Sutlej Textiles & Industries Ltd. (SUTLEJTEX) AI Stock Analysis

• Market Cap: ₹5.64B
• Dividend Yield: 2.53%
• Average Volume (3M): 4.25K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.61
• Revenue Growth: -1.25%
• EPS Growth: 25.22%
• Country: IN
• Employees: 12,899
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Apparel - Manufacturers
• EPS (TTM): -1.84
• Shares Outstanding: 163,828,630
• 10 Day Avg. Volume: 3,036
• 30 Day Avg. Volume: 4,252
• PEG Ratio: 0.17
• Price to Book (P/B): 0.64
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 910.39
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹37.00
• Price Target Upside: 7.56% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: ₹37.00 ▲(7.56% Upside)

Sutlej Textiles & Industries Ltd. receives a low overall score due to significant profitability challenges and negative valuation metrics. The technical analysis indicates a bearish trend, further impacting the stock's outlook. While there are some improvements in cost management, the company's financial health is undermined by revenue inconsistencies and negative returns on equity.

Sutlej Textiles & Industries Ltd. Business Overview & Revenue Model

Company Description

Sutlej Textiles and Industries Limited engages in the manufacture and sale of yarns and home textiles in India. The company operates through two segments, Yarn and Home Textiles. It offers various yarns, including polyester, viscose, acrylic, modal and tencel, cotton mélange and cone-dyed, polyester/viscose, polyester/cotton, acrylic/cotton, polyester/acrylic, modal/cotton, modal/polyester, viscose/cotton, and bamboo/cotton yarns; and micro-polyester, micro-acrylic, micro-modal, hamel covered, low piling, carpet backing and pile, ready-to-dye package, cationic dyeable, bamboo, and soy milk fiber yarns. The company also provides home textiles, such as curtains, cushions, throws, table covers and mats, runners, duvets, comforters; drapery fabrics; upholstery fabrics; made-ups comprising cushions, throws, curtains, bed scarves, shams, quilts and quilting materials, and chenille items; and finishes consisting of fire retardants, insect repellents, scotchgard protection finishes, aero and decca finishes, soil repellents, and bio and aroma finishes. In addition, it manufactures and sells raw white, black, and dope dyed polyester staple fiber by recycling of pet bottles. The company also exports its products to approximately 62 countries. Sutlej Textiles and Industries Limited was founded in 1934 and is based in Mumbai, India.

How the Company Makes Money

Sutlej Textiles & Industries Ltd. generates revenue primarily through the manufacturing and sale of yarns, which are its core product. The company operates spinning mills that produce a variety of yarns including cotton, synthetic, and blended yarns, which are supplied to fabric and garment manufacturers. In addition to yarns, Sutlej Textiles also earns revenue from its home textiles segment, which includes products like curtains, bedcovers, and upholstery fabrics. The company leverages its extensive distribution network and export strategies to reach various markets around the globe, contributing significantly to its earnings. Sutlej Textiles may also engage in strategic partnerships and collaborations to enhance its product offerings and market reach, thereby driving revenue growth.

Sutlej Textiles & Industries Ltd. Financial Statement Overview

Summary

Sutlej Textiles & Industries Ltd. faces profitability challenges despite improvements in gross profit margins and cost management. The balance sheet reflects moderate leverage and stable equity financing, but negative returns on equity pose a concern for shareholder value. Cash flow management shows resilience, but the company must address revenue inconsistencies and profitability issues to enhance financial health and investor confidence.

Income Statement

Sutlej Textiles & Industries Ltd. has shown inconsistent revenue trends with a recent decline in total revenue. The gross profit margin has improved significantly over time, indicating better cost management. However, the net profit margin remains negative due to significant net losses in recent years, reflecting ongoing challenges in profitability. The EBIT margin has also fluctuated, highlighting operational volatility.

Balance Sheet

The company's balance sheet reflects moderate financial leverage, with a stable debt-to-equity ratio despite fluctuations in total debt. The equity ratio suggests that a reasonable proportion of the firm's assets are financed by equity, providing some financial stability. However, the return on equity is negative, reflecting the net losses and indicating challenges in generating returns for shareholders.

Cash Flow

Cash flow analysis reveals a decline in operating cash flow, impacting free cash flow growth. The operating cash flow to net income ratio is strong, suggesting efficient cash generation relative to reported net losses. Despite challenges in free cash flow due to capital expenditures, the company has managed to maintain some level of free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	26.24B	26.25B	26.53B	30.27B	30.76B	18.66B
Gross Profit	2.57B	759.30M	-248.40M	3.19B	14.22B	7.39B
EBITDA	406.10M	662.80M	-197.10M	2.51B	4.12B	1.33B
Net Income	-871.00M	-684.00M	-1.36B	372.80M	1.50B	-36.60M
Balance Sheet
Total Assets	0.00	20.51B	21.09B	24.32B	24.25B	21.39B
Cash, Cash Equivalents and Short-Term Investments	191.00M	191.00M	210.50M	239.20M	134.70M	110.90M
Total Debt	0.00	8.79B	8.46B	9.53B	9.43B	9.09B
Total Liabilities	-8.95B	11.56B	11.48B	13.23B	13.25B	11.84B
Stockholders Equity	8.95B	8.95B	9.61B	11.09B	11.00B	9.55B
Cash Flow
Free Cash Flow	0.00	6.30M	1.66B	535.30M	95.00M	-128.60M
Operating Cash Flow	0.00	660.30M	2.22B	1.96B	950.20M	887.40M
Investing Cash Flow	0.00	-250.30M	-382.50M	-1.18B	-756.00M	-915.40M
Financing Cash Flow	0.00	-319.60M	-1.90B	-805.80M	-184.20M	33.70M

Sutlej Textiles & Industries Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 34.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SUTLEJTEX, the sentiment is Negative. The current price of 34.4 is below the 20-day moving average (MA) of 34.98, below the 50-day MA of 36.76, and below the 200-day MA of 42.46, indicating a bearish trend. The MACD of -0.97 indicates Negative momentum. The RSI at 43.35 is Neutral, neither overbought nor oversold. The STOCH value of 30.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SUTLEJTEX.

Sutlej Textiles & Industries Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TPLPLASTEH	68 Neutral	₹5.33B	21.69	―	1.46%	12.96%	18.93%
INDOBORAX	65 Neutral	₹7.45B	19.26	―	0.43%	-3.77%	-9.19%
PREMIERPOL	64 Neutral	₹4.64B	17.78	―	0.34%	3.49%	20.36%
VISAKAIND	64 Neutral	₹6.87B	17.55	―	0.63%	3.58%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
PRECOT	61 Neutral	₹5.08B	14.60	―	0.79%	-5.18%	18.80%
SUTLEJTEX	45 Neutral	₹5.64B	―	―	2.53%	-1.25%	25.22%