Nirlon Limited
Nirlon Limited Fundamental Analysis
Nirlon Limited (NIRLON.BO) shows strong financial fundamentals with a PE ratio of 13.75, profit margin of 50.12%, and ROE of 84.45%. The company generates $6.6B in annual revenue with moderate year-over-year growth of 5.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 46.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze NIRLON.BO's fundamental strength across five key dimensions:
Efficiency Score
ExcellentNIRLON.BO demonstrates superior asset utilization.
Valuation Score
ModerateNIRLON.BO shows balanced valuation metrics.
Growth Score
ModerateNIRLON.BO shows steady but slowing expansion.
Financial Health Score
ModerateNIRLON.BO shows balanced financial health with some risks.
Profitability Score
ModerateNIRLON.BO maintains healthy but balanced margins.
Key Financial Metrics
Is NIRLON.BO Expensive or Cheap?
P/E Ratio
NIRLON.BO trades at 13.75 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NIRLON.BO's PEG of 3.98 indicates potential overvaluation.
Price to Book
The market values Nirlon Limited at 9.75 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 6.81 times EBITDA. This is generally considered low.
How Well Does NIRLON.BO Make Money?
Net Profit Margin
For every $100 in sales, Nirlon Limited keeps $50.12 as profit after all expenses.
Operating Margin
Core operations generate 69.64 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $84.45 in profit for every $100 of shareholder equity.
ROA
Nirlon Limited generates $14.27 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Nirlon Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Nirlon Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
NIRLON.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.75
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.98
vs 25 benchmark
P/B Ratio
Price to book value ratio
9.75
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.89
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.47
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.28
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.84
vs 25 benchmark
ROA
Return on assets percentage
0.14
vs 25 benchmark
ROCE
Return on capital employed
0.22
vs 25 benchmark
How NIRLON.BO Stacks Against Its Sector Peers
| Metric | NIRLON.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.75 | 24.58 | Better (Cheaper) |
| ROE | 84.45% | 662.00% | Weak |
| Net Margin | 50.12% | 4840.00% | Weak |
| Debt/Equity | 2.47 | -22.20 (disorted) | Distorted |
| Current Ratio | 1.28 | 15.12 | Neutral |
| ROA | 14.27% | 171.00% | Weak |
NIRLON.BO outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Nirlon Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
107.73%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
99.33%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
54.44%
Industry Style: Income, Inflation Hedge, REIT
High Growth