consumer · ASIANPAINT
Asian Paints
Asian Paints: PE above historical average. NARROW LEADERSHIP regime.
Price
₹2,746.2
Price 2026-07-30
5 day
+4.11%
Short-term move
1 month
+4.19%
Medium-term
Regime
NARROW LEADERSHIP
62% confidence
Market cap
₹261.8k Cr
neutral sector flow
Market Intelligence Analyst
Understand today's market in about 2 minutes.
“How does today's NARROW LEADERSHIP regime affect Asian Paints (ASIANPAINT) in the consumer sector?”
Price chart
₹2,736
+17.06% over period
About Asian Paints
Asian Paints Limited, together with its subsidiaries, engages in the manufacture, distribution, and sale of paints, coatings, and products related to home decoration and bath fittings, kitchen, and wardrobe in India, Asia, the Middle East, Africa, and the South Pacific region. The company offers wall coverings, waterproofing products, adhesives; and bath fittings and sanitaryware, modular kitchens and wardrobes, fabric, furnishings, rugs, decorative lightings, unplasticized polyvinyl chloride windows and door systems, furniture, textures and painting aids, and mechanized tools. It also provides color consultancy, projects, home painting services, waterproofing and wood solutions, and assure services; and interior and exterior wall finishes, enamels, tools, undercoats, thinners, and varnishers. The company offers its products under the Asian Paints, SCIB Paints, Apco Coatings, Asian Paints Berger, Taubmans, Asian Paints Causeway, and Kadisco Asian Paints brand names. It serves homeowners, large projects, dealers, corporates, architects, interior designers, contractors, and influencers through multi-channel distribution network comprising wholesalers, distributors, retail outlets,...
At a Glance
RSI pattern warning
RSI oversold bounces for this stock succeeded only 0% of the time (avg -7.5% over 14 days) — not a reliable pattern.
52-week position
Trading at 92% of 52-week high
Technicals
RSI 14
62.4
Trend
uptrend
50 DMA
Above
200 DMA
Above
Key metrics
P/E ratio
60.5
57th pct · 7 quarterly points (limited history)
P/B
12.3
ROE
20.9%
Strong profitability — 20.9% return on equity
Market cap
₹261.8k Cr
Revenue growth
1060.0% YoY
Promoter
52.9%
52-week range
₹2,115 – ₹2,985.7
92% of high
RSI (14)
62.4
uptrend
vs 50 DMA
Above
DMA ₹2,684.63
Fundamental
95/100
STRONG
Trust
95/100
Verification
Coverage
100/100
HIGH
Quick Take
Asian Paints scores 95/100 on fundamentals (strong). Asian Paints: PE above historical average. NARROW LEADERSHIP regime.
Fundamental Score: 95/100 · STRONG · 1 signals detected
DuPont Analysis
ROE 22.3% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 22.3% is strong efficiency-driven and stable. Net margin 12.8%, asset turnover 1.07x, leverage 1.6x.
What This Means
Net margin of 12.8% means the company keeps ₹12.8 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 1.07x means the company efficiently uses its assets to generate revenue. Leverage of 1.6x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
43.9%
Operating
18.3%
Net
12.8%
Gross margin 43.9% → operating margin 18.3% → net margin 12.8%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
ADEQUATECash flow covers net income 1.5x — earnings are ADEQUATE quality. Cash conversion is reasonable.
Debt Sustainability
COMFORTABLEInterest covered 34.2x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.5x is low — balance sheet has capacity.
Free Cash Flow
STRONGFCF margin at 15.1% — strong cash generation. Business is self-funding.
Peer comparison
| Stock | Price | 5D | P/E | ROE | Rev growth | Mcap |
|---|---|---|---|---|---|---|
| ETERNAL Eternal (formerly Zomato) | ₹310.65 | +8.2% | 723.5 | 1.2% | 19650% | ₹2.7L Cr |
| DIXON Dixon Technologies | ₹14,338 | +3.7% | 49.3 | 37.1% | 210% | ₹80.5k Cr |
| BERGEPAINT Berger Paints | ₹521.35 | +5.6% | 52.7 | 17.2% | 610% | ₹59.3k Cr |
| BLUESTARCO Blue Star | ₹1,691.4 | +3.5% | 62.4 | 16.2% | 130% | ₹33.0k Cr |
| AMBER Amber Enterprises | ₹7,401 | -0.4% | 151.7 | 5.6% | 1050% | ₹26.9k Cr |
| CROMPTON Crompton Greaves | ₹260.3 | +4.3% | N/A | -6.3% | 1080% | ₹17.5k Cr |
| DEVYANI Devyani International | ₹118.53 | +7.9% | N/A | -2.6% | 1850% | ₹14.3k Cr |
| BLS BLS International | ₹238.75 | +3.7% | 14.9 | 30.1% | 1760% | ₹10.2k Cr |
| ASIANPAINT Asian Paints | ₹2,746.2 | +2.9% | 60.5 | 20.9% | 1060% | ₹2.6L Cr |
Tensions to watch
Promoter holding at 52.9% — neither distress selling nor aggressive buying
No strong insider signal. Watch for changes in promoter stake as a leading indicator.
Key Watchpoints
Breaks above ₹2884 (+5%)
Trend reversal confirmation
Breaks below ₹2609 (-5%)
Further downside risk
PE reverts to median of 58.7 (7 quarterly points (limited history))
Valuation normalization
Consumer sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
Potential accounting concerns. Cross-check with earnings quality flags.
Profits are from core operations, not one-offs. High quality.
Modern asset base. Lower near-term capex requirements.
⚠️ 1 critical + 1 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes
