Godrej Industrie (GODREJIND)

FairStock Score: 18/100 — RISKY

Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at Godrej Industries through Graham’s margin-of-safety lens first. At ₹1,252.50, the market cap is ₹42,191 Cr, yet book value is only ₹331.84, so I’m paying 3.77 times book. Graham Number is ₹444.08, implying a margin of safety of -123.62%—not a bargain, but a premium that demands exceptional quality. The business does show growth: sales up 25.08%, profit up 81.95%, latest quarter sales ₹5,051 Cr and net profit ₹353 Cr, and PEG of 0.73 looks attractive if that pace persists. Piotroski F-Score 7/9 gives some confidence in recent improvement, and promoter holding of 74.64% aligns owners with shareholders. But Buffett would ask about the moat and balance sheet. ROE is 10.83%, ROCE only 7.83%, and debt/equity is 2.22. Free cash flow is a worrying ₹-9,713 Cr. Altman Z-Score 0.64 signals financial distress territory, and EV/EBITDA at 1479.19 is an outlier that tells me EBITDA is not meaningfully covering enterprise value. No dividend yield means no cash return while waiting. The 52-week range ₹744.20–₹1,443.00 shows volatility. Five-year revenue CAGR of 11.73% is decent, not explosive. The FairStock Score of 18/100 labels this risky. So this is a fast-growing but highly leveraged and cash-hungry diversified company. The profit acceleration and PEG may tempt momentum investors, but Graham would demand a much wider cushion. I’d watch debt reduction, FCF inflection, and ROCE improvement before calling it a value investment.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer