chemicals

PCBL Chemical

PCBL · Nifty 50

309.7

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionchemicals sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score85/100 (STRONG). 1 positive flags, 5 concerns.
Historical Context58 similar technical setups. Average outcome: -10.7% decline. 0% positive.

Fundamental

85/100

STRONG

Trust

95/100

Verification

Coverage

44/100

LIMITED

Quick Take

PCBL Chemical scores 85/100 on fundamentals (strong). PCBL Chemical: BROAD EXPANSION regime.

Fundamental Score: 85/100 · STRONG · 2 signals detected

DuPont Analysis

ROE 5.9% broken into three drivers. Each shows how efficiently the company generates returns.

ROE5.9%=
2.9%Net Margin
×
0.7xTurnover
×
2.8xLeverage

ROE of 5.89% is modest margin-driven and stable. Net margin of 2.9% × asset turnover of 0.72x × leverage of 2.8x.

What This Means

Net margin of 2.9% means the company keeps ₹2.9 as profit for every ₹100 of revenue. This is a low-margin business. Asset turnover of 0.72x means the company efficiently uses its assets to generate revenue. Leverage of 2.8x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

30.2%

Operating

9.0%

Net

2.9%

improving

Gross margin 30.2% → operating margin 9.0% → net margin 2.9%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.

Financial Health

Earnings Quality

STRONG

Cash flow covers net income 6.7x — earnings are HIGH QUALITY. The company converts profit to cash efficiently.

Debt Sustainability

STRETCHED

Interest covered only 1.7x — stretched. Rising rates could pressure profitability. Debt/EBITDA at 4.6x is high — monitor leverage.

Free Cash Flow

STRONG

FCF margin at 10.5% — strong cash generation. Business is self-funding.

Peer Comparison

PCBL Chemical is compared against 10 peers in the chemicals sector.

Key Watchpoints

🟢

Breaks above ₹325 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹294 (-5%)

Further downside risk

🟢

Chemicals sector entering leadership

Sector rotation signal

Detected Patterns

✅ Cash Flow Inflection: FCF turned positive after negative periods — major transition
✅ High Earnings Quality: Cash flow covers earnings 6.7x — strong cash conversion

Risk Flags

🔴 1 Critical⚠️ 4 Warning1 Positive6 total flags
🔴Cash covers only 6% of current liabilities
Balance Sheet

Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.

⚠️Special charges present in income statement
Earnings Quality

Special charges of ₹25K Cr. May indicate restructuring, impairment, or one-time costs.

⚠️Working capital changes are 34% of operating cash flow
Cash Flow

Working capital is providing significant cash. Stretching payables — temporary boost.

⚠️Receivables increasing — 5.3% of revenue
Cash Flow

Collection cycle changing. Customers taking longer to pay — monitor DSO.

⚠️Low promoter holding: 7%
Governance

No single controlling shareholder. Management may not be aligned with shareholders.

Price/Sales: 1.5x — reasonable revenue multiple
Valuation

Company not overvalued on revenue basis.

⚠️ 1 critical + 4 warning flags. Exercise caution.

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 (improving) contradicts news reports of margin pressure — investigate

50 articles scanned for fundamental themes

Facts

P/E Ratio
56.5UNAVAILABLE
P/B Ratio
2.9HIGH
Market Cap
₹1142025.2L CrHIGH
From 52W High
71% of high
Sector Peers
10