Asahi Songwon Colors Ltd. (ASAHISONG) AI Stock Analysis

• Market Cap: ₹3.26B
• Dividend Yield: 0.53%
• Average Volume (3M): 876.00
• Price to Earnings (P/E): 18.4
• Beta (1Y): 1.19
• Revenue Growth: 26.27%
• EPS Growth: -40.62%
• Country: IN
• Employees: 126
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 2.68
• Shares Outstanding: 11,787,262
• 10 Day Avg. Volume: 554
• 30 Day Avg. Volume: 876
• PEG Ratio: -13.45
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 0.69
• P/FCF Ratio: 7.52
• 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: ₹414.00
• Price Target Upside: 46.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ₹414.00 ▲(46.32% Upside)

The overall stock score is primarily influenced by the company's strong financial performance, driven by revenue growth and profitability improvement. However, bearish technical indicators and a high P/E ratio suggest caution. The absence of earnings call insights and notable corporate events limit further analysis.

Asahi Songwon Colors Ltd. Business Overview & Revenue Model

Company Description

Asahi Songwon Colors Limited engages in manufacturing and export of AZO pigments in India. The company's product portfolio includes CPC blue crude and beta blue. Its products are used for applications in coating and paints, textiles, rubber, paper, printing inks, and plastics industries. The company also exports its products. Asahi Songwon Colors Limited was incorporated in 1990 is headquartered in Ahmedabad, India.

How the Company Makes Money

Asahi Songwon Colors Ltd. generates revenue through the production and sale of its phthalocyanine pigments, which are essential components in a wide array of industries including paints, inks, and plastics. The company capitalizes on its manufacturing capabilities and technological expertise to produce high-quality pigments that meet the specific needs of its clients. A significant portion of its revenue comes from exports, as it caters to international markets, leveraging its strategic partnerships and distribution networks. Additionally, the company invests in research and development to innovate and improve its product offerings, which helps maintain its competitive edge and secure long-term contracts with major industrial clients.

Asahi Songwon Colors Ltd. Financial Statement Overview

Summary

Asahi Songwon Colors Ltd. shows resilience with strong revenue growth and improved profitability, transitioning from a loss to net income. However, low net profit margins and increased leverage present potential risks.

Income Statement

Asahi Songwon Colors Ltd. demonstrates strong revenue growth, with the most recent year showing a significant increase of 32% in total revenue. The gross profit margin improved significantly in the latest fiscal year, and the company turned from a net loss in 2023 to a solid net income in 2025. However, net profit margin remains relatively low at 3.51% for the latest annual period, indicating potential areas for improvement in cost management or pricing strategy.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio, which has increased over time, suggesting rising leverage. The equity ratio has declined slightly, indicating a heavier reliance on debt financing. Return on equity saw an improvement, reflecting enhanced profitability. The balance sheet shows a manageable level of debt, but the increase in total liabilities over recent years could pose a risk if not managed prudently.

Cash Flow

Cash flow analysis highlights a strong turnaround in free cash flow, moving from negative to positive in the latest year. The operating cash flow to net income ratio is healthy, suggesting efficient conversion of income into cash. Free cash flow growth is positive, but the cash flows from investing and financing activities reflect significant outflows, which may impact liquidity if not carefully monitored.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.78B	5.62B	4.25B	5.05B	4.10B	2.80B
Gross Profit	1.38B	1.46B	470.66M	1.19B	479.34M	1.11B
EBITDA	571.19M	561.71M	466.84M	111.42M	375.64M	542.74M
Net Income	177.43M	197.55M	200.47M	-116.49M	193.60M	322.14M
Balance Sheet
Total Assets	0.00	5.90B	5.75B	5.47B	4.70B	3.89B
Cash, Cash Equivalents and Short-Term Investments	61.59M	61.59M	26.59M	7.66M	3.01M	4.48M
Total Debt	0.00	1.67B	1.97B	1.80B	874.58M	501.48M
Total Liabilities	-2.83B	3.07B	3.09B	2.87B	1.85B	1.15B
Stockholders Equity	2.83B	2.55B	2.36B	2.19B	2.42B	2.28B
Cash Flow
Free Cash Flow	0.00	519.35M	-446.75M	-14.91M	-281.63M	-881.90M
Operating Cash Flow	0.00	579.17M	87.32M	299.71M	-3.75M	80.54M
Investing Cash Flow	0.00	-53.90M	-131.42M	-772.11M	-281.57M	-600.68M
Financing Cash Flow	0.00	-494.87M	43.73M	474.88M	283.85M	499.80M

Asahi Songwon Colors Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 282.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ASAHISONG, the sentiment is Negative. The current price of 282.95 is below the 20-day moving average (MA) of 285.13, below the 50-day MA of 314.47, and below the 200-day MA of 352.98, indicating a bearish trend. The MACD of -9.26 indicates Negative momentum. The RSI at 40.67 is Neutral, neither overbought nor oversold. The STOCH value of 15.43 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ASAHISONG.

Asahi Songwon Colors Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KHAICHEM	69 Neutral	₹11.88B	29.71	0.63%	―	64.35%	―
OCCL	68 Neutral	₹1.65B	15.71	3.91%	8.50%	-76.65%	-76.77%
ASAHISONG	58 Neutral	₹3.26B	18.37	―	0.53%	26.27%	-40.62%
BODALCHEM	52 Neutral	₹7.77B	27.02	1.67%	―	19.75%	845.31%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%