Grob Tea Co. Ltd. (GROBTEA) AI Stock Analysis

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Grob Tea Co. Ltd.

(NSE:GROBTEA)

Select Model

Rating:61Neutral

Price Target:INR 902.00▼(-1.45% Downside)

Action:reiterated

Date:08/17/26

The score is held back primarily by weak latest-year cash generation (negative free cash flow and a sharp drop in operating cash flow) and a notable increase in leverage, despite strong revenue growth. Offsetting these risks, the stock’s technical trend is positive (price above major moving averages with supportive momentum), and valuation is helped by a moderate P/E and a very high dividend yield.

Positive Factors

Revenue GrowthThe sharp latest-year revenue increase indicates stronger demand and improved business momentum. If the company can sustain even part of this growth, it should provide a broader base for operating leverage, reinvestment, and improved earnings capacity over the coming quarters.

Negative Factors

Margin CompressionLower net and operating margins reduce the earnings captured from each unit of revenue and weaken the durability of recent growth. Continued compression would limit internal funding, reduce returns on capital, and make profits more sensitive to further revenue or cost volatility.

Grob Tea Co. Ltd. (GROBTEA) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 1.01B
Dividend Yield: 0.22%
Average Volume (3M): 206
Price to Earnings (P/E): 13.9
Beta (1Y): 0.85
Revenue Growth: 6.21%
EPS Growth: 21.92%
Country: India
Employees: 3,781
Sector: General
Sector Strength: 55
Industry: Agricultural Farm Products

Grob Tea Co. Ltd. Business Overview & Revenue Model

Company Description

Based in Kolkata, India, and established in 1895, The Grob Tea Company Limited is an Indian enterprise dedicated to the cultivation, production, and distribution of tea. The company's operations encompass multiple tea estates across Assam, specifical...

How the Company Makes Money

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Grob Tea Co. Ltd. Financial Statement Overview

Summary

Income statement shows strong latest-year revenue growth (~39% YoY), but profitability weakened (net margin ~5.0% vs. ~8.5% prior year) and results have been volatile across years. Balance sheet risk increased as leverage rose sharply (debt-to-equity ~0.57 vs. ~0.21). The largest negative is cash flow: operating cash flow fell sharply and free cash flow turned deeply negative (~-91.9M), not covering net income—raising earnings-quality and funding/capital-discipline concerns.

Income Statement

58Neutral

Balance Sheet

62Positive

Cash Flow

37Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	1.19B	1.14B	1.19B	994.63M	1.02B	926.16M
Gross Profit	501.85M	246.01M	293.94M	862.36M	857.26M	793.18M
EBITDA	134.02M	131.66M	169.86M	21.87M	73.47M	81.91M
Net Income	76.67M	57.52M	100.56M	-73.00K	6.04M	41.52M
Balance Sheet
Total Assets	0	1.63B	1.24B	1.03B	1.08B	985.43M
Cash, Cash Equivalents and Short-Term Investments	2.27M	41.71M	3.42M	1.66M	3.30M	118.27M
Total Debt	0	528.99M	183.38M	93.53M	118.75M	31.22M
Total Liabilities	-928.10M	704.23M	362.25M	241.50M	298.51M	201.28M
Stockholders Equity	928.10M	928.10M	877.57M	786.77M	777.57M	784.15M
Cash Flow
Free Cash Flow	-136.49M	-91.89M	124.83M	-61.74M	-39.97M	78.43M
Operating Cash Flow	-66.81M	56.92M	194.57M	15.93M	40.18M	122.15M
Investing Cash Flow	109.77M	-400.19M	-280.35M	21.94M	-125.10M	-109.59M
Financing Cash Flow	-45.24M	342.12M	87.53M	-38.24M	80.82M	-10.26M

Grob Tea Co. Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price915.30

Price Trends

50DMA901.87Positive

100DMA911.56Positive

200DMA910.42Positive

Market Momentum

MACD4.32Negative

RSI57.05Neutral

STOCH70.14Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GROBTEA, the sentiment is Positive. The current price of 915.30 is above the 20-day moving average (MA) of 869.81, above the 50-day MA of 901.87, and above the 200-day MA of 910.42, indicating a bullish trend. The MACD of 4.32 indicates Negative momentum. The RSI at 57.05 is Neutral, neither overbought nor oversold. The STOCH value of 70.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:GROBTEA.

Grob Tea Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:GROBTEA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:UNITEDTEA	63Neutral	INR 2.15B	10.30	―	0.74%	-2.90%	-11.07%
IN:GROBTEA	61Neutral	INR 1.05B	13.88	―	0.22%	6.21%	21.92%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:HARRMALAYA	44Neutral	INR 3.12B	11.77	―	―	2.78%	2.41%
IN:JAYSREETEA	43Neutral	INR 2.42B	-10.88	―	0.60%	6.65%	-130.78%
IN:NORBTEAEXP	40Underperform	INR 951.30M	260.56	―	―	26.04%	―
IN:PKTEA	34Underperform	INR 2.48B	-97.36	―	0.09%	21.09%	37.14%

* General Sector Average

Performance Comparison

IN:GROBTEA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:GROBTEA	Grob Tea Co. Ltd.	915.30	-173.72	-15.95%
IN:HARRMALAYA	Harrisons Malayalam Ltd	173.00	-12.10	-6.54%
IN:JAYSREETEA	Jay Shree Tea & Industries Ltd.	83.73	-10.64	-11.27%
IN:NORBTEAEXP	Norben Tea & Exports Ltd.	62.58	0.87	1.41%
IN:PKTEA	Peria Karamalai Tea & Produce Co. Ltd.	842.20	161.75	23.77%
IN:UNITEDTEA	United Nilgiri Tea Estates Co. Ltd.	430.40	0.63	0.15%

Grob Tea Co. Ltd. Corporate Events

Grob Tea Calls on Physical Shareholders to Update PAN, KYC and Nomination Details

Aug 8, 2026

The Grob Tea Company Limited has issued a formal communication to its physical shareholders, directing them to update their PAN, KYC details, contact information, bank account particulars, specimen signatures and nomination choices in line with the l...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 17, 2026

Grob Tea Co. Ltd. AI Stock Analysis