AksharChem India Ltd. (AKSHARCHEM) AI Stock Analysis

• Market Cap: ₹2.18B
• Dividend Yield: 0.29%
• Average Volume (3M): 1.21K
• Price to Earnings (P/E): 49.1
• Beta (1Y): 1.23
• Revenue Growth: 12.98%
• EPS Growth: N/A
• Country: IN
• Employees: 163
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.89
• Shares Outstanding: 8,033,099
• 10 Day Avg. Volume: 853
• 30 Day Avg. Volume: 1,211
• PEG Ratio: -0.29
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.49
• P/FCF Ratio: -18.27
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹276.00
• Price Target Upside: 1.88% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: ₹276.00 ▲(1.88% Upside)

AksharChem India Ltd. has a moderate overall stock score driven by its financial stability and neutral technical indicators. However, high valuation and profitability challenges weigh down the score. The absence of earnings call insights and corporate events limits additional context.

AksharChem India Ltd. Business Overview & Revenue Model

Company Description

AksharChem (India) Limited manufactures and sells dyes and pigments in India. The company offers dye intermediates, including H-acid, vinyl sulphone, ortho anicidine vinyl sulphone, and sulpho para vinyl sulphone; reactive blue 21 and reactive black 5 dyes; green 7 and violet 23 pigments; and precipitated silica. It serves textile, printing ink, plastic, paint, leather, and tyre industries. AksharChem (India) Limited also exports its products to Europe, the Far East, South East Asia, China, the United States, and internationally. The company was formerly known as Audichem (India) Limited and changed its name to AksharChem (India) Limited in March 2003. AksharChem (India) Limited was incorporated in 1989 and is headquartered in Mehsana, India.

How the Company Makes Money

AksharChem India Ltd. generates revenue primarily through the manufacturing and sale of dyes and dye intermediates. The company's key revenue streams include the production of vinyl sulphone and H-acid, which are essential components in the textile and printing industries. Additionally, AksharChem exports a significant portion of its products, contributing to its earnings and establishing its presence in international markets. The company benefits from strategic partnerships and a robust distribution network that enhances its market reach and customer base. Factors such as competitive pricing, consistent product quality, and adherence to environmental standards also play a crucial role in sustaining its revenue growth.

AksharChem India Ltd. Financial Statement Overview

Summary

AksharChem India Ltd. shows resilience with a strong gross profit margin and stable equity structure. However, profitability challenges are evident with low net margins and fluctuating EBIT figures. Cash flow management needs improvement to reverse negative free cash flow trends.

Income Statement

AksharChem India Ltd. exhibits fluctuating performance with a recent revenue growth of 16.96% in 2025 after a decline in 2024. The gross profit margin is strong at 27.6%, although the net profit margin is quite low at 1.38%, indicating high costs or inefficiencies. EBIT and EBITDA margins also show volatility, reflecting operational challenges.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.25, suggesting a balanced approach to leveraging. Return on equity is relatively low at 1.81%, indicating limited profitability on shareholders' investments. However, the equity ratio of 63.48% signals a strong equity base, contributing to financial stability.

Cash Flow

Cash flow analysis reveals challenges with negative free cash flow in recent years. The operating cash flow to net income ratio is robust at 7.3 times, suggesting effective cash generation from operations despite net income volatility. The negative free cash flow to net income ratio highlights the need for improved capital management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.57B	3.46B	3.02B	3.35B	3.68B	2.46B
Gross Profit	1.36B	955.94M	1.18B	217.93M	435.60M	207.26M
EBITDA	253.18M	248.34M	19.48M	155.64M	317.97M	250.36M
Net Income	43.30M	47.70M	-186.77M	-9.42M	159.15M	125.01M
Balance Sheet
Total Assets	0.00	4.15B	3.81B	3.65B	4.06B	3.55B
Cash, Cash Equivalents and Short-Term Investments	17.94M	1.44M	1.60M	17.79M	3.82M	16.00M
Total Debt	0.00	667.67M	518.21M	246.25M	502.73M	147.89M
Total Liabilities	-2.64B	1.52B	1.21B	868.84M	1.26B	767.77M
Stockholders Equity	2.64B	2.64B	2.59B	2.78B	2.80B	2.79B
Cash Flow
Free Cash Flow	0.00	-93.80M	-234.00M	290.18M	-206.19M	-22.64M
Operating Cash Flow	0.00	348.23M	-65.55M	379.21M	43.06M	492.74M
Investing Cash Flow	0.00	-440.29M	-164.03M	-84.03M	-237.84M	-493.55M
Financing Cash Flow	0.00	91.91M	229.71M	-295.11M	181.78M	13.06M

AksharChem India Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 270.90
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AKSHARCHEM, the sentiment is Positive. The current price of 270.9 is above the 20-day moving average (MA) of 269.82, below the 50-day MA of 275.62, and above the 200-day MA of 260.20, indicating a neutral trend. The MACD of -2.24 indicates Negative momentum. The RSI at 50.24 is Neutral, neither overbought nor oversold. The STOCH value of 43.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:AKSHARCHEM.

AksharChem India Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MHLXMIRU	69 Neutral	₹2.32B	12.89	24.41%	―	-48.17%	47.19%
OCCL	68 Neutral	₹1.65B	15.73	3.91%	8.49%	-76.65%	-76.77%
SADHNANIQ	62 Neutral	₹3.17B	63.47	2.69%	1.05%	-15.63%	3.19%
AKSHARCHEM	54 Neutral	₹2.18B	49.07	―	0.29%	12.98%	―
KESORAMIND	50 Neutral	₹1.73B	0.03	1232.48%	―	-93.47%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%