International Gemological Institute Ltd.
NSE: IGILInternational Gemological Institute Ltd.: A 30-second snapshot
International Gemological Institute (India) Ltd. trades at Rs.354.25, above both its 50-DMA (Rs.337.87) and 200-DMA (Rs.339.12), with RSI at 53.53 (neutral). The company reports a 43.25% profit margin and 43% ROE, but carries a debt-to-equity ratio of 10.12 with a rising debt trend and a 5-year revenue decline of 30%, creating a material tension between profitability optics and structural leverage.
P/E
29.9
Forward P/E
23.6
ROE
+43.0%
Debt / Equity
10.12
Profit Margin
+43.3%
Div. Yield
+1.4%
5Y ROE > 15%
3/5
5Y FCF > 0
4/5
Quality
56/100
News
7 headlines · 0 positive · 0 negative
International Gemological Institute Limited Status Update on Large Corporate Classification - InvestyWise
InvestyWise
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SAGILITY LIMITED (SAGILITY) - MSN
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MSN Money - MSN
MSN
Recent context
- ·News flow over the past 30 days is sparse (7 items, all neutral); the most identifiable company-specific item is a regulatory classification update on Large Corporate status, with remaining headlines appearing to be generic filings.
- ·The stock is classified under the NSE Services sector but the peer set covers logistics, aviation, and infrastructure companies, making direct peer comparisons to a gemological certification business limited in analytical relevance.
- ·Analyst coverage is thin at 4 analysts with no consensus rating numeric available for this run, limiting the ability to assess institutional sentiment direction.
Strengths
- +Profit margin of 43.25% and ROE of 43% rank first among available peers in the Services sector grouping (quality score 59 vs. next-best peer at 49).
- +Forward PE of 23.60 represents a compression from trailing PE of 29.88, suggesting current-year earnings estimates are higher than trailing reported earnings.
- +Stock is trading above both its 50-DMA and 200-DMA as of the run date, with a 3-month price change of +6.87%.
- +FCF was positive in 4 of the available historical years, and a dividend yield of 1.41% indicates some cash return to shareholders alongside the elevated leverage profile.
Weaknesses
- −Debt-to-equity of 10.12 with a rising debt trend means leverage is increasing, heightening sensitivity to interest rate movements and earnings shortfalls.
- −5-year revenue declined 30% even as earnings grew 23.1%; this divergence raises questions about whether profitability is driven by sustainable operations or by cost reduction, asset monetisation, or non-recurring items.
- −ROE exceeded 15% in only 3 of the available historical years and FCF was positive in 4 — quality metrics are not consistent across the full observed window.
- −The stock is 18.63% below its 52-week high with a 1-year price change of only +3.6%, indicating limited capital appreciation relative to the drawdown from peak.
Open questions
- ?Does the 30% 5-year revenue decline reflect a structural reduction in gemological certification volumes, or one-off factors such as industry consolidation, pricing changes, or a change in reporting scope after the IPO?
- ?Given a D/E of 10.12 with a rising debt trend, what portion of earnings is consumed by interest obligations, and how has interest coverage ratio trended over the past 3 years?
- ?The 43% ROE is high relative to peers — how much of this is attributable to financial leverage amplifying the equity base versus genuine operating efficiency at the business level?
- ?How does IGI India revenue and volume growth compare to global gemological certification peers to assess whether the domestic top-line decline is company-specific or reflects broader industry headwinds?
Peer comparison: Services
Ranks 1 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| IGIL | International Gemological Institute Ltd.You're viewing | 29.9 | +43.0% | 59 |
| Industry avg | across 5 peers | 42.4 | +15.6% | 31 |
| ADANIPORTS | Adani Ports and Special Economic Zone Ltd. | 30.2 | +15.6% | 49 |
| GMRAIRPORT | GMR Airports Ltd. | — | — | 35 |
| BLUEDART | Blue Dart Express Ltd. | 53.3 | — | 35 |
| CONCOR | Container Corporation of India Ltd. | 31.8 | — | 28 |
| INDIGO | InterGlobe Aviation Ltd. | 54.3 | — | 6 |
Technical state
Current price
₹354.25
SMA 50
₹337.87
SMA 200
₹339.12
RSI (14)
53.5 (neutral)
From 52w high
-18.6%
1Y return
+3.6%
3M return
+6.9%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity ratio of 10.12 is elevated; debt trend is marked as rising, which compounds leverage risk in a sector (Services/gemological) where asset-light models are common.
- high5-year revenue growth is -30%, indicating significant top-line contraction over the period, even as 5-year earnings growth is +23.1% — a divergence that warrants scrutiny of margin sustainability and non-operating income contribution.
- mediumROE above 15% in only 3 of available years; FCF positive in 4 of available years — persistence data is limited in depth and does not confirm sustained compounding.
- mediumSector peer data is heavily incomplete: priceChange1Y is null for all 5 listed peers, and ROE is available for only 1 of 5 peers, making relative quality and momentum comparisons unreliable. Peer grouping under broad Services sector mixes logistics, aviation, and infrastructure with gemological services.
- lowStock is 18.63% below its 52-week high despite being above both its 50-DMA and 200-DMA; 1-year price change of +3.6% trails a typical risk-free benchmark, indicating limited capital appreciation over the period.
Cross-section contradictions
- Revenue contracted -30% over 5 years yet 5-year earnings growth is +23.1% and profit margin stands at 43.25%; this divergence suggests earnings expansion is driven by margin expansion or non-operating items rather than volume growth, which may not be durable.
- Debt-to-equity of 10.12 with a rising debt trend coexists with a 43% ROE and positive FCF in 4 of available years — high leverage amplifies ROE optics and downside risk simultaneously.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 11 May 2026 · rotates through NIFTY 500 every ~5 days