Dynemic Products Limited (DYNPRO) AI Stock Analysis

• Market Cap: ₹2.79B
• Dividend Yield: N/A
• Average Volume (3M): 1.91K
• Price to Earnings (P/E): 17.2
• Beta (1Y): 0.76
• Revenue Growth: 13.70%
• EPS Growth: 45.64%
• Country: IN
• Employees: 446
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 3.83
• Shares Outstanding: 12,428,387
• 10 Day Avg. Volume: 1,079
• 30 Day Avg. Volume: 1,912
• PEG Ratio: 0.07
• Price to Book (P/B): 1.51
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 15.70
• 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: 66 Neutral
• Price Target: ₹240.00 ▼(-4.55% Downside)
• Action: Reiterated Date: 03/19/26
• Date: Action: Reiterated 03/19/26

Overall score is driven primarily by solid financial performance (growth, improving margins, and strong cash conversion) supported by a stable balance sheet. This is partially offset by weak technical signals (negative MACD and trading below key moving averages), while valuation appears reasonable based on the P/E provided.

Positive Factors

Improved margins & revenue growth

Sustained revenue growth alongside materially higher gross, EBIT and EBITDA margins signals lasting improvements in cost management, pricing or product mix. Over months this supports stronger operating leverage, higher cash conversion potential and resilience versus peers in specialty chemicals.

Strong cash conversion

An OCF-to-net-income ratio near 2.0 and positive free cash flow point to durable cash generation from operations. This underpins capacity to fund capex, service debt, and invest in custom manufacturing capabilities without relying on external financing over the medium term.

Manageable leverage, strong equity base

Moderate leverage and a strong equity ratio provide financial flexibility to absorb cyclical headwinds, support regulatory compliance investments and enable targeted capacity expansion for contract manufacturing, reducing refinancing and solvency risk over coming quarters.

Negative Factors

Low net profitability and modest ROE

Despite margin improvements, a single-digit net margin and modest ROE limit the company’s ability to compound shareholder returns. Over a multi-month horizon this constrains retained earnings accumulation and reduces headroom for strategic investments or dividend increases relative to higher-return peers.

Volatile free cash flow growth

A sharp year-over-year decline in free cash flow growth, even from positive levels, signals volatility in cash generation. This can impair consistent funding for capex, debt reduction or new product investments and raises execution risk during downturns or when scaling specialized manufacturing.

Exposure to customer and raw-material cycles

Reliance on B2B contract manufacturing makes revenue and margins sensitive to customer order cadence, capacity utilization and input-cost pass-through. Over months this structural exposure can produce uneven demand, margin pressure and requires continual contract wins for higher-value molecules to sustain growth.

Dynemic Products Limited Business Overview & Revenue Model

Company Description

Dynemic Products Limited engages in the manufacturing and selling of dyes and dye intermediates in India. It offers food colors that are primarily applied in coloring food, drug, and cosmetic products; lake colors that are used in the application of pharmaceuticals, cosmetic and personal care products, spice compounds, bakery and dairy products, and snack foods; and blended colors. The company also provides food drug and cosmetic colors; salt free dyes for inkjet industry; and dyes intermediates, such as pyarazolone, naphthalene, and benzene based dyes intermediates that are applied in reactive, metal complex, acid, ramazol, and direct dyes, as well as in food colors. In addition, it offers drug and cosmetic colors for tablet coatings, compressed tablets, syrups, hard and soft gelatin capsules, toiletries, skin-care products, water-based make-ups, lipsticks, nail polishes, pencils, foundations, and lip glosses; and natural food colors. The company also exports its products worldwide. Dynemic Products Limited was incorporated in 1990 and is based in Ahmedabad, India.

How the Company Makes Money

DYNPRO primarily makes money by manufacturing and supplying APIs, intermediates, and specialty chemicals to customers (typically pharma/chemical companies) under business-to-business arrangements. Revenue is generated from (1) sale of manufactured products (APIs/intermediates/specialty chemicals) where pricing depends on volumes, product mix, and contract terms, and (2) contract/custom manufacturing services where the company manufactures products to a client’s specifications and earns processing/manufacturing charges (and/or a margin on materials if it procures inputs). Earnings are influenced by customer order flow, capacity utilization, raw-material costs and pass-through terms, regulatory/quality compliance, and the company’s ability to secure repeat orders for higher-value or more specialized molecules. Specific material partnerships, customer concentration details, and segment-wise revenue breakdown are null.

Dynemic Products Limited Financial Statement Overview

Summary

Strong revenue growth and improved gross/EBIT/EBITDA margins support the score, and cash conversion is solid (operating cash flow to net income of 1.90). Balance sheet is stable with manageable leverage (debt-to-equity 0.43) and a strong equity ratio (53.89%), but ROE is only moderate (6.69%) and net margin remains relatively low (4.16%).

Income Statement

Dynemic Products Limited has shown strong revenue growth, with a significant increase from the previous year. The gross profit margin has improved to 47.45% in 2025, and the net profit margin has increased to 4.16%, reflecting better cost management and profitability. EBIT and EBITDA margins have also improved, indicating efficient operations. However, the net profit margin remains relatively low, suggesting room for further profitability enhancement.

Balance Sheet

The company's debt-to-equity ratio is 0.43, showing a manageable level of debt compared to equity. The return on equity (ROE) is 6.69%, indicating moderate profitability relative to shareholders' equity. The equity ratio of 53.89% suggests a strong equity base, providing financial stability. Despite these strengths, the company should monitor its debt levels to maintain financial health.

Cash Flow

Dynemic Products Limited's free cash flow has turned positive with a growth rate of -21.74% compared to the previous year, indicating improved cash generation. The operating cash flow to net income ratio of 1.90 shows strong cash flow generation relative to net income. However, the company should focus on sustaining free cash flow growth to support future investments and debt repayments.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.67B	3.61B	2.80B	2.89B	2.43B	2.01B
Gross Profit	1.77B	1.71B	623.96M	170.28M	564.46M	568.13M
EBITDA	508.11M	483.00M	304.02M	240.32M	409.07M	435.57M
Net Income	175.87M	150.00M	36.18M	-29.40M	142.98M	284.94M
Balance Sheet
Total Assets	4.14B	4.16B	4.00B	4.12B	4.15B	3.51B
Cash, Cash Equivalents and Short-Term Investments	24.61M	23.82M	17.71M	19.89M	22.94M	8.17M
Total Debt	791.24M	958.75M	1.15B	1.48B	1.74B	1.53B
Total Liabilities	1.81B	1.92B	1.97B	2.29B	2.44B	1.95B
Stockholders Equity	2.33B	2.24B	2.03B	1.83B	1.70B	1.56B
Cash Flow
Free Cash Flow	205.61M	215.16M	274.90M	238.39M	-146.44M	-770.77M
Operating Cash Flow	229.10M	284.31M	302.74M	247.68M	396.86M	481.45M
Investing Cash Flow	-11.19M	-59.26M	-6.45M	-7.94M	-549.24M	-988.20M
Financing Cash Flow	-216.37M	-243.97M	-304.25M	-262.22M	122.37M	493.71M

Dynemic Products Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 251.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DYNPRO, the sentiment is Neutral. The current price of 251.45 is above the 20-day moving average (MA) of 220.92, above the 50-day MA of 225.45, and below the 200-day MA of 293.23, indicating a neutral trend. The MACD of -3.88 indicates Negative momentum. The RSI at 51.80 is Neutral, neither overbought nor oversold. The STOCH value of 67.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:DYNPRO.

Dynemic Products Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DYNPRO	66 Neutral	₹2.79B	17.18	―	―	13.70%	45.64%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
DICIND	60 Neutral	₹4.54B	25.63	―	0.82%	1.34%	283.51%
LORDSCHLO	54 Neutral	₹3.02B	23.33	―	―	39.31%	―
GENUSPAPER	50 Neutral	₹2.77B	28.86	―	―	23.58%	154.81%
ARCHIDPLY	49 Neutral	₹1.39B	27.55	―	―	35.50%	―
KANORICHEM	45 Neutral	₹2.79B	23.83	―	―	-1.30%	-27.85%