NSEI:GULFOILLUB

Stock Analysis Report

Gulf Oil Lubricants India

Executive Summary

Gulf Oil Lubricants India Limited manufactures, markets, and trades lubricants for use in the automobile and industrial sectors in India.


Snowflake Analysis

Solid track record with excellent balance sheet.

Share Price & News

How has Gulf Oil Lubricants India's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.8%

GULFOILLUB

-1.2%

IN Chemicals

-1.4%

IN Market


1 Year Return

-15.8%

GULFOILLUB

22.3%

IN Chemicals

6.4%

IN Market

Return vs Industry: GULFOILLUB underperformed the Indian Chemicals industry which returned 22.3% over the past year.

Return vs Market: GULFOILLUB underperformed the Indian Market which returned 6.4% over the past year.


Shareholder returns

GULFOILLUBIndustryMarket
7 Day-0.8%-1.2%-1.4%
30 Day-9.0%1.9%-3.3%
90 Day-9.0%11.2%0.4%
1 Year-15.1%-15.8%25.2%22.3%8.4%6.4%
3 Year4.7%1.4%53.6%47.5%20.9%14.1%
5 Year64.7%55.8%116.7%101.4%30.7%18.5%

Price Volatility Vs. Market

How volatile is Gulf Oil Lubricants India's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Gulf Oil Lubricants India undervalued compared to its fair value and its price relative to the market?

17.21x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: GULFOILLUB (₹737.45) is trading above our estimate of fair value (₹131.27)

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


Price To Earnings Ratio

PE vs Industry: GULFOILLUB is poor value based on its PE Ratio (17.2x) compared to the Chemicals industry average (10.9x).

PE vs Market: GULFOILLUB is poor value based on its PE Ratio (17.2x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GULFOILLUB is overvalued based on its PB Ratio (5.5x) compared to the IN Chemicals industry average (1.1x).


Next Steps

Future Growth

How is Gulf Oil Lubricants India forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.1%

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 Gulf Oil Lubricants India 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 Gulf Oil Lubricants India performed over the past 5 years?

20.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GULFOILLUB has a high level of non-cash earnings.

Growing Profit Margin: GULFOILLUB's current net profit margins (12.5%) are higher than last year (10.4%).


Past Earnings Growth Analysis

Earnings Trend: GULFOILLUB's earnings have grown significantly by 20.4% per year over the past 5 years.

Accelerating Growth: GULFOILLUB's earnings growth over the past year (24.8%) exceeds its 5-year average (20.4% per year).

Earnings vs Industry: GULFOILLUB earnings growth over the past year (24.8%) exceeded the Chemicals industry 10%.


Return on Equity

High ROE: GULFOILLUB's Return on Equity (32.2%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Gulf Oil Lubricants India's financial position?


Financial Position Analysis

Short Term Liabilities: GULFOILLUB's short term assets (₹9.7B) exceed its short term liabilities (₹5.9B).

Long Term Liabilities: GULFOILLUB's short term assets (₹9.7B) exceed its long term liabilities (₹342.4M).


Debt to Equity History and Analysis

Debt Level: GULFOILLUB's debt to equity ratio (43.9%) is considered high.

Reducing Debt: GULFOILLUB's debt to equity ratio has reduced from 115.1% to 43.9% over the past 5 years.

Debt Coverage: GULFOILLUB's debt is well covered by operating cash flow (34.4%).

Interest Coverage: GULFOILLUB earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: GULFOILLUB's debt is covered by short term assets (assets are 3.3x debt).


Next Steps

Dividend

What is Gulf Oil Lubricants India's current dividend yield, its reliability and sustainability?

1.56%

Current Dividend Yield


Dividend Yield vs Market

company1.6%marketbottom25%0.6%markettop25%2.6%industryaverage0.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: GULFOILLUB's dividend (1.56%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: GULFOILLUB's dividend (1.56%) is low compared to the top 25% of dividend payers in the Indian market (2.61%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, GULFOILLUB has been paying a dividend for less than 10 years.

Growing Dividend: GULFOILLUB's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (16.3%), GULFOILLUB's dividend payments are well covered by earnings.


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?

5.7yrs

Average board tenure


CEO

Ravi Chawla (53yo)

5.7yrs

Tenure

₹47,511,372

Compensation

Mr. Ravi Chawla has been the Managing Director of Gulf Oil Lubricants India Limited since June 6, 2014. Mr. Chawla has been the Chief Executive Officer and President of Lubricants Division (known as Gulf O ...


CEO Compensation Analysis

Compensation vs Market: Ravi's total compensation ($USD659.06K) is above average for companies of similar size in the Indian market ($USD378.62K).

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


Board Members

NamePositionTenureCompensationOwnership
Ravi Chawla
MD & Director5.7yrs₹47.51m0.11% 41.7m
Madras Ramachandran
Independent Director5.8yrs₹3.35m0.0060% 2.3m
Sanjay Hinduja
Chairman of the Board0yrs₹9.68mno data
Kanchan Chitale
Independent Director5.8yrs₹3.46mno data
Arvind Uppal
Independent Director0.08yrsno datano data
K. Kini
Independent Director5.7yrs₹3.34mno data
Shom Hinduja
Non-Executive Director3.5yrs₹1.61mno data

5.7yrs

Average Tenure

57yo

Average Age

Experienced Board: GULFOILLUB's board of directors are considered experienced (5.7 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: GULFOILLUB insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Gulf Oil Lubricants India Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Gulf Oil Lubricants India Limited
  • Ticker: GULFOILLUB
  • Exchange: NSEI
  • Founded: 2008
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: ₹37.840b
  • Shares outstanding: 50.11m
  • Website: https://www.gulfoilindia.com

Number of Employees


Location

  • Gulf Oil Lubricants India Limited
  • IN Centre, 49/50
  • 12th Road
  • Mumbai
  • Maharashtra
  • 400093
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
538567BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 2014
GULFOILLUBNSEI (National Stock Exchange of India)YesEquity SharesININRJul 2014

Biography

Gulf Oil Lubricants India Limited manufactures, markets, and trades lubricants for use in the automobile and industrial sectors in India. The company offers automotive lubricants, such as engine oil, gear oils, greases, and specialties for bikes, scooters, cars, light and heavy commercial vehicles, and tractors. It also provides hydraulic, bearing and circulating, industrial gear, turbine, compressor, refrigeration, quenching, and slideway oils; and metal working fluids, rust preventives, greases, and thermic fluids for use in construction, manufacturing, textile, power generation, mining, food processing, light heavy engineering, marine, and metal working industries. In addition, Gulf Oil Lubricants India Limited offers two-wheeler batteries; and marine lubricants, as well as a range of complementary technical services. It also exports its products primarily to Bangladesh, Indonesia, Nepal, Qatar, and Africa. The company was formerly known as Hinduja Infrastructure Limited and changed its name to Gulf Oil Lubricants India Limited in September 2013. Gulf Oil Lubricants India Limited was incorporated in 2008 and is headquartered in Mumbai, India. Gulf Oil Lubricants India Limited is a subsidiary of Gulf Oil International (Mauritius) Inc. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 13:16
End of Day Share Price2020/02/25 00:00
Earnings2019/12/31
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.