AWL - Fundamental Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Fundamental Rating: 3.5

Here’s a detailed breakdown of Adani Wilmar Ltd. (AWL) to help you assess its long-term investment merit

🧮 Core Financial Overview

Profitability Metrics

ROE: 13.9%, ROCE: 20.9% — fairly solid, indicating efficient capital and operational use.

EPS ₹8.84 vs. CMP ₹265 — gives a moderate earnings yield.

Quarterly PAT grew from ₹190 Cr to ₹236 Cr, although Qtr Profit Var of -24.5% suggests past volatility or base-effect impact.

Debt Position

Debt-to-equity: 0.21 — comfortably low, indicating strong financial discipline and low risk of over-leverage.

Dividend Profile

Dividend Yield: 0.00% — no income opportunity; stock is purely a growth play.

💸 Valuation Insight

Indicator Value Interpretation

P/E Ratio 30.0 Reasonable in line with industry PE: 30.2

P/B Ratio ~3.66 Slight premium vs. Book Value ₹72.5

PEG Ratio 1.97 Some growth priced in; could limit upside

Intrinsic Value ❌ Likely below CMP Unless growth accelerates, valuation seems full

🌾 Business Model & Competitive Edge

AWL operates in FMCG and edible oils — a high-volume, low-margin segment with price sensitivity.

Strong distribution network and Adani brand association give it retail and supply chain strength.

Slight uptick in FII holdings (+0.30%) shows foreign interest; DII decline (-0.28%) indicates mild domestic caution.

📉 Technical & Sentiment Indicators

RSI: 46.3 — neutral zone; no immediate trade signal.

MACD: 2.26 — positive crossover suggests mild bullishness.

Current Price ₹265

Near DMA 50 ₹267

Below DMA 200 ₹284 — bearish crossover trend

Trading near 52W low ₹232 — offers value relative to 52W high ₹404.

📍 Suggested Entry Zone & Holding View

Entry Zone: ₹250–₹260 — value zone near recent support levels.

Long-term investors may accumulate slowly if optimistic about FMCG/retail growth and AWL’s execution.

Keep tabs on input cost volatility and rural demand cycles — they heavily impact margins.

Would you like a full sector map of FMCG stocks or a comparison with peers like Marico, Emami, or Ruchi Soya? I can help build a consumer staples strategy that balances growth with stability. 🛒📦

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