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Check Before You Invest : Zenith Exports Ltd

BSE: 512553 NSE: ZENITHEXPO ISIN: INE058B01018
  |   Sector:  Textiles & Apparels   |   Industry:  Textile

Snapshot

Q.1 Which industry/sub-sector does Zenith Exports Ltd belong to?
Zenith Exports Ltd belongs to the Textiles & Apparels sector, operating specifically within the Textile segment.
Q.2 Is Zenith Exports Ltd a good quality company?
Zenith Exports Ltd is a weak quality company, based on a inconsistent 10 year financial track record.
Q.3 Is Zenith Exports Ltd undervalued or overvalued?
Zenith Exports Ltd appears Overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is Zenith Exports Ltd a good buy now?
Zenith Exports Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Zenith Exports Ltd?
Zenith Exports Ltd revenue growth is -11.8% for FY-2025 , which is below its 5 year CAGR of -2.8% , indicating slower growth.
Q.2 Gross Profit margin of Zenith Exports Ltd?
Zenith Exports Ltd Gross profit margin which is the profit after deduction of direct costs, is -1.7% for FY-2025 , which is below its 5 year median of 2.1% , indicating decreasing margins.
Q.3 Operating Profit Margin of Zenith Exports Ltd?
Zenith Exports Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is -5.83% for FY-2025 , which is below its 5 year median of -1.1% indicating decreasing margins.
Q.4 Net Profit Margin of Zenith Exports Ltd?
Zenith Exports Ltd Net Profit Margin is 2.38% for FY-2025 , is above with its 5 year median of 1.11%, indicating increasing margins.
Current Level Historic Median
Gross Profit Margin -1.7 2.1
Operating Profit Margin -5.83 -1.1
Net Profit Margin 2.38 1.11
Q.5 Return on Asset of Zenith Exports Ltd?
Zenith Exports Ltd Return on Asset is 1.81%, which is above its 5 year historical median of 1.08%, indicating improved asset utilization efficiency.
Q.6 Return on Equity (ROE) of Zenith Exports Ltd?
Zenith Exports Ltd Return on equity is 2.11% for FY-2025 , which is above its historical median of 1.3%, indicating the business is making better use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Zenith Exports Ltd?
Zenith Exports Ltd Return on capital employed is 4.03% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of Zenith Exports Ltd?
Zenith Exports Ltd Cash conversion cycle is 183 days, below its historical median of 183 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.76 0.76
ROE 2.11 1.3
ROCE 4.03 2.91
Cash Conversion Cycle 183 days 183 days
Q.9 Debt to Equity ratio of Zenith Exports Ltd?
Zenith Exports Ltd Debt-to-Equity ratio is 0.09 , which is lower with the industry average of 0.42 , indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of Zenith Exports Ltd?
Zenith Exports Ltd Debt to cash flow from operations is -2.56 , 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 Zenith Exports Ltd?
Promoters hold 45.54% of the Zenith Exports Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Zenith Exports Ltd vs industry peers?
Zenith Exports Ltd revenue CAGR is -2.75% , compared to the industry median CAGR of 0.00% , indicating slower growth and losing its market share.
Profit Metrics
Current Level Industry Median
Revenue 72.1 96.6
Gross Profit -1.2 3.2
Operating Profit -4 5.7
Net Profit 2 1.5
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.76 0.95
ROE 2.11 4.25
ROCE 4.03 7.55
Cash Conversion Cycle (days) 183.22 102

Valuation & price assessment

Q.1 Stock return of Zenith Exports Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 16.2% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 16.2% 23.4% 33.3% -10.9%
Q.3 Valuation ratios of Zenith Exports 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 21.69 221.18 30.76
Price to Book 1.39 0.58 1.39
Price to Sales 1.62 0.61 1.01
EV to EBITDA 22.78 9.14 9.47

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