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Sambandam Spinning Mills Limited (521240) Fair Value & Analysis

Other · IN · Market cap ₹222M

SS Sambandam Spinning Mills Limited 521240 · BSE
Price₹109.00
Fair Value₹82.76
Upside-24.1%
Quality51/100
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Mixed Growth
Thin margins · 0.0% net margin
Moderate debt · generates free cash flow
Ranks above peers (8/11)
Evidence: Medium Range ₹82.76 – ₹82.76 Share as image

Fair value as of: Aug 13, 2026

From 6 valuation models · updated 5 days ago

Fair value updated Aug 13, 2026, revised from ₹81.56 to ₹82.76 (+1.5%) since Aug 9, 2026. Share price +7.4% over the past month.

A solid business, but screening 24% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹82.76). The favourable scenario is already priced in.
  • Solid but not exceptional quality (51/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

₹279.71 ₹72.27 Fair Value ₹82.76 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹72.27 – ₹279.71 · the ₹109.00 price screens above the ₹82.76 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Sambandam Spinning Mills Limited (521240) currently trades at ₹109.00, while our model-based Fair Value estimate is ₹82.76, implying the stock looks roughly 24.1% overvalued today. The Quality Score stands at 51/100 (solid quality), in the Other sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Net debt stands at ₹1.4B. The stock trades on a trailing P/E of 9.6 (as of Jul 4, 2026). Fundamentals as of Aug 13, 2026

The share trades about 26% below its 52-week high and 25% above its 52-week low. For context, the median of 10 Other peers we cover trades at -24% fair-value upside, at -24%, 521240 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF ₹75.73 80
EV/EBITDA ₹106.21 ₹247.47 ₹388.74 54
NCAV (Graham) ₹197.00 ₹263.97 ₹393.99 50
All 6 models by family
DCF Models
FCF DCF ₹86.71 38
5Y EBITDA Exit ₹134.53 ₹327.89 41
10Y EBITDA Exit ₹59.60 ₹168.84 37
Multiples
EV/EBITDA ₹106.21 ₹247.47 ₹388.74 54
Asset-Based
NCAV (Graham) ₹197.00 ₹263.97 ₹393.99 50
Growth DCF
Growth DCF ₹75.73 80

Widest divergence: Asset-Based (₹263.97) versus DCF Models (₹59.60). Highest evidence: Growth DCF (80).

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Key figures & financial health

Free cash flow ₹68.1M FY2026
P/E ratio 9.6 as of Jul 4, 2026
EPS (TTM) ₹5.41
Net debt ₹1.4B FY2026

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 51/100

Of which business quality 43 · Market factors (momentum, volatility) 30

Profitability 30
Margins and returns on capital today
Quality Growth 39
Are margins and returns improving?
Cashflow 28
Earnings quality: real cash, not paper profit
Fin. Strength 17
Balance sheet, leverage, solvency risk
Investment 99
Disciplined investing over empire-building
Low Volatility 20
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 24
Distance to the 52-week high (market factor)
Net Issuance 85
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Sambandam Spinning Mills Limited manufactures and sells cotton yarns in India. It provides cotton autoconed/siro cleared yarns; single/multi ply yarns; carded/combed weaving and knitting yarns; ring doubled wet spliced/TFO yarns; and value added products, such as gassed yarns/compact yarns/slub yarns.

Full company description

Sambandam Spinning Mills Limited manufactures and sells cotton yarns in India. It provides cotton autoconed/siro cleared yarns; single/multi ply yarns; carded/combed weaving and knitting yarns; ring doubled wet spliced/TFO yarns; and value added products, such as gassed yarns/compact yarns/slub yarns. The company was incorporated in 1973 and is based in Salem, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Sambandam Spinning Mills Limited reported revenue of ₹2.6B in FY2026 versus ₹3.5B in FY2022, a compound −7.2%/yr. Reported net income was −₹56.7M in FY2026.

Growth Quality 29/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
₹2.6B
Latest YoY
−1.8%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+0.1%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.7%
Avg. growth/yr (12Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+0.2%
Revenue −7.2%/yr
FY22 ₹3.5B
FY23 ₹2.6B
FY24 ₹2.2B
FY25 ₹2.7B
FY26 ₹2.6B
Net income
FY22 ₹151M
FY23 −₹117M
FY24 −₹78.5M
FY25 −₹73.5M
FY26 −₹56.7M

521240 screens 24% overvalued. Compare with Federal Home Loan Mortgage Corporation →

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Cite: Fair Value Calculator (2026). "Sambandam Spinning Mills Limited Fair Value". https://www.fairvalue-calculator.com/stock/521240

Peer Group

Other · 373 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 51 · Below median
Fair Value upside −24% · Below median
Return on assets 0% · Top 25%
Net margin (TTM) 0% · Above median
Operating margin (TTM) 0% · Above median
Revenue growth 0% · Top 25%
Debt / equity 0.81× · Higher than 75% of peers

Valuation Multiples vs Other median · lower = cheaper

P/E (TTM) 9.6× · Cheaper than median
P/FCF 0.0× · Cheaper than median
EV/EBITDA 5.1× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 1 · sector 9
FUTURE 0 · sector 0
PAST 0 · sector 0
HEALTH 60 · sector 97
DIVIDEND 0 · sector 31

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Other stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

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Federal Home Loan Mortgage Corporation FREJO $15.58 $51.90 +233%
533278 533278 ₹409.15 ₹660.78 +62%
Nestl?? India Limited 500790 ₹1,497 ₹191.93 -87%
ITC Limited 500875 ₹279.50 ₹212.74 -24%
Wipro Limited 507685 ₹183.80 ₹193.38 +5%
540376 540376 ₹4,054 ₹1,542 -62%
540777 540777 ₹537.50 ₹149.72 -72%
Lupin Limited 500257 ₹2,265 ₹1,983 -12%
Dabur India Limited 500096 ₹413.80 ₹122.93 -70%
540719 540719 ₹1,835 ₹872.41 -52%

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Frequently asked questions

Is Sambandam Spinning Mills Limited (521240) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹82.76 versus a price of ₹109.00, about −24% (overvalued).
What is the fair value of 521240?
Our model-based fair value for Sambandam Spinning Mills Limited is ₹82.76 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹109.00.
What is the quality score of 521240?
Sambandam Spinning Mills Limited has a Quality Score of 51/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the net profit margin of 521240?
The net profit margin of Sambandam Spinning Mills Limited is about 0.0%, meaning it keeps roughly 0.0% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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