Jerash Holdings (US), Inc. (JRSH) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Jerash Holdings (US), Inc. (JRSH) Consumer Business Overview

Jerash Holdings (US), Inc. specializes in manufacturing and exporting customized and readymade apparel, including sportswear and outerwear, to prominent retailers in the United States, Jordan, and other international markets. With a focus on knitted fabrics and personal protective equipment, the company operates within the consumer cyclical sector.

What Is the Investment Thesis for JRSH?

Jerash Holdings (US), Inc. presents a mixed investment thesis. The company's established manufacturing capabilities and relationships with brand-name retailers provide a stable revenue base. However, a low profit margin of 1.2% indicates potential challenges in cost management and pricing power. The dividend yield of 5.95% may attract income-seeking investors. The company's P/E ratio of 13.64 suggests that the stock is trading at a premium compared to its earnings. Future growth will depend on Jerash Holdings' ability to expand its customer base, improve operational efficiency, and adapt to changing consumer preferences in the apparel market. Investors should closely monitor the company's financial performance and strategic initiatives to assess its long-term potential.

Based on FMP financials and quantitative analysis

JRSH Key Highlights

Market capitalization of $66.9M indicates a small-cap company.

• P/E ratio of 13.64 suggests the stock is trading at a premium relative to its earnings.
• Profit margin of 1.2% reflects potential challenges in cost management and pricing power.
• Gross margin of 16.1% indicates the percentage of revenue exceeding the cost of goods sold.
• Dividend yield of 5.95% offers an attractive income stream for investors.

Who Are JRSH's Competitors?

JRSH is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are JRSH's Key Strengths?

Established manufacturing capabilities.

• Relationships with brand-name retailers.
• Diverse product offerings.
• International presence.

What Are JRSH's Weaknesses?

Low profit margin.

• Reliance on a limited number of customers.
• Exposure to fluctuations in raw material costs.
• Limited brand recognition.

What Could Drive JRSH Stock Higher?

Potential for increased sales through existing retailer partnerships.

• Expansion of product offerings to meet evolving consumer demands.
• Potential for improved profitability through cost optimization initiatives.
• Growth in demand for personal protective equipment (PPE).

What Are the Key Risks for JRSH?

Fluctuations in raw material costs impacting profitability.

• Intense competition in the apparel manufacturing industry.
• Changes in consumer preferences affecting demand for specific products.
• Disruptions in the global supply chain impacting production and delivery.
• Dependence on key customers posing concentration risk.

What Are the Growth Opportunities for JRSH?

• Expansion into new geographic markets represents a significant growth opportunity for Jerash Holdings. By targeting emerging markets with growing consumer demand for apparel, the company can diversify its revenue streams and reduce its reliance on existing markets. This expansion could involve establishing new manufacturing facilities or partnering with local distributors. The global apparel market is projected to reach $1.7 trillion by 2028, providing ample opportunities for Jerash Holdings to capture additional market share. Timeline: Ongoing.
• Diversification of product offerings beyond sportswear and outerwear can drive revenue growth for Jerash Holdings. By expanding into adjacent categories such as casual wear, formal wear, or accessories, the company can cater to a wider range of consumer needs and preferences. This diversification could involve developing new product lines or acquiring complementary businesses. The market for casual wear is estimated at $400 billion globally, presenting a substantial opportunity for Jerash Holdings. Timeline: Ongoing.
• Enhancement of e-commerce capabilities can enable Jerash Holdings to reach a broader customer base and increase online sales. By investing in its online platform, improving the user experience, and implementing effective digital marketing strategies, the company can capitalize on the growing trend of online shopping. The global e-commerce market for apparel is projected to reach $765 billion by 2027, offering significant growth potential for Jerash Holdings. Timeline: Ongoing.
• Strategic partnerships with leading retailers can provide Jerash Holdings with access to new distribution channels and increased sales volume. By collaborating with major retail chains, the company can leverage their established customer base and brand recognition to expand its market reach. These partnerships could involve exclusive supply agreements or joint marketing initiatives. The retail apparel market is highly competitive, and strategic alliances can provide a significant competitive advantage. Timeline: Ongoing.
• Investment in sustainable manufacturing practices can enhance Jerash Holdings' brand image and attract environmentally conscious consumers. By adopting eco-friendly production processes, using sustainable materials, and reducing waste, the company can differentiate itself from competitors and appeal to a growing segment of the market. The demand for sustainable apparel is increasing, with consumers seeking products that are ethically sourced and environmentally responsible. Timeline: Ongoing.

What Are JRSH's Competitive Advantages?

• Established relationships with brand-name retailers.
• Manufacturing expertise in customized apparel.
• International presence in key markets.
• Ability to produce a wide range of apparel products.

What Does JRSH Do?

Jerash Holdings (US), Inc., established in 2016 and headquartered in Fairfield, New Jersey, operates as a manufacturer and exporter of customized and readymade apparel. Through its subsidiaries, the company produces a diverse range of products, including t-shirts, jackets, pants, shorts, crew neck shirts, polo shirts, and tank tops, primarily crafted from knitted fabrics. Additionally, Jerash Holdings manufactures personal protective equipment (PPE). The company serves brand-name retailers in the United States, Jordan, and other international markets. Jerash Holdings has strategically positioned itself as a key supplier in the apparel manufacturing sector, catering to the demands of major retail brands. The company's business model focuses on providing customized solutions and efficient production capabilities to meet the specific needs of its clients. With a workforce of 5600 employees, Jerash Holdings manages its operations to ensure quality and timely delivery of its products. The company's commitment to innovation and customer satisfaction has enabled it to establish a strong presence in the competitive apparel market.

What Products and Services Does JRSH Offer?

• Manufactures customized sport and outerwear.
• Produces readymade sport and outerwear.
• Offers t-shirts made from knitted fabric.
• Provides jackets and pullovers.
• Manufactures pants and shorts.
• Produces crew neck and polo shirts.
• Offers tank tops made from knitted fabric.
• Manufactures personal protective equipment (PPE).

How Does JRSH Make Money?

• Manufactures apparel products based on customer specifications.
• Exports apparel products to brand-name retailers.
• Generates revenue through sales of customized and readymade clothing.
• Focuses on serving retailers in the United States, Jordan, and internationally.

What Industry Does JRSH Operate In?

Jerash Holdings operates within the apparel manufacturing industry, a segment of the broader consumer cyclical sector. The industry is characterized by intense competition, evolving consumer preferences, and global supply chain dynamics. Companies in this sector must adapt to changing fashion trends, manage production costs, and maintain strong relationships with retailers. The apparel market is influenced by factors such as economic conditions, consumer spending habits, and technological advancements in manufacturing processes. Jerash Holdings competes with other apparel manufacturers in providing customized and readymade clothing to brand-name retailers.

Who Are JRSH's Key Customers?

• Brand-name retailers in the United States.
• Brand-name retailers in Jordan.
• International brand-name retailers.

Jerash Holdings (US), Inc. has beaten Wall Street's EPS estimate in 5 of its last 8 reported quarters — more hits than misses. Reported results have landed about 409.1% above estimates on average.

Quarterly Financial Performance: Jerash Holdings (US), Inc.

Revenue for Jerash Holdings (US), Inc. came in at $50.2M during Q1 FY2027, a 17.1% improvement versus the preceding quarter. The company recorded net income of $1.7M, with diluted EPS of $0.13. Revenue has increased across the last three reported quarters, suggesting sustained momentum for this micro-cap Consumer Cyclical company. Across the four most recent quarters, JRSH averaged $0.09 in diluted EPS.

JRSH Valuation & Market Position

With a $66.9M market cap, Jerash Holdings (US), Inc. sits in the micro-cap segment of the market. Analyst price targets span from $6.00 to $6.00, with a consensus of $6.00. At the current price of $5.27, that implies approximately 14% upside potential. Relative to its peer group, JRSH's quantitative score of 85/100 is above the peer average of 51/100.

Return on equity for Jerash Holdings (US), Inc. stands at 5.6%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 3.9%, showing how much profit it generates from its asset base. JRSH trades at a trailing price-to-earnings ratio of 13.64, below the Consumer Cyclical sector average of ~32.70x. Its free cash flow yield is -4.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 2.70 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 6.6%, the inverse of the P/E and a quick read on earnings relative to price.

Jerash Holdings (US), Inc.'s Piotroski F-Score is 7/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 24.00 places it in the safe zone, indicating low near-term bankruptcy risk.

Company Profile

Jerash Holdings (US), Inc. operates in the Apparel - Manufacturers industry within the Consumer Cyclical sector. It is headquartered in Fairfield, US. The company is led by CEO Lin Hung Choi. JRSH has traded publicly since 2018.

JRSH Financials

JRSH Latest News

JRSH Analyst Consensus

JRSH MoonshotScore

What Investors Ask About Jerash Holdings (US), Inc. (JRSH) — Consumer Cyclical

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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