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Last Updated on: 11 March, 2025
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 524208 | NSE: AARTIIND

Aarti Industries Ltd: Share Price Analysis, Intrinsic Value & Fundamentals (2025)

Share Price and Basic Stock Data

Last Updated: March 9, 2025, 8:31 pm

Market Cap 14,729 Cr.
Current Price 406
High / Low 770/364
Stock P/E40.4
Book Value 150
Dividend Yield0.25 %
ROCE7.47 %
ROE8.22 %
Face Value 5.00
PEG Ratio-5.32

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for Aarti Industries Ltd

Competitors of Aarti Industries Ltd

Stock Name Market Cap Current Price High / Low Stock P/E Book Value Dividend Yield ROCE ROE Face Value
HP Adhesives Ltd 472 Cr. 51.4 115/42.624.4 19.20.58 %17.7 %12.6 % 2.00
Haryana Leather Chemicals Ltd 37.6 Cr. 76.6 124/56.89.13 87.21.31 %8.96 %7.25 % 10.0
Hardcastle & Waud Mfg Co Ltd 46.2 Cr. 679 1,355/56326.4 6630.00 %7.00 %5.98 % 10.0
Grauer & Weil (India) Ltd 4,354 Cr. 96.0 120/72.227.1 19.20.52 %26.1 %19.6 % 1.00
DMCC Speciality Chemicals Ltd 740 Cr. 293 453/24535.5 85.40.34 %7.55 %2.89 % 10.0
Industry Average11,714.08 Cr732.4447.63173.820.37%13.99%10.73%6.44

All Competitor Stocks of Aarti Industries Ltd

Quarterly Result

MetricJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales 1,3171,2562,0761,7561,6101,6851,6681,6561,4141,4541,7321,7731,855
Expenses 1,0031,0011,1861,4171,3261,4181,3791,4031,2141,2211,4731,4901,550
Operating Profit 314255890339284267289253200233259283305
OPM % 24%20%43%19%18%16%17%15%14%16%15%16%16%
Other Income 0100000000806
Interest 38142431454447334058545964
Depreciation 695757777273828489939798102
Profit before tax 2071848092311671501601367182116126145
Tax % 20%18%10%16%19%17%15%-10%1%-11%-7%-5%6%
Net Profit 1651507251941361241371497091124132137
EPS in Rs 4.554.1420.015.343.753.423.774.111.932.513.423.643.78

Last Updated: Unknown

Below is a detailed analysis of the quarterly data for Aarti Industries Ltd based on the most recent figures (Jun 2024) and their trends compared to the previous period:

  • For Sales, as of Jun 2024, the value is ₹1,855.00 Cr.. The value appears strong and on an upward trend. It has increased from 1,773.00 Cr. (Mar 2024) to ₹1,855.00 Cr., marking an increase of ₹82.00 Cr..
  • For Expenses, as of Jun 2024, the value is ₹1,550.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 1,490.00 Cr. (Mar 2024) to ₹1,550.00 Cr., marking an increase of ₹60.00 Cr..
  • For Operating Profit, as of Jun 2024, the value is ₹305.00 Cr.. The value appears strong and on an upward trend. It has increased from 283.00 Cr. (Mar 2024) to ₹305.00 Cr., marking an increase of ₹22.00 Cr..
  • For OPM %, as of Jun 2024, the value is 16.00%. The value remains steady. There is no change compared to the previous period (Mar 2024) which recorded 16.00%.
  • For Other Income, as of Jun 2024, the value is ₹6.00 Cr.. The value appears strong and on an upward trend. It has increased from 0.00 Cr. (Mar 2024) to ₹6.00 Cr., marking an increase of ₹6.00 Cr..
  • For Interest, as of Jun 2024, the value is ₹64.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 59.00 Cr. (Mar 2024) to ₹64.00 Cr., marking an increase of ₹5.00 Cr..
  • For Depreciation, as of Jun 2024, the value is ₹102.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 98.00 Cr. (Mar 2024) to ₹102.00 Cr., marking an increase of ₹4.00 Cr..
  • For Profit before tax, as of Jun 2024, the value is ₹145.00 Cr.. The value appears strong and on an upward trend. It has increased from 126.00 Cr. (Mar 2024) to ₹145.00 Cr., marking an increase of ₹19.00 Cr..
  • For Tax %, as of Jun 2024, the value is 6.00%. The value appears to be increasing, which may not be favorable. It has increased from -5.00% (Mar 2024) to 6.00%, marking an increase of 11.00%.
  • For Net Profit, as of Jun 2024, the value is ₹137.00 Cr.. The value appears strong and on an upward trend. It has increased from 132.00 Cr. (Mar 2024) to ₹137.00 Cr., marking an increase of ₹5.00 Cr..
  • For EPS in Rs, as of Jun 2024, the value is 3.78. The value appears strong and on an upward trend. It has increased from ₹3.64 (Mar 2024) to 3.78, marking an increase of ₹0.14.

Overall, while many items appear to show a positive trend, any significant downward movement warrant further investigation.

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: March 7, 2025, 9:25 pm

MetricMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales 2,0862,6192,8903,0063,1633,8064,1684,1864,5066,0866,6196,3727,096
Expenses 1,7252,2172,4242,4342,5093,1063,2023,2093,5254,3655,5305,3916,080
Operating Profit 3614024665726547009659779821,7201,0899821,016
OPM % 17%15%16%19%21%18%23%23%22%28%16%15%14%
Other Income 411962729111318
Interest 9511813811711713218312586102168211270
Depreciation 83898298123146163185231246310378419
Profit before tax 1872062553634164296226766651,372611395345
Tax % 29%26%24%26%21%19%19%19%19%14%11%-5%
Net Profit 1351632082683283465045475351,186545416367
EPS in Rs 4.254.585.817.719.6210.2414.1815.3915.0232.7115.0411.4910.12
Dividend Payout % 24%25%24%28%3%2%19%11%10%11%17%9%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)20.74%27.61%28.85%22.39%5.49%45.66%8.53%-2.19%121.68%-54.05%-23.67%
Change in YoY Net Profit Growth (%)0.00%6.87%1.24%-6.46%-16.90%40.18%-37.13%-10.73%123.88%-175.73%30.38%

Aarti Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:9%
5 Years:9%
3 Years:12%
TTM:13%
Compounded Profit Growth
10 Years:10%
5 Years:-3%
3 Years:-7%
TTM:-16%
Stock Price CAGR
10 Years:17%
5 Years:0%
3 Years:-20%
1 Year:-40%
Return on Equity
10 Years:18%
5 Years:16%
3 Years:16%
Last Year:8%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:47 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital 404444424141438787181181181181
Reserves 7178269721,0961,3211,5382,5872,8923,4164,3354,7395,1095,262
Borrowings 8491,0391,2021,2921,5642,0832,4012,0982,8572,5872,9073,2423,883
Other Liabilities 5717607195385737308261,2561,2827487541,0841,212
Total Liabilities 2,1762,6702,9382,9663,4994,3915,8586,3327,6427,8518,5819,61610,538
Fixed Assets 6748269671,2461,6971,9982,1472,4683,5933,5954,8615,6495,917
CWIP 691171933132704367951,4181,2981,3461,0961,2291,393
Investments 9511713941474733376428172336
Other Assets 1,3381,6091,6391,3661,4861,9102,8842,4092,6882,8822,6072,7143,192
Total Assets 2,1762,6702,9382,9663,4994,3915,8586,3327,6427,8518,5819,61610,538

Below is a detailed analysis of the balance sheet data for Aarti Industries Ltd based on the most recent figures (Sep 2024) and their trends compared to the previous period:

  • For Equity Capital, as of Sep 2024, the value is ₹181.00 Cr.. The value remains steady. There is no change compared to the previous period (Mar 2024) which recorded ₹181.00 Cr..
  • For Reserves, as of Sep 2024, the value is ₹5,262.00 Cr.. The value appears strong and on an upward trend. It has increased from ₹5,109.00 Cr. (Mar 2024) to ₹5,262.00 Cr., marking an increase of 153.00 Cr..
  • For Borrowings, as of Sep 2024, the value is ₹3,883.00 Cr.. The value appears to be increasing, which may not be favorable. Additionally, since Reserves exceed Borrowings, this is considered a positive sign. It has increased from ₹3,242.00 Cr. (Mar 2024) to ₹3,883.00 Cr., marking an increase of 641.00 Cr..
  • For Other Liabilities, as of Sep 2024, the value is ₹1,212.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from ₹1,084.00 Cr. (Mar 2024) to ₹1,212.00 Cr., marking an increase of 128.00 Cr..
  • For Total Liabilities, as of Sep 2024, the value is ₹10,538.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from ₹9,616.00 Cr. (Mar 2024) to ₹10,538.00 Cr., marking an increase of 922.00 Cr..
  • For Fixed Assets, as of Sep 2024, the value is ₹5,917.00 Cr.. The value appears strong and on an upward trend. It has increased from ₹5,649.00 Cr. (Mar 2024) to ₹5,917.00 Cr., marking an increase of 268.00 Cr..
  • For CWIP, as of Sep 2024, the value is ₹1,393.00 Cr.. The value appears strong and on an upward trend. It has increased from ₹1,229.00 Cr. (Mar 2024) to ₹1,393.00 Cr., marking an increase of 164.00 Cr..
  • For Investments, as of Sep 2024, the value is ₹36.00 Cr.. The value appears strong and on an upward trend. It has increased from ₹23.00 Cr. (Mar 2024) to ₹36.00 Cr., marking an increase of 13.00 Cr..
  • For Other Assets, as of Sep 2024, the value is ₹3,192.00 Cr.. The value appears strong and on an upward trend. It has increased from ₹2,714.00 Cr. (Mar 2024) to ₹3,192.00 Cr., marking an increase of 478.00 Cr..
  • For Total Assets, as of Sep 2024, the value is ₹10,538.00 Cr.. The value appears strong and on an upward trend. It has increased from ₹9,616.00 Cr. (Mar 2024) to ₹10,538.00 Cr., marking an increase of 922.00 Cr..

Notably, the Reserves (₹5,262.00 Cr.) exceed the Borrowings (3,883.00 Cr.), indicating a solid financial buffer.

Overall, while many items appear to show a positive trend, any significant downward movement or items where Borrowings exceed Reserves warrant further investigation.

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +2303153405744703357361,1028735191,3191,204
Cash from Investing Activity +-229-291-298-452-529-610-797-1,124-1,322-1,169-1,330-1,310
Cash from Financing Activity +1-22-23-12858279833-5356144123835
Net Cash Flow2219-7-04772-557165-23927-71

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-488.00401.00465.00571.00653.00698.00963.00975.00980.00-1.00-1.00979.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days756255646163686664655247
Inventory Days150147123108136144152174190143115122
Days Payable7490556771695572117532455
Cash Conversion Cycle152119123105125138165168137155143114
Working Capital Days120999196931039993631209582
ROCE %20%18%19%20%19%16%18%15%13%22%10%7%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters44.21%44.21%44.19%44.19%44.16%44.15%44.07%43.65%43.57%43.54%43.43%43.24%
FIIs11.86%12.27%12.46%11.82%12.11%12.05%12.32%12.17%10.58%10.83%10.93%10.61%
DIIs14.75%14.54%14.89%15.07%15.02%14.54%14.74%14.83%16.14%15.82%17.24%18.55%
Government0.00%0.00%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.02%0.03%0.03%
Public29.18%28.98%28.45%28.91%28.69%29.26%28.87%29.33%29.72%29.78%28.38%27.58%
No. of Shareholders2,59,5742,82,9802,95,7633,40,3583,40,7693,76,5483,85,7513,97,9074,23,1404,18,1233,77,9533,49,415

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Mid-Cap Opportunities Fund - Regular Plan7,931,1250.66497.321,517,0012025-03-09422.82%
PGIM India Midcap Opportunities Fund2,064,9831.13129.481,517,0012025-03-0936.12%
ICICI Prudential Manufacturing Fund1,517,0011.4195.121,517,0012025-03-090%
Nippon India Small Cap Fund1,335,8080.1483.761,517,0012025-03-09-11.94%
UTI Mid Cap Fund1,316,0660.6582.521,517,0012025-03-09-13.25%
ICICI Prudential Equity - Arbitrage Fund1,273,0000.3379.821,517,0012025-03-09-16.08%
ICICI Prudential India Opportunities Fund1,211,6730.3275.981,517,0012025-03-09-20.13%
PGIM India Flexi Cap Fund1,082,3121.0367.871,517,0012025-03-09-28.65%
Kotak Equity Arbitrage Fund - Regular Plan923,0000.1157.881,517,0012025-03-09-39.16%
Axis Small Cap Fund785,0010.2149.221,517,0012025-03-09-48.25%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue 5.005.005.005.005.00
Basic EPS (Rs.) 11.4915.0432.7130.0430.77
Diluted EPS (Rs.) 11.4915.0432.7130.0430.77
Cash EPS (Rs.) 21.9223.6039.5143.9942.01
Book Value[Excl.RevalReserv]/Share (Rs.) 145.94135.75124.60201.71176.36
Book Value[Incl.RevalReserv]/Share (Rs.) 145.94135.75124.60201.74176.39
Revenue From Operations / Share (Rs.) 175.79182.58167.88258.61240.26
PBDIT / Share (Rs.) 27.1730.0647.4756.3756.60
PBIT / Share (Rs.) 16.7421.5040.6743.1045.97
PBT / Share (Rs.) 10.9116.8637.8538.1438.81
Net Profit / Share (Rs.) 11.4915.0432.7130.7231.38
NP After MI And SOA / Share (Rs.) 11.4915.0432.7130.0430.77
PBDIT Margin (%) 15.4516.4628.2721.7923.55
PBIT Margin (%) 9.5211.7724.2216.6619.13
PBT Margin (%) 6.209.2322.5414.7416.15
Net Profit Margin (%) 6.538.2319.4811.8713.06
NP After MI And SOA Margin (%) 6.538.2319.4811.6112.80
Return on Networth / Equity (%) 7.8711.0826.2514.9417.99
Return on Capital Employeed (%) 8.6213.4425.9314.3218.13
Return On Assets (%) 4.336.3515.106.858.46
Long Term Debt / Equity (X) 0.280.120.200.360.19
Total Debt / Equity (X) 0.600.580.560.710.60
Asset Turnover Ratio (%) 0.700.800.780.620.66
Current Ratio (X) 0.950.881.250.981.05
Quick Ratio (X) 0.500.510.810.590.61
Inventory Turnover Ratio (X) 3.443.522.992.212.27
Dividend Payout Ratio (NP) (%) 13.0516.6210.708.9120.19
Dividend Payout Ratio (CP) (%) 6.8410.598.856.1815.00
Earning Retention Ratio (%) 86.9583.3889.3091.0979.81
Cash Earning Retention Ratio (%) 93.1689.4191.1593.8285.00
Interest Coverage Ratio (X) 4.666.4816.8211.377.90
Interest Coverage Ratio (Post Tax) (X) 2.974.2412.597.205.38
Enterprise Value (Cr.) 27209.9921458.7737059.1925031.6114932.31
EV / Net Operating Revenue (X) 4.273.246.095.553.57
EV / EBITDA (X) 27.6219.6921.5425.4815.14
MarketCap / Net Operating Revenue (X) 3.792.845.705.093.17
Retention Ratios (%) 86.9483.3789.2991.0879.80
Price / BV (X) 4.573.827.686.554.46
Price / Net Operating Revenue (X) 3.792.845.705.093.17
EarningsYield 0.010.020.030.020.04

After reviewing the key financial ratios for Aarti Industries Ltd, here is a detailed analysis based on the latest available data and recent trends:

  • For FaceValue, as of Mar 24, the value is 5.00. This value is within the healthy range. There is no change compared to the previous period (Mar 23) which recorded 5.00.
  • For Basic EPS (Rs.), as of Mar 24, the value is 11.49. This value is within the healthy range. It has decreased from 15.04 (Mar 23) to 11.49, marking a decrease of 3.55.
  • For Diluted EPS (Rs.), as of Mar 24, the value is 11.49. This value is within the healthy range. It has decreased from 15.04 (Mar 23) to 11.49, marking a decrease of 3.55.
  • For Cash EPS (Rs.), as of Mar 24, the value is 21.92. This value is within the healthy range. It has decreased from 23.60 (Mar 23) to 21.92, marking a decrease of 1.68.
  • For Book Value[Excl.RevalReserv]/Share (Rs.), as of Mar 24, the value is 145.94. It has increased from 135.75 (Mar 23) to 145.94, marking an increase of 10.19.
  • For Book Value[Incl.RevalReserv]/Share (Rs.), as of Mar 24, the value is 145.94. It has increased from 135.75 (Mar 23) to 145.94, marking an increase of 10.19.
  • For Revenue From Operations / Share (Rs.), as of Mar 24, the value is 175.79. It has decreased from 182.58 (Mar 23) to 175.79, marking a decrease of 6.79.
  • For PBDIT / Share (Rs.), as of Mar 24, the value is 27.17. This value is within the healthy range. It has decreased from 30.06 (Mar 23) to 27.17, marking a decrease of 2.89.
  • For PBIT / Share (Rs.), as of Mar 24, the value is 16.74. This value is within the healthy range. It has decreased from 21.50 (Mar 23) to 16.74, marking a decrease of 4.76.
  • For PBT / Share (Rs.), as of Mar 24, the value is 10.91. This value is within the healthy range. It has decreased from 16.86 (Mar 23) to 10.91, marking a decrease of 5.95.
  • For Net Profit / Share (Rs.), as of Mar 24, the value is 11.49. This value is within the healthy range. It has decreased from 15.04 (Mar 23) to 11.49, marking a decrease of 3.55.
  • For NP After MI And SOA / Share (Rs.), as of Mar 24, the value is 11.49. This value is within the healthy range. It has decreased from 15.04 (Mar 23) to 11.49, marking a decrease of 3.55.
  • For PBDIT Margin (%), as of Mar 24, the value is 15.45. This value is within the healthy range. It has decreased from 16.46 (Mar 23) to 15.45, marking a decrease of 1.01.
  • For PBIT Margin (%), as of Mar 24, the value is 9.52. This value is below the healthy minimum of 10. It has decreased from 11.77 (Mar 23) to 9.52, marking a decrease of 2.25.
  • For PBT Margin (%), as of Mar 24, the value is 6.20. This value is below the healthy minimum of 10. It has decreased from 9.23 (Mar 23) to 6.20, marking a decrease of 3.03.
  • For Net Profit Margin (%), as of Mar 24, the value is 6.53. This value is within the healthy range. It has decreased from 8.23 (Mar 23) to 6.53, marking a decrease of 1.70.
  • For NP After MI And SOA Margin (%), as of Mar 24, the value is 6.53. This value is below the healthy minimum of 8. It has decreased from 8.23 (Mar 23) to 6.53, marking a decrease of 1.70.
  • For Return on Networth / Equity (%), as of Mar 24, the value is 7.87. This value is below the healthy minimum of 15. It has decreased from 11.08 (Mar 23) to 7.87, marking a decrease of 3.21.
  • For Return on Capital Employeed (%), as of Mar 24, the value is 8.62. This value is below the healthy minimum of 10. It has decreased from 13.44 (Mar 23) to 8.62, marking a decrease of 4.82.
  • For Return On Assets (%), as of Mar 24, the value is 4.33. This value is below the healthy minimum of 5. It has decreased from 6.35 (Mar 23) to 4.33, marking a decrease of 2.02.
  • For Long Term Debt / Equity (X), as of Mar 24, the value is 0.28. This value is within the healthy range. It has increased from 0.12 (Mar 23) to 0.28, marking an increase of 0.16.
  • For Total Debt / Equity (X), as of Mar 24, the value is 0.60. This value is within the healthy range. It has increased from 0.58 (Mar 23) to 0.60, marking an increase of 0.02.
  • For Asset Turnover Ratio (%), as of Mar 24, the value is 0.70. It has decreased from 0.80 (Mar 23) to 0.70, marking a decrease of 0.10.
  • For Current Ratio (X), as of Mar 24, the value is 0.95. This value is below the healthy minimum of 1.5. It has increased from 0.88 (Mar 23) to 0.95, marking an increase of 0.07.
  • For Quick Ratio (X), as of Mar 24, the value is 0.50. This value is below the healthy minimum of 1. It has decreased from 0.51 (Mar 23) to 0.50, marking a decrease of 0.01.
  • For Inventory Turnover Ratio (X), as of Mar 24, the value is 3.44. This value is below the healthy minimum of 4. It has decreased from 3.52 (Mar 23) to 3.44, marking a decrease of 0.08.
  • For Dividend Payout Ratio (NP) (%), as of Mar 24, the value is 13.05. This value is below the healthy minimum of 20. It has decreased from 16.62 (Mar 23) to 13.05, marking a decrease of 3.57.
  • For Dividend Payout Ratio (CP) (%), as of Mar 24, the value is 6.84. This value is below the healthy minimum of 20. It has decreased from 10.59 (Mar 23) to 6.84, marking a decrease of 3.75.
  • For Earning Retention Ratio (%), as of Mar 24, the value is 86.95. This value exceeds the healthy maximum of 70. It has increased from 83.38 (Mar 23) to 86.95, marking an increase of 3.57.
  • For Cash Earning Retention Ratio (%), as of Mar 24, the value is 93.16. This value exceeds the healthy maximum of 70. It has increased from 89.41 (Mar 23) to 93.16, marking an increase of 3.75.
  • For Interest Coverage Ratio (X), as of Mar 24, the value is 4.66. This value is within the healthy range. It has decreased from 6.48 (Mar 23) to 4.66, marking a decrease of 1.82.
  • For Interest Coverage Ratio (Post Tax) (X), as of Mar 24, the value is 2.97. This value is below the healthy minimum of 3. It has decreased from 4.24 (Mar 23) to 2.97, marking a decrease of 1.27.
  • For Enterprise Value (Cr.), as of Mar 24, the value is 27,209.99. It has increased from 21,458.77 (Mar 23) to 27,209.99, marking an increase of 5,751.22.
  • For EV / Net Operating Revenue (X), as of Mar 24, the value is 4.27. This value exceeds the healthy maximum of 3. It has increased from 3.24 (Mar 23) to 4.27, marking an increase of 1.03.
  • For EV / EBITDA (X), as of Mar 24, the value is 27.62. This value exceeds the healthy maximum of 15. It has increased from 19.69 (Mar 23) to 27.62, marking an increase of 7.93.
  • For MarketCap / Net Operating Revenue (X), as of Mar 24, the value is 3.79. This value exceeds the healthy maximum of 3. It has increased from 2.84 (Mar 23) to 3.79, marking an increase of 0.95.
  • For Retention Ratios (%), as of Mar 24, the value is 86.94. This value exceeds the healthy maximum of 70. It has increased from 83.37 (Mar 23) to 86.94, marking an increase of 3.57.
  • For Price / BV (X), as of Mar 24, the value is 4.57. This value exceeds the healthy maximum of 3. It has increased from 3.82 (Mar 23) to 4.57, marking an increase of 0.75.
  • For Price / Net Operating Revenue (X), as of Mar 24, the value is 3.79. This value exceeds the healthy maximum of 3. It has increased from 2.84 (Mar 23) to 3.79, marking an increase of 0.95.
  • For EarningsYield, as of Mar 24, the value is 0.01. This value is below the healthy minimum of 5. It has decreased from 0.02 (Mar 23) to 0.01, marking a decrease of 0.01.

Overall, while many metrics show healthy performance, any figures highlighted in red or significant downward trends warrant further investigation.

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Aarti Industries Ltd as of March 11, 2025 is: ₹399.50

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of March 11, 2025, Aarti Industries Ltd is Overvalued by 1.60% compared to the current share price 406.00

Intrinsic Value of Aarti Industries Ltd as of March 11, 2025 is: 369.16

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of March 11, 2025, Aarti Industries Ltd is Overvalued by 9.07% compared to the current share price 406.00

Last 5 Year EPS CAGR: -7.59%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 16.42%, which is a positive sign.
  2. The company has higher reserves (2,677.69 cr) compared to borrowings (2,154.15 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (4.00 cr) and profit (397.77 cr) over the years.
  1. The stock has a high average Working Capital Days of 96.17, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 137.00, which may not be favorable.

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Aarti Industries Ltd:
    1. Net Profit Margin: 6.53%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 8.62% (Industry Average ROCE: 13.99%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: 7.87% (Industry Average ROE: 10.73%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 2.97
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 0.5
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 40.4 (Industry average Stock P/E: 47.63)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 0.6
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

Aarti Industries Ltd. is a Public Limited Listed company incorporated on 28/09/1984 and has its registered office in the State of Gujarat, India. Company's Corporate Identification Number(CIN) is L24110GJ1984PLC007301 and registration number is 007301. Currently Company is involved in the business activities of Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics and synthetic rubber in primary forms. Company's Total Operating Revenue is Rs. 6347.18 Cr. and Equity Capital is Rs. 181.25 Cr. for the Year ended 31/03/2024.
INDUSTRYADDRESSCONTACT
Chemicals - Speciality - OthersPlot Nos. 801, 801/23, G.I.D.C. Estate, Valsad District Gujarat 396195investorrelations@aarti-industries.com
http://www.aarti-industries.com
Management
NamePosition Held
Mr. Chandrakant Vallabhaji GogriChairman Emeritus
Mr. Rajendra Vallabhaji GogriChairman & Managing Director
Mr. Rashesh Chandrakant GogriVice Chairman & Mng.Director
Mr. Renil Rajendra GogriVice Chairman & Exe. Officer
Mr. Suyog Kalyanji KotechaExecutive Director & CEO
Mr. Parimal Hasmukhlal DesaiExecutive Director
Mr. Manoj Mulji ChhedaExecutive Director
Mr. Ajay Kumar GuptaExecutive Director
Mrs. Hetal Gogri GalaNon Executive Director
Mr. K V S Shyam SunderIndependent Director
Mr. Premchandra Amolak SethiIndependent Director
Mr. Bhavesh Rasiklal VoraIndependent Director
Mr. Lalitkumar Shantaram NaikIndependent Director
Mrs. Natasha Kersi TreasurywalaIndependent Director
Prof. Aniruddha B PanditIndependent Director
Mr. Shekhar S KhanolkarIndependent Director
Mr. Belur Krishna Murthy SethuramIndependent Director

FAQ

What is the latest intrinsic value of Aarti Industries Ltd?

The latest intrinsic value of Aarti Industries Ltd as on 11 March 2025 is ₹399.50, which is 1.60% lower than the current market price of 406.00, indicating the stock is overvalued by 1.60%. The intrinsic value of Aarti Industries Ltd is calculated using PE ratio method. The stock has a market capitalization of ₹14,729 Cr. and recorded a high/low of ₹770/364 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹5,262 Cr and total liabilities of ₹10,538 Cr.

What is the Market Cap of Aarti Industries Ltd?

The Market Cap of Aarti Industries Ltd is 14,729 Cr..

What is the current Stock Price of Aarti Industries Ltd as on 11 March 2025?

The current stock price of Aarti Industries Ltd as on 11 March 2025 is ₹406.

What is the High / Low of Aarti Industries Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Aarti Industries Ltd stocks is ₹770/364.

What is the Stock P/E of Aarti Industries Ltd?

The Stock P/E of Aarti Industries Ltd is 40.4.

What is the Book Value of Aarti Industries Ltd?

The Book Value of Aarti Industries Ltd is 150.

What is the Dividend Yield of Aarti Industries Ltd?

The Dividend Yield of Aarti Industries Ltd is 0.25 %.

What is the ROCE of Aarti Industries Ltd?

The ROCE of Aarti Industries Ltd is 7.47 %.

What is the ROE of Aarti Industries Ltd?

The ROE of Aarti Industries Ltd is 8.22 %.

What is the Face Value of Aarti Industries Ltd?

The Face Value of Aarti Industries Ltd is 5.00.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Aarti Industries Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE