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Digjam Ltd. (DIGJAMLMTD) AI Stock Analysis

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IN:DIGJAMLMTD

Digjam Ltd.

(NSE:DIGJAMLMTD)

Select Model
Rating:50Neutral
Price Target:INR 63.00â–¼(-1.33% Downside)
Action:reiterated
Date:11/13/26

The overall score is constrained by the company's precarious financial health, marked by high leverage and negative cash flows, despite recent operational improvements. Strong technical momentum provides a counterbalance, but the high valuation given the lack of profitability adds further downside risk.

Positive Factors
Revenue RecoveryFY2026 revenue rebounded about 12% after a weak FY2024 base, indicating demand recovery in the fabric business. If maintained, renewed sales traction can improve utilization and operating leverage, providing a foundation for restoring profitability over the next several quarters.
Negative Factors
High Leverage and Shrinking EquityHigh debt relative to a shrinking equity base reduces the balance-sheet cushion available to absorb weak operating results. It also raises refinancing and solvency risk, while limiting financial flexibility to fund investment, manage downturns, or respond to changing textile-market conditions.

Digjam Ltd. (DIGJAMLMTD) vs. iShares MSCI India ETF (INDA)

-20%0%20%40%60%IN:DIGJAMLMTD+47.87%INDA-5.86%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
INR 1.13B
Dividend Yield
―
Average Volume (3M)
5,326
Price to Earnings (P/E)
64.3
Beta (1Y)
0.90
Revenue Growth
9.93%
EPS Growth
-55.26%
Country
India
Employees
17
Sector
General
Sector Strength
55
Industry
Manufacturing - Textiles

Digjam Ltd. Business Overview & Revenue Model

Company Description

Digjam Limited engages in the manufacture and marketing of fabrics for suiting and casual wear primarily in India. The company offers its fabrics under the DIGJAM brand. Digjam Limited was formerly known as Digjam Textiles Limited and changed its nam...

Digjam Ltd. Financial Statement Overview

Summary

Operational improvements are evident with an 83% revenue surge and a positive operating profit, but the company remains unprofitable with a fourth consecutive annual loss. The balance sheet is critically leveraged (13.6x debt-to-equity) and cash flows are negative, indicating severe financial strain and high solvency risk.

Income Statement

38Negative

Balance Sheet

12Very Negative

Cash Flow

15Very Negative
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue325.71M332.79M181.98M25.31M332.11M312.17M
Gross Profit93.02M84.27M54.03M7.55M452.00K21.99M
EBITDA43.04M34.17M33.33M-80.77M-70.72M54.03M
Net Income19.65M-9.98M-106.05M-120.63M-122.08M11.77M
Balance Sheet
Total Assets838.84M750.22M808.43M834.15M1.43B1.46B
Cash, Cash Equivalents and Short-Term Investments6.99M10.39M19.30M58.05M1.55M3.35M
Total Debt601.32M601.32M591.46M508.40M733.22M839.36M
Total Liabilities772.77M706.05M754.47M675.71M1.15B1.06B
Stockholders Equity66.07M44.17M53.96M158.43M280.69M399.52M
Cash Flow
Free Cash Flow0-56.78M-197.99M-47.60M98.81M-62.08M
Operating Cash Flow0-56.48M-195.70M-46.30M107.73M-58.25M
Investing Cash Flow037.71M73.92M363.20M-2.12M42.93M
Financing Cash Flow09.86M83.02M-260.40M-145.76M15.19M

Digjam Ltd. Technical Analysis

Technical Analysis SentimentPositive
Last Price63.85

Price Trends

50DMA54.67Positive
100DMA50.84Positive
200DMA48.22Positive

Market Momentum

MACD1.65Negative
RSI70.64Negative
STOCH99.67Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DIGJAMLMTD, the sentiment is Positive. The current price of 63.85 is above the 20-day moving average (MA) of 55.54, above the 50-day MA of 54.67, and above the 200-day MA of 48.22, indicating a bullish trend. The MACD of 1.65 indicates Negative momentum. The RSI at 70.64 is Negative, neither overbought nor oversold. The STOCH value of 99.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:DIGJAMLMTD.

Digjam Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

IN:DIGJAMLMTD against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
IN:NAHARSPINGIN:NAHARSPING66NeutralINR 9.20B6.02―0.40%5.89%339.07%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
IN:DIGJAMLMTDIN:DIGJAMLMTD50NeutralINR 1.25B64.29――9.93%-55.26%
IN:SUTLEJTEXIN:SUTLEJTEX48NeutralINR 6.00B-10.93――1.71%36.44%
IN:LOYALTEXIN:LOYALTEX47NeutralINR 1.04B-1.89――-32.94%-200.37%
IN:LAXMICOTIN:LAXMICOT43NeutralINR 212.80M-7.07――-30.67%-23145.95%
IN:SURYALAXMIIN:SURYALAXMI36UnderperformINR 999.50M17.02――4.18%13.51%

* General Sector Average

Performance Comparison

-25%0%25%50%IN:DIGJAMLMTDIN:LAXMICOTIN:LOYALTEXIN:NAHARSPINGIN:SURYALAXMIIN:SUTLEJTEXDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
IN:DIGJAMLMTD and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
IN:DIGJAMLMTDDigjam Ltd.63.8520.6747.87%
IN:LAXMICOTLaxmi Cotspin Ltd.12.02-9.05-42.95%
IN:LOYALTEXLoyal Textile Mills Limited220.00-14.00-5.98%
IN:NAHARSPINGNahar Spinning Mills Ltd251.0048.0423.67%
IN:SURYALAXMISuryalakshmi Cotton Mills Ltd.53.15-9.39-15.01%
IN:SUTLEJTEXSutlej Textiles & Industries Ltd.36.851.734.93%

Digjam Ltd. Corporate Events

Digjam Sets September 28, 2026 for 11th AGM via Video Conferencing

Sep 3, 2026

Digjam Limited has scheduled its 11th Annual General Meeting for September 28, 2026, at 11:00 A.M. India time, to be conducted via video conferencing and deemed to be held at its designated address in Tamil Nadu. The AGM will review the company’s per...

Digjam Shareholders Clear Scheme of Arrangement with Reid & Taylor

Aug 16, 2026

Equity shareholders of Digjam Limited have approved a Scheme of Arrangement with Reid & Taylor International Private Limited, convened under directions from the National Company Law Tribunal, Chennai Bench. The meeting, held via video conferencing on...

Digjam Shareholders Weigh NCLT-Directed Scheme of Arrangement with Reid & Taylor

Aug 16, 2026

Digjam Limited convened a court-directed meeting of its equity shareholders on August 16, 2026 via video conferencing, following an order from the National Company Law Tribunal’s Chennai Bench. The session was conducted under the Companies Act and SE...

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: Nov 13, 2026