Grossly Undervalued; TP Rs 40-50 in 2017

BValue Rs 42 vs Cmp Rs15

FY16 Eps Rs 3.26

FY16 CASH Eps Rs 8.44 (adding DTax, Dep to NP)

FY16 CASH Profit 49cr vs Mktcap 87cr

FY16 Sales 1235cr vs Mktcap 87cr(7%xSales)

Produces POY, PFY, Dyed Yarn and Fancy Yarns

Plant in Surat (major consumption centre)

Q1 PAT @ 8.30cr rises BY120% QoQ

Q1 PAT rises BY 74% YoY

Q1 EPS Rs 1.43

Q1 Sales 369 cr

Name : SUMEET INDUSTRIES LTD Bse, Nse

Sharp jump in profit margin as SIL has started saving Rs 1.50 cr per month by taking electricity from Open Access. Hence, remaining quarters should also be as good as Q1 

FY17Eeps Rs 6

PERatio only 2.50

(Competitor Filatex FY16 with sales of 1278 cr, EPS 8.21 for FY16 trading @ 9.50xFY16Eps has Mktcap of 250Cr)

Sumeet Mktcap 87 cr vs 250cr Mktcap of Filatex (almost same size of both)

If SIL get modest PERatio of 8, stock price can be Rs 48 (FY17Eeps)

FY17 sales can cross 1450 crores.

FY18E Sales 1650 cr(expansion under way) with Eps of Rs 8.50-9