Vishal Fabrics Ltd (VISHAL) AI Stock Analysis

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Vishal Fabrics Ltd

(NSE:VISHAL)

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Rating:56Neutral

Price Target:INR 16.50▼(-2.42% Downside)

Action:initiatedcoverage

Date:09/22/26

The overall score reflects solid but not strong fundamentals: a healthier balance sheet and positive earnings are offset by thin margins and inconsistent, recently negative cash flows, which materially constrain quality. A weak technical backdrop, with the price below major moving averages and momentum indicators pointing to a soft trend, adds further risk. Valuation at roughly 12 times earnings with no dividend is only moderately attractive, offering limited downside cushioning and leaving the risk–reward profile balanced but unexciting.

Positive Factors

Lower LeverageThe substantial reduction in leverage lowers balance-sheet risk and should reduce pressure on future financing capacity. A stronger capital structure gives Vishal Fabrics more flexibility to manage textile cycles, support operations, and allocate capital through weaker demand conditions.

Negative Factors

Revenue VolatilityAn uneven revenue trajectory makes demand visibility less dependable and can hinder efficient capacity planning in a textile manufacturing business. The latest decline indicates that growth has not yet become consistent, potentially limiting operating leverage and sustained expansion of earnings.

Vishal Fabrics Ltd (VISHAL) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 3.35B
Dividend Yield: ―
Average Volume (3M): 54.31K
Price to Earnings (P/E): 11.4
Beta (1Y): 1.48
Revenue Growth: -6.65%
EPS Growth: -16.75%
Country: India
Employees: 440
Sector: General
Sector Strength: 55
Industry: Manufacturing - Textiles

Vishal Fabrics Ltd Business Overview & Revenue Model

Company Description

Vishal Fabrics Limited is an Indian textile company specializing in the comprehensive treatment of fabrics and yarns. The firm focuses on dyeing, printing, and processing a diverse range of materials, particularly denim, as well as various other fabr...

How the Company Makes Money

Vishal Fabrics Ltd makes money primarily by manufacturing and selling textiles—most notably denim and other woven fabrics—to downstream customers such as garment manufacturers, apparel brands, and other textile trade buyers. Its revenue model is larg...

Vishal Fabrics Ltd Financial Statement Overview

Summary

Profitability is positive with recovering earnings and a stronger, less leveraged balance sheet, but thin margins and highly volatile, recently negative cash flows keep overall financial quality only moderate.

Income Statement

62Positive

Balance Sheet

78Positive

Cash Flow

39Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	15.84B	16.02B	15.20B	14.31B	15.48B	15.41B
Gross Profit	1.21B	1.04B	1.68B	1.31B	1.25B	2.59B
EBITDA	1.11B	1.13B	1.23B	911.40M	1.29B	1.64B
Net Income	345.66M	356.43M	290.10M	211.30M	528.18M	690.40M
Balance Sheet
Total Assets	0	10.24B	9.46B	9.22B	8.67B	8.78B
Cash, Cash Equivalents and Short-Term Investments	2.30M	130.01M	113.80M	110.30M	96.20M	262.50M
Total Debt	0	2.25B	2.92B	3.81B	3.17B	3.78B
Total Liabilities	-6.47B	3.77B	4.66B	5.10B	4.76B	5.43B
Stockholders Equity	6.47B	6.47B	4.79B	4.12B	3.90B	3.35B
Cash Flow
Free Cash Flow	0	-391.19M	969.07M	-88.20M	636.50M	625.90M
Operating Cash Flow	0	-354.08M	1.08B	-56.20M	736.10M	922.80M
Investing Cash Flow	0	-109.08M	-173.60M	-178.70M	118.50M	-505.60M
Financing Cash Flow	0	478.01M	-898.78M	248.90M	-976.50M	-408.80M

Vishal Fabrics Ltd Technical Analysis

Technical Analysis SentimentNeutral

Last Price16.91

Price Trends

50DMA17.42Negative

100DMA18.21Negative

200DMA19.70Negative

Market Momentum

MACD-0.09Negative

RSI49.79Neutral

STOCH42.78Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:VISHAL, the sentiment is Neutral. The current price of 16.91 is above the 20-day moving average (MA) of 16.60, below the 50-day MA of 17.42, and below the 200-day MA of 19.70, indicating a neutral trend. The MACD of -0.09 indicates Negative momentum. The RSI at 49.79 is Neutral, neither overbought nor oversold. The STOCH value of 42.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:VISHAL.

Vishal Fabrics Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:VISHAL against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:NDL	70Outperform	INR 3.68B	9.51	―	―	-40.38%	2.36%
IN:ARVIND	66Neutral	INR 137.76B	29.17	―	0.89%	19.08%	10.88%
IN:SANGAMIND	61Neutral	INR 32.18B	21.14	―	0.31%	16.32%	307.63%
IN:VISHAL	56Neutral	INR 4.20B	11.43	―	―	-6.65%	-16.75%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:JINDWORLD	54Neutral	INR 36.29B	42.45	―	―	-1.72%	12.66%
IN:ALOKINDS	39Underperform	INR 40.76B	-5.31	―	―	6.01%	-11.08%

* General Sector Average

Performance Comparison

IN:VISHAL and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:VISHAL	Vishal Fabrics Ltd	16.91	-11.44	-40.35%
IN:ALOKINDS	Alok Industries Limited	8.15	-9.16	-52.92%
IN:ARVIND	Arvind Limited	508.40	176.21	53.04%
IN:JINDWORLD	Jindal Worldwide Limited	35.72	1.83	5.40%
IN:NDL	Nandan Denim Limited	2.57	-0.63	-19.69%
IN:SANGAMIND	Sangam (India) Limited	639.05	193.11	43.30%

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: Sep 22, 2026

Vishal Fabrics Ltd AI Stock Analysis