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

• Market Cap: ₹4.11B
• Dividend Yield: N/A
• Average Volume (3M): 3.79K
• Price to Earnings (P/E): 18.0
• Beta (1Y): 0.92
• 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: ₹44.00 ▲(11.59% Upside)
• 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 Growth

Reported revenue growth of ~17.2% reflects durable top-line expansion driven by higher volumes or realizations in edible oils. Sustained revenue growth in a staple-food category supports scale benefits, reinvestment capacity and long-term market penetration over several months.

Improved Profitability

The company reports significantly improved net profit margins and higher ROE, indicating persistent gains from cost controls and operational efficiency. If maintained, stronger net margins provide resilience to commodity swings and more cash available for debt service and reinvestment.

Diversified Revenue Streams

Selling both refined edible oils and by-products (meals/cakes) creates multiple revenue channels and better value capture per oilseed input. This product mix reduces reliance on a single price cycle and provides structural stability versus pure-commodity peers over the medium term.

Negative Factors

High Leverage

The balance sheet shows a relatively high debt-to-equity ratio, raising refinancing and interest-rate sensitivity. Elevated leverage limits financial flexibility for capex or working capital, increasing vulnerability to cyclical earnings swings in a commodity-driven business.

Weak Cash Generation

Negative operating cash flow and a sharp fall in free cash flow indicate earnings are not converting into cash. Persistent cash conversion issues constrain debt servicing, capex and working-capital cycles and may necessitate external financing or asset sales to sustain operations.

Margin Pressure

A slight decline in gross margin and weaker EBIT margin point to input-cost or operating-cost pressures. For a processing business with commodity raw materials, sustained margin erosion would compress operating cash flow and strain the ability to cover fixed costs and high leverage.

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 primarily makes money by selling products generated from oilseed processing and edible oil operations. Its main revenue stream is the sale of edible oils produced through refining/processing activities. A second major revenue stream comes from selling by-products generated during oilseed crushing and solvent extraction (e.g., oilseed meal/cake and other processing by-products), which are typically sold into animal feed and industrial/agri-value-chain markets depending on the by-product. Revenue is therefore driven by throughput/volumes processed, realization (selling prices) of edible oils and by-products, and the spread between input oilseed costs and output product prices (crush/refining margins). Specific information on major customers, branded vs. bulk sales mix, export contribution, and named partnerships is null.

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: Neutral

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 below the 20-day moving average (MA) of 40.41, above the 50-day MA of 38.01, and below the 200-day MA of 41.03, indicating a bullish trend. The MACD of 1.09 indicates Negative momentum. The RSI at 63.92 is Neutral, neither overbought nor oversold. The STOCH value of 70.22 is Neutral, 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	₹54.19B	17.02	―	―	34.34%	45.32%
GRMOVER	72 Outperform	₹28.16B	38.77	―	―	-8.29%	4.70%
MEGASTAR	64 Neutral	₹2.81B	21.19	―	―	62.82%	27.59%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KRITINUT	60 Neutral	₹3.19B	9.38	―	0.43%	16.35%	-32.55%
GOKUL	54 Neutral	₹4.11B	18.03	―	―	22.45%	26.18%
SARVESHWAR	51 Neutral	₹3.76B	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.