Apcotex Industries Ltd (APCOTEXIND) AI Stock Analysis

• Market Cap: ₹19.18B
• Dividend Yield: 1.75%
• Average Volume (3M): 2.45K
• Price to Earnings (P/E): 23.0
• Beta (1Y): 0.62
• Revenue Growth: 12.89%
• EPS Growth: 39.39%
• Country: IN
• Employees: 565
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 4.29
• Shares Outstanding: 51,844,960
• 10 Day Avg. Volume: 2,048
• 30 Day Avg. Volume: 2,447
• PEG Ratio: 80.49
• Price to Book (P/B): 3.03
• Price to Sales (P/S): 1.20
• P/FCF Ratio: 48.19
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 14.7
• Revenue Forecast (FY): ₹14.42B

• Rating: 71 Outperform
• Price Target: ₹388.00 ▲(5.06% Upside)
• Action: Upgraded Date: 11/07/25
• Date: Action: Upgraded 11/07/25

Apcotex Industries Ltd's strong financial performance, characterized by consistent revenue growth and a stable balance sheet, is the primary driver of its stock score. Technical indicators suggest a cautious outlook due to mixed signals, while the valuation remains reasonable with a moderate P/E ratio and a modest dividend yield.

Positive Factors

Consistent Revenue Growth

Sustained 25% top-line growth signals expanding market share and product mix gains in specialty rubber and chemicals. Over 2-6 months this underpins scale economies, stronger customer relationships, and reinvestment capacity, supporting durable competitive positioning.

Conservative Capital Structure

A low D/E and majority equity backing provide financial flexibility and resilience to cyclicality in rubber markets. This conservative structure supports capacity investments, weathering raw-material swings, and maintains access to funding without stressing interest coverage long-term.

Improving Cash Generation

Significant FCF growth and strong operating cash conversion indicate efficient conversion of profits into cash. This durable cash generation supports ongoing capex, working-capital needs, deleveraging or shareholder returns while enabling strategic investments in specialty grades.

Negative Factors

Low Net Profit Margin

A sub-4% net margin, despite healthy gross and improving EBIT margins, leaves limited buffer against input-cost inflation or demand shocks. Over months this constrains internal reinvestment and reduces flexibility to absorb commodity-price volatility without passing costs to customers.

Rising Total Debt Trend

Although current leverage is modest, the trend of rising total debt can elevate interest burden and reduce headroom for strategic spending. If the trend continues over quarters it may limit capacity expansions or M&A and pressure credit metrics during industry downturns.

High Capex Pressure vs FCF

FCF conversion below 1.0 implies substantial capex or working-capital needs relative to earnings. Persistently high capex reduces free cash available for deleveraging, dividends or specialty product investments, demanding careful execution to sustain returns over the medium term.

Apcotex Industries Ltd Business Overview & Revenue Model

Company Description

Apcotex Industries Limited produces and sells synthetic emulsion polymers in India. It offers synthetic latexes, such as carboxylated styrene butadiene, styrene acrylic, vinyl pyridine, and nitrile latexes; and synthetic rubber, including nitrile, NBR polyblend and powder, and high styrene rubber products. The company's synthetic latexes are used in applications, such as tire cord dipping, paper and paperboard coating, carpet backing, concrete modification/water proofing, non-wovens, textile finishing, paints, gloves, etc.; and synthetic rubber for use in various applications comprising footwear, automotive components, rice rolls, molded items, V-belts, conveyor belts, hoses, etc. It also exports its products. The company was formerly known as Apcotex Lattices Limited and changed its name to Apcotex Industries Limited in 2005. Apcotex Industries Limited was founded in 1980 and is headquartered in Mumbai, India.

How the Company Makes Money

Apcotex Industries generates revenue primarily through the sale of its specialty chemicals and polymer products. The company has established a diverse range of revenue streams by catering to various industries such as paints, textiles, and construction, which require different types of synthetic latex and polymers. Key revenue drivers include bulk sales to industrial clients, long-term contracts with major manufacturers, and partnerships with distributors that expand its market reach. Additionally, Apcotex's focus on research and development enables it to introduce innovative products that can command premium pricing, further enhancing its earnings potential.

Apcotex Industries Ltd Financial Statement Overview

Summary

Apcotex Industries Ltd exhibits robust financial health with consistent revenue and profit growth, supported by a strong balance sheet and improving cash flows. While its leverage remains manageable, the company must monitor debt levels closely to sustain financial flexibility.

Income Statement

Apcotex Industries Ltd has demonstrated strong revenue growth, with a 25% increase in total revenue from 2024 to 2025 and consistent growth over the past several years. The gross profit margin improved to 26% in 2025, and the net profit margin remained stable at about 3.9%. The EBIT margin has shown improvement, reaching 20.7% in 2025, indicating efficient management of operational expenses. However, the EBITDA margin decreased slightly, suggesting increased depreciation and amortization expenses.

Balance Sheet

The company's balance sheet is stable with a debt-to-equity ratio of 0.34, reflecting a conservative approach to leveraging. Return on equity (ROE) is moderate at 9.8%, indicating reasonable profitability relative to shareholder equity. The equity ratio stands at 55.4%, showcasing strong asset backing by equity. However, the increase in total debt over the years is a point of caution.

Cash Flow

Cash flow analysis reveals a positive trend in free cash flow, which grew significantly by 179% from 2024 to 2025. The operating cash flow to net income ratio is strong at 1.57, indicating efficient cash generation from operations relative to profit. However, free cash flow to net income ratio is lower at 0.64, suggesting significant capital expenditures that need to be managed carefully.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	14.31B	13.92B	11.13B	10.69B	9.51B	5.38B
Gross Profit	3.11B	3.62B	3.30B	3.56B	1.99B	1.95B
EBITDA	1.42B	1.25B	1.22B	1.66B	1.48B	747.81M
Net Income	584.23M	540.65M	538.79M	1.08B	988.06M	441.59M
Balance Sheet
Total Assets	0.00	9.99B	9.22B	8.03B	6.05B	4.52B
Cash, Cash Equivalents and Short-Term Investments	491.40M	616.38M	377.27M	302.00M	172.71M	248.63M
Total Debt	0.00	1.89B	1.88B	1.52B	502.64M	145.90M
Total Liabilities	-5.53B	4.46B	4.00B	3.27B	2.09B	1.46B
Stockholders Equity	5.53B	5.53B	5.22B	4.76B	3.96B	3.05B
Cash Flow
Free Cash Flow	0.00	347.68M	124.39M	-656.34M	-204.09M	514.77M
Operating Cash Flow	0.00	847.20M	402.12M	1.21B	475.44M	752.24M
Investing Cash Flow	0.00	-287.49M	-196.35M	-1.79B	-670.64M	-368.93M
Financing Cash Flow	0.00	-444.87M	-129.89M	707.79M	119.27M	-462.58M

Apcotex Industries Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 369.30
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:APCOTEXIND, the sentiment is Negative. The current price of 369.3 is below the 20-day moving average (MA) of 370.17, above the 50-day MA of 363.62, and below the 200-day MA of 379.48, indicating a neutral trend. The MACD of 2.25 indicates Positive momentum. The RSI at 49.47 is Neutral, neither overbought nor oversold. The STOCH value of 36.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:APCOTEXIND.

Apcotex Industries Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
APCOTEXIND	71 Outperform	₹19.18B	22.99	―	1.75%	12.89%	39.39%
BEPL	69 Neutral	₹20.47B	12.18	―	4.47%	―	―
SHREEPUSHK	68 Neutral	₹9.93B	13.46	―	0.52%	28.67%	50.12%
PRAKASH	63 Neutral	₹24.36B	7.37	―	1.10%	-12.15%	-6.47%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MOL	45 Neutral	₹12.98B	32.86	―	―	―	―