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Check Before You Invest : SD Retail Ltd

BSE: 0 NSE: SDREAMS ISIN: INE0X6F01017
  |   Sector:  Textiles & Apparels   |   Industry:  Textile

Snapshot

Q.1 Which industry/sub-sector does SD Retail Ltd belong to?
SD Retail Ltd belongs to the Textiles & Apparels sector, operating specifically within the Textile segment.
Q.2 Is SD Retail Ltd a good quality company?
SD Retail Ltd is a quality company, based on a 10 year financial track record.
Q.3 Is SD Retail Ltd undervalued or overvalued?
SD Retail Ltd appears Overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is SD Retail Ltd a good buy now?
SD Retail 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 SD Retail Ltd?
SD Retail Ltd revenue growth is 6.5% for FY-2025 , which is above its 5 year CAGR of 0% , indicating faster growth.
Q.2 Gross Profit margin of SD Retail Ltd?
SD Retail Ltd Gross profit margin which is the profit after deduction of direct costs, is 7.7% for FY-2025 , which is above its 5 year median of 7.1% , indicating increasing margins.
Q.3 Operating Profit Margin of SD Retail Ltd?
SD Retail Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 8.28% for FY-2025 , which is in line with its 5 year median of 8.28% indicating stable margins.
Q.4 Net Profit Margin of SD Retail Ltd?
SD Retail Ltd Net Profit Margin is 4.94% for FY-2025 , is above with its 5 year median of 4.73%, indicating increasing margins.
Current Level Historic Median
Gross Profit Margin 7.7 7.1
Operating Profit Margin 8.28 8.28
Net Profit Margin 4.94 4.73
Q.5 Return on Asset of SD Retail Ltd?
SD Retail Ltd Return on Asset is 5.72(x), which is in line with its 5 year historical median of 5.72(x), indicating stable asset utilization efficiency.
Q.6 Return on Equity (ROE) of SD Retail Ltd?
SD Retail Ltd Return on equity is 11.27% for FY-2025 , which is below its historical median of 13.42%, indicating the business is making worse use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of SD Retail Ltd?
SD Retail Ltd Return on capital employed is 12.18% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of SD Retail Ltd?
SD Retail Ltd Cash conversion cycle is 187 , above its historical median of 142 , indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 1.16 1.6
ROE 11.27 13.42
ROCE 12.18 15.13
Cash Conversion Cycle 187 142
Q.9 Debt to Equity ratio of SD Retail Ltd?
SD Retail Ltd Debt-to-Equity ratio is 0.30 , 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 SD Retail Ltd?
SD Retail Ltd Debt to cash flow from operations is 21.32 , 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 SD Retail Ltd?
Promoters hold 65.29% of the SD Retail Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of SD Retail Ltd vs industry peers?
SD Retail Ltd revenue CAGR is 0.00% , compared to the industry median CAGR of 0.00% , indicating stable growth and maintaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 173 96.6
Gross Profit 13.3 3.2
Operating Profit 14 5.7
Net Profit 9 1.5
Operating Efficiency
Current Level Industry Median
Asset Turnover 1.16 0.95
ROE 11.27 4.25
ROCE 12.18 7.55
Cash Conversion Cycle 186.8 102

Valuation & price assessment

Q.1 Stock return of SD Retail 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 - - - -19.1%
Q.3 Valuation ratios of SD Retail 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 18.47 28.92 30.76
Price to Book 1.43 1.85 1.39
Price to Sales 0.91 1.36 1.01
EV to EBITDA 8.61 17.84 9.47

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