HP Cotton Textile Mills Ltd

HPCOTTONOther Textile Products
107.85+0.00 (+0.00%)
As on 09 Feb 2026, 12:23 pmMarket Closed

Fundamental Score

...

HP Cotton Textile Mills Ltd Share Price Live NSE/BSE

No data
High
0.00
Low
0.00
Volume
0
Change
+0.00%

Profitability Metrics

Good

Return on Equity

17.10%
Good

Return on Capital Employed

19.22%
Poor

Operating Profit Margin (5Y)

5.21%
Poor

Dividend Yield

0.00%

Valuation Metrics

Excellent

Price to Earnings

14.11x

Market Capitalization

41.20 (Cr)

Industry P/E

20.18x

Growth Metrics

Poor

YoY Quarterly Profit Growth

-4.82%
Poor

YoY Quarterly Sales Growth

2.10%
Poor

Sales Growth (5Y)

9.40%
Excellent

EPS Growth (5Y)

49.00%
Excellent

Profit Growth (5Y)

49.86%

Financial Health

Poor

Debt to Equity

2.17x
Poor

Interest Coverage

1.63x
Average

Free Cash Flow (5Y)

5.99 (Cr)

Ownership Structure

Good

Promoter Holding

64.90%
Poor

FII Holding

0.00%
Poor

DII Holding

0.00%
Excellent

Pledged Percentage

0.00%
Market-cap Classification
Small-cap
Higher growth potential with higher volatility.
64.90%
Promoter Holding
41.20 (Cr)
Market Cap

Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice

Market Data Analysis & Educational Insights

Educational evaluation of HPCOTTON across key market metrics for learning purposes.

Positive Indicators

7 factors identified

Strong Return on Equity (17.10%)

Observation: Efficient use of shareholders' capital generating superior returns.

Analysis: ROE >15% indicates strong profitability and effective management. This metric suggests the company can generate substantial returns on invested capital.

Excellent ROCE Performance (19.22%)

Observation: Superior returns on capital employed across business operations.

Analysis: ROCE >15% demonstrates efficient capital deployment and strong operational performance. This indicates quality business fundamentals.

Attractive Valuation (P/E: 14.11 vs Industry: 20.18)

Observation: Trading at discount to industry peers.

Analysis: P/E below industry average may present value opportunity if fundamentals support the business case.

Excellent EPS Growth (49.00% CAGR)

Observation: Outstanding 5-year earnings per share compound growth.

Analysis: EPS CAGR >15% indicates strong wealth creation potential and effective capital allocation over extended periods.

Strong Profit Growth Track Record (49.86% CAGR)

Observation: Consistent 5-year profit compound annual growth rate.

Analysis: Profit CAGR >15% demonstrates scalable business model and effective operational leverage over time.

Balanced Promoter Holding (64.90%)

Observation: Optimal balance between promoter control and public float.

Analysis: Promoter holding in 50-75% range provides management alignment while ensuring adequate liquidity.

Zero Share Pledging Risk

Observation: No promoter shares pledged as collateral, reducing forced-selling risk.

Analysis: Absence of share pledging eliminates potential forced-selling pressure during market stress.

Risk Factors

6 factors identified

Elevated Debt Levels (D/E: 2.17)

Observation: High leverage increases financial risk and interest burden.

Analysis: High debt-to-equity ratios require monitoring of debt servicing capability and cash flow generation.

Weak Interest Coverage (1.63x)

Observation: Limited ability to service debt obligations from earnings.

Analysis: Low interest coverage raises concerns about financial stability. Monitor cash flow and debt reduction plans.

No Dividend Distribution

Observation: Company does not currently pay dividends to shareholders.

Analysis: Zero dividend yield may indicate growth reinvestment focus or cash flow constraints. Assess capital allocation strategy.

High Debt-to-Equity Ratio

Observation: Elevated financial risk due to high leverage.

Analysis: High debt levels may strain cash flows and increase financial risk during economic downturns.

Very High Debt Levels

Observation: Excessive leverage may strain cash flows.

Analysis: Debt-to-equity above 2.0 indicates potential financial distress risk.

Small Market Cap

Observation: Higher investment risk due to limited size.

Analysis: Small-cap stocks typically carry higher volatility and liquidity risks.

Financial Statements

Comprehensive financial data for HP Cotton Textile Mills Ltd

About HPCOTTON

Business Overview

H.P. Cotton Textile Mills Limited manufactures and sells cotton specialty yarns and cotton sewing threads in India and internationally. The company offers crochet, embroidery, lace, patchwork and quiliting, kite flying, cotton sewing, and mercerized cotton RFD threads; and hand knitting yarns. It also exports its products to approximately 100 countries. H.P. Cotton Textile Mills Limited was incorporated in 1981 and is based in New Delhi, India.

Company Details

Symbol:HPCOTTON
Industry:Other Textile Products
Sector:Other Textile Products

Key Leadership

Mr. Kailash Kumar Agarwal B.Com. LL.B
Chairman & MD
Mr. Raghav Kumar Agarwal
CEO, CFO & Executive Director
Mr. Shubham M Jain
Company Secretary & Compliance Officer

HPCOTTON Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)17.10%
Return on Capital Employed19.22%
Operating Profit Margin (5Y)5.21%
Debt to Equity Ratio2.17
Interest Coverage Ratio1.63

Growth & Valuation

Sales Growth (5Y)9.40%
Profit Growth (5Y)49.86%
EPS Growth (5Y)49.00%
YoY Quarterly Profit Growth-4.82%
YoY Quarterly Sales Growth2.10%

Frequently Asked Questions

What is the current price of HP Cotton Textile Mills Ltd (HPCOTTON)?

As of 09 Feb 2026, 12:23 pm IST, HP Cotton Textile Mills Ltd (HPCOTTON) is currently trading at ₹107.85. The stock has a market capitalization of ₹41.20 (Cr).

Is HPCOTTON share price Overvalued or Undervalued?

HPCOTTON is currently trading at a P/E ratio of 14.11x, compared to the industry average of 20.18x. Based on this relative valuation, the stock appears to be Undervalued against its sector peers.

What factors affect the HP Cotton Textile Mills Ltd share price?

Key factors influencing HPCOTTON's price include its quarterly earnings growth (Sales Growth: 2.10%), raw material costs, government infrastructure spending, and institutional flows (FII/DII holding).

Is HP Cotton Textile Mills Ltd a good stock for long-term investment?

HP Cotton Textile Mills Ltd shows a 5-year Profit Growth of 49.86% and an ROE of 17.10%. Long-term investors should consider these fundamentals alongside the debt-to-equity ratio of 2.17 before investing.

How does HP Cotton Textile Mills Ltd compare with its industry peers?

HP Cotton Textile Mills Ltd competes with major peers in the Other Textile Products. Investors should compare HPCOTTON's P/E of 14.11x and ROE of 17.10% against the industry averages to determine its competitive standing.

What is the P/E ratio of HPCOTTON and what does it mean?

HPCOTTON has a P/E ratio of 14.11x compared to the industry average of 20.18x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹14 for every ₹1 of annual earnings.

How is HPCOTTON performing according to Bull Run's analysis?

HPCOTTON has a Bull Run fundamental score of 41.5/100, which indicates concerns that require careful analysis. This comprehensive rating is based on 15+ financial parameters including profitability, growth metrics, and valuation ratios.

What sector and industry does HPCOTTON belong to?

HPCOTTON operates in the Other Textile Products industry. This classification helps understand the competitive landscape and sector-specific trends affecting HP Cotton Textile Mills Ltd.

What is Return on Equity (ROE) and why is it important for HPCOTTON?

HPCOTTON has an ROE of 17.10%, which indicates excellent management efficiency and profitable operations. Return on Equity measures how efficiently HP Cotton Textile Mills Ltd generates profits from shareholders' equity.

How is HPCOTTON's debt-to-equity ratio and what does it indicate?

HPCOTTON has a debt-to-equity ratio of 2.17, which indicates high leverage that increases financial risk. A ratio below 1.0 generally indicates conservative financing.

What is HPCOTTON's dividend yield and is it a good dividend stock?

HPCOTTON offers a dividend yield of 0.00%, which means you receive ₹0.00 annual dividend for every ₹100 invested.

How has HPCOTTON grown over the past 5 years?

HPCOTTON has achieved 5-year growth rates of: Sales Growth 9.40%, Profit Growth 49.86%, and EPS Growth 49.00%.

What is the promoter holding in HPCOTTON and why does it matter?

Promoters hold 64.90% of HPCOTTON shares, with 0.00% of promoter shares pledged. High promoter holding often indicates strong management confidence.

What is HPCOTTON's market capitalization category?

HPCOTTON has a market capitalization of ₹41 crores, placing it in the Small-cap category.

How volatile is HPCOTTON stock?

HPCOTTON has a beta of N/A. A beta > 1 suggests the stock is more volatile than the market, while a beta < 1 suggests it is less volatile.

What is the 52-week high and low for HPCOTTON?

HPCOTTON has a 52-week high of ₹N/A and low of ₹N/A.

What is HPCOTTON's operating profit margin trend?

HPCOTTON has a 5-year average Operating Profit Margin (OPM) of 5.21%, indicating the company's operational efficiency.

How is HPCOTTON's quarterly performance?

Recent quarterly performance shows YoY Sales Growth of 2.10% and YoY Profit Growth of -4.82%.

What is the institutional holding pattern in HPCOTTON?

HPCOTTON has FII holding of 0.00% and DII holding of 0.00%. Significant institutional holding often suggests professional confidence in the stock.