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
The company has declared Positive results for the last 3 consecutive quarters
- OPERATING PROFIT TO INTEREST(Q) Highest at 2.71 times
- NET SALES(Q) Highest at Rs 51,101.11 cr
- PBDIT(Q) Highest at Rs 10,876.06 cr.
3
With ROCE of 9.3, it has a Attractive valuation with a 1.4 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 16.53%, its profits have risen by 34.5% ; the PEG ratio of the company is 1.2
4
Rising Promoter Confidence
- Promoters have increased their stake in the company by 0.52% over the previous quarter and currently hold 43.74% of the company
- Promoters increasing their stake is a sign of high confidence in the future of the business
5
Consistent Returns over the last 3 years
- Along with generating 16.53% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you buy?
- 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, High Return
Absolute
Risk Adjusted
Volatility
Grasim Inds
16.54%
0.78
21.23%
Sensex
-7.86%
-0.61
12.97%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
18.25%
EBIT Growth (5y)
15.63%
EBIT to Interest (avg)
2.45
Debt to EBITDA (avg)
5.13
Net Debt to Equity (avg)
1.81
Sales to Capital Employed (avg)
0.59
Tax Ratio
28.83%
Dividend Payout Ratio
18.37%
Pledged Shares
0
Institutional Holding
33.55%
ROCE (avg)
10.45%
ROE (avg)
7.11%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
41
Industry P/E
34
Price to Book Value
2.07
EV to EBIT
14.65
EV to EBITDA
11.53
EV to Capital Employed
1.36
EV to Sales
2.39
PEG Ratio
1.20
Dividend Yield
0.32%
ROCE (Latest)
9.29%
ROE (Latest)
5.03%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Bullish
Bullish
OBV
No Trend
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend15What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 2.71 times
NET SALES(Q)
Highest at Rs 51,101.11 cr
PBDIT(Q)
Highest at Rs 10,876.06 cr.
PBT LESS OI(Q)
Highest at Rs 4,935.52 cr.
PAT(Q)
Highest at Rs 2,021.09 cr.
EPS(Q)
Highest at Rs 28.77
-4What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 2.20 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 15.99 times
Loading Valuation Snapshot...
Here's what is working for Grasim Inds
Operating Profit to Interest - Quarterly
Highest at 2.71 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 51,101.11 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 10,876.06 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 4,935.52 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 4,935.52 cr has Grown at 34.12%
Year on Year (YoY)MOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 2,021.09 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 2,021.09 cr has Grown at 30.7%
Year on Year (YoY)MOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 28.77
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Grasim Inds
Debt-Equity Ratio - Half Yearly
Highest at 2.20 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
Debtors Turnover Ratio- Half Yearly
Lowest at 15.99 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
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