Gokul Agro Resources Analysis

dividend

Pros

Cons

• Unable to evaluate Gokul Agro Resources's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Gokul Agro Resources's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Gokul Agro Resources is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Gokul Agro Resources is profitable, therefore cash runway is not a concern.
• Gokul Agro Resources is profitable, therefore cash runway is not a concern.
• Debt is well covered by operating cash flow (47.2%, greater than 20% of total debt).
• Debt is covered by short term assets, assets are 5x debt.
• Gokul Agro Resources's cash and other short term assets cover its long term commitments.
• The level of debt compared to net worth has been reduced over the past 5 years (196% vs 80.2% today).

Cons

• Interest payments on debt are not well covered by earnings (EBIT is 1.2x annual interest expense, ideally 3x coverage).
• Gokul Agro Resources's level of debt (80.2%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Gokul Agro Resources board of directors is about average.
• Hiteshkumar's remuneration is about average for companies of similar size in India.
• Hiteshkumar's compensation has been consistent with company performance over the past year, both up more than 20%.
• The tenure for the Gokul Agro Resources management team is about average.

Cons

misc

Pros

Cons

• Gokul Agro Resources is not covered by any analysts.
• Gokul Agro Resources has significant price volatility in the past 3 months.

past

Pros

• Gokul Agro Resources's 1-year earnings growth exceeds its 5-year average (75.6% vs 17.4%)
• Gokul Agro Resources's year on year earnings growth rate has been positive over the past 5 years.
• Gokul Agro Resources has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
• Gokul Agro Resources's earnings growth has exceeded the IN Food industry average in the past year (75.6% vs 20.6%).

Cons

• Gokul Agro Resources used its assets less efficiently than the IN Food industry average last year based on Return on Assets.
• Gokul Agro Resources has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).

value

Pros

• Gokul Agro Resources's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Gokul Agro Resources's share price is below the future cash flow value, and at a substantial discount (> 40%).
• Gokul Agro Resources is good value based on assets compared to the IN Food industry average.
• Gokul Agro Resources is good value based on earnings compared to the IN Food industry average.
• Gokul Agro Resources is good value based on earnings compared to the India market.
• BSE:539725 is up 25% outperforming the Food industry which returned 5.5% over the past month.
• BSE:539725 is up 25% outperforming the market in India which returned 9% over the past month.

Cons

• 539725 underperformed the Food industry which returned 17.7% over the past year.
• 539725 underperformed the Market in India which returned -14.8% over the past year.