⚠ 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.
GODIGIT - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.7
| Stock Code | GODIGIT | Market Cap | 30,383 Cr. | Current Price | 328 ₹ | High / Low | 381 ₹ |
| Stock P/E | 59.5 | Book Value | 50.1 ₹ | Dividend Yield | 0.00 % | ROCE | 10.8 % |
| ROE | 11.9 % | Face Value | 10.0 ₹ | DMA 50 | 333 ₹ | DMA 200 | 338 ₹ |
| Chg in FII Hold | -0.22 % | Chg in DII Hold | 0.22 % | PAT Qtr | 140 Cr. | PAT Prev Qtr | 117 Cr. |
| RSI | 46.8 | MACD | 1.01 | Volume | 1,56,876 | Avg Vol 1Wk | 3,43,648 |
| Low price | 265 ₹ | High price | 381 ₹ | PEG Ratio | 1.18 | Debt to equity | 0.08 |
| 52w Index | 54.6 % | Qtr Profit Var | 18.2 % | EPS | 5.53 ₹ | Industry PE | 33.4 |
📊 Core Financials
- Quarterly PAT increased from ₹117 Cr. to ₹140 Cr., showing steady growth.
- ROCE at 10.8% and ROE at 11.9% → moderate efficiency.
- Debt-to-equity ratio of 0.08 → low leverage.
- Cash flows supported by insurance premium growth and expanding customer base.
💹 Valuation Indicators
- P/E Ratio: 59.5 vs Industry PE of 33.4 → trading at a premium.
- P/B Ratio: ~6.5x (₹328 / ₹50.1) → high valuation relative to book value.
- PEG Ratio: 1.18 → fair valuation considering growth prospects.
- Intrinsic Value: Current price above fair zone, reflecting optimism in digital insurance growth.
🏢 Business Model & Competitive Advantage
- Digital-first insurance company leveraging technology for customer acquisition.
- Strong brand positioning in online insurance space.
- Focus on efficiency and customer-centric products provides competitive edge.
📈 Technical & Entry Zone
- Current Price: ₹328, near 50 DMA (₹333) and 200 DMA (₹338).
- RSI: 46.8 → neutral zone.
- MACD: 1.01 → mild bullish momentum.
- Entry Zone: Attractive accumulation between ₹300–₹315.
- Long-Term Holding: Suitable for investors with 3–5 year horizon, given digital insurance growth potential.
✅ Positive
- Low debt levels.
- Steady quarterly profit growth of 18.2%.
- DII holdings increased by 0.22%, showing institutional support.
⚠️ Limitation
- High P/E and P/B ratios reflect expensive valuation.
- Moderate ROE and ROCE compared to industry leaders.
📉 Company Negative News
- Decline in FII holdings (-0.22%).
- Stock corrected from 52-week high of ₹381.
📈 Company Positive News
- Quarterly PAT growth of 18.2% shows strong momentum.
- Digital-first model gaining traction in insurance sector.
🏭 Industry
- Insurance sector supported by rising demand and regulatory backing.
- Industry PE at 33.4 indicates investor confidence in the sector.
🔎 Conclusion
GODIGIT is a digital-first insurance company with steady growth and low debt, but currently trading at premium valuations.
While efficiency metrics are moderate, its strong brand positioning and sector tailwinds justify long-term holding.
Best accumulated around ₹300–₹315 for investors with a 3–5 year horizon.