Gujarat Fluorochemicals (NSEI:FLUOROCHEM) - Share price, News & Analysis

Q: What is the Fair Price of FLUOROCHEM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

FLUOROCHEM (₹2756.8) is trading above our estimate of [[fair value]] (₹88.3)

FLUOROCHEM fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	2/6
Past Performance	2/6
Financial Health	5/6
Dividends	0/6

FLUOROCHEM Stock Overview

Rewards

Earnings are forecast to grow 16.66% per year

Became profitable this year

Risk Analysis

No risks detected for FLUOROCHEM from our risk checks.

Gujarat Fluorochemicals Competitors

Aarti Industries

BSE:524208

₹258.2b

Navin Fluorine International

BSE:532504

₹179.3b

Vinati Organics

BSE:524200

₹193.1b

Clean Science and Technology

BSE:543318

₹154.8b

Price History & Performance

Summary of all time highs, changes and price drops for Gujarat Fluorochemicals
Historical stock prices
Current Share Price	₹2,756.80
52 Week High	₹3,198.90
52 Week Low	₹1,025.10
Beta	1.49
1 Month Change	1.17%
3 Month Change	-0.96%
1 Year Change	156.79%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	286.11%

Recent News & Updates

May 30

Gujarat Fluorochemicals (NSE:FLUOROCHEM) Has A Pretty Healthy Balance Sheet

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...

May 08

Gujarat Fluorochemicals (NSE:FLUOROCHEM) Is Doing The Right Things To Multiply Its Share Price

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'll want to see a...

Shareholder Returns

	FLUOROCHEM	IN Chemicals	IN Market
7D	12.3%	2.7%	2.3%
1Y	156.8%	-1.5%	-0.9%

Return vs Industry: FLUOROCHEM exceeded the Indian Chemicals industry which returned -1.5% over the past year.

Return vs Market: FLUOROCHEM exceeded the Indian Market which returned -0.9% over the past year.

Price Volatility

Is FLUOROCHEM's price volatile compared to industry and market?
FLUOROCHEM volatility
FLUOROCHEM Average Weekly Movement	6.0%
Chemicals Industry Average Movement	6.7%
Market Average Movement	6.9%
10% most volatile stocks in IN Market	9.9%
10% least volatile stocks in IN Market	4.5%

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

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

About the Company

Founded	Employees	CEO	Website
1987	2,220	Vivek Jain	https://www.gfl.co.in

Gujarat Fluorochemicals Limited engages in the manufacture and trading of refrigerant gases, caustic soda, chloromethane, polytetrafluoroethylene (PTFE), fluoropolymers, fluoromonomers, specialty fluorointermediates, specialty chemicals, and allied activities in India, Europe, the United States, and internationally. It provides carbon tetrachloride, chlorine, methylene di chloride, hydrochloric acid, sodium hydrogen sulphate, hydrogen gas, fluorspar, and chloroform. The company offers its products under the Inoflon, Fluonox, Inoflar, Inolub, and Refron brands.

Gujarat Fluorochemicals Fundamentals Summary

How do Gujarat Fluorochemicals's earnings and revenue compare to its market cap?
FLUOROCHEM fundamental statistics
Market Cap	₹297.04b
Earnings (TTM)	₹7.87b
Revenue (TTM)	₹39.54b

38.5x

P/E Ratio

7.7x

P/S Ratio

Is FLUOROCHEM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FLUOROCHEM income statement (TTM)
Revenue	₹39.54b
Cost of Revenue	₹18.89b
Gross Profit	₹20.65b
Other Expenses	₹12.78b
Earnings	₹7.87b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	71.66
Gross Margin	52.23%
Net Profit Margin	19.91%
Debt/Equity Ratio	36.7%

How did FLUOROCHEM perform over the long term?

See historical performance and comparison

Dividends

0.1%

Current Dividend Yield

6%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is FLUOROCHEM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for FLUOROCHEM?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for FLUOROCHEM. This is calculated by dividing FLUOROCHEM's market cap by their current preferred multiple.
What is FLUOROCHEM's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹297.04b

FLUOROCHEM key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	7.9x
Enterprise Value/EBITDA	26.6x
PEG Ratio	2.3x

Price to Earnings Ratio vs Peers

How does FLUOROCHEM's PE Ratio compare to its peers?

FLUOROCHEM PE Ratio vs Peers

The above table shows the PE ratio for FLUOROCHEM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	53.4x
524208 Aarti Industries	20.1x	1.2%	₹258.2b
532504 Navin Fluorine International	69.5x	28.6%	₹179.3b
524200 Vinati Organics	55.4x	n/a	₹193.1b
543318 Clean Science and Technology	68.5x	23.5%	₹154.8b
FLUOROCHEM Gujarat Fluorochemicals	38.5x	16.7%	₹297.0b

Forward PE

Price-To-Earnings vs Peers: FLUOROCHEM is good value based on its Price-To-Earnings Ratio (38.5x) compared to the peer average (53.4x).

Price to Earnings Ratio vs Industry

How does FLUOROCHEM's PE Ratio compare vs other companies in the IN Chemicals Industry?

Price-To-Earnings vs Industry: FLUOROCHEM is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the Indian Chemicals industry average (16.9x)

Price to Earnings Ratio vs Fair Ratio

What is FLUOROCHEM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

FLUOROCHEM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	38.5x
Fair PE Ratio	23.9x

Price-To-Earnings vs Fair Ratio: FLUOROCHEM is expensive based on its Price-To-Earnings Ratio (38.5x) compared to the estimated Fair Price-To-Earnings Ratio (23.9x).

Share Price vs Fair Value

What is the Fair Price of FLUOROCHEM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: FLUOROCHEM (₹2756.8) is trading above our estimate of fair value (₹88.3)

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

Price to Earnings Growth Ratio

PEG Ratio: FLUOROCHEM is poor value based on its PEG Ratio (2.3x)

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Future Growth

How is Gujarat Fluorochemicals forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

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

16.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: FLUOROCHEM's forecast earnings growth (16.7% per year) is above the savings rate (6.7%).

Earnings vs Market: FLUOROCHEM's earnings (16.7% per year) are forecast to grow slower than the Indian market (17.4% per year).

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

Revenue vs Market: FLUOROCHEM's revenue (13.1% per year) is forecast to grow faster than the Indian market (11.5% per year).

High Growth Revenue: FLUOROCHEM's revenue (13.1% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: FLUOROCHEM's Return on Equity is forecast to be low in 3 years time (19.8%).

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Past Performance

How has Gujarat Fluorochemicals performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

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

49.2%

Last years revenue growth

Earnings and Revenue History

Quality Earnings: FLUOROCHEM has high quality earnings.

Growing Profit Margin: FLUOROCHEM became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if FLUOROCHEM's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: FLUOROCHEM has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: FLUOROCHEM has become profitable in the last year, making it difficult to compare its past year earnings growth to the Chemicals industry (29.6%).

Return on Equity

High ROE: FLUOROCHEM's Return on Equity (18.3%) is considered low.

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Financial Health

How is Gujarat Fluorochemicals's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

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

Financial Position Analysis

Short Term Liabilities: FLUOROCHEM's short term assets (₹24.4B) exceed its short term liabilities (₹19.1B).

Long Term Liabilities: FLUOROCHEM's short term assets (₹24.4B) exceed its long term liabilities (₹7.4B).

Debt to Equity History and Analysis

Debt Level: FLUOROCHEM's net debt to equity ratio (32.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if FLUOROCHEM's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: FLUOROCHEM's debt is well covered by operating cash flow (47.7%).

Interest Coverage: FLUOROCHEM's interest payments on its debt are well covered by EBIT (12.3x coverage).

Balance Sheet

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Dividend

What is Gujarat Fluorochemicals'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

0.14%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: FLUOROCHEM's dividend (0.15%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.43%).

High Dividend: FLUOROCHEM's dividend (0.15%) is low compared to the top 25% of dividend payers in the Indian market (1.89%).

Stability and Growth of Payments

Stable Dividend: FLUOROCHEM is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: FLUOROCHEM is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.

Earnings Payout to Shareholders

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

Cash Payout to Shareholders

Cash Flow Coverage: FLUOROCHEM is not paying a notable dividend for the Indian market.

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Management

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

3.5yrs

Average board tenure

CEO

Vivek Jain (66 yo)

no data

Tenure

₹71,872,000

Compensation

Mr. Vivek Kumar Jain is Managing Director at Gujarat Fluorochemicals Limited and has been its Director since December 06, 2018. He serves as Non-Executive Director at Inox Wind Energy Limited since March 0...

CEO Compensation Analysis

Compensation vs Market: Vivek's total compensation ($USD918.25K) is above average for companies of similar size in the Indian market ($USD642.44K).

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

Board Members

Experienced Board: FLUOROCHEM's board of directors are considered experienced (3.5 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	2022/06/27 00:00
End of Day Share Price	2022/06/27 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31