Ghcl Limited (GHCL) AI Stock Analysis

• Market Cap: ₹54.31B
• Dividend Yield: 2.1%
• Average Volume (3M): 13.10K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 1.36
• Revenue Growth: -3.31%
• EPS Growth: 19.02%
• Country: IN
• Employees: 979
• Sector: Basic Materials
• Sector Strength: 60
• Industry: Chemicals
• EPS (TTM): 15.00
• Shares Outstanding: 96,072,080
• 10 Day Avg. Volume: 14,477
• 30 Day Avg. Volume: 13,101
• PEG Ratio: -0.45
• Price to Book (P/B): 1.72
• Price to Sales (P/S): 1.89
• P/FCF Ratio: 18.62
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹659.00
• Price Target Upside: 16.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ₹659.00 ▲(16.58% Upside)

Ghcl Limited shows a solid financial foundation with a strong balance sheet and effective operational profitability. The valuation is appealing due to the low P/E ratio and reasonable dividend yield. However, technical indicators and revenue inconsistencies present challenges that moderate the overall score.

Ghcl Limited Business Overview & Revenue Model

Company Description

GHCL Limited is an Indian company that operates in the chemicals and textiles sectors. The company's chemicals division produces soda ash, a key raw material for industries such as glass, detergents, and silicates. GHCL's textiles segment focuses on the production and export of home textile products, including bed linens and cotton yarn. The company is known for its integrated operations, with manufacturing facilities strategically located to serve both domestic and international markets.

How the Company Makes Money

GHCL Limited generates revenue primarily through its two main business segments: chemicals and textiles. In the chemicals division, the company earns income by producing and selling soda ash and other specialty chemicals, which are essential components for various industrial applications. The textiles division contributes to earnings through the manufacturing and export of home textiles, leveraging partnerships with global retail brands and distributors. Additional revenue is derived from the company's ability to optimize its supply chain and production processes, ensuring cost-efficiency and competitive pricing in both domestic and international markets.

Ghcl Limited Financial Statement Overview

Summary

Ghcl Limited has a strong balance sheet with a low debt-to-equity ratio and healthy return on equity. However, there are inconsistencies in revenue growth and free cash flow generation, which pose challenges.

Income Statement

Ghcl Limited's income statement shows a mixed performance. The gross profit margin has shown stability, indicating efficient cost management. However, the net profit margin has been volatile, reflecting fluctuations in operational efficiency. The revenue growth rate has been inconsistent, with a noticeable decline in the latest fiscal year. EBIT and EBITDA margins have been relatively strong, suggesting good operational profitability despite the revenue challenges.

Balance Sheet

The balance sheet of Ghcl Limited is robust, with a low debt-to-equity ratio reflective of strong financial health and low leverage risk. The return on equity has been healthy, indicating effective use of shareholder funds. The equity ratio is quite high, showcasing a solid capital structure and financial stability.

Cash Flow

The cash flow statement indicates challenges in maintaining free cash flow growth, which has been inconsistent. The operating cash flow to net income ratio is favorable, suggesting that earnings quality is good. However, free cash flow to net income ratio shows variability, indicating potential issues in cash generation relative to profits.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2022	Dec 2022	Dec 2021
Income Statement
Total Revenue	31.83B	31.83B	34.36B	37.78B	45.45B	29.00B
Gross Profit	14.06B	15.19B	14.25B	19.88B	20.98B	14.66B
EBITDA	9.40B	8.76B	11.20B	7.32B	15.95B	6.02B
Net Income	6.24B	6.24B	7.94B	6.50B	11.42B	3.26B
Balance Sheet
Total Assets	41.85B	41.85B	37.70B	49.95B	51.33B	39.78B
Cash, Cash Equivalents and Short-Term Investments	10.80B	10.80B	8.93B	2.44B	5.17B	359.80M
Total Debt	1.19B	1.19B	2.10B	7.88B	3.61B	7.82B
Total Liabilities	6.97B	6.97B	7.91B	19.10B	11.78B	14.94B
Stockholders Equity	34.89B	34.89B	29.78B	30.86B	39.56B	24.84B
Cash Flow
Free Cash Flow	0.00	3.23B	6.91B	3.06B	4.99B	5.09B
Operating Cash Flow	0.00	6.38B	7.97B	6.43B	8.56B	6.21B
Investing Cash Flow	0.00	-3.58B	-5.34B	-3.37B	-4.03B	-1.09B
Financing Cash Flow	0.00	-2.30B	-3.38B	-980.70M	-5.36B	-5.69B

Ghcl Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 565.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GHCL, the sentiment is Negative. The current price of 565.3 is below the 20-day moving average (MA) of 589.14, below the 50-day MA of 596.91, and below the 200-day MA of 616.85, indicating a bearish trend. The MACD of -11.76 indicates Positive momentum. The RSI at 43.85 is Neutral, neither overbought nor oversold. The STOCH value of 25.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:GHCL.

Ghcl Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GHCL	71 Outperform	₹54.31B	8.77		2.10%	-3.31%	19.02%
GSFC	70 Outperform	₹81.33B	12.66		1.96%	3.26%	19.19%
IMFA	68 Neutral	₹40.61B	11.34		2.51%	-7.18%	-9.88%
GNFC	61 Neutral	₹73.87B	13.15		3.28%	-9.97%	9.60%
Sector *	61 Neutral	$10.08B	5.96	1.53%	3.00%	3.04%	-41.02%
BALAMINES	59 Neutral	₹49.90B	32.78		0.72%	-12.28%	-22.10%
GUJALKALI	56 Neutral	₹41.14B	―		2.47%	7.00%	72.50%

Ghcl Limited Corporate Events

GHCL Limited Approves Quarterly Financial Results and Cost Audit Report

GHCL Limited announced the approval of its unaudited standalone and consolidated financial results for the quarter ending June 30, 2025, in compliance with Indian Accounting Standards. The board also approved the Cost Audit Report for the financial year 2024-25, indicating a focus on transparency and regulatory compliance, which may impact stakeholder confidence positively.

GHCL Limited Reports Stable Financial Results for Q2 2025

GHCL Limited’s Board of Directors approved the un-audited standalone and consolidated financial results for the quarter ending June 30, 2025, in compliance with Indian Accounting Standards. The company reported no deviations in fund utilization and maintained a total financial indebtedness of ₹194.34 crore with no defaults. This financial stability and compliance reflect GHCL’s robust operational management and commitment to transparency, potentially reinforcing its market position and stakeholder confidence.