Check Before You Invest : Godawari Power And Ispat Ltd

Q: Which industry/sub-sector does Godawari Power And Ispat Ltd belong to?

Godawari Power And Ispat Ltd belongs to the Metals & Mining sector, operating specifically within the Steel & Iron Products segment.

Q: Is Godawari Power And Ispat Ltd a good quality company?

Godawari Power And Ispat Ltd is a good quality company, based on a consistently good multi-year financial track record. This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q: Is Godawari Power And Ispat Ltd undervalued or overvalued?

Godawari Power And Ispat Ltd appears Overvalued, as its key valuation ratios are higher than their past averages. Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more. Valuation Ratios. Price to Earnings, Current: 24.72, Historic Median: 11.31. Price to Book, Current: 3.76, Historic Median: 2.33. Price to Sales, Current: 4.35, Historic Median: 1.68. EV to EBITDA, Current: 15.52, Historic Median: 7.09

Q: Is Godawari Power And Ispat Ltd a good buy now?

Godawari Power And Ispat Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Q: Revenue growth of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd revenue growth is -7.6% for FY-2025, which is below its 5-year CAGR of 10.94%, indicating slower growth.

Q: Gross Profit margin of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Gross profit margin which is the profit after deduction of direct costs, is 25.2% for FY-2025, which is in line with its 5-year median of 25.8%, indicating stable margins.

Q: Operating Profit Margin of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 24.08% for FY-2025, which is below its 5-year median of 25.9% indicating decreasing margins.

Q: Net Profit Margin of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Net Profit Margin is 16.51% for FY-2025, is in line with its 5-year median of 17.19%, indicating stable margins. Profitability Metrics. Gross Profit Margin (%), Current: 25.2, Historic Median: 25.8. Operating Profit Margin (%), Current: 24.08, Historic Median: 25.9. Net Profit Margin (%), Current: 16.51, Historic Median: 17.19

Q: Return on Asset of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Return on Asset is 14.28%, which is below its 5-year historical median of 18.74%, indicating deteriorated asset utilization efficiency.

Q: Return on capital employed (ROCE) of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Return on capital employed is 23.44% for FY-2025, which is below its 5-year historical median of 31.3%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 13.5%, indicating value creation.

Check Before You Invest : Godawari Power And Ispat Ltd

Snapshot

Q.1 Which industry/sub-sector does Godawari Power And Ispat Ltd belong to?

Godawari Power And Ispat Ltd belongs to the Metals & Mining sector, operating specifically within the Steel & Iron Products segment.

Q.2 Is Godawari Power And Ispat Ltd a good quality company?

Godawari Power And Ispat Ltd is a good quality company, based on a consistently good multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is Godawari Power And Ispat Ltd undervalued or overvalued?

Godawari Power And Ispat Ltd appears Overvalued, as its key valuation ratios are higher than their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios	Current	5-year Historic Median
Price to Earnings	24.72	11.31
Price to Book	3.76	2.33
Price to Sales	4.35	1.68
EV to EBITDA	15.52	7.09

Q.4 Is Godawari Power And Ispat Ltd a good buy now?

Godawari Power And Ispat Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

How has it performed on generating Profits?
By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.
How efficiently has it utilized Capital?
By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.
How is it managing its Debt?
By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd revenue growth is -7.6% for FY-2025, which is below its 5-year CAGR of 10.94%, indicating slower growth.

Q.2 Gross Profit margin of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Gross profit margin which is the profit after deduction of direct costs, is 25.2% for FY-2025, which is in line with its 5-year median of 25.8%, indicating stable margins.

Q.3 Operating Profit Margin of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 24.08% for FY-2025, which is below its 5-year median of 25.9% indicating decreasing margins.

Q.4 Net Profit Margin of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Net Profit Margin is 16.51% for FY-2025, is in line with its 5-year median of 17.19%, indicating stable margins.

	Current Level	5-year Historic Median
Gross Profit Margin (%)	25.2	25.8
Operating Profit Margin (%)	24.08	25.9
Net Profit Margin (%)	16.51	17.19

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Return on Asset is 14.28%, which is below its 5-year historical median of 18.74%, indicating deteriorated asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Return on capital employed is 23.44% for FY-2025, which is below its 5-year historical median of 31.3%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 13.5%, indicating value creation.

Q.7 Return on Equity (ROE) of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Return on equity is 17.21% for FY-2025, which is below its 5-year historical median of 23.29%, indicating the business is making worse use of its shareholders capital.

Q.8 Cash conversion cycle of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Cash conversion cycle is 24 days, below its 5-year historical median of 28 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover (x)	0.86	1.18
ROE (%)	17.21	23.29
ROCE (%)	23.44	31.3
Cash Conversion Cycle	24 days	28 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Debt-to-Equity ratio is 0.06, which is lower the industry average of 0.31, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of Godawari Power And Ispat Ltd?

Godawari Power And Ispat Ltd Debt to cash flow from operations is 0.3, which is at a healthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Godawari Power And Ispat Ltd?

Q.1 Promoter shareholding and pledge status of Godawari Power And Ispat Ltd?

Promoters hold 63.34% of the Godawari Power And Ispat Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Godawari Power And Ispat Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Godawari Power And Ispat Ltd vs industry peers?

Godawari Power And Ispat Ltd revenue CAGR is 10.94%, compared to the industry median CAGR of 7.56%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth (%)	-7.6	7.6
Gross Profit Growth (%)	-12.8	19.2
Operating Profit Growth (%)	-14.4	13.8
Net Profit Growth (%)	-16	24.6

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover (x)	0.86	1.27
ROE (%)	17.21	8.04
ROCE (%)	23.44	11.28
Cash Conversion Cycle (days)	23.84	72

Valuation & price assessment

Q.1 Stock return of Godawari Power And Ispat Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 56% based on the current price.

	9Y	5Y	3Y	1Y
Share Price CAGR	56%	41.1%	58.1%	65.6%

Q.2 Valuation ratios of Godawari Power And Ispat Ltd vs historical?

The current P/E ratio of 24.72 is higher than its historical median of 11.31, indicating that the stock is trading above its historical average valuation.

Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	24.72	11.31	17.36
Price to Book	3.76	2.33	1.63
Price to Sales	4.35	1.68	0.74
EV to EBITDA	15.52	7.09	10.05

Check more companies

1. Welspun Corp

2. Shyam Metalics&Ener

3. Gallantt Ispat

4. Sarda Energy&Min.

5. Ratnamani Metals

6. Godawari Power & Isp

7. Jindal Saw

8. Usha Martin

9. NMDC Steel

10. Jayaswal Neco Inds

Check trending companies

1. UCO Bank

2. HBL Engineering Ltd.

3. Cello World Ltd.

4. Welspun Corp Ltd.

5. Tata Motors Ltd.

Check Before You Invest : Godawari Power And Ispat Ltd

Snapshot

Performance Analysis

Ownership & governance

Peer comparison (industry-wise, mcap)

Profit Metrics

Operating Efficiency

Valuation & price assessment

Check more companies

Check trending companies

About MoneyWorks4Me

Our Vision

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

Name of the IA registered with SEBI:	The Alchemists Ark Pvt. Ltd.
Logo:
Trade/Brand Name of IA:	MoneyWorks4Me Investment Advisers
Brand Logo:
SEBI Registration Number:	INA000013323 Validity – May 16, 2019 – Perpetual
Registration:	Non-Individual
BSE Enlistment No:	1187
Address:	B-101, Signet Corner Building, Balewadi Phata, Baner, Pune, Maharashtra 411045
Compliance officer Details:	Name: Shrikant Jagtap Email: shrikant.jagtap@moneyworks4me.com Telephone: +919860359463 Address: Same as IA
Grievance Officer Details:	Name: Mukta Vaze Email: mukta.vaze@moneyworks4me.com Telephone: +91 98609 19463 Address: Same as IA
Principal Officer Details:	Name: Atharva Bhide Email: atharva.bhide@moneyworks4me.com Telephone: +91 91758 99463 Address: Same as IA
Standard Warning:	Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Disclaimer:	Registration granted by SEBI, enlistment with exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.