Ltd.

5. Cello World Ltd.