DCM Shriram Limited (DCMSHRIRAM) AI Stock Analysis

• Market Cap: ₹194.71B
• Dividend Yield: 1.03%
• Average Volume (3M): 13.45K
• Price to Earnings (P/E): 27.3
• Beta (1Y): 0.46
• Revenue Growth: 13.39%
• EPS Growth: 36.62%
• Country: IN
• Employees: 6,067
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Chemicals - Specialty
• EPS (TTM): 10.13
• Shares Outstanding: 155,942,290
• 10 Day Avg. Volume: 2,394
• 30 Day Avg. Volume: 13,447
• PEG Ratio: 0.77
• Price to Book (P/B): 2.33
• Price to Sales (P/S): 1.35
• P/FCF Ratio: 57.76
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ₹1,369.00 ▲(12.12% Upside)

DCM Shriram Limited shows strong financial performance with robust revenue growth and efficient operations. However, technical indicators suggest a neutral to slightly bearish trend, and the valuation indicates moderate pricing with a low dividend yield. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates a strong market position and effective business strategies, supporting long-term expansion.

Business Model Diversification

Diversification across multiple sectors reduces risk and enhances resilience against market fluctuations, supporting sustained growth.

Balance Sheet Strength

A strong balance sheet with low leverage enhances financial stability and provides flexibility for strategic investments.

Negative Factors

Rising Debt Levels

Increasing debt levels could strain financial resources and limit future growth opportunities if not managed effectively.

Free Cash Flow Volatility

Volatile free cash flow indicates challenges in maintaining consistent liquidity, which can impact long-term financial planning.

Moderate Profit Margins

Moderate profit margins suggest potential inefficiencies or pricing pressures, which could hinder profitability improvements.

DCM Shriram Limited Business Overview & Revenue Model

Company Description

DCM Shriram Limited (DCMSHRIRAM) is a diversified and integrated company based in India, operating primarily in the agri-business, sugar, and chemical sectors. The company engages in manufacturing and marketing a wide range of products including fertilizers, pesticides, sugar, and various industrial chemicals. Additionally, DCMSHRIRAM has a presence in the renewable energy sector, focusing on wind and solar power generation, positioning itself as a key player in sustainable development.

How the Company Makes Money

DCM Shriram earns revenue through multiple streams, primarily from its agricultural inputs division, which includes fertilizers and crop protection products. The sugar segment contributes significantly to its earnings as well, with operations in sugar manufacturing and by-products like ethanol. The chemicals division generates revenue through the production and sale of industrial chemicals and allied products. Furthermore, income is generated from the renewable energy sector, particularly through power generation from solar and wind projects. Strategic partnerships with agricultural cooperatives and government initiatives also enhance the company's revenue potential, alongside a strong distribution network that facilitates the reach of its products to farmers and industrial clients.

DCM Shriram Limited Financial Statement Overview

Summary

DCM Shriram Limited exhibits robust growth in revenue and efficient operations, as reflected in stable margins and effective cost management. The balance sheet is strong with low leverage and good equity ratios, though rising debt levels warrant caution. Cash flow generation is improving, but sustaining free cash flow remains a challenge. Overall, the financial health is solid with areas for potential enhancement in profitability and cash flow stability.

Income Statement

DCM Shriram Limited demonstrated strong revenue growth with a 11.2% increase from 2024 to 2025. The company's gross profit margin is solid at 33.8%, indicating effective cost management. However, the net profit margin is moderate at 5.0%, suggesting room for improving profitability. Consistent EBIT and EBITDA margins highlight operational efficiency, although there has been a slight decline in EBIT margin over the years.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.36, indicating low leverage and a strong equity base. Return on equity is healthy at 8.6%, showcasing effective use of shareholder capital. The equity ratio stands at 55.0%, affirming a robust capital structure. Nonetheless, there has been an increase in total debt over the years, which could be a potential risk if not managed well.

Cash Flow

The cash flow statement reveals a positive trajectory in operating cash flow, supporting the company's liquidity needs. The operating cash flow to net income ratio is 1.87, indicating strong cash generation relative to profit. However, the free cash flow growth rate is volatile, moving from negative in previous periods to positive, which suggests challenges in sustaining free cash flow. The free cash flow to net income ratio is 0.47, showing room for improvement in converting profits into free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	124.63B	120.77B	109.22B	115.47B	96.27B	83.08B
Gross Profit	41.19B	39.27B	32.72B	36.70B	35.54B	27.97B
EBITDA	13.27B	13.26B	9.63B	15.84B	17.63B	11.15B
Net Income	6.17B	6.04B	4.47B	9.11B	10.67B	6.73B
Balance Sheet
Total Assets	0.00	127.32B	115.49B	107.22B	93.71B	77.91B
Cash, Cash Equivalents and Short-Term Investments	9.64B	9.86B	6.59B	9.10B	15.12B	13.16B
Total Debt	0.00	25.29B	21.52B	17.07B	15.77B	15.21B
Total Liabilities	-70.04B	57.28B	50.27B	45.28B	38.69B	31.43B
Stockholders Equity	70.04B	70.04B	65.22B	61.94B	55.02B	46.48B
Cash Flow
Free Cash Flow	0.00	2.83B	-5.16B	-5.07B	4.50B	16.33B
Operating Cash Flow	0.00	11.28B	7.94B	12.96B	12.24B	18.87B
Investing Cash Flow	0.00	-8.50B	-10.70B	-15.43B	-9.04B	-6.42B
Financing Cash Flow	0.00	-13.90M	1.69B	-2.35B	-2.59B	-9.18B

DCM Shriram Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1221.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DCMSHRIRAM, the sentiment is Neutral. The current price of 1221.05 is below the 20-day moving average (MA) of 1229.24, below the 50-day MA of 1223.39, and above the 200-day MA of 1167.07, indicating a neutral trend. The MACD of -4.26 indicates Positive momentum. The RSI at 49.06 is Neutral, neither overbought nor oversold. The STOCH value of 59.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:DCMSHRIRAM.

DCM Shriram Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSCL	74 Outperform	₹228.60B	34.83	―	0.14%	-2.24%	31.43%
AKZOINDIA	69 Neutral	₹151.02B	7.59	―	2.88%	-3.03%	357.65%
VINATIORGA	69 Neutral	₹171.93B	40.43	―	0.47%	8.96%	17.70%
DCMSHRIRAM	66 Neutral	₹194.71B	27.33	―	1.03%	13.39%	36.62%
ATUL	64 Neutral	₹175.46B	32.36	―	0.43%	16.46%	43.59%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
BASF	60 Neutral	₹192.55B	48.64	―	0.48%	0.43%	-42.29%

DCM Shriram Limited Corporate Events

DCM Shriram Schedules Q2 FY26 Earnings Call

DCM Shriram Limited has announced a Q2 FY26 Earnings Conference Call scheduled for October 30, 2025, at 4:00 PM IST. The call, which will include key members of the company’s senior management, follows the release of the company’s financial results for the quarter ended September 30, 2025. This event is significant for analysts and investors as it provides insights into the company’s financial health and strategic direction.