⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
GILLETTE - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 4.2
| Stock Code | GILLETTE | Market Cap | 25,940 Cr. | Current Price | 7,951 ₹ | High / Low | 11,505 ₹ |
| Stock P/E | 41.8 | Book Value | 357 ₹ | Dividend Yield | 1.51 % | ROCE | 56.1 % |
| ROE | 41.6 % | Face Value | 10.0 ₹ | DMA 50 | 8,291 ₹ | DMA 200 | 8,756 ₹ |
| Chg in FII Hold | -0.24 % | Chg in DII Hold | -0.26 % | PAT Qtr | 172 Cr. | PAT Prev Qtr | 144 Cr. |
| RSI | 38.0 | MACD | -134 | Volume | 27,372 | Avg Vol 1Wk | 22,784 |
| Low price | 7,551 ₹ | High price | 11,505 ₹ | PEG Ratio | 3.96 | Debt to equity | 0.00 |
| 52w Index | 10.1 % | Qtr Profit Var | 36.9 % | EPS | 190 ₹ | Industry PE | 43.1 |
📊 Core Financials
- Quarterly PAT rose from ₹144 Cr. to ₹172 Cr., showing strong growth momentum.
- ROCE at 56.1% and ROE at 41.6% → exceptional efficiency and profitability.
- Debt-to-equity ratio of 0.00 → completely debt-free.
- Cash flows supported by strong consumer demand and brand loyalty.
💹 Valuation Indicators
- P/E Ratio: 41.8 vs Industry PE of 43.1 → fairly valued compared to peers.
- P/B Ratio: ~22x (₹7951 / ₹357) → very high premium valuation.
- PEG Ratio: 3.96 → indicates expensive valuation relative to growth.
- Intrinsic Value: Current price above fair zone, reflecting brand premium.
🏢 Business Model & Competitive Advantage
- Consumer goods company with strong global brand recognition.
- Market leadership in grooming products ensures pricing power.
- High efficiency metrics reflect strong operational execution.
📈 Technical & Entry Zone
- Current Price: ₹7951, below 50 DMA (₹8291) and 200 DMA (₹8756).
- RSI: 38.0 → approaching oversold zone.
- MACD: -134 → bearish momentum.
- Entry Zone: Attractive accumulation between ₹7500–₹7700.
- Long-Term Holding: Strong fundamentals justify holding for 3–5 years despite premium valuations.
✅ Positive
- Exceptional ROCE and ROE.
- Debt-free balance sheet.
- Strong quarterly profit growth of 36.9%.
⚠️ Limitation
- High P/B ratio reflects expensive valuation.
- PEG ratio indicates growth is priced in.
📉 Company Negative News
- Decline in FII (-0.24%) and DII (-0.26%) holdings.
- Stock corrected sharply from 52-week high of ₹11,505.
📈 Company Positive News
- Quarterly PAT growth of 36.9% shows strong momentum.
- Dividend yield of 1.51% provides steady income.
🏭 Industry
- Consumer goods sector supported by strong demand and brand loyalty.
- Industry PE at 43.1 indicates investor confidence in FMCG space.
🔎 Conclusion
Gillette is a debt-free FMCG leader with exceptional efficiency and profitability.
Despite premium valuations (high P/B and PEG), its strong brand moat and consistent growth justify long-term holding.
Best accumulated around ₹7500–₹7700 for investors with a 3–5 year horizon.