Garware Hi-Tech Films (NSEI:GRWRHITECH) - Share price, News & Analysis

GRWRHITECH fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	5/6
Financial Health	6/6
Dividends	4/6

GRWRHITECH Stock Overview

Garware Hi-Tech Films Limited manufactures and sells polyester films in India and internationally.

Rewards

Price-To-Earnings ratio (9.2x) is below the Indian market (19.7x)

Earnings grew by 32.7% over the past year

Risk Analysis

Unstable dividend track record

Garware Hi-Tech Films Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Garware Hi-Tech Films
Historical stock prices
Current Share Price	₹645.65
52 Week High	₹889.00
52 Week Low	₹583.25
Beta	0.50
1 Month Change	-1.67%
3 Month Change	-13.80%
1 Year Change	n/a
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-23.93%

Recent News & Updates

Feb 28

Market Still Lacking Some Conviction On Garware Hi-Tech Films Limited (NSE:GRWRHITECH)

Garware Hi-Tech Films Limited's ( NSE:GRWRHITECH ) price-to-earnings (or "P/E") ratio of 12x might make it look like a...

Shareholder Returns

	GRWRHITECH	IN Chemicals	IN Market
7D	-4.5%	-2.0%	-1.6%
1Y	n/a	-2.9%	-1.6%

Return vs Industry: Insufficient data to determine how GRWRHITECH performed against the Indian Chemicals industry.

Return vs Market: Insufficient data to determine how GRWRHITECH performed against the Indian Market.

Price Volatility

Is GRWRHITECH's price volatile compared to industry and market?
GRWRHITECH volatility
GRWRHITECH Average Weekly Movement	5.6%
Chemicals Industry Average Movement	6.7%
Market Average Movement	6.9%
10% most volatile stocks in IN Market	9.7%
10% least volatile stocks in IN Market	4.4%

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

Volatility Over Time: Insufficient data to determine GRWRHITECH's volatility change over the past year.

About the Company

Founded	Employees	CEO	Website
1933	1,800	Shashikant Garware	https://www.garwarehitechfilms.com

Garware Hi-Tech Films Limited manufactures and sells polyester films in India and internationally. The company offers bi-axially oriented polyethylene terephthalate/polyester films, sun control films, thermal lamination films, and specialty polyester films, as well as heat rejection films, shrink films, and paint protection films. Its polyester films are used in various application, such as label application, electrical cable insulations, graphics, packaging, face shields, thermal, TV screens, etc. The company was formerly known as Garware Polyester Limited and changed its name to Garware Hi-Tech Films Limited in April 2021.

Garware Hi-Tech Films Fundamentals Summary

How do Garware Hi-Tech Films's earnings and revenue compare to its market cap?
GRWRHITECH fundamental statistics
Market Cap	₹15.45b
Earnings (TTM)	₹1.67b
Revenue (TTM)	₹13.03b

9.2x

P/E Ratio

1.2x

P/S Ratio

Is GRWRHITECH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
GRWRHITECH income statement (TTM)
Revenue	₹13.03b
Cost of Revenue	₹6.35b
Gross Profit	₹6.68b
Other Expenses	₹5.01b
Earnings	₹1.67b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	71.96
Gross Margin	51.27%
Net Profit Margin	12.83%
Debt/Equity Ratio	10.7%

How did GRWRHITECH perform over the long term?

See historical performance and comparison

Dividends

1.5%

Current Dividend Yield

14%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

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 GRWRHITECH?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for GRWRHITECH. This is calculated by dividing GRWRHITECH's market cap by their current preferred multiple.
What is GRWRHITECH's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹15.45b

GRWRHITECH 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	1.1x
Enterprise Value/EBITDA	6x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

GRWRHITECH PE Ratio vs Peers

The above table shows the PE ratio for GRWRHITECH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	13.9x

Forward PE

Price-To-Earnings vs Peers: GRWRHITECH is good value based on its Price-To-Earnings Ratio (9.2x) compared to the peer average (13.9x).

Price to Earnings Ratio vs Industry

How does GRWRHITECH's PE Ratio compare vs other companies in the Indian Chemicals Industry?

Price-To-Earnings vs Industry: GRWRHITECH is good value based on its Price-To-Earnings Ratio (9.2x) compared to the Indian Chemicals industry average (16.6x)

Price to Earnings Ratio vs Fair Ratio

What is GRWRHITECH'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.

GRWRHITECH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	9.2x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate GRWRHITECH's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

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

Below Fair Value: GRWRHITECH (₹645.65) is trading above our estimate of fair value (₹169.52)

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

Price to Earnings Growth Ratio

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

Discover undervalued companies

Future Growth

How is Garware Hi-Tech Films forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

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

17.6%

Forecasted Materials 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 Garware Hi-Tech Films 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.

Discover growth companies

Check out Garware Hi-Tech Films's track record over time to understand how much the company has returned to shareholders and its earnings growth rate in the past.
Garware Hi-Tech Films competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Garware Hi-Tech Films performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

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

29.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GRWRHITECH has high quality earnings.

Growing Profit Margin: GRWRHITECH's current net profit margins (12.8%) are higher than last year (12.7%).

Past Earnings Growth Analysis

Earnings Trend: GRWRHITECH's earnings have grown significantly by 29.3% per year over the past 5 years.

Accelerating Growth: GRWRHITECH's earnings growth over the past year (32.7%) exceeds its 5-year average (29.3% per year).

Earnings vs Industry: GRWRHITECH earnings growth over the past year (32.7%) exceeded the Chemicals industry 29.6%.

Return on Equity

High ROE: GRWRHITECH's Return on Equity (9.8%) is considered low.

Discover strong past performing companies

Financial Health

How is Garware Hi-Tech Films'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: GRWRHITECH's short term assets (₹6.0B) exceed its short term liabilities (₹2.6B).

Long Term Liabilities: GRWRHITECH's short term assets (₹6.0B) exceed its long term liabilities (₹1.6B).

Debt to Equity History and Analysis

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

Reducing Debt: GRWRHITECH's debt to equity ratio has reduced from 24.4% to 10.7% over the past 5 years.

Debt Coverage: GRWRHITECH's debt is well covered by operating cash flow (94.4%).

Interest Coverage: GRWRHITECH's interest payments on its debt are well covered by EBIT (11.5x coverage).

Balance Sheet

Discover healthy companies

Dividend

What is Garware Hi-Tech Films's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

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

1.50%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: GRWRHITECH's dividend (1.5%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: GRWRHITECH's dividend (1.5%) is low compared to the top 25% of dividend payers in the Indian market (1.93%).

Stability and Growth of Payments

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

Growing Dividend: GRWRHITECH's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (13.9%), GRWRHITECH's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (50.4%), GRWRHITECH's dividend payments are covered by cash flows.

Discover strong dividend paying companies

Management

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

2.7yrs

Average management tenure

CEO

Shashikant Garware (87 yo)

no data

Tenure

₹74,442,000

Compensation

Mr. Shashikant Bhalchandra Garware serves as the Chairman and Managing Director of Garware Hi-Tech Films Limited (formerly known as Garware Polyester Limited) and serves its Executive Director since June 6...

CEO Compensation Analysis

Compensation vs Market: Shashikant's total compensation ($USD953.15K) is above average for companies of similar size in the Indian market ($USD202.20K).

Compensation vs Earnings: Shashikant's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: GRWRHITECH's management team is considered experienced (2.7 years average tenure).

Board Members

Experienced Board: GRWRHITECH's board of directors are seasoned and experienced ( 10.5 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.

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/06/22 00:00
End of Day Share Price	2022/06/22 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31