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Welspun Corp Ltd

NSE: WELCORP BSE: 532144

793.30

(-1.47%)

Tue, 24 Feb 2026, 10:07 am

Welspun Corp Analysis

dividend

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Pros

  • Dividends per share have increased over the past 10 years.
  • Dividends paid are thoroughly covered by earnings (31.2x coverage).
  • Welspun's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
  • Welspun's dividend is above the markets top 25% of dividend payers in India (3.08%).
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Cons

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

future

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Pros

  • Welspun's earnings are expected to grow significantly at over 20% yearly.
  • Welspun's earnings growth is expected to exceed the India market average.
  • Welspun's earnings growth is expected to exceed the low risk savings rate of 7.2%.
  • Welspun's earnings are expected to exceed the low risk growth rate next year.
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Cons

  • Welspun's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
  • Welspun's revenues are expected to decrease over the next 1-3 years, this is below the India market average.

health

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Pros

  • Welspun is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Welspun is profitable, therefore cash runway is not a concern.
  • Welspun is profitable, therefore cash runway is not a concern.
  • Debt is well covered by operating cash flow (59.7%, greater than 20% of total debt).
  • Debt is covered by short term assets, assets are 6.1x debt.
  • Welspun's cash and other short term assets cover its long term commitments.
  • The level of debt compared to net worth has been reduced over the past 5 years (133.9% vs 33.7% today).
  • Interest payments on debt are well covered by earnings (EBIT is 77.1x coverage).
  • Welspun's level of debt (33.7%) compared to net worth is satisfactory (less than 40%).
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Cons

  • High level of physical assets or inventory.

management

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Pros

  • The tenure for the Welspun board of directors is about average.
  • Vipul's compensation has been consistent with company performance over the past year, both up more than 20%.
  • The tenure for the Welspun management team is about average.
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Cons

  • Vipul's remuneration is higher than average for companies of similar size in India.

misc

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Pros

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    Cons

    • Welspun is covered by less than 3 analysts.
    • Welspun has significant price volatility in the past 3 months.

    past

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    Pros

    • Welspun's 1-year earnings growth exceeds its 5-year average (211.7% vs 11.5%)
    • Welspun's year on year earnings growth rate has been positive over the past 5 years.
    • Welspun has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
    • Welspun's earnings growth has exceeded the IN Metals and Mining industry average in the past year (211.7% vs -4.8%).
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    Cons

    • Welspun used its assets less efficiently than the IN Metals and Mining industry average last year based on Return on Assets.
    • Welspun has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).

    value

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    Pros

    • Welspun's share price is below the future cash flow value, and at a moderate discount (> 20%).
    • Welspun's share price is below the future cash flow value, and at a substantial discount (> 40%).
    • Welspun is good value based on earnings compared to the IN Metals and Mining industry average.
    • Welspun is good value based on earnings compared to the India market.
    • BSE:532144 is up 33.7% outperforming the Metals and Mining industry which returned 7.5% over the past month.
    • BSE:532144 is up 33.7% outperforming the market in India which returned 8% over the past month.
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    Cons

    • Welspun is overvalued based on assets compared to the IN Metals and Mining industry average.
    • 532144 underperformed the Metals and Mining industry which returned -28.6% over the past year.
    • 532144 underperformed the Market in India which returned -14.5% over the past year.

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