Gokul Agro Resources Stock Analysis
Fundamental & Technical Analysis of Gokul Agro Resources
STOCK ANALYSIS
9/3/20255 min read
About Company
Gokul Agro Resources Limited, founded in 2014, is a leading and fast-growing Indian FMCG company that specializes in the production, distribution, and export of edible oils, non-edible oils, and feed meals. The company operates internationally with a strong presence in India across more than 20 states and maintains subsidiaries in Singapore and Indonesia. It is well known for its high-quality products, including edible oils, castor oil derivatives, soya derivatives, and oleochemicals, serving both domestic and global markets.
Business Segments
Gokul Agro Resources operates mainly in one business segment called Agro-Based Commodities. Within this segment, the company is engaged in the manufacturing, processing, and distribution of various types of edible oils, such as soybean oil, mustard oil, sunflower oil, cottonseed oil, groundnut oil, rice bran oil, palmolein oil, and premium vanaspati. It also deals with non-edible oils, castor oil derivatives, seed crushing, oleochemicals, and allied products. The company markets its products under well-known brands like Vitalife, Richfield, Mahek, and Zaika. Its operations include refining, hydrogenation, solvent extraction, and packing with manufacturing facilities primarily in Gandhidham, Gujarat. The company focuses on quality and innovation in the agro and FMCG sectors.
Company Facilities
Gokul Agro Resources has several advanced manufacturing and processing facilities primarily located in India. Their key facilities include a large manufacturing plant in Gandhidham, Gujarat, which houses a refinery with a capacity of 2800 TPD, fractionation, packing, hydrogenation, vanaspati production, bakery fats, and solvent extraction units for soya and mustard seeds. They also have storage silos, de-oil cake storage, seed crushing for castor, and facilities for lecithin and cold press. Additional manufacturing units are located in Krishnapatnam, Andhra Pradesh, and Haldia, West Bengal, with capacities including refining, fractionation, dewaxing, and packing, among others.
Production Capacity
Gokul Agro Resources has a substantial production capacity in its key facilities. The main refinery at Gandhidham, Gujarat, has a capacity of 2800 tons per day (TPD), with fractionation capacity of 2600 TPD and packing capacity of 1000 TPD. Other production units there include hydrogenation, vanaspati, bakery fats, soya solvent extraction, mustard seed processing, castor seed crushing, and lecithin production, all with varying capacities from 10 TPD to 1500 TPD. The Krishnapatnam unit adds refinery capacity of 1000 TPD and other processing units like fractionation and dewaxing. Additionally, Gokul Agro acquired an edible oil refinery at Mangalore with an added capacity of 100 TPD. Overall, the group’s combined capacity exceeds 5500 TPD for edible and non-edible oils, supporting an annual production capacity of over 1 million metric tons.
Future Plans
Gokul Agro Resources plans to continue expanding its production capacity and market presence in the coming years. The company recently acquired an edible oil refinery in Mangalore, increasing its capacity by 100 TPD to strengthen its footprint in Southern India. Going forward, Gokul Agro focuses on leveraging its integrated manufacturing facilities, enhancing product quality, and expanding its global distribution network. The company aims to invest in new projects and technological innovations to improve efficiency and product range across edible and non-edible oils. Their strategy includes boosting exports, increasing capacity utilization, and pursuing sustainable growth while maintaining high-quality standards and adhering to food safety certifications.
Financial Prospects of the Company
Market Valuation and Stock Price
The company has a market valuation of 5,060 crores and a stock price of 343
Price to Earnings Ratio (P/E Ratio)
The price-to-earnings ratio of the company is 19.1
Book Value (PB Ratio)
The book value of the company is 70.2
Price to Book Value (PE x PB)
The price-to-book value of the company is 93.8
Earnings Per Share (EPS)
The earnings per share of the company is 17.9
Return Ratios
The return on capital employed (ROCE) is 34.2% and the return on equity (ROE) is 27.0%
Dividend Yield
The company pays an annual dividend yield of 0.00%
Company's Sales & Profits in the last 5 Years
In FY 2020-21, sales were 8,371 crores and profits were 45 crores. in FY 2021-22, sales were 10,384 crores and profits were 123 crores. In FY 2022-23, sales were 10,730 crores and profits were 132 crores. In 2023-24, sales were 13,864 crores and profits were 136 crores. In FY 2024-25, sales were 19,551 crores and profits were 246 crores
Company's Sales & Profit Growth in the Last 5 Years
In the last 5 years, sales growth was 28.5% and profit growth was 66.8%. In the last 3 years, sales growth was 23.5% and profit growth was 26.0%. In the last 1 year, sales growth was 28.7% and profit growth was 60.6%
Investors
Shareholding Patterns
The promoter holds 73.67%, FIIs hold 1.44%, DIIs hold 0.01%, the Public holds 24.87%
Company News
The latest news on Gokul Agro Resources highlights a positive trend in its stock performance, with the share price rising to Rs 343.00 as of early September 2025, reflecting a 5.33% increase. The company's strong financial health, including low debt and consistent growth in net sales and operating profit, has significantly contributed to this upward momentum. Gokul Agro recently announced an Annual General Meeting scheduled for September 12, 2025, where key decisions including approval of sweat equity shares, stock-split, and CEO pay increase are expected. The company reported a remarkable Q1 FY 2025-26 revenue of ₹4924.35 crore, up 41% year-on-year, with net profit increasing by 81%. These developments indicate robust financial performance and investor confidence in Gokul Agro Resources.
Technical Analysis
Company Chart
Moving Average (MA)
The stock is trading above the 50-MA, which indicates that the stock is in a bullish trend.
The stock is trading above the 200-MA, which also indicates that the stock is in a bullish trend.
Chart Patterns
The chart patterns show that the stock is in a bullish trend and will continue to grow; it may face some resistance above the 350 level.
Relative Strength Index (RSI)
Currently, the RSI of the stock is at 65, which indicates that the stock is near the overbought zone.
Strengths & Weaknesses
Strengths
Strong financial performance with consistent revenue and profit growth, healthy return on capital employed, and efficient working capital management.
Certified with high food safety and quality standards (FSSC 22000:2024).
Experienced management and promoters with strong client relationships and global supply chain presence.
Diversified product portfolio including edible oils, castor derivatives, oleochemicals, and organic fertilizers.
Weaknesses
Leveraged capital structure, with moderately high debt due to capital expenditure for expansion projects.
Exposure to regulatory risks and import dependence, especially given government controls on edible oil imports and pricing.
Vulnerability to climatic variations affecting crop yields and commodity prices impacting raw material availability and cost.
Dependence on palm products segment contributing a significant share of revenue, leading to concentration risk.