chemicals
Himadri Speciality Chemical
HSCL · Nifty 50
₹701.1
Price 2026-06-17
At a Glance
Fundamental
65/100
ADEQUATE
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
Himadri Speciality Chemical scores 65/100 on fundamentals (adequate). Himadri Speciality Chemical: BROAD EXPANSION regime.
Fundamental Score: 65/100 · ADEQUATE · 2 signals detected
DuPont Analysis
ROE 15.5% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 15.52% is moderate margin-driven and stable. Net margin of 15.5% × asset turnover of 0.75x × leverage of 1.3x.
What This Means
Net margin of 15.5% means the company keeps ₹15.5 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.75x means the company efficiently uses its assets to generate revenue. Leverage of 1.3x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
36.9%
Operating
22.2%
Net
15.5%
Gross margin 36.9% → operating margin 22.2% → net margin 15.5%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.
Financial Health
Earnings Quality
WEAKCash flow only covers 0.5x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
COMFORTABLEInterest covered 17.9x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.7x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin negative at -1.4% — spending more than earning. Check capex cycle.
Peer Comparison
Himadri Speciality Chemical is compared against 10 peers in the chemicals sector.
Key Watchpoints
Breaks above ₹736 (+5%)
Trend reversal confirmation
Breaks below ₹666 (-5%)
Further downside risk
Chemicals sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Working capital is consuming significant cash. Operational efficiency declining.
Modern asset base. Lower near-term capex requirements.
Strong insider alignment. Promoters have significant skin in the game.
⚠️ 1 critical + 2 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes