Gujarat State Petronet Limited
Gujarat State Petronet Limited Fundamental Analysis
Gujarat State Petronet Limited (GSPL.NS) shows weak financial fundamentals with a PE ratio of 12.62, profit margin of 6.46%, and ROE of 7.80%. The company generates $162.9B in annual revenue with weak year-over-year growth of 0.44%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 55.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze GSPL.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakGSPL.NS struggles to generate sufficient returns from assets.
Valuation Score
ModerateGSPL.NS shows balanced valuation metrics.
Growth Score
WeakGSPL.NS faces weak or negative growth trends.
Financial Health Score
ExcellentGSPL.NS maintains a strong and stable balance sheet.
Profitability Score
WeakGSPL.NS struggles to sustain strong margins.
Key Financial Metrics
Is GSPL.NS Expensive or Cheap?
P/E Ratio
GSPL.NS trades at 12.62 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, GSPL.NS's PEG of 6.05 indicates potential overvaluation.
Price to Book
The market values Gujarat State Petronet Limited at 1.11 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.80 times EBITDA. This is generally considered low.
How Well Does GSPL.NS Make Money?
Net Profit Margin
For every $100 in sales, Gujarat State Petronet Limited keeps $6.46 as profit after all expenses.
Operating Margin
Core operations generate 17.33 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.80 in profit for every $100 of shareholder equity.
ROA
Gujarat State Petronet Limited generates $4.80 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Gujarat State Petronet Limited produces operating cash flow of $16.57B, showing steady but balanced cash generation.
Free Cash Flow
Gujarat State Petronet Limited produces free cash flow of $12.11B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $21.46 in free cash annually.
FCF Yield
GSPL.NS converts 9.12% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.62
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
6.05
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.11
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.81
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.01
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.50
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How GSPL.NS Stacks Against Its Sector Peers
| Metric | GSPL.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.62 | 19.26 | Better (Cheaper) |
| ROE | 7.80% | 935.00% | Weak |
| Net Margin | 6.46% | 8855.00% | Weak |
| Debt/Equity | 0.01 | 1.50 | Strong (Low Leverage) |
| Current Ratio | 1.50 | 1.50 | Neutral |
| ROA | 4.80% | -6203.00% (disorted) | Weak |
GSPL.NS outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Gujarat State Petronet Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
41.84%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
-35.76%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
-1.11%
Industry Style: Defensive, Dividend, Income
Declining