Gem Aromatics Stock Price Analysis and Quick Research Report. Is Gem Aromatics an attractive stock to invest in?

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Gem Aromatics. 

• PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Gem Aromatics has a PE ratio of 24.8442639519286 which is high and comparatively overvalued.

• Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Gem Aromatics has ROA of 14.6377% which is a bad sign for future performance. (Higher values are always desirable.)

• Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Gem Aromatics has a Current ratio of 1.9731.

• Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Gem Aromatics has a ROE of 22.2549%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Gem Aromatics has a Debt to Equity ratio of 0.5007 which means that the company has low proportion of debt in its capital.

• Sales growth: Gem Aromatics has reported revenue growth of 11.0563% which is poor in relation to its growth and performance. 

• Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Gem Aromatics for the current financial year is 17.2574634374069%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Gem Aromatics is Rs 0 and the yield is 0%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Gem Aromatics is Rs 10.8838. The higher the EPS, the better it is for investors. 

One can find all the Financial Ratios of Gem Aromatics in Ticker for free. Also, one can get the intrinsic value of Gem Aromatics by using Valuation Calculators, which are available with a Finology ONE subscription. 

Gem Aromatics FAQs

Q1. What is Gem Aromatics share price today?
Ans: The current share price of Gem Aromatics is Rs 270.4.

Q2. What is the market capitalisation of Gem Aromatics?
Ans: Gem Aromatics has a market capitalisation of Rs 1412.49221152 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Gem Aromatics?
Ans: The PE ratio of Gem Aromatics is 24.8442639519286 and the P/B ratio of Gem Aromatics is 1.92585185470074, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Gem Aromatics share?
Ans: The 52-week high share price of Gem Aromatics is Rs 349.6, and the 52-week low share price of Gem Aromatics is Rs 271.8.

Q5. Does Gem Aromatics pay dividends?
Ans: Currently, Gem Aromatics does not pay dividends. Dividend yield of Gem Aromatics is around 0%.

Q6. What are the face value and book value of Gem Aromatics shares?
Ans: The face value of Gem Aromatics shares is Rs 2, while the book value per share of Gem Aromatics is around Rs 140.4054. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of Gem Aromatics?
Ans: Gem Aromatics has a total debt of Rs 142.14 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of Gem Aromatics?
Ans: The ROE of Gem Aromatics is 22.2549% and ROCE of Gem Aromatics is 22.8837%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q9. Is Gem Aromatics a good buy for the long term?
Ans: The Gem Aromatics long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q10. Is Gem Aromatics undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Gem Aromatics appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q11. How to check Gem Aromatics’s financials?
Ans: You can review Gem Aromatics’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.