energy

Castrol India

CASTROLIND · Nifty 50

184.49

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionenergy sector. Flow: outflow. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score80/100 (STRONG). 1 positive flags, 1 concerns.
Historical Context55 similar technical setups. Average outcome: -6.6% decline. 0% positive.

Fundamental

80/100

STRONG

Trust

95/100

Verification

Coverage

44/100

LIMITED

Quick Take

Castrol India scores 80/100 on fundamentals (strong). Castrol India: BROAD EXPANSION regime.

Fundamental Score: 80/100 · STRONG · 0 signals detected

DuPont Analysis

ROE 50.7% broken into three drivers. Each shows how efficiently the company generates returns.

ROE50.7%=
16.3%Net Margin
×
1.7xTurnover
×
1.8xLeverage

ROE of 50.74% is strong efficiency-driven and stable. Net margin of 16.3% × asset turnover of 1.74x × leverage of 1.8x.

What This Means

Net margin of 16.3% means the company keeps ₹16.3 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 1.74x means the company efficiently uses its assets to generate revenue. Leverage of 1.8x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

47.0%

Operating

22.1%

Net

16.3%

declining

Gross margin 47.0% → operating margin 22.1% → net margin 16.3%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.

Financial Health

Earnings Quality

ADEQUATE

Cash flow covers net income 1.1x — earnings are ADEQUATE quality. Cash conversion is reasonable.

Debt Sustainability

COMFORTABLE

Interest covered 143.6x — very comfortable. Debt service is not a concern.

Free Cash Flow

STRONG

FCF margin at 16.8% — strong cash generation. Business is self-funding.

Peer Comparison

Castrol India is compared against 10 peers in the energy sector.

Key Watchpoints

🟢

Breaks above ₹194 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹175 (-5%)

Further downside risk

🟢

Energy sector entering leadership

Sector rotation signal

Risk Flags

⚠️ 1 Warning1 Positive2 total flags
⚠️Cash covers 30% of current liabilities
Balance Sheet

Tight liquidity. Monitor cash position and access to credit lines.

Minimal unusual items — clean earnings
Earnings Quality

Profits are from core operations, not one-offs. High quality.

➡️ 2 flags — 1 positive, 1 warning. Mixed profile.

Data Quality

95/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)
Our margin analysis (declining) matches news reports of cost/margin pressure

50 articles scanned for fundamental themes

Facts

P/E Ratio
18.9UNAVAILABLE
P/B Ratio
9.5HIGH
Market Cap
₹1806928.6L CrHIGH
From 52W High
79% of high
Sector Peers
10
Castrol India Stock Analysis, Valuation, Fundamentals & Intelligence | FynSight