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Garg Furnace Ltd (530615)

Share Analysis – Quality, Valuation Zone, Price Trend & DeciZen Rating BSE: 530615 NSE: Steel & Iron Products | Small Cap | Garg Furnace Share Price

₹168.05 11.20 (7.14%)

As on 03-Sep'26 16:59

Garg Furnace Ltd (530615)

Share Analysis – Quality, Valuation Zone, Price Trend & DeciZen Rating BSE: 530615 NSE: Steel & Iron Products | Small Cap | Garg Furnace Share Price

₹168.05 11.20 (7.14%)

As on 03-Sep'26 16:59

Key Metrics
Valuation Multiples
Market Cap
₹107 Cr.
Current Price
₹168.1
52-Week Low / High
₹109 / 198
TTM EPS
₹15.8
TTM Sales
₹286 Cr.
Book Value per Share
₹147.7
P/E Ratio
9.96
Higher than its 5-year historical median
Industry PE
24.9
Price to Book (P/B)
1.06
Lower than its 5-year historical median
Price to Sales (P/S)
0.37
Higher than its 5-year historical median
EV/EBITDA
7.81
In line with its 5-year historical median
Dividend Yield
0%
Profitability Efficiency
Return on Equity (ROE)
13.51%
Outperforms industry median
Return on Capital Employed (ROCE)
12.80%
Outperforms industry median
Return on Assets (ROA)
9.75%
Operating Profit Margin
4.4%
Net Profit Margin
3.56%
Gross Profit Margin
4.4%
Growth Momentum
1-yr vs 3-yr growth
Sales Growth (1 Year)
Improving versus 3-year growth rate
10.58%
Operating Profit Growth (1 Year)
Improving versus 3-year growth rate
66.45%
Net Profit Growth (1 Year)
Improving versus 3-year growth rate
34.69%
Asset Quality
Promoter Holding
56.91%
Pledged shares (%) of Promoter's holding (%)
0.00%
Reserves
₹94 Cr.
Equity
₹6.8 Cr.
Face Value
₹10
All Time Low / High
₹2.45 / 441.20

Garg Furnace stock performance

Key Ratios
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Check Before You Invest

Quality

Somewhat Good

Valuation

Fair

Price Trend

Weak
Q.1 Is Garg Furnace Ltd a good quality company?
Garg Furnace Ltd is a average quality company, based on a somewhat consistent 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.

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.

How does Garg Furnace Ltd performance compare with that of its Peers?
Q.1 Revenue growth of Garg Furnace Ltd vs industry peers?
Garg Furnace Ltd revenue CAGR is 19.37%, compared to the industry median CAGR of 7.75%, indicating faster growth and gaining its market share.
Q.1 Promoter shareholding and pledge status of Garg Furnace Ltd?
Promoters hold 56.91% of the Garg Furnace Ltd, with 0.00% of their stake pledged, indicating no pledge risk.
Q.1 Stock return of Garg Furnace Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 28.8% based on the current price.

10 Year X-Ray :

Analysis of Financial Track Record (Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end)

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Garg Furnace Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26TTM
ROCE % -14.6%-0.9%9.2%13.3%-22%31.8%24.2%15.2%13.6%12.8%-
Value Creation
Index
-2.1-1.1-0.3-0.1-2.61.30.70.10.0-0.1-

Growth Parameters

Sales 53.565.711298.5119179238258262289286
Sales YoY Gr.-22.7%70.3%-11.9%21.1%49.6%33.4%8.3%1.4%10.6%-
Adj EPS -33.5-0.3-7.1-9.9-6.215.815.412.115.315.215.8
YoY Gr.-NANANANANA-2.1%-21.9%26.6%-0.5%-
BVPS (₹) 10.910.623.43321.236.851.682.4106.8145.2147.7
Adj Net
Profit
-13.4-0.1-2.8-4-2.56.36.25.67.710.311
Cash Flow from Ops. -1.22.830.922.83.10.38.5-13.43.8-12.3-
Debt/CF from Ops. -62.725.91.30.42.540.40.6-0.10.4-1.4-

CAGR

9 Years 5 Years 3 Years 1 Years
Sales 20.6%19.4%6.7%10.6%
Adj EPS NANA-0.5%-0.5%
BVPS33.3%47%41.2%36%
Share Price 29.2% 52.9% 4.4% -10.1%

Key Financial Parameters

Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26TTM
Return on
Equity %
-120.2-3-41.5-35-23.154.534.91613.812.810.8
Op. Profit
Mgn %
-21.2-6.7-5.4-6.50.14.23.22.334.55
Net Profit
Mgn %
-25.1-0.2-2.5-4-2.13.52.62.22.93.63.8
Debt to
Equity
17.117.24.10.70.90.70.2000.2-
Working Cap
Days
46333515412386615555597645
Cash Conv.
Cycle
216165876643353332383932

Valuation of Garg Furnace - Standalone

YTD 1Y 3Y 5Y 10Y Max
mw4me loader

YTD 1Y 3Y 5Y 10Y Max
mw4me loader

YTD 1Y 3Y 5Y 10Y Max
mw4me loader

YTD 1Y 3Y 5Y 10Y Max
mw4me loader

mw4me loader

Analyst's Notes

data not found
No data found!

Management X-Ray

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Financials

PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26
Sales546611299119179238258262289
Operating Expenses + 6570118105119171231252254277
Manufacturing Costs20182715162024252826
Material Costs43498888100150205224223247
Employee Cost 1122112222
Other Costs 1211211111
Operating Profit -11-4-6-70776813
Operating Profit Margin (%) -21.4%-6.7%-5.5%-6.7%0.1%4.2%3.1%2.3%2.9%4.4%
Other Income + 0522000121
Exceptional Items -001111-300000
Interest 1111000000
Depreciation 1111111222
Profit Before Tax -14-154-5666811
Tax 0-100000001
Profit After Tax -14-054-5666810
PAT Margin (%) -25.3%-0.2%4.6%3.6%-3.9%3.5%2.5%2.2%2.9%3.6%
Adjusted EPS (₹)-33.8-0.312.78.9-11.715.814.812.115.315.1
Dividend Payout Ratio (%)0%0%0%0%0%0%0%0%0%0%
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26

Equity and Liabilities

Shareholders Fund + 4491381521385399
Share Capital 4444444557
Reserves 005941117334892
Debt +66653087941115
Long Term Debt55587941112
Short Term Debt6160260000002
Minority Interest0000000000
Trade Payables94677799710
Others Liabilities 1291320221925131610
Total Liabilities 928258484450596178133

Fixed Assets

Net Fixed Assets +22212019141515141414
Gross Block23232424202223242527
Accumulated Depreciation134557891112
CWIP 0000000000
Investments 22000000437
Inventories311171111171581620
Trade Receivables3523119111018232320
Cash Equivalents 02002239139
Others Assets 30221096578734
Total Assets 928258484450596178133
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26
Cash Flow From Operating Activity + -133123308-134-12
PBT -14-154-5666811
Adjustment 2213712112
Changes in Working Capital 10224171-71-20-5-25
Tax Paid 00-0-0-0-0-000-0
Cash Flow From Investing Activity + 0-03-0-0-2-4-0-5-36
Capex 0-02-0-0-2-2-1-2-1
Net Investments -0000-0-0-2-0-4-35
Others 0010000000
Cash Flow From Financing Activity + -1-1-35-23-22-619642
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing 000-22-12-5-3-011
Interest Paid -1-1-1-1-0-0-0-0-0-0
Dividend Paid 0000000000
Others 00-35-0-00-122631
Net Cash Flow -22-2-011-154-6
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26
Ratios
ROE (%)-121.48-3.0174.9531.74-43.3754.4833.5318.9416.713.51
ROCE (%)-14.64-0.929.2413.33-21.9831.7624.1715.1613.6112.8
Asset Turnover Ratio0.590.781.591.862.63.814.394.313.772.74
PAT to CFO Conversion(x)N/AN/A6.25.75N/A01.33-2.170.5-1.2
Working Capital Days
Receivable Days235.50157.6055.7037.703121.5021.4028.4031.9027.10
Inventory Days41.8037.2045.9051.2033.3028.7024.8016.3016.6022.60
Payable Days89.7045.5020.1026.602517.4014.4014.3012.9012.30

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Garg Furnace Ltd FAQs

The current trading price of Garg Furnace on 03-Sep-2026 16:59 is ₹168.1.

Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 02-Sep-2026 the market cap of Garg Furnace stood at ₹106.8 Cr

The latest P/E ratio of Garg Furnace as of 02-Sep-2026 is 9.96.

The latest P/B ratio of Garg Furnace as of 02-Sep-2026 is 1.06.

The 52-week high of Garg Furnace is ₹198.0 and the 52-week low is ₹108.7.

The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Garg Furnace is ₹286 ( Cr.) .

Past 10 year's financial track record analysis by Moneyworks4me indicates that Garg Furnace Ltd is a average quality company.

The key valuation ratios of Garg Furnace Ltd's currently when compared to its past seem to suggest it is in the Fair zone.

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Garg Furnace Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

About Garg Furnace Ltd

Garg Furnace (GFL) was set up in 1973 by Dharam Pal Garg and Jagdish Chand Garg. The company has emerged as one of northern India's leading alloy and non alloy steel manufacturer.

The company is the part of Garg Group of companies. Its other group companies are Garg Acrylic Limited and Sudhir Forgings Limited.

The GFL Induction Melting Furnaces are a class apart. For power-efficiency, product quality and yield GFL has different capacity of induction furnaces -each embodying the latest in design and technology. At present the company is manufacturing Alloy and non Alloy steel ingots.

Garg Furnace's has 50,000 sq. yards manufacturing plant with power-efficient induction furnaces, the GFL Induction Melting Furnaces are a class apart. For power-efficiency, product quality and yield GFL has different capacity of induction furnaces -each embodying the latest in design and technology.

The company has fully automatic wire rod mill and rolling mill manufacturing; TMT bars for the construction industry as well as wire rods, ms rounds and ms square. The company follows modern production processes and superior on-line quality control measures.

The company has its own casting facilities which  represents a cross-section of industry - Railways, Defense, Thermal and Hydel Power Plants, Sugar Mills, Cement and Fertilizer Plants, Mines, Light Engineering Industry, etc.

The company has its own forging facilities having drop hammers, presses and machining facilities supplying forgings of different components viz. Auto components like all types of Bevel gears-Pinions, Levers. Crank- Cam Shafts, Crosses, Crown wheels etc. and forgings used in construction like Scaffoldings, Thread bars (Dywidag thread) and Fitments like Wing nuts of similar type. In Addition to that we manufacture Nuts, Bolts, Stouts, Long thread bars upto 20ft length and different types of washers.

At Garg Furnace Limited quality control is a credo. This commitment starts with the raw material input. For instance, imported steel scrap is preferred as raw material. Then, there's a special quality control lab, which constantly monitors quality at each and every stage of manufacture. All the critical manufacturing processes occur In-house, all under one roof, quality products are manufactured.

A testimony Garg Furnace Limited's success is its impressive list of clients- representing a cross-section of industry - Railways, Defense, Thermal and Hydel Power Plants, Sugar Mills, Cement and Fertilizer Plants, Mines, Light Engineering Industry etc. etc. - most of whom have been steadfastly loyal to GFL products for over twenty years.

GFL has now stepped into the export market, exporting steel casting to the Middle East Countries. In the future, exports will be a major thrust area for GFL.

At present the Company is manufacturing Alloy and non Alloy steel ingots that includes:

  • Cross for LCVs, trucks and tractors.
  • Bevel-pinions for all tractors, cars, and Light Commercial Vehicles
  • All sorts of gears Viz. first, second, third, fourth, reverse and other high speed gears.
  • Steering arm for all the automobiles
  • TMT Rods: in the sizes of  M.S. Round in 25mm to 100mm and M.S. Strip in all sizes.
  • Wire Rod: in the size of 6mm to 16mm.

Different divisions of the company include:

  • Casting Division:   Since its inception the company has been serving the nation by meeting the requirements of casting components for strategic industries like Indian Railways, Thermal and Hydel Power plants, Fertilizer, Sugar and Cement plants & Mines etc. GFL in its casting division, manufacture various types of Steel and Alloy Steel Casting in different IS/BS/AISI specifications in the weight range of 20 Kgs. to 3000 Kgs. (single piece).
  • Rolling Division:  Ludhiana is the home of small scale units, engaged in the manufacture of Bicycles, Sewing Machines and Hosiery Machinery parts. M.S. round and strips are the basic raw-material for these units. To provide better quality materials to this sector, GFL has installed its own rolling mill, where Carbon Steel round/strip of different sizes is manufactured. Due to superior quality, competitive prices and a wide range, the company's products have an edge in the market.
  • Forging Division: The company provides products in finished as well as forged condition. It produces Bevel-pinions for all tractors, cars, and Light Commercial Vehicles. The company is supplying them in forged and spheriodised condition as well as machined.
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