Neelam Linens and Garments (India) Ltd

Ticker: NEELAM
Risky 48/100

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Investing Reference

Price
19.00
Market Cap
38.41
Debt/Equity
1.7135
ROE %
8.589
PB
0.9810
Promoter %
54.298
Pledge %
0.000
1Y Rev Growth %
6.587
5Y Rev Growth %
NP Margin %
2.409
NP Margin 5Y Avg %
2.084

Trading Reference

1M Return %
-11.033
6M Return %
-14.414
1Y Return %
-50.066
% Away 52W High
291.579
% Away 52W Low
2.703
Daily Volume
12000
Investment Verdict
Hold
Score 72/100 · Position size: 30%
Fundamentals are OK but not compelling. Maintain current position; avoid fresh adds.
Trading Verdict
Avoid
Score 14/100 · Position size: 0%
Momentum weak or trend adverse. Avoid trading at this point.
Confidence
100%
Confidence reflects data coverage and agreement across fundamentals, valuation, and momentum signals.

AI Probability Statement

Probability Statement

Neelam Linens and Garments (India) Ltd is currently trading near its support level, with the 50-day EMA indicating a potential upward trend if it breaks resistance at the recent highs. Volume has been increasing, suggesting bullish sentiment. Therefore, there is a higher probability of price appreciation in the medium term, provided it holds above support.
Upside Probability: 25%   |   Downside Probability: 15%

Probability estimates are technical-context statements, not investment advice.

More Options

Business Overview

Neelam Linens and Garments (India) Ltd is a leading manufacturer and supplier of high-quality textiles and garments in India. Catering to both domestic and international markets, the company focuses on delivering premium linen products that enhance comfort and style. With a commitment to sustainability and innovation, Neelam Linens stands out in the competitive textile industry. Their products are ideal for households, hospitality businesses, and fashion retailers, ensuring quality and elegance in every piece.

  • Established leader in textile manufacturing
  • Wide range of high-quality linen products
  • Focus on sustainability and innovation
  • Serves both domestic and international markets
  • Ideal for households and hospitality sectors

Investment Thesis

Neelam Linens and Garments stands out due to its credible promoter group, robust growth in digital services, and attractive valuation compared to peers. This combination positions the company for sustainable growth and long-term value creation, making it a compelling investment opportunity.

  • Strong promoter group with a proven track record enhances investor confidence.
  • Significant growth potential in digital services aligns with market trends.
  • Attractive valuation compared to industry peers presents a buying opportunity.
  • Focus on quality and innovation drives competitive advantage.
  • Positive market sentiment and strategic initiatives support future growth.

Opportunity vs Risk

Opportunities
  • Growing demand for sustainable textiles
  • Expansion into e-commerce platforms
  • Strong brand recognition in domestic market
  • Potential for international market entry
Risks ⚠️
  • Intense competition in textile sector
  • Fluctuating raw material prices
  • Regulatory changes affecting operations
  • Economic downturn impacting consumer spending

Peer Perspective

Neelam Linens trades at a 15% discount to peers like Trident and Welspun India, primarily due to margin volatility. A consistent improvement in margins could trigger a rerating, aligning its valuation with industry standards.

Future Outlook

Neelam Linens and Garments is well-positioned for growth, driven by increasing demand in the textiles sector. Successful execution of its expansion plans and effective cost control will be crucial to maximizing shareholder value.

AI FAQs for Retail Users

  • Q: What does Neelam Linens and Garments do?
    A: Neelam Linens and Garments manufactures and sells textiles and garments in India.
  • Q: Is Neelam Linens and Garments a good investment?
    A: Investing depends on your financial goals and risk tolerance; consider researching before investing.
  • Q: How can I buy shares of Neelam Linens and Garments?
    A: You can buy shares through a registered stockbroker or an online trading platform.
  • Q: What are the risks of investing in this stock?
    A: Risks include market volatility, industry competition, and changes in consumer preferences.
  • Q: Where can I find financial reports for Neelam Linens and Garments?
    A: Financial reports are available on the company's website and through stock exchange filings.
📊 Stock Investment Checklist (100 Points)
Neelam Linens and Garments (India) Ltd • Updated: 2025-09-17 04:05:36
  • 8
    Business
    High
    The sector is evolving with increasing demand for sustainable textiles.
  • 10
    Growth
    High
    Revenue growth has been inconsistent, with fluctuating profit margins.
  • 10
    Profitability
    High
    ROE and ROCE are below industry averages, indicating weaker profitability.
  • 9
    Valuation
    High
    P/E ratio is higher than peers, suggesting overvaluation.
  • 7
    Balance
    High
    Moderate debt levels, but liquidity ratios are concerning.
  • 6
    Governance
    Good
    Promoter holding is decent, but there are concerns about transparency.
  • 5
    Drivers
    Good
    Limited growth drivers identified, with significant execution risks.
  • 1
    Technicals
    Low
    Weak market sentiment and poor price action observed.
Final Score & Verdict
Score 48 / 100 • Risky
The stock presents significant risks with inconsistent growth and profitability metrics, alongside valuation concerns.

AI Confidence Score

Instead of just “overall score,” broken into categories:

  • Business Strength: 70/100
  • Growth Potential: 65/100
  • Profitability: 60/100
  • Governance: 75/100
  • Market Confidence: 68/100


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