Why is Godawari Power & Ispat Ltd ?
1
High Management Efficiency with a high ROE of 23.42%
2
Company has a low Debt to Equity ratio (avg) at 0 times
3
Flat results in Mar 26
- ROCE(HY) Lowest at 18.80%
- DEBT-EQUITY RATIO(HY) Highest at 0.08 times
- INTEREST(Q) Highest at Rs 19.45 cr
4
Stock is technically in a Bullish range
- The technical trend has improved from Mildly Bullish on 24-Mar-26 and has generated 8.3% returns since then
- Multiple factors for the stock are Bullish like MACD, Bollinger Band, KST, DOW and OBV
5
With ROE of 14.3, it has a Very Expensive valuation with a 3.4 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 38.78%, its profits have risen by 0.3%
6
Majority shareholders : Promoters
7
Consistent Returns over the last 3 years
- Along with generating 38.78% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Iron & Steel Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Godawari Power for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Godawari Power
18.09%
1.01
38.27%
Sensex
-3.04%
-0.49
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
5.14%
EBIT Growth (5y)
-6.86%
EBIT to Interest (avg)
25.73
Debt to EBITDA (avg)
0.19
Net Debt to Equity (avg)
-0.13
Sales to Capital Employed (avg)
1.25
Tax Ratio
27.21%
Dividend Payout Ratio
16.99%
Pledged Shares
0
Institutional Holding
9.10%
ROCE (avg)
34.50%
ROE (avg)
23.42%
Valuation Key Factors 
Factor
Value
P/E Ratio
19
Industry P/E
25
Price to Book Value
2.80
EV to EBIT
14.08
EV to EBITDA
12.02
EV to Capital Employed
3.06
EV to Sales
2.61
PEG Ratio
1.93
Dividend Yield
0.42%
ROCE (Latest)
21.68%
ROE (Latest)
14.30%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Movement
6What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 1,144.59 cr
NET SALES(Q)
Highest at Rs 1,750.47 cr
-12What is not working for the Company
INTEREST(Latest six months)
At Rs 39.78 cr has Grown at 67.42%
ROCE(HY)
Lowest at 18.80%
OPERATING PROFIT TO INTEREST (Q)
Lowest at 16.42 times
DEBT-EQUITY RATIO(HY)
Highest at 0.08 times
Loading Valuation Snapshot...
Here's what is working for Godawari Power
Net Sales - Quarterly
Highest at Rs 1,750.47 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 1,750.47 cr has Grown at 30.1% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 1,345.16 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 1,144.59 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Godawari Power
Interest - Latest six months
At Rs 39.78 cr has Grown at 67.42%
over previous Half yearly periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Operating Profit to Interest - Quarterly
Lowest at 16.42 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio - Half Yearly
Highest at 0.08 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Non Operating Income - Quarterly
Highest at Rs 33.28 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income