DIC India Limited (DICIND) AI Stock Analysis

• Market Cap: ₹5.13B
• Dividend Yield: 0.82%
• Average Volume (3M): 625.00
• Price to Earnings (P/E): 25.7
• Beta (1Y): 0.60
• Revenue Growth: 1.34%
• EPS Growth: 283.51%
• Country: IN
• Employees: 347
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 6.39
• Shares Outstanding: 9,178,977
• 10 Day Avg. Volume: 770
• 30 Day Avg. Volume: 625
• PEG Ratio: -0.17
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 0.70
• P/FCF Ratio: 75.34
• 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: 64 Neutral
• Price Target: ₹598.00 ▲(23.10% Upside)

The score is driven primarily by the financial recovery and strong balance sheet (margin rebound, return to profitability, and minimal leverage). Offsetting this, technicals remain mixed with longer-term trend pressure (below 100D/200D and negative MACD), and valuation is only average due to a P/E above bargain levels and a low dividend yield.

Positive Factors

Margin recovery and return to profitability

A substantial gross margin rebound and restored net profitability indicate improved pricing, cost control or product mix. Sustained margin recovery strengthens cash generation capacity and resilience, enabling reinvestment and lowering default risk over the medium term.

Very low leverage and strong equity base

Extremely low leverage and a high equity ratio provide financial flexibility to fund capex, absorb shocks, or pursue strategic investments without refinancing stress. This durable balance-sheet strength supports long-term stability through industry cycles.

Improved cash conversion and positive free cash flow

Positive FCF and strong operating-cash-to-income conversion reflect healthier underlying cash generation versus prior year. Persistent cash conversion supports operational needs, modest growth spending and potential shareholder returns over the coming quarters.

Negative Factors

Persistently low operating (EBIT/EBITDA) margins

Low operating margins limit the firm's ability to fund organic growth, R&D or margin-enhancing investments from operations. Over time this constrains competitive positioning and makes profitability highly sensitive to cost and volume fluctuations.

Free cash flow limited relative to earnings

Although FCF turned positive, its modest size versus reported earnings suggests limited spare cash for capex, working-capital cushions or shareholder distributions. This can restrict strategic flexibility and slow durable growth initiatives.

Vulnerability to raw-material price swings

Business profitability is structurally exposed to petrochemical-derived input volatility. Sustained raw-material price spikes or inability to pass costs to customers can compress margins materially, creating ongoing earnings and cashflow risk.

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 show a clear 2024 recovery: revenue grew 6.3%, gross margin expanded to 25.0% (from 12.6%), and net margin turned positive (2.2% vs. negative in 2023). Balance sheet strength is a major positive with very low leverage (debt-to-equity 0.01) and a high equity ratio (70.7%). Offsetting factors are still-low EBIT/EBITDA margins and cash flow constraints (FCF positive at INR 81m, but limited relative to net income).

Income Statement

DIC India Limited demonstrates strong revenue recovery in 2024 with a 6.3% increase from 2023. The gross profit margin improved significantly to 25.0% in 2024 from 12.6% in 2023, indicating better cost management. Additionally, strong profitability is evident as the net profit margin turned positive at 2.2% in 2024 compared to a negative margin in 2023. However, EBIT and EBITDA margins remain low, suggesting room for operational efficiency improvements.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.01, showcasing minimal leverage. The equity ratio remains strong at 70.7%, reflecting robust financial stability. Return on equity improved to 4.7% in 2024, up from a negative value in 2023, indicating enhanced shareholder returns. However, a slight decline in total assets could be a concern for future growth.

Cash Flow

DIC India Limited's cash flow position improved in 2024 with positive free cash flow of 81 million INR, reversing the negative trend from the prior year. The operating cash flow to net income ratio of 0.84 suggests solid operational cash conversion. However, the free cash flow to net income ratio indicates limited free cash flow generation relative to net income, highlighting potential cash flow management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.92B	8.78B	8.26B	8.68B	7.42B	6.06B
Gross Profit	1.77B	2.20B	1.04B	1.74B	1.78B	1.67B
EBITDA	453.89M	461.95M	-63.47M	608.36M	322.44M	1.28B
Net Income	179.29M	195.39M	-226.76M	409.84M	123.89M	859.00M
Balance Sheet
Total Assets	0.00	5.87B	5.81B	6.49B	6.11B	5.29B
Cash, Cash Equivalents and Short-Term Investments	397.97M	391.82M	469.68M	670.74M	727.66M	920.71M
Total Debt	0.00	34.33M	196.84M	240.45M	54.49M	57.46M
Total Liabilities	-4.15B	1.72B	1.85B	2.27B	2.25B	1.50B
Stockholders Equity	4.15B	4.15B	3.96B	4.22B	3.86B	3.79B
Cash Flow
Free Cash Flow	0.00	81.00M	-280.62M	-325.34M	-306.10M	182.20M
Operating Cash Flow	0.00	163.83M	52.57M	369.69M	-71.15M	242.74M
Investing Cash Flow	0.00	-59.73M	-300.05M	-341.65M	563.07M	381.62M
Financing Cash Flow	0.00	-182.46M	46.37M	-84.96M	-94.90M	-443.04M

DIC India Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 485.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DICIND, the sentiment is Positive. The current price of 485.8 is below the 20-day moving average (MA) of 502.91, below the 50-day MA of 499.88, and below the 200-day MA of 576.34, indicating a neutral trend. The MACD of 15.88 indicates Negative momentum. The RSI at 69.98 is Neutral, neither overbought nor oversold. The STOCH value of 85.54 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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	₹5.18B	17.93	―	0.37%	3.39%	6.48%
DICIND	64 Neutral	₹5.13B	25.69	―	0.82%	1.34%	283.51%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
PLASTIBLEN	61 Neutral	₹3.86B	11.91	―	1.53%	-2.17%	-5.39%
ASAHISONG	58 Neutral	₹2.66B	17.11	―	0.56%	10.57%	59.22%
VINYLINDIA	58 Neutral	₹3.97B	20.75	―	2.90%	-1.72%	-19.99%
SUKHJITS	54 Neutral	₹5.67B	24.75	―	0.63%	-5.05%	-57.82%

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.