Godrej Consumer Products Ltd

Godrej Consumer Products Ltd

Godrej Consumer Products Ltd Analysis By

Retention Ratio The portion of earnings a company keeps for itself instead of paying out dividends.

Avg Retention Ratio (3 Yrs) :

Operating Profit Annual The profit a company makes from its regular business operations before interest and taxes.

Avg Operating Profit Annual (3 Yrs) :

Revenue Annual The total income a company earns from selling its products or services.

Avg Revenue Annual (3 Yrs) :

Net Profit Annual The final profit a company makes after deducting all expenses from its total revenue.

Avg Net Profit Annual (3 Yrs) :

PE Ratio This ratio showing how much investors are paying for its assets.

Avg PE Ratio (3 Yrs) :

Current PE Ratio : -326.93

PB Ratio This ratio showing how much investors are paying for its assets.

Avg PB Ratio (3 Yrs) :

Current PB Ratio : 9.6

PS Ratio This ratio showing how much investors are paying for its assets.

Avg PS Ratio (3 Yrs) :

Current PS Ratio :

EV/sales This ratio showing how much investors are paying for its assets.

Avg EV/sales (3 Yrs) :

Current EV/Sales : 9.27

EV/EBITDA This ratio showing how much investors are paying for its assets.

Avg EV/EBITDA (3 Yrs) :

ROCE A measure of how efficiently a company generates profits from the capital invested in it.

Avg ROCE (3 Yrs) :

ROA The ratio of a company's net income to its total assets, indicating its efficiency in generating profit from its assets.

Avg ROA (3 Yrs) :

Operating Profit Margin The percentage of revenue that remains as operating profit after deducting operating expenses, indicating a company's operational efficiency.

Avg Operating Profit Margin (3 Yrs) :

Current Ratio A measure of a company's ability to pay its short-term liabilities with its short-term assets.

Avg Current Ratio (3 Yrs) :

Quick Ratio An indicator of a company's ability to cover its immediate liabilities with its most liquid assets.

Avg Quick Ratio (3 Yrs) :

Debt To Equity Ratio This Ratio measure of a company's leverage, showing the proportion of debt financing relative to equity financing.

Avg Debt To Equity Ratio (3 Yrs) :

Book Value Per Share This indicating the theoretical worth of each share if the company were to be liquidated.

Avg Book Value Per Share (3 Yrs) :

Current Book Value Per Share : 123.18

ROE Show how effectively a company uses shareholders' equity to generate profit.

Avg ROE (3 Yrs) :

Asset Turnover Ratio A measure of how efficiently a company generates sales revenue from its assets.o

Avg Asset Turnover Ratio (3 Yrs) :

Net Profit Margin The percentage of revenue that remains as net profit after deducting all expenses.

Avg Net Profit Margin (3 Yrs) :

EPS The portion of a company's profit allocated to each outstanding share. It provides a clear measure of a company's profitability on a per-share basis.

Avg EPS (3 Yrs) :

Current EPS : -5.48

Frequently Asked Questions

As of now, Godrej Consumer Products Ltd’s P/E ratio is -326.93, which is lower than the generally recommended range of 20-25. While this might indicate the stock is undervalued, it’s more preferable to compare Godrej Consumer Products Ltd’s P/E ratio with the same industry or sector company.

Currently, the Godrej Consumer Products Ltd’s dividend yield is 1.69% which is lower than the good dividend yield as considered as 3-4%. In general, a company with a low dividend yield can be suggested as a growth company that reinvests its profit to grow faster in the industry.

The book value per share for Godrej Consumer Products Ltd is 123.2. This tells you how much each share is worth based on the company's assets and liabilities.

In the last 3 years, Godrej Consumer Products Ltd has grown its revenue by 1.79% each year. A study from Harvard Business Review says that a healthy growth rate is between 10-25%. This means that while Godrej Consumer Products Ltd is growing, it is lower than average growth level.

Currently, Godrej Consumer Products Ltd’s debt-to-equity ratio is 0.25, which is close to the average of 2. This suggests the company has a balanced level of debt, indicating moderate risk and stability for investors.

Here is the overview of the Godrej Consumer Products Ltd's key financial ratios:

ROCE: 23.02%
ROA: -3.03%
Profit Margin: -3.97%
Debt To Equity: 0.25

To learn the exact number and compare more deeply, check our competitor section.

Godrej Consumer Products Ltd’s current ratio is 1.0, which is lower than the recommended range of 1.5 and 2. This suggests the company has fewer assets to cover short-term debts, which could be a risk, but it might also mean they are using their resources wisely.

Godrej Consumer Products Ltd’s quick ratio is 0.8, which is lower than the usual 1. This suggests the company has fewer liquid assets available to cover short-term debts, which could be risky if they need cash quickly.

Introduction to Stock Fundamentals

You have often heard the term "stock fundamentals" more than once when making investment decisions or performing stock analysis. But do you know what it means? And why should you care? Let's know it in simple terms.

Stock fundamentals are like a child's academic report card. In which you can know how well the company's business is doing and make predictions about its future. Think of it like before you buy a product, you check reviews, right? Similarly, you can check the fundamentals of the company before investing in the shares. These fundamentals help you understand whether the company is worth investing your hard-earned money and whether it has the potential to grow over time.

At FinEstimator, we believe that understanding a company’s fundamentals is key to long-term investing success. You don’t want to blindly throw your money at the stock market; instead, you want to invest in solid companies with strong foundations. Let’s dive into why analyzing these fundamentals is so crucial.

Understanding Financial Performance

Now, let’s talk about a company’s financial performance. Just like you need to check your bank balance to understand your financial health, a company’s financial performance shows us how well it’s managing its money. This involves looking at its income, profits, and how effectively it’s using its resources.

Here’s where things get interesting: companies that consistently perform well financially usually have strong management and efficient operations. In simple words, they know how to make money and keep growing. This is exactly what you want when picking a stock to invest in.

When you look at a company’s revenue growth, profits, and expenses, you’re essentially seeing if the business is growing steadily. Is it making more money every year? Is it controlling its costs? These are signs of a well-run company that could reward you with long-term gains. Our tools at FinEstimator help you break down these numbers so you can clearly see the bigger picture. You don’t have to be a finance expert to get it; we simplify everything for you.

Analyzing Stock Strength and Stability

Alright, let’s get a bit more technical—but don’t worry, we’ll keep it easy to understand! To truly know if a company is worth investing in, you need to look at certain financial ratios and metrics. These are like the vital signs of a company, showing you whether it’s strong and stable enough to survive tough times or grow even bigger.

The metrics like PE ratio, EPS, ROE, etc give you a snapshot of a company’s financial health and whether it’s a solid investment. At FinEstimator, we break these down for you and provide easy-to-understand explanations, so you can make sense of all the numbers.

The Importance of Stability

When you invest, you’re essentially putting your money into a company and hoping it grows over time. But what happens when the economy takes a hit or the company faces unexpected challenges? This is where financial stability comes in. A financially stable company is like a well-built house—it can withstand the storm.

Look for companies that have a good cash reserve, manageable debt levels, and a track record of steady earnings. These are the companies that can weather economic downturns and still keep their heads above water. Financial stability reduces the risks of your investment going sour.

Use FinEstimator For Fundamental Analysis

By now, you’ve got a good understanding of why analyzing stock fundamentals is so important. It’s not just about picking a company that looks good on the surface; it’s about digging deeper to understand its financial health and long-term potential.

At FinEstimator, we’re here to make your investment journey easier. This section is specially designed to help you analyze a company’s fundamentals quickly and efficiently. Whether you’re a beginner or an experienced investor, you can use it to find the best company and reduce the risks of making a bad investment.

Ready to dive into stock analysis? Check out FinEstimator and start making smarter investment decisions today!