Welspun Living Ltd Share Price Highlights: How has been Its historical performance?
Welspun Living Ltd a leading global home textiles player (towels, bedding, rugs) with ₹10,697 Cr FY25 revenue, has shown resilient long-term performance despite recent volatility, delivering 17% CAGR over 5 years and 22% over 3 years, though 1-year returns stand at -2% amid Q2 FY26 profit plunge (93% YoY to ₹13 Cr). Trading at ₹149 (Nov 28 close, up 12% intraday), the stock features PE 40.4x, PB 2.96x, 1.14% yield, ROE 13.7%, and market cap ₹14,274 Cr, with 52W range ₹105-181.
Historical Price Performance
From post-2016 split lows (~₹100 adjusted), shares compounded via capacity expansions (Anjar towels) and US/EU exports (60% revenue), peaking near ₹180 amid wedding demand but correcting on raw cotton volatility and Q2 slowdown (sales -15% YoY). Beta 1.46 reflects sector sensitivity; recent EMA crossovers (10-200D bullish) signal short-term rebound potential after 32% 3M gains.
| Period | Total Return | CAGR | vs Nifty |
|---|---|---|---|
| 1 Year | -1.57% | -2% | Nifty +25% |
| 3 Years | 84.98% | 22% | Nifty +50% |
| 5 Years | 116.78% | 17% | Nifty +100% |
| 10 Years | - | 5% | Nifty +200% |
Financial Trajectory
FY25 sales rose 9% to ₹10,697 Cr (OPM 12%), PAT dipped 6% to ₹639 Cr on capex (₹106 Cr Q4 towels), with Q2 FY26 revenue ₹2,441 Cr (-15% YoY) and PAT ₹13 Cr (-93%) from inventory normalization. Debt/equity 0.51x healthy (coverage 6.7x), CFO ₹688 Cr supports ₹380 Cr CWIP (floors/tech textiles); dividend ₹1.7/share (170%).
Strengths: 92% home textiles dominance, brands (Christy, Disney), ROCE 14.4%
Challenges: Sales CAGR 9% (5Y, below peers), low payout 3%, promoter holding -4% (3Y)
Peer Comparison
Welspun leads midcaps but trails efficiency vs KPR/Trident; FY25 NPM 6% vs Trident 5.3%, yet higher valuations on export premium.
| Metric | Welspun Living | Trident Ltd | KPR Mill Ltd |
|---|---|---|---|
| 1Y Return | -2% | -15% | +14% |
| ROE | 13.7% | 8% | 20% |
| Sales Growth 3Y | 4% | 0.1% | 10% |
| PE | 40x | 32x | 44x |
Valuation and Outlook
At 3x BV (₹50/share), stock discounts growth (analyst targets ₹175-200, 20% upside; 5 BUY/3 HOLD), fueled by weddings (₹6.5L Cr industry), US trade deals, and tech textiles pivot. Q3 results, cotton prices key; historical 15%+ CAGR suits long-term amid 7% sector growth, but volatility caps near-term.
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