NSEI:GRPLTD

Stock Analysis Report

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Executive Summary

GRP Limited manufactures and sells reclaim rubber sheets for tire and non-tire rubber goods industries in India and internationally. More Details


Snowflake Analysis

Imperfect balance sheet and overvalued.

Share Price & News

How has GRP's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GRPLTD has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

5.5%

GRPLTD

3.9%

IN Auto Components

1.4%

IN Market


1 Year Return

-18.3%

GRPLTD

-1.2%

IN Auto Components

2.2%

IN Market

Return vs Industry: GRPLTD underperformed the Indian Auto Components industry which returned -1.2% over the past year.

Return vs Market: GRPLTD underperformed the Indian Market which returned 2.2% over the past year.


Shareholder returns

GRPLTDIndustryMarket
7 Day5.5%3.9%1.4%
30 Day3.6%3.5%5.6%
90 Day9.3%12.9%8.5%
1 Year-17.7%-18.3%-0.009%-1.2%4.0%2.2%
3 Year-41.4%-42.4%-31.1%-33.2%-0.5%-5.3%
5 Year-20.2%-22.7%12.1%7.3%41.6%31.1%

Price Volatility Vs. Market

How volatile is GRP's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is GRP undervalued compared to its fair value and its price relative to the market?

0.77x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: GRPLTD (₹737.6) is trading above our estimate of fair value (₹24.14)

Significantly Below Fair Value: GRPLTD is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: GRPLTD is unprofitable, so we can't compare its PE Ratio to the IN Auto Components industry average.

PE vs Market: GRPLTD is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate GRPLTD's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: GRPLTD is good value based on its PB Ratio (0.8x) compared to the IN Auto Components industry average (1.3x).


Next Steps

Future Growth

How is GRP forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

50.1%

Forecasted Automobiles industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as GRP has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has GRP performed over the past 5 years?

-23.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GRPLTD is currently unprofitable.

Growing Profit Margin: GRPLTD is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GRPLTD is unprofitable, and losses have increased over the past 5 years at a rate of 23.2% per year.

Accelerating Growth: Unable to compare GRPLTD's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GRPLTD is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (-57.2%).


Return on Equity

High ROE: GRPLTD has a negative Return on Equity (-5.3%), as it is currently unprofitable.


Next Steps

Financial Health

How is GRP's financial position?


Financial Position Analysis

Short Term Liabilities: GRPLTD's short term assets (₹1.4B) exceed its short term liabilities (₹1.1B).

Long Term Liabilities: GRPLTD's short term assets (₹1.4B) exceed its long term liabilities (₹288.0M).


Debt to Equity History and Analysis

Debt Level: GRPLTD's debt to equity ratio (67.2%) is considered high.

Reducing Debt: GRPLTD's debt to equity ratio has increased from 59% to 67.2% over the past 5 years.

Debt Coverage: GRPLTD's debt is not well covered by operating cash flow (8.6%).

Interest Coverage: Insufficient data to determine if GRPLTD's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is GRP current dividend yield, its reliability and sustainability?

0.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GRPLTD's dividend (0.75%) is higher than the bottom 25% of dividend payers in the Indian market (0.55%).

High Dividend: GRPLTD's dividend (0.75%) is low compared to the top 25% of dividend payers in the Indian market (2.28%).


Stability and Growth of Payments

Stable Dividend: GRPLTD's dividend payments have been volatile in the past 10 years.

Growing Dividend: GRPLTD's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: GRPLTD is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Rajendra Gandhi (71 yo)

no data

Tenure

₹11,177,200

Compensation

Mr. Rajendra Vadilal Gandhi has been the Managing Director of GRP Limited since August 1, 2007 and its Executive Director since August 01, 2013. Mr. Gandhi serves as Chairman of GRIP Polymers Ltd. He is an ...


CEO Compensation Analysis

Compensation vs Market: Rajendra's total compensation ($USD151.41K) is above average for companies of similar size in the Indian market ($USD54.90K).

Compensation vs Earnings: Rajendra's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Rajendra Gandhi
MD & Executive Directorno data₹11.18m5.45%
₹ 53.4m
Harsh Gandhi
Joint MD & Executive Director11.33yrs₹17.56m6.18%
₹ 60.6m
Shilpa Mehta
Chief Financial Officer2.17yrs₹3.66mno data
Abhijeet Sawant
Company Secretary1.67yrs₹1.28mno data
Ganesh Ghangurde
President & Chief Compliance Officerno data₹9.84mno data
Rajen Doshi
President & COOno datano datano data
Sanjeeb Lahiri
Head of HR & Administrationno datano datano data
Hemant Kaul
President of Marketing & Business Developmentno datano datano data
Kiran Shetty
General Manager of Salesno datano datano data

1.8yrs

Average Tenure

51yo

Average Age

Experienced Management: GRPLTD's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Rajendra Gandhi
MD & Executive Directorno data₹11.18m5.45%
₹ 53.4m
Harsh Gandhi
Joint MD & Executive Director11.33yrs₹17.56m6.18%
₹ 60.6m
Kandathil Philip
Chairman Emeritus7yrs₹15.00k2.84%
₹ 27.8m
Peter Philip
Non Executive & Non Independent Chairperson4.92yrs₹129.00k0.10%
₹ 979.8k
Mahesh Gandhi
Non Executive Director46.33yrs₹80.00k6.19%
₹ 60.7m
Rajeev Pandia
Non-Executive & Independent Director9.92yrs₹342.00kno data
Nayna Gandhi
Non Executive & Non Independent Director5.42yrs₹60.00k3.33%
₹ 32.6m
Alpana Shah
Non-Executive Independent Director4.42yrs₹234.00kno data
Saurabh Shah
Non-Executive Independent Director3.08yrs₹198.00k3.33%
₹ 32.6m

7.0yrs

Average Tenure

70yo

Average Age

Experienced Board: GRPLTD's board of directors are considered experienced (7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

GRP Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GRP Limited
  • Ticker: GRPLTD
  • Exchange: NSEI
  • Founded: 1974
  • Industry: Tires and Rubber
  • Sector: Automobiles
  • Market Cap: ₹980.000m
  • Shares outstanding: 1.33m
  • Website: https://www.grpweb.com

Location

  • GRP Limited
  • 510, A Wing
  • Kohinoor City Commercial I
  • Mumbai
  • Maharashtra
  • 400070
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
509152BSE (Mumbai Stock Exchange)YesEquity SharesININROct 1996
GRPLTDNSEI (National Stock Exchange of India)YesEquity SharesININROct 1996

Biography

GRP Limited manufactures and sells reclaim rubber sheets for tire and non-tire rubber goods industries in India and internationally. It operates through Reclaim Rubber and Others segments. The company offe ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/26 12:31
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.