GHCL Ltd
NSE:GHCL

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GHCL Ltd
NSE:GHCL
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Price: 506.8 INR -1.76% Market Closed
Market Cap: ₹46.6B

EV/GP

2.7
Current
11%
Cheaper
vs 3-y average of 3.1

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
2.7
=
Enterprise Value
₹35.6B
/
Gross Profit
₹14B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
2.7
=
Enterprise Value
₹35.6B
/
Gross Profit
₹14B

Valuation Scenarios

GHCL Ltd is trading below its 3-year average

If EV/GP returns to its 3-Year Average (3.1), the stock would be worth ₹568.9 (12% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+140%
Average Upside
68%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 2.7 ₹506.8
0%
3-Year Average 3.1 ₹568.9
+12%
5-Year Average 3.1 ₹581.29
+15%
Industry Average 5.6 ₹1 036
+104%
Country Average 6.5 ₹1 218.28
+140%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close
P/E Multiple
Earnings Growth PEG
IN
GHCL Ltd
NSE:GHCL
Average P/E: 69
9.6
4%
2.4
SA
Saudi Basic Industries Corporation SJSC
SAU:2010
Negative Multiple: -8.8 N/A N/A
ID
Chandra Asri Pacific PT Tbk
OTC:PTPIF
41.8
N/A N/A
US
Dow Inc
NYSE:DOW
Negative Multiple: -11 N/A N/A
ID
Chandra Asri Petrochemical Tbk PT
IDX:TPIA
24.8
N/A N/A
UK
LyondellBasell Industries NV
NYSE:LYB
Negative Multiple: -32 N/A N/A
CN
Hengli Petrochemical Co Ltd
SSE:600346
17.4
N/A N/A
TW
Nan Ya Plastics Corp
TWSE:1303
157.3
138%
1.1
KR
LG Chem Ltd
KRX:051910
Negative Multiple: -17.1 N/A N/A
CN
Rongsheng Petrochemical Co Ltd
SZSE:002493
189.3
82%
2.3
CN
G
Guangzhou Tinci Materials Technology Co Ltd
SZSE:002709
42.9
92%
0.5

Market Distribution

Lower than 83% of companies in India
Percentile
17th
Based on 2 475 companies
17th percentile
2.7
Low
0.2 — 4.1
Typical Range
4.1 — 10.8
High
10.8 —
Distribution Statistics
India
Min 0.2
30th Percentile 4.1
Median 6.5
70th Percentile 10.8
Max 34 392.2

GHCL Ltd
Glance View

GHCL Ltd. engages in the manufacture and trading chemical and textile products. The company is headquartered in Noida, Uttar Pradesh and currently employs 3,655 full-time employees. The firm is engaged in the business of manufacturing and trading of chemicals and yarn. The Company’s business includes chemicals and spinning businesses. In Chemicals, the Company mainly manufactures soda ash (Anhydrous Sodium Carbonate) that is used as a raw material for detergents and glass industries, and sodium bicarbonate (baking soda). The firm's Soda Ash is available in two categories: light soda ash, dense soda ash. The company also produces sodium bicarbonate, and these products are marketed in India under the brand name LION. In textiles, the Company's spinning unit at Madurai, Tamil Nadu produces various varieties of fiber (yarn), which is sold to domestic consumers as well as exported worldwide.

GHCL Intrinsic Value
568.59 INR
Undervaluation 11%
Intrinsic Value
Price ₹506.8
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