SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : GVP Infotech Ltd

BSE: 0 NSE: GVPTECH ISIN: INE382T01030
  |   Sector:  IT & ITES   |   Industry:  IT - Software

Snapshot

Q.1 Which industry/sub-sector does GVP Infotech Ltd belong to?
GVP Infotech Ltd belongs to the IT & ITES sector, operating specifically within the IT - Software segment.
Q.2 Is GVP Infotech Ltd a good quality company?
GVP Infotech Ltd is a average quality company, based on a somewhat consistent 10 year financial track record.
Q.3 Is GVP Infotech Ltd undervalued or overvalued?
GVP Infotech Ltd appears Fair, as its key valuation ratios are in line with their past averages.
Q.4 Is GVP Infotech Ltd a good buy now?
GVP Infotech Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of GVP Infotech Ltd?
GVP Infotech Ltd revenue growth is -64.6% for FY-2018 , which is below its 5 year CAGR of 98.3% , indicating slower growth.
Q.2 Gross Profit margin of GVP Infotech Ltd?
GVP Infotech Ltd Gross profit margin which is the profit after deduction of direct costs, is 12.6% for FY-2018 , which is above its 5 year median of 2.7% , indicating increasing margins.
Q.3 Operating Profit Margin of GVP Infotech Ltd?
GVP Infotech Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 12.59% for FY-2018 , which is above its 5 year median of 3.64% indicating increasing margins.
Q.4 Net Profit Margin of GVP Infotech Ltd?
GVP Infotech Ltd Net Profit Margin is 7.33% for FY-2018 , is above with its 5 year median of 1.47%, indicating increasing margins.
Current Level Historic Median
Gross Profit Margin 12.6 2.7
Operating Profit Margin 12.59 3.64
Net Profit Margin 7.33 1.47
Q.5 Return on Asset of GVP Infotech Ltd?
GVP Infotech Ltd Return on Asset is 6.84%, which is above its 5 year historical median of 3.93%, indicating improved asset utilization efficiency.
Q.6 Return on Equity (ROE) of GVP Infotech Ltd?
GVP Infotech Ltd Return on equity is 46.46% for FY-2018 , which is below its historical median of 63.13%, indicating the business is making worse use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of GVP Infotech Ltd?
GVP Infotech Ltd Return on capital employed is 71.18% for FY-2018 , which is above its estimated weighted average cost of capital(WACC) 14%, indicating value creation.
Q.8 Cash conversion cycle of GVP Infotech Ltd?
GVP Infotech Ltd Cash conversion cycle is -130 days, below its historical median of -9 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.93 2.74
ROE 46.46 63.13
ROCE 71.18 116.51
Cash Conversion Cycle -130 days -9 days
Q.9 Debt to Equity ratio of GVP Infotech Ltd?
GVP Infotech Ltd Debt-to-Equity ratio is 0.00 , which is lower with the industry average of 0.01 , indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of GVP Infotech Ltd?
GVP Infotech Ltd Debt to cash flow from operations is -0.23 , which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of GVP Infotech Ltd?
Promoters hold 74.80% of the GVP Infotech Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of GVP Infotech Ltd vs industry peers?
GVP Infotech Ltd revenue CAGR is -1.70% , compared to the industry median CAGR of 2.87% , indicating slower growth and losing its market share.
Profit Metrics
Current Level Industry Median
Revenue 528 23.3
Gross Profit 66.5 1.8
Operating Profit 66 1
Net Profit 39 0.8
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.93 0.44
ROE 46.46 3.97
ROCE 71.18 6.41
Cash Conversion Cycle (days) -130.34 36

Valuation & price assessment

Q.1 Stock return of GVP Infotech Ltd over the last decade?
Over the last 5 year(s), the stock has delivered a CAGR of -11.94% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price - -11.9% -37.7% -29.9%
Q.3 Valuation ratios of GVP Infotech Ltd vs historical?
The current P/E is lower that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 21.19 41.19 22.96
Price to Book 0.16 1.25 2.61
Price to Sales 1.09 6.74 4.40
EV to EBITDA 10.6 37.52 17.20

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

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

MoneyWorks4Me ensures this through:

×