Gokul Refoils & Solvent Ltd. (GOKUL) AI Stock Analysis

• Market Cap: ₹3.97B
• Dividend Yield: N/A
• Average Volume (3M): 3.79K
• Price to Earnings (P/E): 27.2
• Beta (1Y): 1.12
• Revenue Growth: 22.45%
• EPS Growth: 26.18%
• Country: IN
• Employees: 326
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.36
• Shares Outstanding: 98,995,000
• 10 Day Avg. Volume: 9,376
• 30 Day Avg. Volume: 3,794
• PEG Ratio: 0.04
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 0.12
• P/FCF Ratio: -22.69
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: ₹38.00 ▼(-5.50% Downside)

The overall stock score is primarily influenced by solid financial performance, despite high leverage and cash flow issues. Technical analysis indicates bearish momentum, and valuation metrics suggest moderate pricing without dividend support.

Positive Factors

Revenue Growth

Consistent revenue growth indicates robust demand for Gokul's products and effective market strategies, supporting long-term business expansion.

Profitability Improvements

Improved profitability through cost management enhances financial health, allowing for reinvestment and competitive positioning in the market.

Market Expansion

International market expansion diversifies revenue streams and reduces dependency on domestic markets, enhancing resilience against local economic fluctuations.

Negative Factors

High Leverage

High leverage can strain financial flexibility and increase vulnerability to interest rate hikes, potentially impacting long-term financial stability.

Cash Flow Challenges

Negative cash flow highlights inefficiencies in cash generation, posing risks to operational sustainability and investment capacity.

Cost Pressures

Rising costs can erode profit margins, challenging the company's ability to maintain profitability and necessitating strategic cost management.

Gokul Refoils & Solvent Ltd. Business Overview & Revenue Model

Company Description

Gokul Refoils & Solvent Limited engages in the seed processing, solvent extraction, and refining edible and non-edible industrial oils in India and internationally. It provides a range of oils, including kachi ghani oil, mustard oil, groundnut oil, refined cottonseed oil, soyaben refined oil, palmolein oil, castor oil, and sunflower oil, and de-oiled cake/oil cake. The company also trades in agro commodities, such as spices. Gokul Refoils & Solvent Limited was incorporated in 1992 and is headquartered in Ahmedabad, India.

How the Company Makes Money

Gokul Refoils & Solvent Ltd. generates revenue primarily through the sale of its refined edible oils and by-products derived from the solvent extraction process. The company’s revenue model is centered around the processing and refining of oilseeds, which are then sold to wholesalers, retailers, and food manufacturers. Key revenue streams include direct sales of cooking oils, distribution of meal cakes for animal feed, and the sale of lecithin, a natural emulsifier used in various food products. Additionally, GOKUL may engage in strategic partnerships with agro-based businesses and retailers to enhance its distribution network, thereby expanding its market reach and driving sales. The company also benefits from fluctuations in raw material prices and demand in the agricultural sector, which can significantly impact its earnings.

Gokul Refoils & Solvent Ltd. Financial Statement Overview

Summary

Gokul Refoils & Solvent Ltd. shows strong revenue growth and improved profitability, but faces balance sheet risks due to high leverage and cash flow challenges.

Income Statement

Gokul Refoils & Solvent Ltd. has shown solid revenue growth, with a significant increase in total revenue from last year. The gross profit margin has slightly declined, indicating increased cost pressures. However, the net profit margin has improved significantly, reflecting better cost management and operational efficiency. The EBITDA margin remains healthy, though EBIT margin shows some decline, suggesting potential challenges in controlling operating expenses.

Balance Sheet

The balance sheet shows a stable equity position with a satisfactory equity ratio. However, the company has a relatively high debt-to-equity ratio, indicating potential leverage risks. Return on equity has improved, driven by increased net income, but the high level of debt could pose financial risks in a rising interest rate environment.

Cash Flow

The cash flow statement reveals some concerns, with a negative operating cash flow in the recent period, indicating potential liquidity issues. There is a significant drop in free cash flow, highlighting challenges in cash generation. The free cash flow to net income ratio is negative, pointing to inefficiencies in converting earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	36.49B	35.11B	30.20B	31.37B	30.45B	24.56B
Gross Profit	1.37B	1.03B	1.16B	1.65B	1.01B	1.02B
EBITDA	678.14M	647.98M	402.00M	651.55M	589.92M	502.00M
Net Income	162.24M	148.09M	18.13M	241.38M	265.24M	204.56M
Balance Sheet
Total Assets	0.00	7.68B	7.39B	8.44B	8.41B	7.04B
Cash, Cash Equivalents and Short-Term Investments	331.69M	731.47M	563.25M	1.55B	362.29M	399.62M
Total Debt	0.00	2.80B	3.35B	4.25B	3.67B	2.83B
Total Liabilities	-3.45B	4.23B	4.09B	5.16B	5.37B	4.27B
Stockholders Equity	3.45B	3.45B	3.30B	3.28B	3.04B	2.77B
Cash Flow
Free Cash Flow	0.00	-184.88M	216.13M	628.39M	-840.74M	-22.75M
Operating Cash Flow	0.00	170.70M	342.77M	922.25M	-722.89M	55.99M
Investing Cash Flow	0.00	-118.34M	167.95M	-218.86M	-73.81M	89.05M
Financing Cash Flow	0.00	-25.38M	-1.23B	267.61M	661.88M	-155.52M

Gokul Refoils & Solvent Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 40.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GOKUL, the sentiment is Neutral. The current price of 40.21 is above the 20-day moving average (MA) of 39.91, below the 50-day MA of 41.24, and below the 200-day MA of 43.87, indicating a neutral trend. The MACD of -0.33 indicates Negative momentum. The RSI at 50.62 is Neutral, neither overbought nor oversold. The STOCH value of 86.83 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:GOKUL.

Gokul Refoils & Solvent Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GRMOVER	72 Outperform	₹26.10B	41.24	―	―	-8.29%	4.70%
GOKULAGRO	67 Neutral	₹60.77B	20.67	―	―	34.34%	45.32%
MEGASTAR	64 Neutral	₹2.87B	49.87	―	―	62.82%	27.59%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KRITINUT	60 Neutral	₹4.06B	12.86	―	0.36%	16.35%	-32.55%
GOKUL	54 Neutral	₹3.97B	27.17	―	―	22.45%	26.18%
SARVESHWAR	51 Neutral	₹6.23B	16.96	―	―	29.26%	46.09%