Greaves Cotton Stock Price Analysis and Quick Research Report. Is Greaves Cotton an attractive stock to invest in?
Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.
Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements.
Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Greaves Cotton.
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PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Greaves Cotton has a PE ratio of 24.2951138444841 which is high and comparatively overvalued.
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Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Greaves Cotton has ROA of 10.0864% which is a bad sign for future performance. (Higher values are always desirable.)
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Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Greaves Cotton has a Current ratio of 1.9828.
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Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Greaves Cotton has a ROE of 13.5088%. (Higher is better)
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Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Greaves Cotton has a Debt to Equity ratio of 0 which means that the company has low proportion of debt in its capital.
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Sales growth: Greaves Cotton has reported revenue growth of 11.7751% which is poor in relation to its growth and performance.
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Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Greaves Cotton for the current financial year is 13.0798482912647%.
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Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Greaves Cotton is Rs 2 and the yield is 0.9315%.
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Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Greaves Cotton is Rs 8.8454. The higher the EPS, the better it is for investors.
One can find all the Financial Ratios of Greaves Cotton in Ticker for free. Also, one can get the intrinsic value of Greaves Cotton by using Valuation Calculators, which are available with a Finology ONE subscription.
Greaves Cotton FAQs
Q1. What is Greaves Cotton share price today?
Ans: The current share price of Greaves Cotton is Rs 214.9.
Q2. What is the market capitalisation of Greaves Cotton?
Ans: Greaves Cotton has a market capitalisation of Rs 5003.83013165 Cr., calculated based on its latest share price.
Q3. What are the P/E and P/B ratios of Greaves Cotton?
Ans: The PE ratio of Greaves Cotton is 24.2951138444841 and the P/B ratio of Greaves Cotton is 3.32617743430838, showing how the stock is valued against its earnings and book value.
Q4. What is the 52-week high and low of Greaves Cotton share?
Ans: The 52-week high share price of Greaves Cotton is Rs 319.5, and the 52-week low share price of Greaves Cotton is Rs 154.5.
Q5. Does Greaves Cotton pay dividends?
Ans: Currently, Greaves Cotton pays dividends. Dividend yield of Greaves Cotton is around 0.9315%.
Q6. What are the face value and book value of Greaves Cotton shares?
Ans: The face value of Greaves Cotton shares is Rs 2, while the book value per share of Greaves Cotton is around Rs 64.6087. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.
Q7. What is the debt of Greaves Cotton?
Ans: Greaves Cotton has a total debt of Rs 0 Cr., which affects investor sentiment and financial stability.
Q8. What are the ROE and ROCE of Greaves Cotton?
Ans: The ROE of Greaves Cotton is 13.5088% and ROCE of Greaves Cotton is 18.1762%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.
Q9. Is Greaves Cotton a good buy for the long term?
Ans: The Greaves Cotton long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.
Q10. Is Greaves Cotton undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Greaves Cotton appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.
Q11. How to check Greaves Cotton’s financials?
Ans: You can review Greaves Cotton’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.