Overall Fundamental outlook

Business Operations:

Sector: Consumer Defensive
Industry: Packaged Foods

Patanjali Foods Limited engages in the processing of oil seeds and refining crude oil for edible use in India. The company operates through Edible Oils, Food & FMCG, and Wind Power Generation segments. The company offers crude and refined oil; vanaspati, bakery fats, seed extractions, and other related products; mustard, soyabean, sunflower, rice bran, sesame, groundnut, and roasted/virgin coconut oil; palm, castor, and soya derivatives, as well as glycerine; and soya value-added products, such as soya flakes, lecithin, textured vegetable protein, grits, flour, and soybean meal. It also provides food products comprising dry fruits, ghee, honey, flour, sugar, salt, juices, beverages/drinks, sharbat, roasted diet, herbal products, rice, pulses, spices, and namkeen products; biscuits, breakfast cereals, candy, jam, noodles, pickles, sauces, sweets, and tea products; soya chunks and granules, maxs millet, maxx millet oats, maxx nuts; and nutraceutical products. In addition, the company generates electricity from windmills; and trading of various products. It sells its products under the Patanjali, Nutrela, Mahakosh, Sunrich, and Ruchi Gold brands. The company was formerly known as Ruchi Soya Industries Limited and changed its name to Patanjali Foods Limited in June 2022. Patanjali Foods Limited was incorporated in 1986 and is based in Indore, India.

Revenue projections:

Revenue projections for PATANJALI
Revenue projections for PATANJALI

PATANJALI's revenue is projected to decrease from last year, a development that could lead investors to adopt a more cautious approach. A revenue decline can negatively affect profitability, signaling challenges for the company and making it less attractive for those seeking solid financial performance.

Financial Ratios:

currentRatio 2.101000
forwardPE 30.528202
debtToEquity 23.903000
earningsGrowth 0.671000
revenueGrowth 0.202000
grossMargins 0.151340
operatingMargins 0.049920
trailingEps 13.150000
forwardEps 16.755000

With a current ratio 2.101, PATANJALI demonstrates the ability to service its short-term debt without difficulty. The company's strong cash reserves and current assets ensure that it can meet its liabilities, reflecting financial stability and healthy liquidity.
Patanjali Foods Limited's low Debt-to-Equity ratio signals the company is not over-leveraged, meaning it has a conservative approach to debt. This reduces financial risk and indicates a stable financial foundation, providing flexibility and security, which can appeal to investors seeking lower-risk investments.
PATANJALI's positive earnings and revenue growth signal the company's business is on track for further expansion. These strong financial trends suggest that PATANJALI will continue to grow its operations, driven by increasing profits and revenue.
PATANJALI's forward EPS being higher than its trailing EPS indicates that the company is expected to achieve greater profitability this financial year. This suggests improving earnings and a stronger financial position compared to the previous year's performance.

Price projections:

Price projections for PATANJALI
Price projections for PATANJALI

The current price of PATANJALI, relative to its projections, shows no clear risks or opportunities. This neutral assessment may encourage investors to take a cautious approach, awaiting further developments before making substantial changes.

Recommendation changes over time:

Recommendations trend for PATANJALI
Recommendations trend for PATANJALI


Analysts have maintained a buy bias for Patanjali Foods Limited, which could prompt investors to consider the stock as a viable investment. With this positive outlook, Patanjali Foods Limited is positioned as an attractive option for those looking to park their money in a stable and potentially lucrative company.