Neelam Linens and Garments IPO Review

Welcome to the world of High Thread count Luxurious bedding. High Thread count bedding is used in all the western countries as it is considered to be the status symbol for the riches, as the higher the count the better the fabric. Neelam Linens and Garments India Limited is India’s 1st company to Launch High Thread count bedding as we believe India is no longer behind and the Indian standards and quality matches that of the other western countries and we should deserve better than the rest.

The Company is led by Promoters, namely, KANTILAL JETHVA AND BHAVIN JETHWA.

The Revenues from operations for the Fiscals 2024, 2023 and 2022 were ₹10,474.42 Lakhs, ₹10,541.13 Lakhs and ₹10,379.68 Lakhs, respectively. The EBITDA for the Fiscals 2024, 2023 and 2022 were ₹781.11 Lakhs, ₹652.51 Lakhs and ₹593.62 Lakhs, respectively. The Profit after Tax for the Fiscals 2024, 2023 and 2022 was ₹246.05 Lakhs, ₹237.87 Lakhs and ₹298.57 Lakhs, respectively.

For the Neelam Linens and Garment Health Insurance Company IPO, the company is issuing shares at a pre-issue EPS of ₹0.51 and a post-issue EPS of ₹0.45. The pre-issue P/E ratio is 145.09x, while the post-issue P/E ratio is 164.44x against the Industry P/E ratio is 38.60x. The company's ROCE for FY24 is 13.69% and RoE for FY24 is 5.68%. These metrics suggest that the IPO is fully priced.

The Grey Market Premium (GMP) of Neelam Linens and Garments showing potential listing gains of 0%. Given the company's financial performance and the valuation of the IPO, we recommend Investors to Avoid to the Neelam Linens and Garments Limited IPO for Listing gain or long term investment purposes.

Disclaimer: The information provided in this IPO review is for educational and informational purposes only and should not be construed as financial advice or an offer to buy or sell securities. The review must not be used as a singular basis of any investment decision. The views herein are of a general nature and do not consider the risk appetite or the particular circumstances of an individual investor; readers are requested to take professional advice before investing. Nothing in this document should be construed as investment advice. The content is based on publicly available information and market perceptions as of the date of publication and is subject to change. Neither the author nor the website is responsible for any losses or damages arising from the use of this information. 

About the Author
 CA Abhay Kumar (Also known as  CA Abhay Varn) is a qualified Chartered Accountant by profession and cleared CA at age 21. He is a SEBI Registered Research Analyst with Registration Number - INH300008465. He Possesses 8+ years of experience in the Stock Market Field and has also worked in Big CA firms during the training period. He is good at Technical analysis and Fundamental Analysis and uses both Technical and Fundamental analysis along with five other important factors that affect the movement of the Market namely Global Market Analysis, Upcoming Event Analysis, Institutional Money Analysis, Derivative Data Analysis, and Emotions and Sentiment of Traders and Investors in his Framework called - Technical Fundamental GUIDE to find the winning Trades.
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