Introduction
Let’s run you through a few facts about the Textile Industry of India India has in house production of 25% of the world’s cotton at a comparatively low labour cost. The FDI inflows have back-boned the manufacturing, infrastructure and supply chain of the country as well. With the increased demand worldwide, the textile industry contributes 1/3 in the nation’s exports.
List of top 10 Textile Stocks in India in 2022
Textile stocks in India in 2022
Mostly every industry faced a boon in the country during the pandemic. Fortunately, things seem better now for all of them. Being the second largest producer of apparel and garments, India has witnessed to provide employment to as many as 4.5 million people. One of the majorly impacted industries is the textile industry in the last 2 years but recent data predicts that the industry will grow with 2.5X capacity by 2029. Some textile companies are a great multibagger when it comes to investing in them. But just to make sure that you invest in the right ones, we’ve come up with the list of the top 10 textile stocks in India in 2022.
Below is the list of the best 10 stocks of the textile industry that can be multibagger stocks as well
S. No. Stocks P/E Ratio Market Cap (In Cr.) Div. Yield (%) 1 Grasim Inds 14.51 1,13,431 0.58 2 Trident 27.16 20,485 .90 3 Welspun India 18.07 7,336 0.20 4 Vardhman Textile 6.10 9,525 2.06 5 Alok Industries NA 10,054 0 6 Lux Industries 16.79 5,479 0.66 7 Raymond 13.03 6,486 0.31 8 Sangam India 8.01 1,443 0.62 9 Go Fashion (I) 81.41 6,432 0 10 Jindal Worldwide 31.47 4,152 0.05
Let’s unveil these stocks one by one each 1. Grasim Inds In 1949, Grasim made his first foray into the textile business by establishing Jaya Shree Textiles in Rishra, West Bengal. Jaya Shree Textiles is currently one of India’s top producers of wool and linen. With its four SBUs, the developing Indian fashion industry now has an international edge as well. To produce 100% pure linen, the finest textile is imported from France, Belgium, and other regions of Europe.
Recently, the textile company’s share price has increased 7.7% in a month and further surged 12.4% during the past year. GRASIM now has a market value of ₹1,133,431 million and the company promoters owned 42.76% of GRASIM as of June 2022 with no shares pledged.
In more than 75 nations, Vardhman Textiles is a leading producer of yarn, fabric, acrylic fiber, and apparel. The business also manufactures garments for export to the US, Europe, and Asian nations. GAP, H&M, Walmart, Calvin Klein, and Tommy Hilfiger are just a handful of clients that this multibagger textile company holds. A 39% portion of their income comes from exports. The company, which supplies 2% of the entire national market, is regarded as one of the most significant players in the home acrylic sector. The company currently has a market value of ₹9,525 crores.
4. Vardhman Textile
2. Trident Ltd.
3. Welspun India
One of the most well known domestic textile producers worldwide is Welspun India Ltd. The company sells towels, robes, linens, beds, and carpets among other things. Welspun, unlike the other organizations on this list of the best textile stocks, derives the majority of its income from exports. Up to 84% of the company’s revenue comes from exports. 67% of the agency’s sales come from the United States, while 17% come from Europe. India accounts for 7% of the agency’s highest sales. 17 of the most famous stores in the world are served by Welspun India. The group of retailers for this textile giant includes Walmart, Costco, and Ikea.
5. Alok Industries
Trident Ltd., a member of the Trident Group since its founding in 1990, is a top manufacturer of beds, baths, and yarn. Trident company which comes second on the list of multibagger stocks in the textile industry also produces chemicals, paper from wheat straw, and captive power. In the respective industry, Trident is the biggest producer of terry towels in the world. The business has finished ₹1,140 crore rupees worth of projects to date. Additionally, the company has consistently worked to lower its net debt, which was ₹2436 crores on March 31, 2019, to ₹1,597 crores on March 31, 2022.
Alok Industries was founded in 1986 as a private limited company, and in 1993, it converted to a public limited company. It has grown over time to include weaving, knitting, processing, home textiles, and clothing. The company earned a spot on the list of top 10 textile stocks in India after developing into a diversified maker of premium home textiles, apparel, apparel fabrics, and polyester yarns, selling directly to manufacturers, exporters, importers, retailers, and some of the top brands in the world. It is well established both domestically and internationally and owns more than 200 stores in England, Scotland, and Wales providing affordable clothing for men, women, and kids.
9. Go Fashion (I) Ltd. Go Fashion (India) Limited, usually referred to as Go Colors, was established on September 9, 2010, based in Chennai, Tamil Nadu. Its entire paid-up capital is ₹54.01 billion, and its authorized share capital is ₹105.00 billion. For ladies and girls, the brand offers cotton fabric legwear goods. In such a short span of time, the company is able to make its remarkable position in the list of top 10 textile stocks to invest in 2022.
10.Jindal Worldwide With evolving fashion styles and technological advancements over the past three decades, the company has been redesigning its products with cutting edge and distinctive designs. They should bring fabrics of the highest caliber because they have the most recent research labs and an updated design studio. Over the past five years, their net sales have accrued a CAGR of 17.55%. Across the whole textile value chain, from spinning to fabric to
6. Lux Industries When Lux Industries Ltd. was founded in 1957, it worked in the hosiery sector. Over a hundred items from sixteen different manufacturers are in the company’s inventory. Its manufacturers include Lux Cozi, ONN, Genx, Lyra, One8, and more. The fact that so many prominent Bollywood stars frequently appear in the textile company’s business classified ads has raised rumours that it lavishes a lot of money on them. The company has shown positive signs and symptoms, increasing revenues from ₹1077 crores in 2018 to ₹1953 crores in 2022. The company has a Mcap of ₹5479 crores and a low debt to equity ratio of 0.13.
7. Raymond The majority of Raymond’s business interests lie in the textile and apparel industries. The company also has a foothold in a wide range of other industries, including FMCG, real estate, engineering, and prophylactics in both local and foreign markets. With more than a billion customers, this magnificent textile stock supply elegance and pleasurable products to its clients over the past nine decades. Raymond is a leading player in the denim industry and one of the most favored Ring Denim suppliers to the most well known Jeanswear companies in the world. Having established its dominance within the textile business, Raymond also offers ready to wear garment names such as Raymond Ready to Wear ColorPlus, Ethnix, Parx, and Park Avenue.
8. Sangam India Sangam India Ltd., a leading textile stock company was established in 1984 and is one of the top producers of cotton, OE, and PV colored yarn as well as a fabric weaver. The company, which is traded on the BSE and NSE, produces 35 million meters of PV fabric and 48 million meters of denim fabric per year. This level of production is made possible by a ready manufacturing base that consists of around 2,36,000 spindles and 2300 rotors.
The company’s primary brand, Sangam Suitings, has a pan-Indian community of 10,000 merchants and works through a distribution channel. On the stock exchange, it is worth ₹1323 crores.
denim/bottom weight/shirts/home textile/clothes, JWL boasts the most and marked its name well in the multibagger textile stocks list.
End Note
The distinctive moats that are in place make the Indian textile industry stand out from the rest of the globe. Additionally, this has a number of benefits for the Best Textile Sector Stocks in India. When we look at domestic desires, the products are also tied to or peculiar to certain cultures. Giving Indian producers a competitive advantage has however profited from the country’s lower cost of production when compared to other western nations. Investors who invest in the textile industry also need to be aware of a dynamic set of difficulties including the perks of festive seasons and flexible pricing. Happy Investing!