fmcg
Godrej Consumer Products
GODREJCP · Nifty 50
₹1,020
Price 2026-06-17
At a Glance
Fundamental
90/100
STRONG
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
Godrej Consumer Products scores 90/100 on fundamentals (strong). Godrej Consumer Products: BROAD EXPANSION regime.
Fundamental Score: 90/100 · STRONG · 0 signals detected
DuPont Analysis
ROE 14.3% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 14.33% is moderate margin-driven and stable. Net margin of 12.0% × asset turnover of 0.71x × leverage of 1.7x.
What This Means
Net margin of 12.0% means the company keeps ₹12.0 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.71x means the company efficiently uses its assets to generate revenue. Leverage of 1.7x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
51.8%
Operating
19.5%
Net
12.0%
Gross margin 51.8% → operating margin 19.5% → net margin 12.0%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.
Financial Health
Earnings Quality
ADEQUATECash flow covers net income 1.4x — earnings are ADEQUATE quality. Cash conversion is reasonable.
Debt Sustainability
COMFORTABLEInterest covered 8.5x — very comfortable. Debt service is not a concern. Debt/EBITDA at 1.4x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin at 12.7% — strong cash generation. Business is self-funding.
Peer Comparison
Godrej Consumer Products is compared against 10 peers in the fmcg sector.
Key Watchpoints
Breaks above ₹1071 (+5%)
Trend reversal confirmation
Breaks below ₹969 (-5%)
Further downside risk
Fmcg sector entering leadership
Sector rotation signal
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
Special charges of ₹233K Cr. May indicate restructuring, impairment, or one-time costs.
Significant goodwill from acquisitions. Monitor for impairment risk.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Strong insider alignment. Promoters have significant skin in the game.
⚠️ 1 critical + 3 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes