ScoreWhy is Grasim Industries Ltd ?
1
Healthy long term growth as Net Sales has grown by an annual rate of 18.25% and Operating profit at 15.63%
2
Positive results in Dec 25
- PBT LESS OI(Q) At Rs 2,985.38 cr has Grown at 54.19%
- PAT(Q) At Rs 1,182.93 cr has Grown at 44.2%
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 8,106.75 cr
3
With ROCE of 8.9, it has a Attractive valuation with a 1.3 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 7.16%, its profits have risen by 15.7% ; the PEG ratio of the company is 3.1
4
High Institutional Holdings at 33.78%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Consistent Returns over the last 3 years
- Along with generating 7.16% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
6
With its market cap of Rs 1,77,412 cr, it is the second biggest company in the sector (behind UltraTech Cem.)and constitutes 19.75% of the entire sector
- Its annual Sales of Rs 168,596.89 are 38.10% of the industry
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Grasim Inds should be less than 10%
- Overall Portfolio exposure to Cement & Cement Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Cement & Cement Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Grasim Inds for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Grasim Inds
6.68%
0.32
22.18%
Sensex
-2.45%
-0.19
12.70%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
18.25%
EBIT Growth (5y)
15.63%
EBIT to Interest (avg)
2.51
Debt to EBITDA (avg)
4.92
Net Debt to Equity (avg)
1.81
Sales to Capital Employed (avg)
0.59
Tax Ratio
29.27%
Dividend Payout Ratio
18.37%
Pledged Shares
0
Institutional Holding
33.78%
ROCE (avg)
10.73%
ROE (avg)
7.11%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
38
Industry P/E
34
Price to Book Value
1.78
EV to EBIT
13.41
EV to EBITDA
10.46
EV to Capital Employed
1.28
EV to Sales
2.12
PEG Ratio
3.13
Dividend Yield
0.38%
ROCE (Latest)
8.90%
ROE (Latest)
4.38%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend16What is working for the Company
PBT LESS OI(Q)
At Rs 2,985.38 cr has Grown at 54.19%
PAT(Q)
At Rs 1,182.93 cr has Grown at 44.2%
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 8,106.75 cr
NET SALES(Q)
Highest at Rs 44,311.97 cr
PBDIT(Q)
Highest at Rs 8,926.23 cr.
-3What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 2.06 times
Loading Valuation Snapshot...
Here's what is working for Grasim Inds
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 2,985.38 cr has Grown at 54.19%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 1,182.93 cr has Grown at 44.2%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 44,311.97 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 44,311.97 cr has Grown at 25.25%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 8,926.23 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 8,106.75 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Grasim Inds
Debt-Equity Ratio - Half Yearly
Highest at 2.06 times and Grown
each half year in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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