Godrej Agrovet Limited (GODREJAGRO) AI Stock Analysis

• Market Cap: ₹113.24B
• Dividend Yield: 1.92%
• Average Volume (3M): 11.97K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 0.83
• Revenue Growth: 5.24%
• EPS Growth: 9.79%
• Country: IN
• Employees: 2,664
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 6.35
• Shares Outstanding: 192,329,000
• 10 Day Avg. Volume: 12,836
• 30 Day Avg. Volume: 11,967
• PEG Ratio: 1.73
• Price to Book (P/B): 6.07
• Price to Sales (P/S): 1.54
• P/FCF Ratio: 19.42
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 23.77
• Revenue Forecast (FY): ₹100.91B

• Rating: 58 Neutral
• Price Target: ₹678.00 ▲(18.91% Upside)
• Action: Reiterated Date: 11/08/25
• Date: Action: Reiterated 11/08/25

Godrej Agrovet Limited's overall stock score is primarily influenced by its solid financial performance, particularly in cash flow generation and operational efficiency. However, the bearish technical indicators and relatively high valuation detract from its attractiveness. The absence of recent earnings call insights or notable corporate events leaves the financial and technical analysis as the primary determinants of the score.

Positive Factors

Strong cash generation

Substantial free cash flow growth and high cash conversion ratios indicate durable internal funding for operations, capex and strategic investments. This reduces reliance on external financing, supports reinvestment across segments, and strengthens financial flexibility over the next several quarters.

Diversified agribusiness portfolio

A multi-vertical business model spreads revenue and margin risk across feed, palm oil, crop protection, dairy and poultry. Structural diversification limits single-market exposure, allowing crop or commodity headwinds in one segment to be offset by stability or growth in others over 2–6 months.

Manageable leverage & solid ROE

Moderate leverage and a strong return on equity point to prudent capital structure and effective use of shareholder capital. This balance supports resilience to cyclical pressures, capacity for targeted investments, and long-term shareholder returns without excessive financial risk.

Negative Factors

Low net margin & uneven revenue

Despite reasonable gross margins, low net profitability and recent revenue decline signal pressure below the operating line. Persistent cost or overhead issues could erode earnings durability, constraining free cash flow expansion and investor returns if not addressed structurally.

High exposure to commodity volatility

Significant input-price exposure across feed, palm oil and dairy makes margins vulnerable to commodity swings and policy shifts. Over a medium horizon, adverse commodity trends or subsidy/regulatory changes can materially compress margins and cash generation across segments.

EBITDA compression from D&A and costs

A notable gap between EBIT and EBITDA suggests heavy non-cash charges or asset base wear. High depreciation/amortization and operating cost structure can limit reported EBITDA and free cash conversion, reducing flexibility for margins improvement and capital allocation.

Godrej Agrovet Limited Business Overview & Revenue Model

Company Description

Godrej Agrovet Limited, an agri-business company, provides products and services that enhance crop and livestock yields in India and internationally. It operates through Animal Feed, Crop Protection, Vegetable Oil, Real Estate, Seed Business, Energy Generation through Windmill, and Cattle Breeding segments. The company offers animal feed, such as cattle, poultry, and aqua feed. It also engages in the oil palm cultivation with approximately 75,000 hectares of plantations across Andhra Pradesh, Telangana, Tamil Nadu, Goa, Maharashtra, and Mizoram producing crude palm oil, crude palm kernel oil, and palm kernel cake. In addition, the company produces and markets crop protection products, including plant growth regulators, bio-stimulants, herbicides, insecticides, fungicides, and fertilizers and organic manures. Further, it manufactures and markets poultry and meat products under the Real Good Chicken name; vegetarian and non-vegetarian ready-to-cook products under the Godrej Yummiez name; and processes and sells milk and milk products under the Godrej Jersey brand. Additionally, the company produces agrochemical active ingredients, intermediates, bulk and formulations, and pharmaceutical intermediates. The company was incorporated in 1991 and is based in Mumbai, India. Godrej Agrovet Limited is a subsidiary of Godrej Industries Limited.

How the Company Makes Money

Godrej Agrovet generates revenue through several key streams. Primarily, it earns from the production and sale of animal feeds, which constitute a significant portion of its revenue. The company also has a strong presence in the crop protection segment, offering pesticides and herbicides that contribute to its earnings. Additionally, the oil palm business, which includes cultivation and processing, adds to the revenue base. Dairy products, including milk and value-added products, represent another major revenue source. The company has established strategic partnerships with various stakeholders in the agriculture value chain, enhancing its market reach and operational efficiency. Factors such as rising demand for quality food products, increasing agricultural productivity, and a focus on sustainable farming practices also significantly contribute to its financial performance.

Godrej Agrovet Limited Financial Statement Overview

Summary

Godrej Agrovet Limited presents a solid financial profile with strengths in cash flow generation and operational efficiency. The company maintains a balanced leverage position, but there are challenges in sustaining revenue growth and net profitability. Continued focus on cost management and strategic investments could further enhance its financial performance. Overall, the company's financials are stable with room for improvement in certain areas.

Income Statement

Godrej Agrovet Limited has shown a mixed performance in its income statement. The gross profit margin stands at 25.75% for the latest year, indicating reasonable profitability from its core operations. However, the net profit margin is relatively low at 4.59%, suggesting high operating costs or other expenses. Revenue growth has been inconsistent, with a decline of -1.22% in the latest year. The EBIT margin is strong at 20.04%, but the EBITDA margin is lower at 8.73%, highlighting significant depreciation and amortization expenses. Overall, the income statement reflects stable operating efficiency but faces challenges in net profitability and growth.

Balance Sheet

The balance sheet of Godrej Agrovet Limited indicates a moderate financial position. The debt-to-equity ratio is 0.59, showcasing a balanced leverage level. Return on equity (ROE) is 18.05%, reflecting decent returns for shareholders. The equity ratio stands at 43.16%, implying a strong equity base relative to total assets. While leverage is manageable, further improvement in equity and asset utilization could enhance financial stability.

Cash Flow

Godrej Agrovet Limited demonstrates strong cash flow generation capabilities. The free cash flow growth rate is substantial at 153.67%, highlighting significant improvement in liquidity. The operating cash flow to net income ratio is 2.26, indicating effective cash conversion. The free cash flow to net income ratio is 1.73, suggesting efficient capital management. The cash flow statement reflects robust cash generation and prudent financial management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	97.61B	93.76B	95.47B	93.66B	83.05B	62.51B
Gross Profit	23.04B	23.77B	22.59B	19.40B	19.64B	16.18B
EBITDA	8.53B	8.09B	6.86B	5.08B	6.63B	5.51B
Net Income	4.35B	4.30B	3.60B	3.02B	4.03B	3.14B
Balance Sheet
Total Assets	61.05B	55.16B	57.03B	54.86B	55.84B	47.99B
Cash, Cash Equivalents and Short-Term Investments	168.30M	367.70M	578.50M	284.90M	337.00M	506.30M
Total Debt	21.59B	13.96B	14.16B	14.33B	15.99B	10.24B
Total Liabilities	41.55B	29.13B	27.82B	27.42B	28.95B	23.38B
Stockholders Equity	18.10B	23.81B	25.17B	23.38B	22.68B	20.51B
Cash Flow
Free Cash Flow	1.81B	7.45B	2.94B	5.15B	-3.91B	-2.58B
Operating Cash Flow	3.32B	9.69B	6.78B	8.74B	-1.20B	-18.40M
Investing Cash Flow	-1.38B	-815.30M	-3.27B	-2.84B	-2.08B	-1.87B
Financing Cash Flow	-2.20B	-9.01B	-3.28B	-5.94B	3.11B	1.89B

Godrej Agrovet Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 570.20
• 50DMA: Positive
• 100DMA: Positive
• 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:GODREJAGRO, the sentiment is Neutral. The current price of 570.2 is below the 20-day moving average (MA) of 603.94, below the 50-day MA of 581.47, and below the 200-day MA of 668.89, indicating a neutral trend. The MACD of -4.36 indicates Positive momentum. The RSI at 48.13 is Neutral, neither overbought nor oversold. The STOCH value of 35.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:GODREJAGRO.

Godrej Agrovet Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FINEORG	68 Neutral	₹130.37B	42.68	―	0.26%	5.73%	-7.74%
BALRAMCHIN	67 Neutral	₹98.23B	19.77	―	0.79%	9.74%	-6.32%
DHANUKA	64 Neutral	₹43.78B	33.24	―	0.17%	4.92%	4.47%
CCL	63 Neutral	₹145.42B	31.27	―	0.52%	30.11%	23.22%
EIDPARRY	63 Neutral	₹140.41B	19.82	―	―	22.02%	56.45%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
GODREJAGRO	58 Neutral	₹113.24B	23.92	―	1.92%	5.24%	9.79%