PGEL - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 05 Nov 25, 7:43 am

Fundamental Rating: 3.9

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📊 Fundamental Analysis Report

• Stock Code: PGEL
• Market Cap: ₹16,239 Cr
• Current Price: ₹571
• 52W High/Low: ₹1,055 / ₹465
• EPS: ₹3.52
• Stock P/E: 165 ❗ (Extremely Overvalued)
• Book Value: ₹89.4 | P/B Ratio: ~6.4 ❗
• ROE: 4.87% | ROCE: 6.83% 🟡
• PEG Ratio: 4.46 ❗ (Overvalued vs Growth)
• Debt to Equity: 0.02 🟢 (Very Low Debt)
• Dividend Yield: 0.04% 🚫
• Quarterly PAT: ₹31.8 Cr (↑73.2%)
• RSI: 52.3 | MACD: 4.24 📈

✅ Positive

• Low debt (D/E: 0.02) offers financial flexibility and stability.
• Strong quarterly profit growth (+73.2%) signals operational momentum.
• MACD and RSI suggest bullish technical setup.
• Volume surge indicates rising investor interest.

⚠️ Limitation

• Extremely high P/E (165) and PEG (4.46) suggest significant overvaluation.
• ROE and ROCE are modest, indicating limited capital efficiency.
• Dividend yield is negligible, offering little income potential.
• Price below DMA 200 signals medium-term weakness.

📉 Company Negative News

• FII holding dropped by 1.57%, indicating reduced foreign investor confidence.

📈 Company Positive News

• PGEL subsidiary secured 50-acre land in Andhra Pradesh for ₹1,000 Cr expansion project.
• Works with over 60 brands including Blue Star, Godrej, and Whirlpool.
• Focus on import substitution and domestic manufacturing aligns with government incentives.

🏦 Industry

• PGEL operates in the electronic components and consumer electronics manufacturing sector.
• Industry P/E of 26.6 is far below PGEL’s, suggesting valuation mismatch.
• Sector benefits from rising demand for locally manufactured appliances and components.

🧭 Conclusion

• Entry Zone: ₹500–₹530 (closer to support and below DMA 50)
• Long-Term View: PGEL shows strong growth potential and expansion plans, but current valuation is stretched. Accumulate on dips with a 3–5 year horizon.

Sources

Stock Analysis

Stock Analysis

shareprice-target.com

SharePrice-Target.com