capital_goods
CG Power
CGPOWER · Nifty 50
₹963.75
Price 2026-06-17
At a Glance
Fundamental
70/100
STRONG
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
CG Power scores 70/100 on fundamentals (strong). CG Power: BROAD EXPANSION regime.
Fundamental Score: 70/100 · STRONG · 2 signals detected
DuPont Analysis
ROE 14.9% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 14.95% is moderate efficiency-driven and stable. Net margin of 9.7% × asset turnover of 0.97x × leverage of 1.6x.
What This Means
Net margin of 9.7% means the company keeps ₹9.7 as profit for every ₹100 of revenue. This is a moderate-margin business. Asset turnover of 0.97x means the company efficiently uses its assets to generate revenue. Leverage of 1.6x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
30.7%
Operating
13.3%
Net
9.7%
Gross margin 30.7% → operating margin 13.3% → net margin 9.7%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
WEAKCash flow only covers 0.6x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
COMFORTABLEInterest covered 133.6x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.1x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin negative at -0.6% — spending more than earning. Check capex cycle.
Peer Comparison
CG Power is compared against 10 peers in the capital_goods sector.
Key Watchpoints
Breaks above ₹1012 (+5%)
Trend reversal confirmation
Breaks below ₹916 (-5%)
Further downside risk
Capital_Goods sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
Working capital is consuming significant cash. Operational efficiency declining.
High revenue multiple. Market pricing in significant growth or margins expansion.
Profits are from core operations, not one-offs. High quality.
Collection cycle changing. Collection improving — positive for cash flow.
Strong insider alignment. Promoters have significant skin in the game.
⚠️ 1 critical + 2 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes