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

• Market Cap: ₹4.08B
• Dividend Yield: N/A
• Average Volume (3M): 3.79K
• Price to Earnings (P/E): 18.0
• 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): 0.53
• 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: ₹32.00 ▼(-18.84% Downside)
• Action: Reiterated Date: 11/21/25
• Date: Action: Reiterated 11/21/25

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 & EPS growth

Double-digit revenue growth with roughly 17% top-line expansion and ~90% EPS improvement shows the business is scaling revenue while extracting operating leverage. This combination supports durable profit expansion if volumes and crush margins remain favorable over the medium term.

Diversified agro-processing revenues

A business model that generates revenues from both refined edible oils and higher-margin by-products spreads commodity risk and ties growth to throughput. Structural demand for edible oils and feed by-products supports steady volumes and provides multiple revenue levers beyond a single product price.

Improved profitability & healthy EBITDA

Net margin improvement alongside a healthy EBITDA margin indicates better cost control and operational efficiency. Sustained EBITDA strength provides resilience to commodity swings and supports reinvestment capability, making earnings quality more durable over coming quarters.

Negative Factors

High leverage

A relatively high debt-to-equity position raises refinancing and interest-rate vulnerability, reducing financial flexibility. Persistently elevated leverage can constrain capex, limit ability to absorb margin shocks, and increase solvency risk if cash generation weakens over the medium term.

Weak cash conversion

Negative operating cash flow and a sharp decline in free cash flow show earnings are not reliably converting to cash. This undermines the company's capacity to service debt, fund working capital or invest, making profitability improvements less durable without cash conversion fixes.

Cost pressure on margins

A slipping gross margin and falling EBIT margin point to input-cost inflation or weaker pricing power. If cost pressures persist, they may erode the recent net income gains and force reliance on volume increases or further efficiency measures to sustain margins over the medium term.

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 potential 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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.56B	35.11B	30.20B	31.37B	30.45B	24.56B
Gross Profit	1.32B	1.03B	1.16B	1.65B	1.01B	1.02B
EBITDA	676.11M	647.98M	402.00M	651.55M	589.92M	502.00M
Net Income	146.01M	148.09M	18.13M	241.38M	265.24M	204.56M
Balance Sheet
Total Assets	9.03B	7.68B	7.39B	8.44B	8.41B	7.04B
Cash, Cash Equivalents and Short-Term Investments	1.86B	731.47M	563.25M	1.55B	362.29M	399.62M
Total Debt	3.42B	2.80B	3.35B	4.25B	3.67B	2.83B
Total Liabilities	5.51B	4.23B	4.09B	5.16B	5.37B	4.27B
Stockholders Equity	3.52B	3.45B	3.30B	3.28B	3.04B	2.77B
Cash Flow
Free Cash Flow	281.00M	-184.88M	216.13M	628.39M	-840.74M	-22.75M
Operating Cash Flow	281.00M	170.70M	342.77M	922.25M	-722.89M	55.99M
Investing Cash Flow	69.37M	-118.34M	167.95M	-218.86M	-73.81M	89.05M
Financing Cash Flow	436.70M	-25.38M	-1.23B	267.61M	661.88M	-155.52M

Gokul Refoils & Solvent Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.43
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• 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 Positive. The current price of 39.43 is above the 20-day moving average (MA) of 38.76, above the 50-day MA of 37.81, and below the 200-day MA of 41.13, indicating a bullish trend. The MACD of 1.05 indicates Negative momentum. The RSI at 59.81 is Neutral, neither overbought nor oversold. The STOCH value of 87.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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
GOKULAGRO	78 Outperform	₹47.32B	17.02	―	―	34.34%	45.32%
GRMOVER	72 Outperform	₹29.02B	38.77	―	―	-8.29%	4.70%
MEGASTAR	64 Neutral	₹2.68B	21.19	―	―	62.82%	27.59%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KRITINUT	60 Neutral	₹3.22B	9.38	―	0.43%	16.35%	-32.55%
GOKUL	54 Neutral	₹4.08B	18.03	―	―	22.45%	26.18%
SARVESHWAR	51 Neutral	₹4.03B	14.95	―	―	29.26%	46.09%

Gokul Refoils & Solvent Ltd. Corporate Events

Gokul Refoils & Solvent Blocks Insider Trading Ahead of Q3 Results

Gokul Refoils & Solvent Limited has announced that, in line with SEBI’s Prohibition of Insider Trading Regulations, 2015 and its internal code of conduct, the trading window for its securities will be closed for all designated persons and their immediate relatives from 1 January 2026 until 48 hours after the declaration of its financial results for the quarter ended 31 December 2025. The move is a routine compliance step aimed at preventing insider trading around the upcoming quarterly results, reinforcing the company’s adherence to regulatory norms and safeguarding market integrity for investors and other stakeholders.