Why is Future Lifestyle Fashions Ltd ?
1
- Due to business reorganization in the Future group, we are suspending our score on the company. The company will merge with Future Enterprise.
- The company has been able to generate a Return on Equity (avg) of 4.29% signifying low profitability per unit of shareholders funds
2
Negative results in Sep 22
- PAT(HY) At Rs -143.49 cr has Grown at -60.17 %
- NET SALES(Q) Lowest at Rs 177.61 cr
3
Stock is technically in a Mildly Bearish range
- The stocks MACD and KST technical factors are also Bearish
4
Risky - No result in last 6 months
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -22.01%, its profits have fallen by -68.1%
5
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -22.01% returns in the last 1 year, the stock has also underperformed BSE 500 in each of the last 3 annual periods
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Future Lifestyle for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Future Lifestyle
-22.01%
-0.50
43.83%
SENSEX
0.45%
0.04
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
-27.95%
EBIT Growth (5y)
-240.49%
EBIT to Interest (avg)
0.77
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
1.04
Sales to Capital Employed (avg)
-1.73
Tax Ratio
1.42%
Dividend Payout Ratio
0
Pledged Shares
100.00%
Institutional Holding
26.96%
ROCE (avg)
80.24%
ROE (avg)
4.29%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
73
Price to Book Value
-0.02
EV to EBIT
-1.52
EV to EBITDA
-2.83
EV to Capital Employed
-3.04
EV to Sales
0.67
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
3What is working for the Company
PAT(Q)
Highest at Rs -7.53 cr.
EPS(Q)
Highest at Rs -0.37
-20What is not working for the Company
PAT(HY)
At Rs -143.49 cr has Grown at -60.17 %
NET SALES(Q)
Lowest at Rs 177.61 cr
Loading Valuation Snapshot...
Here's what is working for Future Lifestyle
Profit After Tax (PAT) - Quarterly
Highest at Rs -7.53 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs -0.37
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Future Lifestyle
Net Sales - Quarterly
At Rs 177.61 cr has Fallen at -76.1 %
over average Net Sales of the previous four quarters of Rs 742.21 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 177.61 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Non Operating Income - Quarterly
Highest at Rs 154.16 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income