P N Gadgil Jewellers Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

P N Gadgil Jewellers Ltd trades at ₹592, in a downtrend and 4 weeks into that stage. That is +0.3% against its own 200-day average. It sits at 33% of a 52-week range of ₹526 to ₹728. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 1 straight week.

Today the stock is in a downtrend — week 4 of stage 4, confirmed. At ₹592 it trades +0.3% versus its 200-day average and sits at 33% of its 52-week range (₹526–₹728).

Against the market, two honest reads. Cumulative: over the last 1.8 years the stock moved −19% while the NIFTY 500 moved −4% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 1 straight week — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 23rd percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

P N Gadgil Jewellers Ltd trades at 21.3× P/E, near the bottom of its own range — cheaper only 23% of the time. Its long-run median P/E is 31.8×, measured across 1.8 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 21.3× is near the bottom of its own range — cheaper only 23% of the time, against a long-run median of 31.8× measured over 1.8 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

One caveat before moving on: margins are the best this company has ever printed — cheap against its own history on record margins is not the same thing as cheap. If profitability mean-reverts, today's multiple is higher than it looks.

Why the multiple sits where it does: over the past year annual EPS moved +87.8% against a −3.2% price move — earnings outran the price, pushing the multiple DOWN its own range.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: Mixed Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

P N Gadgil Jewellers Ltd reads as mixed on its fundamental arc. Mixed — revenue growth is rising at +123.2% (single-quarter readings) while profit growth is decelerating from its peak at +45.2% (single-quarter readings) — the curves disagree, so the per-curve reads carry the story. The read is built from 9 quarters across 3 curves, on partial evidence.

Why it matters: when the curves disagree, the per-curve reads above matter more than any single verdict.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

44.1/100 — rank 20 of 26 in Diamond, Gems & Jewellery · 89% evidence confidence

P N Gadgil Jewellers Ltd scores 44.1 out of 100 against the 26 companies it is compared with in Diamond, Gems & Jewellery, ranking 20. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 21.1 + 10.6 + 8.4 + 4 = 44.1. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

P N Gadgil Jewellers Ltd reported ₹3,544 Cr of revenue in the Mar 26 quarter, +123.2% year on year. That is the 8th straight quarter of year-on-year growth. Over 6 years it has compounded at 27.9% a year. The last full year, FY26, came in at ₹10,739 Cr. The last four reported quarters add to ₹10,740 Cr.

P N Gadgil Jewellers Ltd reported ₹3,544 Cr of revenue in the Mar 26 quarter, +123.2% year on year. That is the 8th straight quarter of year-on-year growth. Over 6 years it has compounded at 27.9% a year. The last full year, FY26, came in at ₹10,739 Cr. The last four reported quarters add to ₹10,740 Cr.

FY26 revenue came in at ₹10,739 Cr (+41.6% on the year), capping 6 years at 27.9% compound. The latest quarter (Mar 26) printed ₹3,544 Cr, +123.2% year on year — the 8th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +42.6% growth against the decade's 27.9% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +39.6% over the last 4 quarters against +32.5%/yr over the last 8 — accelerating; TTM profit +87.6% vs +61.4%/yr — accelerating.

→ Revenue grew — did margins hold as it scaled? Next: 4.0% this quarter (−2.0 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

P N Gadgil Jewellers Ltd's operating margin is 4.0% in the Mar 26 quarter, −2.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 7 fiscal years the operating margin has ranged 3.0% to 6.0%. The current quarter sits inside that band.

P N Gadgil Jewellers Ltd's operating margin is 4.0% in the Mar 26 quarter, −2.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 7 fiscal years the operating margin has ranged 3.0% to 6.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 4.0%, −2.0 pp against the same quarter a year ago. Across 7 fiscal years the operating margin has ranged 3.0%–6.0%, and FY26's 6.0% is the top of that band — a record year.

🚨 Why the margin moved: operating margin went −2.1 pp year on year while gross margin went −2.3 pp — the loss came mostly from the gross line: input costs and pricing.

Worth repeating from the valuation section: cheap against its own history on record margins is not the same thing as cheap — a record margin flatters every ratio built on top of it.

→ Margins slipped — did that reach the bottom line? Next: profit +45.2% in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

P N Gadgil Jewellers Ltd earned ₹90.0 Cr of net profit in the Mar 26 quarter, +45.2% year on year. It is the 8th consecutive quarter of growth. Full-year FY26 profit was ₹410 Cr. The 6-year compound rate is 57.4%. That is 2.5% of the quarter's revenue. The same quarter a year earlier earned ₹62.0 Cr.

P N Gadgil Jewellers Ltd earned ₹90.0 Cr of net profit in the Mar 26 quarter, +45.2% year on year. It is the 8th consecutive quarter of growth. Full-year FY26 profit was ₹410 Cr. The 6-year compound rate is 57.4%. That is 2.5% of the quarter's revenue. The same quarter a year earlier earned ₹62.0 Cr.

Mar 26 profit was ₹90.0 Cr, +45.2% year on year — the 8th consecutive quarter of growth. On the full year, FY26 printed ₹410 Cr (+88.1%), and the 6-year compound rate is 57.4%.

Why profit moved: revenue contributed +123.2% and the margin −2.0 pp — the quarter was revenue-led despite a thinner margin.

Pace comparison, last four quarters: profit +91.7% vs revenue +42.6%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

→ Profit rose — but did the cash follow? Next: −177% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years −177% of P N Gadgil Jewellers Ltd's reported profit arrived as operating cash — a gap worth watching. In FY26 that was ₹−717 Cr of operating cash against ₹410 Cr of profit. After ₹141 Cr of capital spending, ₹−858 Cr was left as free cash.

FY26: operating cash of ₹−717 Cr against reported profit of ₹410 Cr, leaving free cash of ₹−858 Cr after ₹141 Cr of capital spending. Across the last 3 fiscal years the conversion rate is −177% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

🚨 Why conversion sits at −177%: the cash cycle held roughly steady between FY21 and FY26 — so conversion tracks profitability rather than the cycle. Less than 70% of profit arriving as cash is the thing to watch on this page.

Router verdict: the bigger cash user is investment — capital spending ran 2.7× depreciation over three years, so the next section's job is to check what that build-out is buying.

→ So follow the cash to where it goes. Next: ₹313 Cr of building over 3 years.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

P N Gadgil Jewellers Ltd's cash conversion cycle runs 121 days in FY26, down from 124 days in FY21. Capital spending ran ₹313 Cr over the last 3 years. At FY26 sales of ₹10,739 Cr each day of that cycle holds about ₹29.4 Cr, so roughly ₹3,560 Cr sits inside the business at any moment.

FY26: debtors at 2 days, inventory at 141 days — roughly 4.6 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 121 days, tighter than FY21's 124.

The full loop: cash goes out to suppliers and production on day 0; stock waits 141 days to sell; customers pay about 2 days after that; and suppliers themselves are paid at 22 days — netting out to the 121-day cycle.

In money terms: at FY26 sales of ₹10,739 Cr, each day of the cycle holds about ₹29.4 Cr — so the 121-day loop keeps roughly ₹3,560 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹313 Cr over the last 3 fiscal years against ₹115 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹0.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 21% and the ROIC − WACC spread is +2.5 pp.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

P N Gadgil Jewellers Ltd earns a ROCE of 21% in FY26. That is up from a trough of 8% in FY21. Return on invested capital clears the cost of that capital by +2.5 percentage points, so growth here adds value rather than only size. The wiring behind it is 3.8% net margin on 2.16× asset turns.

FY26 ROCE is 21%, recovered from a FY21 trough of 8% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 3.8% net margin × 2.16× asset turns × 2.53× balance-sheet leverage ≈ 20.8% on equity. Margin does its share; leverage is a meaningful part of the equation.

The capstone test — ROIC − WACC: 14.5% − 12.0% = a +2.5 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Positive but thin — value creation with little room for error.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.88.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

P N Gadgil Jewellers Ltd carries total debt of ₹1,737 Cr against shareholder equity of ₹1,963 Cr as of Mar 26, a debt-to-equity of 0.88. On the annual view that ratio went from 0.85 in FY24 to 0.88 in FY26. Read the returns elsewhere on this page with that leverage in mind.

Mar 26: total debt of ₹1,737 Cr against shareholder equity of ₹1,963 Cr — a debt-to-equity of 0.88. On the annual view, debt-to-equity went from 0.85 (FY24) to 0.88 (FY26). Read the returns on this page with that leverage in mind.

→ Who owns this, and are they adding or leaving? Next: Foreign institutions cut 3.3 points over 7 quarters.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Foreign institutions cut 3.3 points of P N Gadgil Jewellers Ltd over 7 quarters, the biggest move on the register. That takes foreign institutions to 0.5% of the company. Domestic institutions moved −1.0 points over the same window, to 4.8%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: −3.3 points over 7 quarters to 0.5%; Domestic institutions: −1.0 points over 7 quarters to 4.8%; Promoters: +0.0 points over 7 quarters to 83.1%.

🚨 Why the register moved: foreign institutions drove it (−3.3 points), alongside domestic institutions (−1.0 points) — distribution into the market’s bid.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

P N Gadgil Jewellers Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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