⚠ 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.
GODREJIND - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.2
| Stock Code | GODREJIND | Market Cap | 27,975 Cr. | Current Price | 830 ₹ | High / Low | 1,392 ₹ |
| Book Value | 52.7 ₹ | Dividend Yield | 0.00 % | ROCE | 8.13 % | ROE | 9.04 % |
| Face Value | 1.00 ₹ | DMA 50 | 968 ₹ | DMA 200 | 1,046 ₹ | Chg in FII Hold | -0.26 % |
| Chg in DII Hold | 0.52 % | PAT Qtr | -12.8 Cr. | PAT Prev Qtr | 99.0 Cr. | RSI | 27.1 |
| MACD | -43.4 | Volume | 1,16,984 | Avg Vol 1Wk | 1,07,944 | Low price | 800 ₹ |
| High price | 1,392 ₹ | Debt to equity | 6.26 | 52w Index | 5.06 % | Qtr Profit Var | -6,520 % |
| EPS | -0.60 ₹ | Industry PE | 24.4 |
📊 Core Financials
- Quarterly PAT dropped sharply from ₹99 Cr. to -₹12.8 Cr., indicating severe earnings pressure.
- ROCE at 8.13% and ROE at 9.04% → weak efficiency compared to peers.
- Debt-to-equity ratio of 6.26 → highly leveraged balance sheet.
- Cash flows strained due to losses and high debt burden.
💹 Valuation Indicators
- P/E Ratio: Not meaningful due to negative EPS (-₹0.60).
- P/B Ratio: ~15.8x (₹830 / ₹52.7) → very high premium valuation.
- PEG Ratio: Not available due to losses.
- Intrinsic Value: Current price above fair value, reflecting speculative optimism.
🏢 Business Model & Competitive Advantage
- Diversified conglomerate with exposure to multiple sectors under Godrej group.
- Brand strength provides recognition, but financial performance is weak.
- High debt levels limit flexibility and competitiveness.
📈 Technical & Entry Zone
- Current Price: ₹830, below 50 DMA (₹968) and 200 DMA (₹1046).
- RSI: 27.1 → oversold zone, potential technical rebound.
- MACD: -43.4 → bearish momentum.
- Entry Zone: Attractive only for high-risk investors around ₹800–₹820.
- Long-Term Holding: Risky due to weak fundamentals and high leverage.
✅ Positive
- Strong brand under Godrej group.
- DII holdings increased by 0.52%, showing some domestic support.
⚠️ Limitation
- High debt-to-equity ratio (6.26).
- Negative EPS and losses in recent quarter.
- Weak ROE and ROCE compared to peers.
📉 Company Negative News
- Quarterly PAT turned negative (-₹12.8 Cr.).
- Stock corrected sharply from 52-week high of ₹1392.
- Decline in FII holdings (-0.26%).
📈 Company Positive News
- DII holdings increased by 0.52%, showing institutional confidence.
- Oversold technical indicators may trigger short-term rebound.
🏭 Industry
- Diversified conglomerate sector with exposure to FMCG, real estate, and chemicals.
- Industry PE at 24.4 indicates moderate investor confidence.
🔎 Conclusion
GODREJIND is a highly leveraged conglomerate facing earnings pressure and weak efficiency metrics.
Despite strong brand recognition, negative EPS and high debt make it risky for long-term investors.
Best accumulated only by high-risk investors around ₹800–₹820, with caution on sustainability of financial performance.