Grindwell Norton Ltd Stock Analysis

BSE: 506076 | NSE: GRINDWELL | Abrasives | Large Cap

BSE Share Price Jan 27, 18:01
1857.80 -29.85 (-1.58%)

DeciZen - Make an Informed Decision on Grindwell Norton

Overall Rating
See How?

1. Quality

2. Valuation

Overvalued
P/E P/S EV/EBITDA

3. Price Trend

FAQ's

1. Is Grindwell Norton Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Grindwell Norton Ltd is a good quality company.

2. Is Grindwell Norton Ltd undervalued or overvalued?

The key valuation ratios of Grindwell Norton Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Grindwell Norton Ltd a good buy now?

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

10 Year X-Ray of Grindwell Norton:

Analysis of Financial Track Record

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.
Grindwell Norton Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Value Creation Index Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % 23.9%19.9%15.2%16.8%14.2%14%15.8%15.6%15.8%19%-
Value Creation Index 0.70.40.10.20.0-00.20.20.20.4-

Growth Parameters

Growth Parameters Colour Code Guide
Sales 9079459421,1101,1261,2361,4051,5671,5521,6331,903
YoY Gr. Rt. %-4.3%-0.4%17.9%1.4%9.8%13.7%11.5%-0.9%5.2%-
Adj EPS 9.48.87.48.98.810.413.314.515.921.526.1
YoY Gr. Rt. %--5.9%-16.1%20.4%-1%17.6%28.5%8.9%9.5%35.4%-
BVPS (₹) 41.746.750.455.468.379.788.197.4105.3121.5125.3
Adj Net Profit 10497.781.998.697.6115148161176238289
Cash Flow from Ops. 11110196.198.113116112481.9307331-
Debt/CF from Ops. 0000000000-

CAGR

CAGR Colour Code Guide
9 Years 5 Years 3 Years 1 Years
Sales 6.8%7.7%5.1%5.2%
Adj EPS 9.7%19.5%17.3%35.4%
BVPS 12.612.211.315.3
Share Price 31.5% 41.7% 48.9% 170%

Key Financial Parameters

Performance Ratio Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % 23.819.815.116.714.213.915.815.515.618.821.2
Op. Profit Mgn % 16.915.21414.81514.616.916.616.219.821.2
Net Profit Mgn % 11.410.38.78.98.79.310.510.311.314.615.2
Debt to Equity 00000000000
Working Cap Days 107111113112129121122133141132230
Cash Conv. Cycle 56586060735442575934146

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 21.20%

Net Profit is growing at healthy rate in last 3 years 17.31%

Sales growth is good in last 4 quarters at 40.79%

Sales growth has been subdued in last 3 years 5.13%

Latest Financials - Grindwell Norton Ltd.

Standalone Consolidated
TTM EPS (₹) 26.1 25.5
TTM Sales (₹ Cr.) 1,903 1,906
BVPS (₹.) 125.3 125.8
Reserves (₹ Cr.) 1,332 1,337
P/BV 15.06 15.01
PE 72.30 73.93
From the Market
52 Week Low / High (₹) 672.45 / 2025.45
All Time Low / High (₹) 2.50 / 2025.45
Market Cap (₹ Cr.) 20,900
Equity (₹ Cr.) 55.4
Face Value (₹) 5
Industry PE 67.4

Management X-Ray of Grindwell Norton :

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 (%)

Event Update

Analyst's Notes

News

About Grindwell Norton Ltd

Grindwell Norton (GNO), a company listed on the Bombay and National Stock Exchanges, pioneered the manufacture of grinding wheels in India in 1941. In 1990, Saint-Gobain acquired Norton Company, USA, worldwide and thereby became a shareholder in GNO. In 1996, Saint-Gobain increased its equity stake, making GNO its first majority-owned subsidiary in India.

Presently, GNO’s businesses include: Abrasives, Ceramic Materials Businesses (Silicon Carbide and Performance Ceramics & Refractories), Performance Plastics and ADFORS. The Saint-Gobain Country Head office, INDEC (the captive India IT Development Centre for the Saint-Gobain Group globally) and CertainTeed are also part of GNO. GNO’s subsidiary, Saint-Gobain Ceramic Materials Bhutan Pvt. Ltd., manufactures Silicon Carbide. The Group currently holds 51.66% of the equity capital of GNO.

Business area of the company

Abrasives Business: GNO’s Abrasives Business, markets and manufactures a full range of Bonded Abrasives, Coated Abrasives (including Non-woven Abrasives), Thin Wheels and Superabrasives at its plants near Mumbai, Bangalore, Nagpur and Himachal Pradesh.

Ceramics Business: The Performance Ceramics & Refractories (PCR) business offers complete solutions with expertise in design, engineering and manufacturing refractory systems for high temperature, ballistic and wear applications. The HPR plants are located in Bangalore and Halol (Gujarat). The Silicon Carbide business manufactures Silicon Carbide crude and grains at Tirupati (Andhra Pradesh) and near Phuentsholing (Bhutan) and is a major supplier to all leading Refractory, Metallurgy and Abrasives manufacturers in India.

Other Businesses: GNO’s other businesses include: CertainTeed (subsidiary of Saint-Gobain) and INDEC (the captive India IT Development Centre for the Saint-Gobain Group globally).

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