DIC India Limited (DICIND) AI Stock Analysis

• Market Cap: ₹4.77B
• Dividend Yield: 0.82%
• Average Volume (3M): 625.00
• Price to Earnings (P/E): 27.8
• Beta (1Y): 0.67
• Revenue Growth: 1.34%
• EPS Growth: 283.51%
• Country: IN
• Employees: 347
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 4.96
• Shares Outstanding: 9,178,977
• 10 Day Avg. Volume: 770
• 30 Day Avg. Volume: 625
• PEG Ratio: -2.31
• Price to Book (P/B): 1.04
• Price to Sales (P/S): 0.50
• P/FCF Ratio: 14.60
• 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: 60 Neutral
• Price Target: ₹572.00 ▲(17.74% Upside)
• Action: Reiterated Date: 02/26/26
• Date: Action: Reiterated 02/26/26

The score is primarily supported by the company’s strong, low-leverage balance sheet and improving cash generation, but held back by thin/volatile profitability and recent revenue and margin pressure. Technical signals are neutral-to-mildly positive, while valuation (higher P/E and low yield) limits upside in the score.

Positive Factors

Balance Sheet Strength

Very low leverage (debt-to-equity ~1–5%) gives DIC India durable financial flexibility to fund working capital, capex or absorb cyclical downturns without heavy external financing. This reduces solvency risk and supports long-term stability and strategic investments.

Cash Generation

Return to positive operating and free cash flow (2025 FCF ~305m) indicates the business can convert profits into cash. Durable cash generation enables internal funding of inventory and maintenance, supports selective reinvestment, and lowers reliance on debt for operations.

Earnings Recovery / ROE

Rebound from 2023 losses to positive earnings and a modest ROE (~4% in 2025) demonstrates operational recovery and restored capacity to reinvest, meet supplier terms, and rebuild stakeholder confidence. Sustained profitability would underpin long-term growth options.

Negative Factors

Thin and Volatile Margins

Net margins near 1.9% are very thin, leaving earnings highly sensitive to raw-material cost swings and competitive pricing. Low margins limit the company’s ability to invest in higher-value products, create a buffer for cost shocks, and produce consistent returns through cycles.

Revenue and Gross Margin Pressure

A ~-5.8% revenue decline in 2025 combined with sharp gross-margin compression points to demand weakness or eroded pricing power. Persistent top-line volatility and margin squeeze undermine scale economics, making consistent reinvestment and margin recovery harder to achieve.

Inconsistent Cash Conversion History

Prior years of negative free cash flow (2021–2023) indicate inconsistent cash conversion despite recent improvement. This uneven track record raises execution risk for sustaining investment programs, maintaining working capital through cycles, and funding growth without external support.

DIC India Limited Business Overview & Revenue Model

Company Description

DIC India Limited engages in the manufacture and sale of printing inks in India. It operates in two segments, Printing Inks and Lamination Adhesives. The company offers news, offset, gravure, flexographic, and specialty inks; lamination adhesives; packaging solutions; and UV inks and coating products. It serves newspapers, magazines, conversion agents, and printing and packaging industries. The company was formerly known as Coates of India Limited and changed its name to DIC India Limited in August 2004. DIC India Limited was founded in 1937 and is based in Noida, India. DIC India Limited is a subsidiary of DIC Asia Pacific Pte Limited.

How the Company Makes Money

DIC India Limited generates revenue primarily through the sale of its core products, including printing inks, coatings, and specialty chemicals. The company has multiple revenue streams, with significant contributions from the packaging industry, where its inks and coatings are essential for labeling and packaging materials. Additionally, DICIND benefits from long-term contracts and partnerships with major players in the printing and packaging sectors, ensuring a steady demand for its products. The company's focus on innovation and sustainability also attracts customers looking for eco-friendly solutions, further enhancing its market position and profitability.

DIC India Limited Financial Statement Overview

Summary

Financials are improving but not yet strong: earnings recovered after 2023 losses and recent free cash flow is positive, but profitability remains thin and volatile (2025 net margin ~1.9%) with 2025 revenue decline and sharp gross margin compression. The balance sheet is a clear strength with very low leverage, reducing solvency risk.

Income Statement

Profitability has recovered from a loss in 2023 to positive earnings in 2024–2025, but overall margins remain thin (2025 net margin ~1.9% and operating profitability low). Revenue has been choppy, with 2025 declining (~-5.8%) after growth in 2024, and gross margin compressed sharply in 2025 versus 2024—suggesting renewed cost/price pressure. Strength: clear rebound from 2023 losses; weakness: low and volatile margins and inconsistent top-line momentum.

Balance Sheet

The balance sheet is conservatively structured with very low leverage (debt-to-equity consistently near ~1%–5%), providing strong financial flexibility and lower solvency risk. Equity is sizable relative to the asset base, and return on equity is positive again in 2024–2025 after turning negative in 2023, though current returns are modest (~4% in 2025). Strength: minimal debt burden and strong capitalization; weakness: profitability on equity is not yet strong.

Cash Flow

Cash generation improved meaningfully in 2024–2025, with positive operating cash flow and positive free cash flow (2025 free cash flow ~305m). Free cash flow compares reasonably to earnings in 2024–2025, but the track record is volatile with negative free cash flow in several earlier years (2021–2023 and 2022). Strength: recent turnaround to solid positive free cash flow; weakness: historical consistency is uneven and cash conversion has fluctuated.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	8.92B	8.92B	8.78B	8.26B	8.68B	7.42B
Gross Profit	1.77B	1.41B	2.20B	1.04B	1.74B	1.78B
EBITDA	453.89M	397.19M	461.95M	-63.47M	608.36M	322.44M
Net Income	179.29M	173.77M	195.39M	-226.76M	409.84M	123.89M
Balance Sheet
Total Assets	0.00	6.30B	5.87B	5.81B	6.49B	6.11B
Cash, Cash Equivalents and Short-Term Investments	397.97M	646.55M	391.82M	469.68M	670.74M	727.66M
Total Debt	0.00	64.80M	34.33M	196.84M	240.45M	54.49M
Total Liabilities	-4.15B	2.02B	1.72B	1.85B	2.27B	2.25B
Stockholders Equity	4.15B	4.29B	4.15B	3.96B	4.22B	3.86B
Cash Flow
Free Cash Flow	0.00	305.14M	81.00M	-280.62M	-325.34M	-306.10M
Operating Cash Flow	0.00	418.74M	163.83M	52.57M	369.69M	-71.15M
Investing Cash Flow	0.00	-111.79M	-59.73M	-300.05M	-341.65M	563.07M
Financing Cash Flow	0.00	-52.77M	-182.46M	46.37M	-84.96M	-94.90M

DIC India Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 485.80
• 50DMA: Positive
• 100DMA: Positive
• 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:DICIND, the sentiment is Negative. The current price of 485.8 is below the 20-day moving average (MA) of 543.80, below the 50-day MA of 514.40, and below the 200-day MA of 563.03, indicating a neutral trend. The MACD of 3.64 indicates Positive momentum. The RSI at 44.58 is Neutral, neither overbought nor oversold. The STOCH value of 28.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:DICIND.

DIC India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PREMIERPOL	69 Neutral	₹5.49B	18.90	―	0.37%	3.39%	6.48%
SUKHJITS	62 Neutral	₹6.10B	44.40	―	0.63%	-5.05%	-57.82%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
PLASTIBLEN	61 Neutral	₹3.65B	11.88	―	1.53%	-2.17%	-5.39%
DICIND	60 Neutral	₹4.77B	27.83	―	0.82%	1.34%	283.51%
ASAHISONG	58 Neutral	₹2.62B	16.86	―	0.56%	10.57%	59.22%
VINYLINDIA	58 Neutral	₹3.76B	20.16	―	2.90%	-1.72%	-19.99%

DIC India Limited Corporate Events

DIC India Announces Leadership Change in Sales and Marketing

DIC India Limited has announced a leadership change in its sales and marketing function, with long-time business-to-business sales specialist Ms. Manjusha Singh appointed as Head of Sales & Marketing and designated as a Senior Managerial Person from 2 February 2026, following approvals by the Nomination & Remuneration Committee and the Board. The move follows the resignation of current Head of Sales & Marketing and Senior Managerial Person, Mr. Kuldeep Sharma, whose cessation from the senior managerial role is effective 2 February 2026, with his employment to conclude on 7 March 2026 after completion of his notice period; the appointment of a seasoned leader with extensive experience in pricing, strategy and large-scale business transformation is expected to support continuity in client relationships and underpin DIC India’s growth and competitive positioning in its core industrial and packaging markets.

DIC India Limited Reports Significant Reduction in GST Demand

DIC India Limited has informed the stock exchanges about a significant reduction in a tax demand from the GST department of Karnataka. Initially, the company faced a demand of INR 6.71 crore for the fiscal year 2021-22 due to alleged Input Tax Credit violations. However, after representations, the final order reduced this demand to INR 3.81 lakh. This reduction indicates a favorable outcome for DIC India Limited, minimizing financial impact and potential operational disruptions.

DIC India Limited Resolves GST Dispute with Significant Tax Reduction

DIC India Limited has announced a significant reduction in a tax demand originally issued by the GST department of West Bengal. The initial demand of INR 5,54,65,222 was reduced to INR 4,67,740 following representations made before the Joint Commissioner. This reduction in tax liability is unlikely to impact the company’s financial or operational activities significantly, indicating a positive resolution of the dispute for DIC India Limited.