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Aarnav Fashions Ltd. (AARNAV) AI Stock Analysis

IN:AARNAV

Aarnav Fashions Ltd.

(NSE:AARNAV)

Select Model
Rating:65Neutral
Price Target:INR 33.00â–²(6.18% Upside)
Action:initiatedcoverage
Date:10/02/26

The overall score reflects a business with solid revenue growth and improving leverage but constrained by thin, volatile margins and inconsistent cash flows, making financial risk the primary factor. Supportive technicals, with the price in a clear uptrend and momentum indicators still constructive, lift the score, while a mid-teens P/E without visible dividend support keeps valuation roughly neutral rather than distinctly cheap or expensive.

Positive Factors
Improving Revenue GrowthThe return to stronger revenue growth indicates improved business activity after weaker prior years. If sustained, expanding sales can support operating leverage, strengthen market presence, and provide a broader base from which the company can improve profitability over the next several quarters.
Negative Factors
Weak Cash GenerationNegative free cash flow alongside positive earnings raises concerns about earnings quality, working-capital demands, and the company’s ability to fund operations internally. If this reversal persists, it could limit reinvestment, increase financing needs, and weaken resilience over the next several quarters.

Aarnav Fashions Ltd. (AARNAV) vs. iShares MSCI India ETF (INDA)

-50%-40%-30%-20%-10%0%10%20%IN:AARNAV-22.09%INDA-11.66%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
INR 1.38B
Dividend Yield
―
Average Volume (3M)
5,091
Price to Earnings (P/E)
15.0
Beta (1Y)
0.67
Revenue Growth
16.47%
EPS Growth
-2.22%
Country
India
Employees
167
Sector
General
Sector Strength
55
Industry
Investment - Banking & Investment Services

Aarnav Fashions Ltd. Business Overview & Revenue Model

Company Description

Aarnav Fashions Limited engages in the manufacture and trade of textiles in India and internationally. The company provides shirting, suiting, quilts, dohars, bed and fitted sheets, and duvet cover textiles, as well as kid's and women's wears. It sel...

Aarnav Fashions Ltd. Financial Statement Overview

Summary

Revenue has grown steadily and leverage has improved, but profitability remains thin and volatile and cash generation is inconsistent, leaving the overall financial profile moderate rather than strong.

Income Statement

62Positive

Balance Sheet

68Positive

Cash Flow

47Neutral
Financial statement breakdown
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2022
Income Statement
Total Revenue4.52B4.62B3.79B3.56B4.19B3.94B
Gross Profit969.33M976.74M1.19B1.14B353.91M333.87M
EBITDA303.83M307.40M304.67M274.39M315.05M190.31M
Net Income91.38M93.46M92.39M56.17M93.16M3.81M
Balance Sheet
Total Assets03.98B3.78B3.91B4.86B4.19B
Cash, Cash Equivalents and Short-Term Investments226.61M226.61M179.10M171.55M181.26M167.15M
Total Debt01.09B995.45M1.09B1.53B1.27B
Total Liabilities-1.97B2.01B1.91B2.12B3.13B2.46B
Stockholders Equity1.97B1.97B1.86B1.79B1.73B1.73B
Cash Flow
Free Cash Flow0-54.43M224.98M193.48M150.51M408.27M
Operating Cash Flow097.80M250.41M228.30M152.86M440.15M
Investing Cash Flow0-158.84M-29.19M-47.96M-5.15M-33.71M
Financing Cash Flow099.38M-221.39M-179.96M-131.89M-423.00M

Aarnav Fashions Ltd. Technical Analysis

Technical Analysis SentimentNeutral
Last Price31.08

Price Trends

50DMA33.54Negative
100DMA30.68Positive
200DMA27.93Positive

Market Momentum

MACD-0.59Positive
RSI45.63Neutral
STOCH37.23Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AARNAV, the sentiment is Neutral. The current price of 31.08 is below the 20-day moving average (MA) of 34.52, below the 50-day MA of 33.54, and above the 200-day MA of 27.93, indicating a neutral trend. The MACD of -0.59 indicates Positive momentum. The RSI at 45.63 is Neutral, neither overbought nor oversold. The STOCH value of 37.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:AARNAV.

Aarnav Fashions Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

IN:AARNAV against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
IN:AARNAVIN:AARNAV65NeutralINR 1.37B15.04――16.47%-2.22%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
IN:WINSOMEIN:WINSOME47NeutralINR 165.45M-0.09――-98.74%20.85%

* General Sector Average

Performance Comparison

-100%-50%0%IN:AARNAVIN:WINSOMEIN:BONLONIN:SINGERINDDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
IN:AARNAV and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
IN:AARNAVAarnav Fashions Ltd.32.49-9.21-22.09%
IN:WINSOMEWinsome Yarns Ltd2.34-657.66-99.65%
IN:BONLONBonlon Industries Ltd31.68-18.68-37.09%
IN:SINGERINDSinger India Limited91.4218.6625.64%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 02, 2026