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Check Before You Invest : Trident Texofab Ltd

BSE: 540726 NSE: ISIN: INE071Y01013
  |   Sector:  Textiles & Apparels   |   Industry:  Textile

Snapshot

Q.1 Which industry/sub-sector does Trident Texofab Ltd belong to?
Trident Texofab Ltd belongs to the Textiles & Apparels sector, operating specifically within the Textile segment.
Q.2 Is Trident Texofab Ltd a good quality company?
Trident Texofab Ltd is a quality company, based on a 10 year financial track record.
Q.3 Is Trident Texofab Ltd undervalued or overvalued?
Trident Texofab Ltd appears Overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is Trident Texofab Ltd a good buy now?
Trident Texofab 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 Trident Texofab Ltd?
Trident Texofab Ltd revenue growth is 22.7% for FY-2025 , which is above its 5 year CAGR of 6.1% , indicating faster growth.
Q.2 Gross Profit margin of Trident Texofab Ltd?
Trident Texofab Ltd Gross profit margin which is the profit after deduction of direct costs, is 3.4% for FY-2025 , which is in line with its 5 year median of 3.4% , indicating stable margins.
Q.3 Operating Profit Margin of Trident Texofab Ltd?
Trident Texofab Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 4.59% for FY-2025 , which is below its 5 year median of 5.77% indicating decreasing margins.
Q.4 Net Profit Margin of Trident Texofab Ltd?
Trident Texofab Ltd Net Profit Margin is 2.06% for FY-2025 , is above with its 5 year median of 1.17%, indicating increasing margins.
Current Level Historic Median
Gross Profit Margin 3.4 3.4
Operating Profit Margin 4.59 5.77
Net Profit Margin 2.06 1.17
Q.5 Return on Asset of Trident Texofab Ltd?
Trident Texofab Ltd Return on Asset is 2.75(x), which is above its 5 year historical median of 1.42(x), indicating improved asset utilization efficiency.
Q.6 Return on Equity (ROE) of Trident Texofab Ltd?
Trident Texofab Ltd Return on equity is 8.46% for FY-2025 , which is above its historical median of 7.91%, indicating the business is making better use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Trident Texofab Ltd?
Trident Texofab Ltd Return on capital employed is 11.43% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of Trident Texofab Ltd?
Trident Texofab Ltd Cash conversion cycle is 109 , above its historical median of 105 , indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 1.35 1.26
ROE 8.46 7.91
ROCE 11.43 10.32
Cash Conversion Cycle 109 105
Q.9 Debt to Equity ratio of Trident Texofab Ltd?
Trident Texofab Ltd Debt-to-Equity ratio is 0.62 , which is above with the industry average of 0.42 , indicating higher debt levels in the industry.
Q.10 Debt to cash flow from operations of Trident Texofab Ltd?
Trident Texofab Ltd Debt to cash flow from operations is -1.93 , which is at a unhealthy level, indicating the business is not able to service its debt comfortably.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Trident Texofab Ltd?
Promoters hold 32.16% of the Trident Texofab Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Trident Texofab Ltd vs industry peers?
Trident Texofab Ltd revenue CAGR is 6.06% , compared to the industry median CAGR of 0.00% , indicating faster growth and gaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 122.1 96.6
Gross Profit 4.2 3.2
Operating Profit 5.6 5.7
Net Profit 2.5 1.5
Operating Efficiency
Current Level Industry Median
Asset Turnover 1.35 0.95
ROE 8.46 4.25
ROCE 11.43 7.55
Cash Conversion Cycle 108.98 102

Valuation & price assessment

Q.1 Stock return of Trident Texofab Ltd over the last decade?
Over the last 9 years, the stock has delivered a CAGR of 0% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price - 18% -3.9% -64.3%
Q.3 Valuation ratios of Trident Texofab Ltd vs historical?
The current P/E is lower that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 26.95 48.03 30.76
Price to Book 1.51 4.40 1.39
Price to Sales 0.71 0.77 1.01
EV to EBITDA 12.35 13.60 9.47

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