AI Summary
✦ ClarthaSudarshan Chemical Industries is a specialty pigments and chemicals manufacturer serving Indian and international markets. Pigments drives the core business, while Others includes specialty chemicals and related colorant products. Its portfolio spans coating pigments, performance and pearlescent pigments, printing inks, colorants, toners, inkjets, and corrosion-protection products. Reported revenue growth of 193.8% indicates substantial expansion, but available updates provide no specific operational catalyst or quantified margin benefit. Profit declined 60.1% despite improving margins, pointing to weak earnings conversion and limited current profitability. ROE is only 1.0%, while debt/equity of 64.17 indicates extreme leverage that can materially distort and pressure shareholder returns. At 399.9 times earnings, the shares appear richly valued and trade at a substantial premium to both current profitability and growth-adjusted fundamentals. Neutral sentiment is appropriate until management demonstrates sustainable profit recovery, operating leverage, and a clearer path to reducing balance-sheet risk.
Valuation Metrics
Trading 21.3% above historical median. Valuation is declining — currently in the overvalued zone (z-score: +0.88). Confidence: 71%.
Live forward EPS implies next-12-month EPS of ₹61.03. Applying the stock's normalized valuation corridor produces a fair range of ₹15,702.41 to ₹22,347.97, with base value near ₹20,123.42 (+1689.9% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹61.03
Forward P/E
18.4x
Base Fair Value
₹20,123.42
Fair Range
₹15,702.41 - ₹22,347.97
Upside To Base
+1689.9%
Estimate Source
Live forward EPS
5Y Average
252.43
Current
399.86
Overvalued
366.18
Undervalued
257.29
5Y Average
15.56
Current
23.52
Overvalued
20.93
Undervalued
9.89
5Y Average
2.47
Current
2.56
Overvalued
2.84
Undervalued
2.10
Peers & Comparison
Sector: Materials · Theme: Diversified Chemicals
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
BASF INDIA LTD BASFDiversified Chemicals | +24.5% | 4.0% | 28.2x Fair | +13% vs avg | -11.0% |
GODREJ INDUSTRIES LTD GODREJINDDiversified Chemicals | +9.9% | 5.2% | 35.1x Premium | +40% vs avg | +19.9% |
PI INDUSTRIES LTD PIINDDiversified Chemicals | -12.4% | 19.7% | 31.6x Premium | +26% vs avg | -28.0% |
TATA CHEMICALS LTD TATACHEMDiversified Chemicals | +14.4% | -14.3% | — | — | -29.3% |
ATUL LTD ATULDiversified Chemicals | +25.0% | 12.0% | 25.4x Fair | +2% vs avg | +2.4% |
DCM SHRIRAM LIMITED DCMSHRIRAMDiversified Chemicals | +9.3% | 10.4% | 11.1x Undervalued | -56% vs avg | -25.6% |
JAIN RESOURCE RECYCLING L JAINRECMetals - Diversified | +75.9% | 3.1% | 28.3x Fair | +13% vs avg | -0.9% |
SARDA ENERGY & MIN LTD SARDAENIron & Steel | -1.5% | 19.9% | 15.6x Undervalued | -38% vs avg | -10.6% |
SUDARSHAN CHEMICAL INDS L trades at a premium (394.5x vs peer avg 25.0x), implying higher growth or quality expectations from the Diversified Chemicals cohort. Peers include BASF INDIA LTD, GODREJ INDUSTRIES LTD, PI INDUSTRIES LTD — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹2.79K CrMar 2026Latest net profit
₹79 CrMar 2026Latest EPS
₹10.00Mar 2026Net margin
5.3%Mar 2026Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Mar 2026
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Debt
- Free cash flow
- Cash & equivalents
Results
Sales
₹2,790 Cr
Net Profit
₹79 Cr
EBITDA
₹259 Cr
EPS
₹10.00
| Metric | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|
| Sales | — | 1,349 | 2,507 | 2,387 | 2,103 | 2,790 |
| Expenses | — | 1,272 | 1,755 | 1,704 | 2,150 | 2,641 |
| Operating Profit | — | 78 | 752 | 684 | -47 | 149 |
| OPM % | — | 5.77% | 29.98% | 28.64% | -2.23% | 5.33% |
| Other Income | — | 20 | -611 | -642 | 14 | 10 |
| Interest | — | 21 | 44 | 44 | 36 | 41 |
| Depreciation | — | 57 | 99 | 97 | 101 | 50 |
| Profit before tax | — | 11 | 82 | 30 | -123 | 168 |
| Tax % | — | 96.23% | 33.09% | 34.58% | 5.54% | 50.81% |
| Net Profit | — | -4 | 47 | 12 | -115 | 79 |
| EPS in Rs | — | -0.50 | 6.00 | 1.50 | -14.70 | 10.00 |
All values in ₹ Crores unless otherwise stated. Source: Company filings.