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Fundamentals for Gujarat State Fertilizers & Chemicals Limited
Business Operations:
Sector: Basic MaterialsIndustry: Agricultural Inputs
Gujarat State Fertilizers & Chemicals Limited manufactures and sells fertilizers and chemicals in India. The company operates in two segments, Fertilizer Products and Industrial Products. It offers fertilizers, including neem urea, di-ammonium phosphate, boronated NPK, ammonium phosphate sulphate, ammonium sulphate, APS, muriate of potash, gypsum, and micro mix. The company provides industrial products, such as v, nylon-6, anhydrous ammonia, cyclohexanone, sulphuric acid, technical grade urea, melamine, methyl ethyl ketoxime, hydroxylamine sulphate crystal, cyclohexane, argon gas, oleum, as well as methanol, nitric acid, ammonium sulphate, anone-anol mixture, melamine cyanurate, and potassium dihydrogen phosphate. In addition, the company offers water soluble fertilizers; sulphur based products; plant tissue culture products; micro nutrients; soil conditioners; organic products; and seeds. Further, it is involved in the provision of agro services; trading of agro input products; provision of port and logistics related services; and treatment and supply of waste water. The company was incorporated in 1962 and is based in Vadodara, India.
Revenue projections:
GSFC is projected to see lower revenues than in the previous year, a trend that usually concerns investors. Declining revenues often harm a company's profitability, leading investors to exercise caution as they weigh the potential risks of continued financial downturns.
Financial Ratios:
| currentRatio | 4.832000 |
|---|---|
| forwardPE | 9.049724 |
| debtToEquity | 0.217000 |
| earningsGrowth | -0.277000 |
| revenueGrowth | 0.370000 |
| grossMargins | 0.237630 |
| operatingMargins | 0.011300 |
| trailingEps | 16.880000 |
| forwardEps | 18.100000 |
GSFC's current ratio is 4.832, signaling that the company has sufficient cash reserves and current assets to cover its short-term debt obligations. This suggests financial stability, as GSFC should not face any issues meeting its short-term liabilities with available resources.
Gujarat State Fertilizers & Chemicals Limited's low earnings and revenue growth suggest that its profits could shrink. This points to a potential downturn in the company's financial outlook and may indicate challenges in maintaining profitability.
With negative gross and operating margins, GSFC is facing losses at both the production and operational levels. This signals significant financial strain and may indicate that the company is struggling to manage costs effectively.
With a forward EPS greater than its trailing EPS, GSFC is expected to see higher profitability this year. The forecasted increase in earnings reflects optimism about the company's financial growth and potential for improved performance over the prior year.
Price projections:
GSFC's present price, in relation to projections, does not offer clear risks or opportunities. This stable scenario suggests a period of consolidation, where investors might prefer to hold off on significant changes in strategy.
Recommendation changes over time:
Analysts have developed a sell bias for GSFC, indicating potential caution for investors. However, it's important to base decisions on a broader set of market indicators to gain a more complete understanding of GSFC's future and avoid reacting solely to the analysts' negative sentiment.
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