Vardhman Textiles Share Price Analyzed
Vardhman Textiles’ stock jumped significantly on the NSE, hitting a high of ₹454.25. This surge happened after the company showed strong performance in the recent quarter (Q2FY26). Investors reacted positively, and the stock closed at ₹440.65, up 8% from the previous day.
Key Points
- Vardhman Textiles stock rose 8% to ₹440.65.
- Q2FY26 results showed a small profit decline.
- Earnings before taxes increased by 6%.
- Margins expanded, boosting profitability significantly.
- Exports make up 43% of total sales yearly.
- Analysts suggest a ‘Hold’ rating and a price target.
Despite a small drop in overall profit – ₹187.74 crore – compared to the previous year, the company’s earnings before interest, tax, depreciation, and amortisation (Ebitda) actually went up by 6%. This is a key sign of a healthy business.
The company’s total sales dipped slightly, down 1% to ₹2,480 crore. However, certain parts of the business, like Acrylic Fabrics, saw a significant growth of 27%—rising from ₹70.6 crore to ₹89.4 crore. This shows that even with overall sales decreasing, some areas are thriving.
A large portion of Vardhman Textiles’ business comes from selling its products to other countries. Exports accounted for 43% of all the sales they made throughout the last year. This highlights their international reach and dependence on overseas markets.
Antique Stock Broking, a financial analysis firm, recently looked at Vardhman Textiles. They think the company has a good range of yarn types – cotton, blended, and high-quality fabrics. They also have the ability to produce 180 million meters of fabric each year.
The company is investing money to improve its operations and make more fabric. This investment should help them make more money and offer even more types of fabric. Vardhman Textiles is a very large company in the textile business, operating 15 modern factories with a huge number of spindles (machines that spin yarn).
Experts predict that Vardhman Textiles’ sales and profits will grow by about 7% and 8% each year for the next few years (2025-2028). While the business is likely to remain strong over the long term, the stock price is already reflecting some of these good things, meaning there isn’t much room for big gains in the near future.
“Strong fundamentals are here, but the current price reflects this, limiting potential returns.”