AI Summary
✦ ClarthaSky Gold and Diamonds is an Indian jewellery manufacturer and retailer serving wholesalers, showrooms, and retailers. Gold and silver jewellery, including rings, chains, mangalsutras, and bracelets, drive its core sales. Diamond and gemstone offerings, including natural, lab-grown, American diamonds, and colour gemstones, broaden its product mix. Revenue rose 77.4% year-on-year, while profit increased 107.5%, with improving margins supporting operating leverage. ROE is 29.8%, but debt-to-equity of 72.07 means substantial leverage amplifies returns and increases financial risk. ESOP grants could support employee retention and execution, though they offer limited near-term evidence of incremental growth. At 39.8 times earnings, the stock appears rich relative to its growth profile, despite triple-digit profit growth. The key question is whether margin improvement can persist while leverage remains elevated.
Valuation Metrics
Trading 149.2% above historical median. Valuation is rising — currently in the strongly overvalued zone (z-score: +3.37). Confidence: 50%.
Live forward EPS implies next-12-month EPS of ₹32.34. Applying the stock's normalized valuation corridor produces a fair range of ₹201.48 to ₹586.00, with base value near ₹523.91 (-33.7% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹32.34
Forward P/E
24.4x
Base Fair Value
₹523.91
Fair Range
₹201.48 - ₹586.00
Upside To Base
-33.7%
Estimate Source
Live forward EPS
Growth Estimate
+111.9%
5Y Average
12.92
Current
40.37
Overvalued
18.12
Undervalued
6.23
5Y Average
8.69
Current
27.14
Overvalued
11.55
Undervalued
3.53
5Y Average
0.62
Current
1.94
Overvalued
0.72
Undervalued
0.53
Peers & Comparison
Sector: Consumer Discretionary · Theme: Precious Metals, Jewellery & Watches
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
THANGAMAYIL JEWELLERY LTD THANGAMAYLPrecious Metals, Jewellery & Watches | +71.2% | 4.1% | 40.9x Undervalued | -31% vs avg | +170.5% |
GOLDIAM INTERNATIONAL LTD GOLDIAMPrecious Metals, Jewellery & Watches | +41.9% | 19.7% | 34.2x Undervalued | -42% vs avg | +34.6% |
P N GADGIL JEWELLERS LTD PNGJLPrecious Metals, Jewellery & Watches | +40.7% | 3.9% | 19.2x Undervalued | -68% vs avg | +9.8% |
ETHOS LIMITED ETHOSLTDPrecious Metals, Jewellery & Watches | +33.3% | 6.0% | 72.9x Premium | +23% vs avg | +2.1% |
PC JEWELLER LTD PCJEWELLERPrecious Metals, Jewellery & Watches | +21.3% | 22.6% | 12.0x Undervalued | -80% vs avg | -26.8% |
SENCO GOLD LIMITED SENCOPrecious Metals, Jewellery & Watches | +51.1% | 6.8% | 11.2x Undervalued | -81% vs avg | +18.0% |
BLUESTONE JEWEL LFSTL LTD BLUESTONEPrecious Metals, Jewellery & Watches | +49.6% | 2.1% | 224.0x Premium | +278% vs avg | +52.0% |
SKY GOLD AND DIAMONDS LTD trades at a discount (40.4x vs peer avg 59.2x), suggesting potential undervaluation relative to the Precious Metals, Jewellery & Watches cohort. Peers include THANGAMAYIL JEWELLERY LTD, GOLDIAM INTERNATIONAL LTD, P N GADGIL JEWELLERS LTD — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Financial chart data is not available for this company right now.
Results
Income statement data not available.
All values in ₹ Crores unless otherwise stated. Source: Company filings.