Vardhman Textiles Limited (VTL) Fair Value & Analysis

Consumer Cyclical · IN · Market cap ₹190B

A solid business, screening 33% undervalued on our models.

What matters now

• Solid quality (51/100) at a price below fair value, the discount is the argument here, not the business quality.
• Our model range runs from ₹583.40 (bear) to ₹984.44 (bull), base ₹787.55. The closer the price sits to the lower half, the larger the margin of safety.
• Quality 51/100 (solid quality) with high evidence: the data supports the verdict.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹213.90 – ₹666.25 · fair‑value band ₹583.40 – ₹984.44 · the ₹590.60 price screens below the ₹787.55 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Vardhman Textiles Limited (VTL) currently trades at ₹590.60, while our model-based Fair Value estimate is ₹787.55, implying the stock looks roughly 33.4% undervalued today. The Quality Score stands at 51/100 (solid quality), in the Consumer Cyclical sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Vardhman Textiles Limited generated revenue of ₹98.7B at a net margin of 7.6%. Revenue declined 0.4% year over year. It earns a return on equity of 7.3%. Net debt stands at ₹17.7B. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹583.40 (bear case) to ₹984.44 (bull case); at ₹590.60, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat. The share trades about 12% below its 52-week high and 56% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -7% fair-value upside, at 33%, VTL screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Growth Earnings (₹490.72) versus Dividend Discount (₹74.73). Highest evidence: Residual Income (76).

Key figures & financial health

Quality Score breakdown

About the company

Vardhman Textiles Limited, together with its subsidiaries, manufactures, purchases, and sells textiles and fibres in India and internationally.

Full company description

Vardhman Textiles Limited, together with its subsidiaries, manufactures, purchases, and sells textiles and fibres in India and internationally. The company provides specialized greige and dyed yarns in cotton, polyester, acrylic, viscose, specialized fibers, and various blends; fabrics, such as piece dyed, yarn dyed, printed, fiber blends, weaved, and specialty finishes; acrylic fibers; and formal and casual shirts. It is also involved in lending and investing activities; and manufacturing and selling of hot rolled bars, and special and alloy steel products, including carbon steel, case hardening steel, hardening steel, and other products for automotive, engineering, bearing, and allied industries. The company was formerly known as Mahavir Spinning Mills Limited and changed its name to Vardhman Textiles Limited in September 2006. Vardhman Textiles Limited was founded in 1965 and is based in Ludhiana, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Vardhman Textiles Limited reported revenue of ₹98.7B in FY2026 versus ₹96.2B in FY2022, a compound +0.6%/yr. Reported net income was ₹7.5B in FY2026, compounding −16.7%/yr from FY2022.

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Peer Group

Textile Manufacturing · 318 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Textile Manufacturing median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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10 more Textile Manufacturing stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.