BSE:540936

Stock Analysis Report

Executive Summary

Gautam Gems Limited manufactures and trades in rough and polished diamonds in India.


Snowflake Analysis

Flawless balance sheet with proven track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 540936 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

540936

1.1%

IN Luxury

-0.8%

IN Market


1 Year Return

-17.3%

540936

18.4%

IN Luxury

11.1%

IN Market

Return vs Industry: 540936 underperformed the Indian Luxury industry which returned 16.6% over the past year.

Return vs Market: 540936 underperformed the Indian Market which returned 11.1% over the past year.


Shareholder returns

540936IndustryMarket
7 Day0%1.1%-0.8%
30 Day0%3.3%-2.3%
90 Dayn/a9.6%2.1%
1 Year-17.3%-17.3%19.2%18.4%13.1%11.1%
3 Yearn/a54.9%51.5%22.9%16.2%
5 Yearn/a106.1%99.4%34.9%22.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

166.94x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 540936's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 540936's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 540936 is poor value based on its PE Ratio (166.9x) compared to the Luxury industry average (11.1x).

PE vs Market: 540936 is poor value based on its PE Ratio (166.9x) compared to the Indian market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 540936's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 540936 is overvalued based on its PB Ratio (4.4x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

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

19.8%

Forecasted Consumer Durables 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 Gautam Gems 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 Gautam Gems performed over the past 5 years?

58.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 540936 has high quality earnings.

Growing Profit Margin: 540936's current net profit margins (0.3%) are lower than last year (0.4%).


Past Earnings Growth Analysis

Earnings Trend: 540936's earnings have grown significantly by 58.3% per year over the past 5 years.

Accelerating Growth: 540936's earnings growth over the past year (178.1%) exceeds its 5-year average (58.3% per year).

Earnings vs Industry: 540936 earnings growth over the past year (178.1%) exceeded the Luxury industry 2.5%.


Return on Equity

High ROE: 540936's Return on Equity (2.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Gautam Gems's financial position?


Financial Position Analysis

Short Term Liabilities: 540936's short term assets (₹302.7M) exceed its short term liabilities (₹176.4M).

Long Term Liabilities: 540936's short term assets (₹302.7M) exceed its long term liabilities (₹259.0K).


Debt to Equity History and Analysis

Debt Level: 540936 is debt free.

Reducing Debt: 540936 had no debt 5 years ago.

Debt Coverage: 540936 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 540936 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 540936 has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 540936's debt is covered by short term assets.


Next Steps

Dividend

What is Gautam Gems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.5%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 540936's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 540936's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 540936's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 540936's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 540936's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

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

4.3yrs

Average board tenure


CEO

Gautam Sheth (37yo)

₹300,000

Compensation

Mr. Gautam Pravinchandra Sheth serves as Managing Director of Gautam Gems Limited and has been its Director since February 18, 2014. He serves as its Compliance Officer until July1, 2019. Mr. Sheth has com ...


CEO Compensation Analysis

Compensation vs Market: Gautam's total compensation ($USD4.19K) is below average for companies of similar size in the Indian market ($USD50.21K).

Compensation vs Earnings: Gautam's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Gautam Sheth
MD & Director0yrs₹300.00k58.7% 340.0m
Nidhi Sheth
Whole-Time Director6yrs₹200.00k1.51% 8.7m
Kanchanben Sheth
Executive Director6yrsno data1.53% 8.9m
Pravin Parekh
Non-Executive Director2.5yrsno datano data
Prakash Mehta
Non-Executive Independent Director2.5yrsno datano data
Harshit Vadecha
Non-Executive Independent Director0.8yrsno datano data

4.3yrs

Average Tenure

39yo

Average Age

Experienced Board: 540936's board of directors are considered experienced (4.3 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 been diluted in the past year, with total shares outstanding growing by 4.8%.


Top Shareholders

Company Information

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


Key Information

  • Name: Gautam Gems Limited
  • Ticker: 540936
  • Exchange: BSE
  • Founded: 2014
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹579.312m
  • Shares outstanding: 5.49m
  • Website: https://www.gautamgems.com

Number of Employees


Location

  • Gautam Gems Limited
  • Office – 301
  • 3rd Floor
  • Surat
  • Gujarat
  • 395004
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
540936BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2018

Biography

Gautam Gems Limited manufactures and trades in rough and polished diamonds in India. It offers polished diamonds to jewelry manufacturers, jewelry wholesalers, jewelry retailers, jewelry traders, diamond wholesalers, and diamond retailers; and rough diamonds to rough diamond traders and diamond manufacturers. The company was incorporated in 2014 and is based in Surat, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 13:06
End of Day Share Price2020/01/13 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.