Neat & Clean Breakout seen after 7 Years in Gulf Oil Lubricants.

Hello Everyone i hope you all will be doing good in your Trading and your life as well. I have brought a stock which has given a long consolidation period breakout with huge volume spike on chart. Stock name is Gulf Oil Lubricants Ltd, and it is engaged in the business of manufacturing, marketing and trading of automotive and non-automotive lubricants. It is among the top three lubricant companies in India among private players.

Distribution Network
The company's distribution network is spread across 80,000+ touchpoints, 300+ auto distributors, ~1,000 Gulf rural stockists, ~70 Industrial distributors, ~7,600 Gulf bike stops, ~2,600 Gulf car stops, 30+ Depots, ~12,500 Retail touchpoints for Battery and ~430 Battery service points. It has 500+ B2B Customers and 750+ infra-mining fleet customers.

Market Position
The Co is the second biggest brand in India and among the top 3 players among private sector players in the Indian Lubricant industry. It also commands a Top 5 share in the 2-wheeler battery replacement segment.

Technical Terms
Stock is Trading Above 200-DEMA
MACD is giving Bullish crossover (Note:- I have not placed on chart but i have done analysis)
Good Volume spike seen on Breakout.

This is one of the best stock to hold for long term. Company has been maintaining a healthy dividend payout of 40.7%. Company's working capital requirements have reduced from 68.7 days to 54.6 days. Short term to Medium Term Targets i have already Placed on chart. In long Term stock has potential to give more than 1000% returns if someone hold this 8-10 years from here.

Market Cap
₹ 6,081 Cr.
Current Price
₹ 1,236
High / Low
₹ 1,349 / 521
Stock P/E
18.6
Book Value
₹ 263
Dividend Yield
2.91 %
ROCE
27.4 %
ROE
24.9 %
Face Value
₹ 2.00
Industry PE
41.9
Debt
₹ 358 Cr.
EPS
₹ 66.7
Promoter holding
71.8 %
Intrinsic Value
₹ 897
Pledged percentage
0.00 %
EVEBITDA
11.2
Change in Prom Hold
-0.04 %
Profit Var 5Yrs
11.6 %
Sales growth 5Years
14.0 %
Return over 5years
8.02 %
Debt to equity
0.28
Net profit
₹ 328 Cr.
ROE 5Yr
24.0 %
Profit growth
33.7 %
Earnings yield
8.12 %

Disclaimer:-
Please always do your own analysis or consult with your financial advisor before taking any kind of trades.

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Thankyou.

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Rahul Pal (Indian Moderator)
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