Overall Fundamental outlook

Business Operations:

Sector: Basic Materials
Industry: Building Materials

Grasim Industries Limited, together with its subsidiaries, primarily operates in fibre, yarn, pulp, chemicals, textile, fertilizers, and insulators businesses in India and internationally. The company operates through Cellulosic Fibres, Chemicals, Building Materials, Financial Services, and Others segments. The Cellulosic Fibres segments offers cellulosic staple fibre; and cellulosic fashion yarn. The Chemicals segment provides chlor-alkali comprising caustic soda; chlorine derivatives, such as chloromethanes and phosphoric acid; and specialty chemicals, that include epoxy polymers and curing agents. The Building Materials segment offers grey cement, white cement-based putty, and ready-mix concrete; and decorative paints comprising interior and exterior water- based paints, enamel paints, wood finishes, waterproofing solutions, and wallpapers under the Birla Opus brand name. This segment also provides painting services under the PaintCraft brand name; and operates Birla Pivot, a business-to-business e-commerce platform for building and construction materials, as well as credit solutions. The Financial Services segment offers non-banking financial services, housing finance, asset management, and health and life insurance, protection, investments, advisory, and value-added services. The Others segment provides textile products, such as linen fabrics, wool tops and worsted yarn, and cotton fabrics under Linen Club, Cavallo, Soktas, and Giza House brands; manufactures and sells ceramic and composite insulators for transmission and distribution lines, sub-stations, power equipment, and railway electrification industries; and engages in the generation of electricity of 894 MW capacity through 42 project comprising solar panels, wind turbines, solar-wind hybrids, and floating solar systems. The company was incorporated in 1947 and is based in Mumbai, India.

Revenue projections:

Revenue projections for GRASIM
Revenue projections for GRASIM

GRASIM is projected to see a decline in revenue compared to last year, which could lead to investor caution. A drop in earnings is often viewed as a negative signal for profitability, making it more difficult for the company to maintain investor confidence in its financial health.

Financial Ratios:

currentRatio 0.915000
forwardPE 22.459127
debtToEquity 126.634000
earningsGrowth 0.396000
revenueGrowth 0.189000
grossMargins 0.567300
operatingMargins 0.144680
trailingEps 63.730000
forwardEps 122.845380

GRASIM's Forward PE being in a good range suggests that its stock price is aligned well with earnings. The stock is not considered overpriced, offering room for future growth, which makes it an appealing investment opportunity with the potential for value appreciation.
Grasim Industries Limited's high debt-to-equity ratio indicates the company is using significant leverage, relying more on debt to finance its operations. This can lead to higher risk, especially if profitability falters or economic conditions worsen.
Grasim Industries Limited's positive earnings and revenue growth signal that the company is expected to expand its business. This healthy financial trend reflects an optimistic outlook, suggesting continued growth in both sales and profits for Grasim Industries Limited.
With a forward EPS greater than its trailing EPS, Grasim Industries Limited is expected to see higher profitability this year. The forecasted increase in earnings reflects optimism about the company's financial growth and potential for improved performance over the prior year.

Price projections:

Price projections for GRASIM
Price projections for GRASIM

Over time, price projections for GRASIM have gradually risen, signaling growing optimism about the company's future. This upward revision reflects increasing confidence in GRASIM's ability to achieve strong financial results.

Recommendation changes over time:

Recommendations trend for GRASIM
Recommendations trend for GRASIM


Analysts have shown a buy bias for GRASIM, marking it as a favorable investment option. This could inspire investors to see GRASIM as a strong place to park their money, given the positive outlook and growth potential associated with the stock in recent evaluations.