Crompton Greaves- Stock Analysis and Study

Stock Analysis / Study

Company: Crompton Greaves
Date: 10.09.2025

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Key Valuation Metrics

• Current Price: ₹319

• Book Value: ₹48.26 → 10x above book value (Expensive)

• P/E Ratio: 38.90 🌸 (Sector PE: 70.58 – Relatively Attractive)

• ROCE: 19% 🌸 (Healthy)

• ROE: 17.4% 🌸 (Good Return on Equity)

• Face Value: ₹2

• Beta: 0.71 🌸 (Low Volatility – Defensive Stock)

• 52W H/L: ₹469 / ₹301

📊 Forecast Price Range (H/M/L): ₹470 / ₹406 / ₹335

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Quarterly Performance (June 2025 – YoY)

• Sales: ↓ 7% 👎🏻 (Poor)

• EBITDA: ↓ 18% 👎🏻 (Poor)

• Net Profit: ↓ 19% 👎🏻 (Poor)

• EPS: ↓ 19% 👎🏻 (Poor)

📉 Observation: Weak operational and bottom-line performance.

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Dividend Policy

• Dividend Frequency: Once a year (July)

• Latest Dividend (July 2025): ₹3 per share 🌸

• Record Date / Payout Date: [Data not provided]

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Seasonality Analysis (Historical Trends)

• Jan: 3/9 Positive 👎🏻 (+2.89%)

• Feb: 1/9 Positive 👎👎 (-4.31%) → Buy Opportunity

• Mar: 5/9 Positive 👎🏻 (-1.46%)

• Apr: 5/9 Positive 👎🏻 (+1.60%)

• May: 7/9 Positive 🌸🌸 (+3.50%) → Sell & Book Profits

• June: 8/10 Positive 🌸🌸 (+2.65%) → Sell & Book Profits

• July: 7/10 Positive (+4.65%)

• Aug: 8/9 Positive 🌸🌸 (+3.02%) → Sell Opportunity

• Sep: 5/10 Positive 👎🏻 (-1.64%) → Buy Opportunity

• Oct: 3/9 Positive 👎🏻 (-0.76%) → Buy Opportunity

• Nov: 7/9 Positive 🌸🌸 (+0.96%) → Sell Opportunity

• Dec: 4/9 Positive 👎🏻 (+2.25%)

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Financial Strength & Shareholding

• Piotroski Score: 7 🌸🌸 (Very Good – Strong Financial Position)

• FII Holding: 29.20% (Previous: 30.34%) ⬇️

• DII Holding: 58.93% (Previous: 57.04%) ⬆️

• Promoter Holding: Unchanged

• Total Institutional Investors: 88.13% (Previous: 87.38%) ⬆️

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Investment Strategy (Seasonality-Based)

For Maximum Profit Potential:

1. Buy in Feb → Sell in May–June–July–Aug

2. Buy in Sep–Oct → Sell in Nov–Dec

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Verdict

• Valuation: Expensive (10x Book Value), but supported by strong ROCE & ROE.

• Performance: Current quarter results weak 👎🏻.

• Positives: Strong institutional holding, low beta, good Piotroski score.

• Negatives: Sales and profit decline, high valuation.

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Disclaimer

This document is purely for educational and analytical purposes only. It represents personal study, data interpretation, and thought-provoking observations. It does not constitute investment advice or a recommendation. Investors must make independent decisions after consulting certified financial advisors, taking into account their own objectives and risk appetite.

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Stock Analyze /Self Study on 10.09.2025

Crompton Greaves

Current Price: 317 (10 time Above Book Value: 48.26)

P-Poor👎🏻 

G- Good 🌸

D-Dividend

B-Buy

S-Sell

HD-Hold 😅

HH-High 👍🏻

L-Low 👎🏻

M- Mean

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Result :June Result ⬇️ % YOY

Sale : (-7%) Poor👎🏻

EBIDT: (-18%) Poor👎🏻

Net Profit:(-19%) Poor👎🏻

EPS;: (-19%) Poor👎🏻

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Paying dividend 1 time in year (3/- in July)

Dividend Announce :🌸 3/- per Share (already paid in July )

Record date :

Payout date : 

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Current Price: 319

52W H/L: 469/301

PE: 38.90 (Good🌸)

PE Sector: 70.58

ROCE:19% (Good🌸)

ROE: 17.4 (Good🌸)

Book Value :48.26 (Low)

Face Value:2

Beta: 0.71 (Good🌸)

Forcast:H/M/L

470/406/335

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Seasonality

Positive result in 

Jan: 3/9 (Poor,👎) (+2.89%)

Feb:1/9( V.poor👎👎) (-4.31) Buy

Mar:5/9 (Poor 👎) (-1.46%)

Apr:5/9  (Poor 👎)(+1.60)

May: 7/9 (V.good🌸🌸)(+3.50%)

(Sell and book Profit)

June:8/10( V.good🌸🌸)(+2.65%)

(Sell and book Profit)

July: 7/10 (+4.65%)

Aug :8/9 (V.good🌸🌸) (+3.02%) sell 

Sep:5/10(Poor👎) (-1.64%) Buy

Oct: 3/9 (Poor👎) (-0.76%) Buy

Nov:7/9 (V.Good🌸🌸)(+0.96%) Sell

Dec:4/9 (Poor👎)(+2.25%)

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Piotroski Score : 7 🌸🌸 (V.Good) Strong Finance

FII: 29.20% (30.34)

DII: 58.93% (57.04%)

Promoter:unchange

Institution Invester : 88.13% (87.38%)

⬆️⬇️ 🌸👍🏻👎🏻😅current% (old%)

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Shareholding max upto 

In current case -Nov 

For Max Profit 

1. Buy in Feb,---Sell in May-June-July-August,

2. Buy in Sep - Oct Sell in Nov-Dec

Disclaimer:

The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only. 

content of the articles and the interpretation of data are solely the personal views of writers/ authors. Investors must make their own investment decisions based on their specific objectives, resources and only after consulting such independent advisors as may be necessary.