⚠ 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.
GVT&D - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 4.2
| Stock Code | GVT&D | Market Cap | 97,715 Cr. | Current Price | 3,815 ₹ | High / Low | 3,999 ₹ |
| Stock P/E | 87.4 | Book Value | 81.5 ₹ | Dividend Yield | 0.13 % | ROCE | 54.7 % |
| ROE | 40.4 % | Face Value | 2.00 ₹ | DMA 50 | 3,486 ₹ | DMA 200 | 2,920 ₹ |
| Chg in FII Hold | 2.31 % | Chg in DII Hold | -1.93 % | PAT Qtr | 340 Cr. | PAT Prev Qtr | 299 Cr. |
| RSI | 57.3 | MACD | 70.8 | Volume | 4,57,834 | Avg Vol 1Wk | 5,47,364 |
| Low price | 1,253 ₹ | High price | 3,999 ₹ | PEG Ratio | 1.08 | Debt to equity | 0.01 |
| 52w Index | 93.3 % | Qtr Profit Var | 139 % | EPS | 41.7 ₹ | Industry PE | 33.0 |
📊 Core Financials
- Revenue growth: PAT increased to 340 Cr. from 299 Cr., showing strong quarterly growth
- Profit margins: EPS at 41.7 ₹, ROE 40.4%, ROCE 54.7% — excellent efficiency
- Debt ratios: Debt-to-equity at 0.01, nearly debt-free
- Cash flows: Strong profitability supports robust cash generation
- Return metrics: ROE and ROCE far above industry averages
💹 Valuation Indicators
- P/E Ratio: 87.4, significantly above industry PE of 33.0, reflects overvaluation
- P/B Ratio: ~46.8 (3,815 ₹ / 81.5 ₹), very high
- PEG Ratio: 1.08, suggests valuation stretched but supported by growth
- Intrinsic Value: Current price appears overvalued compared to peers
🏢 Business Model & Competitive Advantage
- Operates in power transmission and distribution sector
- Competitive advantage through strong execution, infrastructure expertise, and government-backed projects
- Industry demand supported by energy transition and infrastructure expansion
📈 Entry Zone & Long-Term Guidance
- Entry Zone: Attractive near 3,500–3,700 ₹ range
- Long-Term Holding: Recommended; strong fundamentals and efficiency support sustained growth, though valuation is stretched
✅ Positive
- High ROE (40.4%) and ROCE (54.7%) indicate excellent capital efficiency
- PAT growth of 13.7% quarter-on-quarter
- FII holding increased (+2.31%)
⚠️ Limitation
- P/E ratio (87.4) far above industry average
- P/B ratio (~46.8) is extremely high
- DII holding decreased (-1.93%)
📰 Company Negative News
- Stock corrected from 52-week high of 3,999 ₹
- Valuation metrics indicate overvaluation compared to peers
🌟 Company Positive News
- PAT increased to 340 Cr. from 299 Cr.
- FII holding increased (+2.31%)
- MACD at 70.8 indicates bullish momentum
🏭 Industry
- Industry PE at 33.0, GVT&D trades at a steep premium
- Sector benefits from infrastructure expansion, energy transition, and government-backed projects
🔎 Conclusion
- GVT&D shows excellent fundamentals with strong profitability, high returns, and nearly debt-free status
- Valuation is stretched compared to industry peers, but growth momentum supports premium pricing
- Recommended for long-term holding, with entry near 3,500–3,700 ₹ offering better risk-reward potential