AWL - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.6
| Stock Code | AWL | Market Cap | 25,370 Cr. | Current Price | 195 ₹ | High / Low | 286 ₹ |
| Stock P/E | 25.4 | Book Value | 79.6 ₹ | Dividend Yield | 0.50 % | ROCE | 17.8 % |
| ROE | 10.2 % | Face Value | 1.00 ₹ | DMA 50 | 197 ₹ | DMA 200 | 224 ₹ |
| Chg in FII Hold | 0.71 % | Chg in DII Hold | -0.91 % | PAT Qtr | 268 Cr. | PAT Prev Qtr | 278 Cr. |
| RSI | 50.8 | MACD | 2.21 | Volume | 16,39,599 | Avg Vol 1Wk | 15,35,651 |
| Low price | 171 ₹ | High price | 286 ₹ | PEG Ratio | 1.41 | Debt to equity | 0.09 |
| 52w Index | 20.9 % | Qtr Profit Var | 70.7 % | EPS | 7.55 ₹ | Industry PE | 20.5 |
📊 Financials: Adani Wilmar (AWL) shows moderate fundamentals with ROE at 10.2% and ROCE at 17.8%, reflecting average efficiency. Debt-to-equity is low at 0.09, indicating a strong balance sheet. Quarterly PAT stood at ₹268 Cr., slightly lower than the previous ₹278 Cr., showing margin pressure. EPS is ₹7.55, highlighting modest earnings power.
💰 Valuation: The stock trades at a P/E of 25.4 compared to the industry average of 20.5, suggesting a slight premium. P/B ratio is ~2.45 (Price ₹195 / Book Value ₹79.6). PEG ratio of 1.41 indicates fair growth-adjusted valuation. Intrinsic value appears close to current price, making entry moderately attractive.
🏢 Business Model: AWL operates in edible oils, packaged foods, and FMCG, benefiting from strong brand presence and distribution reach. Its competitive advantage lies in scale, brand recognition, and diversified product portfolio. Overall health is stable, though profitability growth remains modest.
📈 Entry Zone: A good entry zone would be near ₹175–185, closer to its 52-week low. Long-term holding is favorable given FMCG demand and brand strength, but investors should be cautious about margin pressures.
Positive
- 📌 Low debt-to-equity ratio (0.09)
- 📌 Reasonable P/B ratio (~2.45)
- 📌 PEG ratio of 1.41 indicates fair valuation
- 📌 Increase in FII holdings (+0.71%)
Limitation
- ⚠️ ROE (10.2%) and ROCE (17.8%) are modest
- ⚠️ P/E ratio (25.4) slightly above industry average (20.5)
- ⚠️ Dividend yield of 0.50% is modest
- ⚠️ Quarterly PAT declined marginally
Company Negative News
- 📉 Decline in DII holdings (-0.91%)
- 📉 Marginal drop in quarterly PAT
Company Positive News
- 📈 Increase in FII holdings (+0.71%)
- 📈 Strong brand presence in FMCG and edible oils
Industry
- 🏦 Industry PE at 20.5, slightly lower than AWL’s valuation
- 📊 FMCG sector benefits from rising packaged food demand in India
Conclusion
🔎 AWL is moderately valued with strong brand presence and low debt. Entry is advisable near ₹175–185. Long-term holding is favorable given FMCG demand, but investors should monitor profitability growth and valuation premium.
Would you like me to also prepare a side-by-side comparison of Adani Wilmar vs FMCG peers to highlight its relative valuation positioning?