Godrej Consumer Products (NSEI:GODREJCP) - Share price, News & Analysis

GODREJCP fundamental analysis
Snowflake Score
Valuation	0/6
Future Growth	1/6
Past Performance	3/6
Financial Health	6/6
Dividends	0/6

GODREJCP Stock Overview

Rewards

Earnings are forecast to grow 12.78% per year

Earnings have grown 2.7% per year over the past 5 years

Risk Analysis

No risks detected for GODREJCP from our risk checks.

Godrej Consumer Products Competitors

Paramount Cosmetics (India)

BSE:507970

₹290.3m

Price History & Performance

Summary of all time highs, changes and price drops for Godrej Consumer Products
Historical stock prices
Current Share Price	₹784.10
52 Week High	₹1,138.00
52 Week Low	₹660.05
Beta	0.22
1 Month Change	-2.35%
3 Month Change	0.74%
1 Year Change	-7.17%
3 Year Change	13.96%
5 Year Change	29.34%
Change since IPO	18,403.84%

Recent News & Updates

Feb 21

Returns On Capital At Godrej Consumer Products (NSE:GODREJCP) Have Hit The Brakes

If you're looking for a multi-bagger, there's a few things to keep an eye out for. In a perfect world, we'd like to see...

Shareholder Returns

	GODREJCP	IN Personal Products	IN Market
7D	3.4%	0.3%	-0.9%
1Y	-7.2%	-2.4%	7.1%

Return vs Industry: GODREJCP underperformed the Indian Personal Products industry which returned -4.4% over the past year.

Return vs Market: GODREJCP underperformed the Indian Market which returned 5.6% over the past year.

Price Volatility

Is GODREJCP's price volatile compared to industry and market?
GODREJCP volatility
GODREJCP Average Weekly Movement	5.7%
Personal Products Industry Average Movement	4.5%
Market Average Movement	6.9%
10% most volatile stocks in IN Market	9.7%
10% least volatile stocks in IN Market	4.5%

Stable Share Price: GODREJCP is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: GODREJCP's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1897	11,000	Sudhir Sitapati	https://www.godrejcp.com

Godrej Consumer Products Limited, a fast moving consumer goods company, manufactures and markets personal care and household products in India, Africa, Indonesia, Latin America, the United States, and internationally. The company offers a range of home care and personal care, air care, household insecticides, hair colors, liquid detergents, soaps, air fresheners, hair extensions, hair care products, personal wash, wet wipes, depilatory, sanitizers, sun care, female deodorants, and color cosmetic products, as well as skin care, fabric care, and hygiene products. It provides its products primarily under the Good knight, Godrej Expert, Cinthol, Godrej No.

Godrej Consumer Products Fundamentals Summary

How do Godrej Consumer Products's earnings and revenue compare to its market cap?
GODREJCP fundamental statistics
Market Cap	₹801.81b
Earnings (TTM)	₹17.83b
Revenue (TTM)	₹122.77b

45.0x

P/E Ratio

6.5x

P/S Ratio

Is GODREJCP overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
GODREJCP income statement (TTM)
Revenue	₹122.77b
Cost of Revenue	₹60.75b
Gross Profit	₹62.01b
Other Expenses	₹44.18b
Earnings	₹17.83b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	17.44
Gross Margin	50.51%
Net Profit Margin	14.53%
Debt/Equity Ratio	13.9%

How did GODREJCP perform over the long term?

See historical performance and comparison

Valuation

Is Godrej Consumer Products undervalued compared to its fair value and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

44.96x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: GODREJCP (₹784.1) is trading above our estimate of fair value (₹305.79)

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

Price To Earnings Ratio

PE vs Industry: GODREJCP is poor value based on its Price-To-Earnings Ratio (45x) compared to the Indian Personal Products industry average (39.9x).

PE vs Market: GODREJCP is poor value based on its Price-To-Earnings Ratio (45x) compared to the Indian market (19.4x).

Price to Earnings Growth Ratio

PEG Ratio: GODREJCP is poor value based on its PEG Ratio (3.5x)

Price to Book Ratio

PB vs Industry: GODREJCP is overvalued based on its Price-To-Book Ratio (6.9x) compared to the IN Personal Products industry average (2.4x).

Future Growth

How is Godrej Consumer Products forecast to perform in the next 1 to 3 years based on estimates from 28 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

12.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: GODREJCP's forecast earnings growth (12.8% per year) is above the savings rate (6.7%).

Earnings vs Market: GODREJCP's earnings (12.8% per year) are forecast to grow slower than the Indian market (17.4% per year).

High Growth Earnings: GODREJCP's earnings are forecast to grow, but not significantly.

Revenue vs Market: GODREJCP's revenue (9.2% per year) is forecast to grow slower than the Indian market (12% per year).

High Growth Revenue: GODREJCP's revenue (9.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: GODREJCP's Return on Equity is forecast to be low in 3 years time (17.8%).

Past Performance

How has Godrej Consumer Products performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

2.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GODREJCP has high quality earnings.

Growing Profit Margin: GODREJCP's current net profit margins (14.5%) are lower than last year (15.6%).

Past Earnings Growth Analysis

Earnings Trend: GODREJCP's earnings have grown by 2.7% per year over the past 5 years.

Accelerating Growth: GODREJCP's earnings growth over the past year (3.6%) exceeds its 5-year average (2.7% per year).

Earnings vs Industry: GODREJCP earnings growth over the past year (3.6%) underperformed the Personal Products industry 3.6%.

Return on Equity

High ROE: GODREJCP's Return on Equity (15.4%) is considered low.

Financial Health

How is Godrej Consumer Products's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: GODREJCP's short term assets (₹56.9B) exceed its short term liabilities (₹39.7B).

Long Term Liabilities: GODREJCP's short term assets (₹56.9B) exceed its long term liabilities (₹6.1B).

Debt to Equity History and Analysis

Debt Level: GODREJCP has more cash than its total debt.

Reducing Debt: GODREJCP's debt to equity ratio has reduced from 75.5% to 13.9% over the past 5 years.

Debt Coverage: GODREJCP's debt is well covered by operating cash flow (90.2%).

Interest Coverage: GODREJCP's interest payments on its debt are well covered by EBIT (20.7x coverage).

Balance Sheet

Dividend

What is Godrej Consumer Products's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.41%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: GODREJCP is not paying a notable dividend for the Indian market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as GODREJCP has not reported any payouts.

Discover strong dividend paying companies

Management

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

0.7yrs

Average management tenure

CEO

Sudhir Sitapati (45 yo)

0.58

Tenure

Mr. Sudhir Sitapati serves as Managing Director and Chief Executive Officer at Godrej Consumer Products Limited since October 2021. He served as Executive Director of Food & Refreshments at Hindustan Unile...

Leadership Team

Experienced Management: GODREJCP's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.

Board Members

Experienced Board: GODREJCP's board of directors are seasoned and experienced ( 10 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.

Recent Insider Transactions

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/05/28 00:00
End of Day Share Price	2022/05/27 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31