1. Summary of Analysis
Weak and conservative sentiments of shoppers, restructuring of PVIL, closure of 4 mega stores is
giving a strong signal of company’s revival strategy. Low PE ratio, PEG ratio less than 1 and
government policies regarding FDI has made the stock more attractive.
In the short term the stock may hover around 237 – 300. However its long term story is robust since
the company is doing strong exercise in its operations before anybody does.
Pantaloons available at a PE of 18.64 which is quite lower than its industry PE i.e 27. The PE is going
to be 24-28 in the next 1 year at this multiple the price of PVIL can touch to 242-284
Financials of last 5 years
Commentary on financials
Positives
Net profit margin of the company is considerably low compared to its peers but somehow
maintained a positive figure this financial year (FY’11).

2. Return of equity is also improving but the improve in current asset and quick asset signifies the
company’s ability to meet its current obligations easily.
Negatives
High Sales turnover which means takes a lot time to clear its inventory or huge amount of inventory
is pilled and company is unable to sell it, whereas the sales recievables is also high if compared to its
nearest peer i.e. shoppers Stop which is about 3.
Comments on FY2011 Data
Revenue for the year has increased by 32% and increase in miscellaneous expenses dented the
operating margin decreased by -61% otherwise the company is good at numbers.
Profit margin is indeed quite low, at around 1%, then its peers whereas the ROE too is not that
impressive but hoping that company’s consistent hard work will improve it.