SKY GOLD AND DIAMONDS Ltd.
ISIN: INE01IU01018 • Market Cap: ₹12,051 Cr
The 5-Pillar Quality Audit for SKY GOLD AND DIAMONDS Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (7.2%), Return on Capital Employed (30.4%), and equity compounding (19.4%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.89 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (83.9%) and 3Y PAT CAGR (164.2%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 35.97 vs PEG of 1.06 and Dividend Yield of —.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 51.7%, backed by 17.0% institutional ownership.
Key Fundamental Strengths
Superior Capital Efficiency (ROCE: 30.4%)
SKY GOLD AND DIAMONDS Ltd. generates exceptional return on capital employed of 30.4%, reflecting pricing power and competitive moat.
Robust Equity Compounding (ROE: 19.4%)
Shareholder equity compounds at a healthy 19.4%, exceeding average Indian equity benchmarks.
Strong Topline Expansion (3Y Sales CAGR: 83.9%)
Revenue has expanded at 83.9% CAGR over 3 years, signaling industry market-share gains.
High-Velocity Profit Compounding (3Y PAT CAGR: 164.2%)
Net earnings have compounded at 164.2% annualized, demonstrating operating leverage.
Areas to Watch & Potential Risks
Sectoral & Macro Headwinds (Consumer Durables)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Consumer Durables space.
Quantitative Strategy Eligibility
Checking SKYGOLD against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Passes Saurabh Mukherjea's Coffee Can rule: 10%+ sustained revenue growth and 15%+ ROCE/ROE.
Quality Factor Screener (High RoIC + Low Debt)
Scorecard of 81/100 or leverage profile sits below strict quality index hurdles.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Consumer Durables Sector Peer Comparison
Compare SKYGOLD directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| SKY GOLD AND DIAMONDS Ltd. (SKYGOLD)Current | 81/100 | ₹12,051 Cr | 35.97 | 30.4% | 0.89 | — |
| Titan Company Ltd. (TITAN) | 70/100 | ₹4.50 Lakh Cr | 78.05 | 39.2% | 1.76 | View |
| Asian Paints Ltd. (ASIANPAINT) | 67/100 | ₹2.51 Lakh Cr | 52.73 | 24.4% | 0.11 | View |
| LG Electronics India Ltd. (LGEINDIA) | 65/100 | ₹1.12 Lakh Cr | 61.16 | 28.4% | 0.00 | View |
| Dixon Technologies (India) Ltd. (DIXON) | 82/100 | ₹88,626 Cr | 47.21 | 30.1% | 0.07 | View |
| Havells India Ltd. (HAVELLS) | 70/100 | ₹80,202 Cr | 49.11 | 22.7% | 0.00 | View |
Frequently Asked Questions: SKY GOLD AND DIAMONDS Ltd.
Q:What is the 5-Pillar Fundamental Score for SKY GOLD AND DIAMONDS Ltd. (SKYGOLD)?
SKY GOLD AND DIAMONDS Ltd. has a RupeeTools Fundamental Score of 81/100, placing it in the 'Exceptional Quality' category. Its pillar scores are: Profitability (79/100), Financial Health (73/100), Growth (99/100), Valuation (75/100), and Ownership Quality (78/100).
Q:Is SKYGOLD fundamentally strong for long-term investment?
Yes, SKYGOLD exhibits solid fundamental strength with a 81/100 score, driven by a return on equity of 19.4% and a debt-to-equity ratio of 0.89.
Q:Does SKYGOLD pass the Coffee Can Investing filter?
Yes! SKYGOLD satisfies both core pillars of Coffee Can Investing: achieving consistently high capital returns (ROCE/ROE >= 15%) alongside double-digit multi-year revenue growth.
Q:How does SKYGOLD compare against other Consumer Durables peers?
Within India's Consumer Durables sector, SKYGOLD trades at a P/E of 35.97 and generates an ROCE of 30.4%. Compare its 5-Pillar score of 81/100 against top sector peers like Titan Company Ltd. (70/100), Asian Paints Ltd. (67/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.