Bharat Rasayan Limited (BHARATRAS) AI Stock Analysis

• Market Cap: ₹21.63B
• Dividend Yield: 0.02%
• Average Volume (3M): 149.00
• Price to Earnings (P/E): 23.2
• Beta (1Y): 0.81
• Revenue Growth: 6.39%
• EPS Growth: -15.53%
• Country: IN
• Employees: 816
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Agricultural Inputs
• EPS (TTM): 24.08
• Shares Outstanding: 16,621,073
• 10 Day Avg. Volume: 116
• 30 Day Avg. Volume: 149
• PEG Ratio: 0.32
• Price to Book (P/B): 1.89
• Price to Sales (P/S): 1.82
• P/FCF Ratio: 16.16
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: ₹1,373.00 ▼(-37.63% Downside)
• Action: Reiterated Date: 01/21/26
• Date: Action: Reiterated 01/21/26

Score is driven primarily by strong financial performance (growth, improving profitability, very low leverage, and improved cash flow), but is pulled down by very weak technicals (price below all major moving averages, negative MACD, and extremely oversold RSI/Stoch). Valuation is moderate with a modest dividend yield but a relatively higher P/E.

Positive Factors

Revenue and Margin Improvement

Sustained top-line growth combined with rising net margins indicates durable demand for Bharat Rasayan's technical agrochemical products and improving operational efficiency. This mix supports stronger recurring earnings, funds reinvestment into capacity or R&D, and underpins longer-term profitability.

Very Low Leverage and Strong Equity Base

Minimal leverage and a high equity ratio provide lasting financial flexibility, lowering solvency risk in a cyclical industry. The strong ROE shows efficient capital use, enabling the company to fund growth or weather downturns without relying on costly external financing.

Robust Cash Generation

Cash flow closely tracking accounting earnings demonstrates high quality of earnings and effective working-capital management. Strong free cash flow supports sustainable capex, potential dividends, and reduces dependence on external funding for strategic investments over the medium term.

Negative Factors

Negative EPS Growth

A sharp decline in EPS despite revenue gains signals earnings volatility or one-off pressures that impair retained earnings accumulation. Persistent EPS contraction can limit the firm's capacity to reinvest, pay dividends, or build reserves, weakening long-term financial resilience.

Exposure to Raw-Material Cost Volatility

Business economics depend on commodity inputs whose prices and availability can swing structurally. Sustained input-cost volatility compresses margins unless offset by pricing power or hedging, making profitability sensitive to external supply shocks over multiple quarters.

Limited Disclosed Revenue Visibility

Absence of disclosed long-term contracts or customer concentration details increases uncertainty around recurring revenue stability. Without visible offtake commitments, future volume and contract renewal risks are harder to assess, raising counterparty and demand-visibility risks over the medium term.

Bharat Rasayan Limited Business Overview & Revenue Model

Company Description

Bharat Rasayan Limited manufactures and sells technical grade pesticides, intermediates, and bulk formulations in India. It offers insecticides, herbicides, fungicides, and intermediates. The company also exports its products. Bharat Rasayan Limited was incorporated in 1989 and is headquartered in New Delhi, India.

How the Company Makes Money

Bharat Rasayan primarily makes money by manufacturing and selling agrochemical active ingredients (technical-grade pesticides/insecticides) and associated chemical intermediates. Revenue is generated through (1) sales of technical products to agrochemical formulators and other industry buyers who use these actives as inputs for branded and generic crop-protection formulations, and (2) sales of intermediates/contract manufacturing outputs where applicable, leveraging its chemical synthesis and plant capabilities. Earnings are influenced by product mix (higher-value actives vs. intermediates), volumes shipped to domestic customers and export buyers, and pricing linked to raw-material and solvent costs as well as global supply-demand dynamics for specific molecules. Specific disclosures on customer concentration, long-term offtake agreements, or named strategic partnerships are not available in the provided context and are therefore null.

Bharat Rasayan Limited Financial Statement Overview

Summary

Strong fundamentals: revenue grew 12.3% (2024 to 2025), margins improved (net margin up to 12.0%), leverage is very low (debt-to-equity 0.08), and cash generation strengthened (operating cash flow to net income 1.19; free cash flow to net income 0.97).

Income Statement

Bharat Rasayan has shown strong revenue growth, with a 12.3% increase from 2024 to 2025. Gross profit margin has remained robust at 33.8% in 2025. The net profit margin improved significantly to 12.0% in 2025, indicating effective cost management. Both EBIT and EBITDA margins have improved, suggesting enhanced operational efficiency.

Balance Sheet

The company maintains a healthy financial position with a low debt-to-equity ratio of 0.08 in 2025, signaling minimal leverage risk. Return on Equity is strong at 12.5%, reflecting effective use of equity. The equity ratio is impressive at 80.3%, indicating financial stability and a solid asset base.

Cash Flow

Operating cash flow has improved significantly, aligning well with net income, resulting in a healthy operating cash flow to net income ratio of 1.19. Free cash flow saw remarkable growth, indicating strong cash generation capabilities. Free cash flow to net income ratio stands at 0.97, showing effective cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	12.26B	11.73B	10.45B	12.34B	12.95B	10.80B
Gross Profit	3.90B	3.96B	3.24B	3.95B	3.69B	3.30B
EBITDA	2.06B	2.01B	1.38B	2.06B	2.66B	2.45B
Net Income	1.33B	1.41B	955.10M	1.25B	1.76B	1.64B
Balance Sheet
Total Assets	14.56B	14.08B	11.97B	10.74B	10.86B	9.08B
Cash, Cash Equivalents and Short-Term Investments	2.79B	2.86B	1.41B	485.96M	66.88M	1.39B
Total Debt	904.41M	852.19M	804.74M	279.37M	1.74B	584.46M
Total Liabilities	2.59B	2.78B	2.10B	1.80B	3.16B	1.81B
Stockholders Equity	11.97B	11.30B	9.88B	8.93B	7.70B	7.27B
Cash Flow
Free Cash Flow	-161.72M	1.32B	140.26M	1.90B	-1.21B	1.40B
Operating Cash Flow	249.00K	1.68B	410.76M	2.13B	-654.55M	1.70B
Investing Cash Flow	-173.93M	-1.57B	-897.00M	-605.49M	511.36M	-1.53B
Financing Cash Flow	23.25M	41.22M	489.57M	-1.52B	-247.85M	-397.29M

Bharat Rasayan Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2201.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:BHARATRAS, the sentiment is Negative. The current price of 2201.25 is above the 20-day moving average (MA) of 1463.29, above the 50-day MA of 1728.48, and below the 200-day MA of 2356.78, indicating a bearish trend. The MACD of -133.62 indicates Positive momentum. The RSI at 24.94 is Positive, neither overbought nor oversold. The STOCH value of 16.68 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:BHARATRAS.

Bharat Rasayan Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INSECTICID	68 Neutral	₹16.47B	49.77	―	0.71%	6.86%	15.64%
RALLIS	63 Neutral	₹46.48B	700.00	―	0.92%	0.91%	18.12%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
BHARATRAS	61 Neutral	₹21.63B	23.16	―	0.02%	6.39%	-15.53%
RCF	60 Neutral	₹64.80B	24.87	―	0.93%	-3.19%	59.25%
NACLIND	48 Neutral	₹28.30B	-87.11	―	―	-13.44%	-127.95%
NFL	45 Neutral	₹33.83B	8.30	―	1.77%	-7.78%	-70.89%