Salona Cotspin Ltd. (SALONA) Share Price Falls 10.32% Amid Market Volatility

Salona Cotspin Ltd. Share Price fell 10.32% today to Rs 226, impacting its market cap of Rs 128.43 crore.

Salona Cotspin Ltd. Share Price experienced a significant decline today, falling by 10.32% to close at Rs 226. This sharp drop from the previous close of Rs 252 has impacted the company's market capitalisation, which now stands at Rs 128.43 crore. As a micro-cap company, Salona Cotspin Ltd. Despite Univest continues to monitor the developments surrounding Salona Cotspin Ltd. Share Price, providing insights into the technical and fundamental aspects of this decline.

Salona Cotspin Ltd. (SALONA) Share Price Today: Price Action Analysis

Metric	Value
Current Price	Rs 226
Previous Close	Rs 252
Today's Change	Rs -26 (-10.32%)
Day Open	Rs 246.6
Day High	Rs 246.6
Day Low	Rs 226
Current Volume (BSE)	10
BSE Traded Volume	10
NSE Traded Volume	894
Combined NSE + BSE Volume	904
Turnover	Rs 0 crore
Market Capitalisation	Rs 128.43 crore
Market Cap Category	Micro Cap

Salona Cotspin Ltd. (SALONA) traded at Rs 226. versus the previous close of Rs 252, a fall of 10.32%. The stock opened at Rs 246.6, reached Rs 246.6, touched Rs 226. Reported volume was 10.

Salona Cotspin Ltd. (SALONA) Fundamental Analysis

Metric	Value
Market Capitalisation	Rs 128.43 crore
P/E Ratio	82.33x
P/B Ratio	1.53x
ROE	17.72%
ROCE	13.07%
EPS	Rs 2.96
Dividend Yield	0.25%

Salona Cotspin Ltd. was valued at a P/E ratio of 82.33x, a P/B ratio of 1.53x. These multiples provide valuation context, but they should not be labelled expensive or inexpensive without a comparable peer or sector benchmark.

Profitability and capital efficiency were represented by ROE of 17.72% and ROCE of 13.07%. ROE relates profit to shareholder equity, while ROCE measures returns generated on the capital employed in the business.

Per-share and shareholder-return metrics included EPS of Rs 2.96, dividend yield of 0.25%. Dividend yield is a current or historical ratio and does not guarantee future distributions.

Salona Cotspin Ltd.'s market capitalisation of Rs 128.43 crore places it in the micro-cap category, reflecting its smaller size within the textile industry. The company's P/E ratio of 82.33 is significantly higher than the industry median of 19.95, suggesting a relatively expensive valuation. The P/B ratio of 1.53 is slightly above the industry average, indicating moderate valuation levels. The company's ROE of 17.72% and ROCE of 13.07% are above industry medians, highlighting its profitability. The EPS of Rs 2.96 and a dividend yield of 0.25% provide additional context for investors. These fundamental metrics suggest that while the company is profitable, its valuation may be on the higher side compared to industry peers.

Sector and Industry Context

Metric	Value
Sector	Textile
Industry	Textile – Spinning
Benchmark Scope	same industry
Company P/E Ratio	82.33x
Benchmark Median P/E	19.95x
Benchmark Average P/E	41.86x
Benchmark P/E Range	1.48x to 328.94x
Company P/B Ratio	1.53x
Benchmark Median P/B	0.69x
Company ROE	17.72%
Benchmark Median ROE	2.28%
Company ROCE	13.07%
Benchmark Median ROCE	7.53%
Company Market Capitalisation	Rs 128.43 crore
Benchmark Median Market Cap	Rs 45.92 crore

Salona Cotspin Ltd. (SALONA) is classified under sector: Textile and industry: Textile – Spinning.

Salona Cotspin Ltd. (SALONA) has a P/E ratio of 82.33x, which is above the benchmark median of 19.95x, a difference of +312.68%. P/E is a valuation multiple and is not, by itself, a buy or sell signal.

Salona Cotspin Ltd. (SALONA) has a ROE of 17.72%, which is above the benchmark median of 2.28%, a difference of +677.19%. Salona Cotspin Ltd. (SALONA) has a ROCE of 13.07%, which is above the benchmark median of 7.53%, a difference of +73.57%.

Track today's top decliners through the Univest top decliners screener. The peer table below provides the company-level comparison.

Salona Cotspin Ltd. operates within the textile sector, specifically in the textile spinning industry. The sector snapshot reveals that the company's P/E ratio of 82.33 is significantly above the industry median of 19.95, indicating a higher valuation. The P/B ratio of 1.53 is slightly above the industry average of 1.42. The company's ROE of 17.72% and ROCE of 13.07% are above the industry medians, reflecting strong profitability. The textile sector comprises 68 companies, with a wide range of market capitalisations. Salona Cotspin Ltd.'s market cap of Rs 128.43 crore is below the industry average, positioning it as a smaller player within the sector. This context highlights the company's valuation and performance relative to its peers.

Peer Comparison

Company	Symbol	Market Cap (Cr)	P/E	P/B	ROE (%)	ROCE (%)
Nitin Spinners Ltd.	NITINSPIN	3,016.48	16.99	2.05	13.03	10.99
Sumeet Industries Ltd.	SUMEETINDS	1,811.21	62.98	4.49	0	-1.66
Pashupati Cotspin Ltd.	PASHUPATI	1,371.63	131.97	8.35	6.3	8.81
GHCL Textiles Ltd.	GHCLTEXTIL	1,145.21	16.27	0.76	-32.82	-32.82
Nahar Spinning Mills Ltd.	NAHARSPING	999.55	45.82	0.66	4.82	6.62

Salona Cotspin Ltd. (SALONA) has a P/E ratio of 82.33x compared with the displayed peer median of 45.82x. This is a relative valuation comparison, not a buy or sell signal. Its ROE of 17.72% compares with a peer median of 4.82% across the companies shown in the table. ROCE stood at 13.07% versus the displayed peer median of 6.62%, providing a capital-efficiency comparison. Salona Cotspin Ltd. (SALONA) has a market capitalisation of Rs 128.43 crore. Among the 5 peers shown, 5 have a larger market capitalisation.

In comparison to its peers, Salona Cotspin Ltd. exhibits a higher P/E ratio of 82.33, compared to Nitin Spinners Ltd.'s 16.99 and Sumeet Industries Ltd.'s 62.98. Its P/B ratio of 1.53 is lower than Pashupati Cotspin Ltd.'s 8.35 but higher than GHCL Textiles Ltd.'s 0.76. The company's ROE of 17.72% is superior to Sumeet Industries Ltd.'s 0% and Pashupati Cotspin Ltd.'s 6.3%. Salona Cotspin Ltd.'s market cap of Rs 128.43 crore is significantly smaller than its peers, such as Nitin Spinners Ltd. with Rs 3016.48 crore. This peer comparison underscores the company's valuation and profitability metrics relative to its industry counterparts.

Why Investors Are Watching Salona Cotspin Ltd.

Investors are closely monitoring Salona Cotspin Ltd. due to its recent price fall and the implications for its market position. Key factors include:

• Significant 10.32% price decline today.
• Weak technical momentum with an RSI of 43.39.
• High P/E ratio of 82.33 compared to industry peers.
• Strong ROE of 17.72%, indicating profitability.
• Position within the textile spinning industry.

As the company navigates market volatility, investors should continue to track its financial performance, valuation metrics, and sector positioning to make informed decisions.

About Salona Cotspin Ltd.

Salona Cotspin Ltd. is a prominent player in the textile spinning industry, focusing on the production and distribution of cotton yarn. The company operates within the textile sector, catering to a diverse range of clients with its high-quality yarn products. With a market capitalisation of Rs 128.43 crore, Salona Cotspin Ltd. is considered a micro-cap company, reflecting its smaller size within the industry. The company's operations are primarily concentrated in the spinning segment, where it leverages its expertise to deliver superior products. As part of the textile sector, Salona Cotspin Ltd. competes with other industry players, striving to maintain its market position and enhance its profitability.

Track Salona Cotspin Ltd. Share Price on Univest

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Investors can track Salona Cotspin Ltd. Share Price on Univest, where they can access live price updates, technical indicators, fundamental ratios, and shareholding patterns. Univest provides comprehensive market insights, including 52-week levels and industry trends, enabling investors to make informed decisions. Stay updated with the latest developments and market movements by following Salona Cotspin Ltd. on Univest.

Frequently Asked Questions

What caused Salona Cotspin Ltd.'s share price to fall today?

Ans. Salona Cotspin Ltd.'s share price fell by 10.32% today, closing at Rs 226. The decline was significant, but no specific company catalyst was identified in the data provided. The stock moved -10.32% during the session.

How does Salona Cotspin Ltd.'s P/E ratio compare to industry peers?

Ans. Salona Cotspin Ltd.'s P/E ratio of 82.33 is significantly higher than the industry median of 19.95, indicating a relatively expensive valuation compared to peers. The company trades at a P/E ratio of 82.33x.

What is Salona Cotspin Ltd.'s market capitalisation?

Ans. Salona Cotspin Ltd.'s market capitalisation is Rs 128.43 crore, categorising it as a micro-cap company within the textile industry. The company operates in the Textile sector. Its P/E ratio is 82.33x.

How does Salona Cotspin Ltd.'s ROE compare to the industry?

Ans. Salona Cotspin Ltd.'s ROE of 17.72% is above the industry median of 2.28%, reflecting strong profitability compared to its peers. ROE stands at 17.72%. ROCE stands at 13.07%. The relevant peer median ROE is 2.28%.

How does Salona Cotspin Ltd.'s P/B ratio compare to the industry?

Ans. Salona Cotspin Ltd.'s P/B ratio of 1.53 is slightly above the industry average of 1.42, indicating moderate valuation levels. The company trades at a P/E ratio of 82.33x. Its P/B ratio is 1.53x.

What is the sector context for Salona Cotspin Ltd.?

Ans. Salona Cotspin Ltd. operates in the textile spinning industry, with a market cap below the industry average, positioning it as a smaller player. The stock belongs to the Textile sector.

How does Salona Cotspin Ltd.'s ROCE compare to the industry?

Ans. Salona Cotspin Ltd.'s ROCE of 13.07% is above the industry median of 7.53%, indicating efficient capital use compared to peers. ROE stands at 17.72%. ROCE stands at 13.07%. The relevant peer median ROE is 2.28%.