Top-Textile-Stocks-in-India
When you open an e-commerce website what is the top thing that attracts consumers from both genders irrespective of age? Clothes! But the textile industry is not limited to just apparel, it includes many diverse segments and is also one of the strongest pillars of the Indian economy accounting for approximately 2% of the GDP. Also known as the silent cash cow and among the top employers in the country, the sector is also a good addition to any investment portfolio. So do you know which are the top stocks in the textile industry? Read on to know about them and a few key details of the textile sector in India.
The stocks with the highest market capitalisation and their details are mentioned below.
Page Industries Limited, established in 1995, has exclusive licenses for JOCKEY® and Speedo brands in India, Sri Lanka, Bangladesh, Nepal, and the UAE. JOCKEY is a market leader in the innerwear category, while Speedo’s presence has grown significantly in just six years, with products available in over 1286 stores across 86 cities and towns in India. Page Industries’ commitment to excellence and strategic partnerships have contributed to the success of both brands in the Indian market.
The financials of the company are as below. Figures as of July 28, 2023
| Category | Details |
| Market Capitalization | Rs. 41,526 crores |
| PE Ratio | 74.07 |
| Return on Equity | 46.45% |
| Debt Equity Ratio | 0.18% |
| Promotor’s Holdings | 46.12% |
| Share Price | Rs. 37,311.70 |
| Dividend yield | 0.66% |
The trailing returns of Page Industries Limited are
| Period | Trailing Returns |
| 1 year | -21.05% |
| 3 years | 24.81% |
| 5 years | 5.08% |
| 10 years | 23.53% |
KPR Limited, founded in 1984 in Coimbatore Tamil Nadu, along with its subsidiaries is a leading apparel manufacturing company in India. It specializes in the production of Yarn, Knitted Fabric, Readymade Garments, in the textile segment as well as has diverse business streams like ethanol, green energy, co-gen power, wind power and acts as a car dealer. With a vertical approach, the company covers various stages of the textile and garment production process, solidifying its position as a significant player in the industry.
The key details of this company are tabled below.
| Category | Details |
| Market Capitalization | Rs. 21,903 crores |
| PE Ratio | 24.17 |
| Return on Equity | 23.62% |
| Debt Equity Ratio | 0.36% |
| Promotor’s Holdings | 74.78% |
| Share price | Rs. 640.75 |
| Dividend yield | 0.69% |
Figures as of July 28, 2023
The trailing returns of KPR Mill Limited are tabled below
| Period | Trailing Returns |
| 1 year | 14.47% |
| 3 years | 95.01% |
| 5 years | 38.22% |
| 10 years | 48.18% |
Trident Limited engages in the manufacture, trade, and sales of the textile, chemicals, and papers in the country. This company was earlier known as Abhishek Industries and was formed in 1990 with its headquarters in Ludhiana. The name of the company was changed to Trident Limited in 2011. The company also has a good export presence in the US and other countries across the globe.
The key details of this company are tabled below. Figures as of July 28, 2023
| Category | Details |
| Market Capitalization | Rs. 16,394 crores |
| PE Ratio | 40.50 |
| Return on Equity | 10.09% |
| Debt Equity Ratio | 0.19% |
| Promotor’s Holdings | 73.19% |
| Share price | Rs. 32.15 |
| Dividend yield | 1.12% |
The trailing returns of Trident Limited are tabled below
| Period | Trailing Returns |
| 1 year | -16.49% |
| 3 years | 69.52% |
| 5 years | 42.25% |
| 10 years | 45.23% |
Established in 1925, Raymond Limited is a dynamic and diversified group with a strong foothold in the Textile & Apparel industries. Over the years, it has expanded its presence across various sectors, including Real Estate, FMCG, and Engineering, both in the domestic and international markets. With a global outreach encompassing 55+ countries, including prominent regions like the USA, Europe, Japan, and the Middle East, the company has secured a formidable position on the global stage.
Raymond Limited boasts an extensive retail network of multiple stores that are strategically spread across approximately 600 towns and cities in India, as well as 49 overseas stores spanning nine countries. This robust retail presence enables the company to effectively reach and cater to a diverse customer base.
The key details of this company are tabled below. Figures as of July 28, 2023
| Category | Details |
| Market Capitalization | Rs. 12,648 crores |
| PE Ratio | 15.38 |
| Return on Equity | 20.44% |
| Debt Equity Ratio | 0.72% |
| Promotor’s Holdings | 49.11% |
| Share price | Rs. 1900.45 |
| Dividend yield | 0.25% |
The trailing returns of Raymond Limited are tabled below
| Period | Trailing Returns |
| 1 year | 104.71% |
| 3 years | 97.02% |
| 5 years | 17.38% |
| 10 years | 24.74% |
Vardhaman Textiles Limited, earlier known as Mahavir Spinning Mills, was founded in 1965 and is based in Ludhiana, India. The company engaged in the manufacturing of various textile products, including Yarn, Fabric, Acrylic Fiber, and Garments. Over the years, Vardhman Textiles has grown into a formidable business conglomerate, expanding its operations to manufacturing and selling steel products engineering, bearing, and allied industries. The company also has a strong export presence with exports to 75 countries across the globe including The US, Japan, Europe, and the Far East.
The key details of this company are tabled below. Figures as of July 28, 2023
| Category | Details |
| Market Capitalization | Rs. 10,463 crores |
| PE Ratio | 13.15 |
| Return on Equity | 9.10% |
| Debt Equity Ratio | 0.11% |
| Promotor’s Holdings | 64.07% |
| Share price | Rs. 362 |
| Dividend yield | 0.97% |
The trailing returns of Vardhaman Textiles Limited are tabled below
| Period | Trailing Returns |
| 1 year | 18.69% |
| 3 years | 40.75% |
| 5 years | 8.29% |
| 10 years | 19.89% |
The Indian Textile Industry is expected to grow at a pace of CAGR of 10% and is expected to reach US$ 190 billion by 2025-26. It also accounts for approximately 4% of the global textile trade. India is the largest producer of cotton and jute in the world with approximately 70% of global jute production contributed by India. With the PM’s call for Atmanirbhar Bharat, the textile industry is said to be among the top sectors to achieve this goal and expand its global footprint in the coming years.
The Government of India has taken many measures in the form of incentives and support schemes to promote the sector as well as achieve the goal of Atmanirbhar Bharat in textiles. Some of the measures include setting up a textile park of 1000 acres in Lucknow, allocation of Rs. 4389.24 cores to the textile sector in Union Budget 23-24, starting about 44 R&D projects relating to the silk industry which has already successfully trained 9777 people in the country and more.
The Government has also allowed 100% FDI flow into the textile industry and the total FDI inflow into the sector is about $4.16 billion between April 2000 to March 2023.
The textile sector also found an opportunity during the pandemic by creating a space for the PPE segment and is now projected to soar to over $92.5 billion by 2025, a substantial increase from $52.7 billion recorded in 2019. In the domain of technical textiles, the automotive textiles market is projected to experience substantial growth.
By 2027, it is anticipated to reach a value of US$ 3.7 billion, a significant rise from US$ 2.4 billion recorded in 2020. The overall Indian textiles market is predicted to surpass US$ 209 billion by the year 2029. This growth trajectory is a testament to the industry’s resilience and adaptability, as it continues to cater to the evolving demands of both domestic and international markets.
The Textile Industry in India is one of the oldest industries in the country and is also one of the strongest pillars of the economy. The industry is quite fragmented but is also the second-largest employer in India providing employment to skilled and unskilled labour. The textile industry in India is poised for remarkable growth, driven by several key factors like rising household income, a growing population, and increasing demand from sectors like housing, hospitality, and healthcare are all contributing to this upward trajectory.
The expected CAGR of the textile industry in India is 10%.
As per the Union Budget 2023-24, the textile sector was allocated a total of Rs. 4,389.24 crores (US$ 536.4 million), with Rs. 900 crores (US$ 109.99 million) designated for the Amended Technology Upgradation Fund Scheme (ATUFS), Rs. 450 crores (US$ 54.99 million) for the National Technical Textiles Mission, and Rs. 60 crores (US$ 7.33 million) for the Integrated Processing Development Scheme.
A few more prominent names in the textile industry include Welspun India Limited, Alok Industries Limited, Garware Technical Fibres Limited, Jindal Worldwide Limited, etc.
Some of the top factors to consider while investing in the textile sector include assessing market demand and growth prospects, monitoring raw material costs and supply chain efficiency, and evaluating the company’s innovation and adaptation to changing consumer preferences and sustainability trends.
This Diwali, we present a portfolio that reflect both sector-specific and stock-specific opportunities. With 2…
Thank you for showing interest in taking a BTST position using our Delivery Plus product.…
Thank you for showing interest in the consultation on trading strategies! Our expert will reach…
Even if you are a new participant in the stock market, the process of buying…
A company’s debt position can be gauged using the interest coverage ratio or ICR. This…
Muhurat Trading, a cherished tradition in the Indian stock market, takes place on Diwali, the…