Fineotex Chemical Limited (FCL) AI Stock Analysis

• Market Cap: ₹27.50B
• Dividend Yield: 0.67%
• Average Volume (3M): 239.10K
• Price to Earnings (P/E): 28.0
• Beta (1Y): 1.40
• Revenue Growth: -10.12%
• EPS Growth: -22.38%
• Country: IN
• Employees: 205
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 2.30
• Shares Outstanding: 1,145,750,900
• 10 Day Avg. Volume: 23,734
• 30 Day Avg. Volume: 239,105
• PEG Ratio: -2.09
• Price to Book (P/B): 3.68
• Price to Sales (P/S): 5.05
• P/FCF Ratio: -366.48
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ₹29.00 ▲(20.83% Upside)

Fineotex Chemical Limited's strong financial performance is the primary driver of its stock score, supported by stable profitability and growth metrics. Technical analysis suggests a neutral trend with potential bullish momentum. The valuation indicates moderate overvaluation, which slightly tempers the overall score.

Positive Factors

Strong Financial Health

The company's robust profitability and stable balance sheet with low leverage highlight its strong financial position, supporting long-term growth and resilience.

Stable Balance Sheet

A strong balance sheet with low debt and high equity provides financial stability, enabling the company to withstand economic fluctuations and invest in growth opportunities.

Efficient Cost Management

Efficient cost management, reflected in strong and improving profit margins, enhances profitability and competitive positioning, supporting sustainable growth.

Negative Factors

Revenue Decline

A recent decline in revenue could indicate market challenges or competitive pressures, potentially impacting future growth if not addressed.

Cash Flow Variability

Fluctuating cash flow, particularly a decline in free cash flow, may pose liquidity challenges, affecting the company's ability to fund operations and investments.

Lower Cash Reserves

Reduced cash reserves can limit financial flexibility and increase vulnerability to unexpected expenses or downturns, necessitating prudent cash management.

Fineotex Chemical Limited Business Overview & Revenue Model

Company Description

Fineotex Chemical Limited (FCL) is a leading specialty chemicals manufacturer based in India, primarily serving the textile, detergent, and leather industries. The company offers a wide range of products, including textile chemicals, specialty surfactants, and other performance-based solutions aimed at enhancing the quality and durability of fabrics and materials. FCL is known for its commitment to innovation, sustainability, and customer satisfaction, positioning itself as a key player in the global chemical market.

How the Company Makes Money

Fineotex Chemical Limited generates revenue through the production and sale of its specialty chemical products to various sectors, primarily focusing on textiles, detergents, and leather processing. The company's revenue model is built on direct sales to manufacturers and distributors who require high-quality chemical solutions. Key revenue streams include the sale of textile auxiliaries, surfactants, and other related chemicals, which are essential for enhancing the performance of textiles and materials. FCL also benefits from strategic partnerships with international clients and suppliers, enabling it to expand its market reach and enhance its product offerings. The company's focus on research and development fosters innovation in its product lines, contributing to customer loyalty and repeat business. Additionally, its commitment to sustainability and eco-friendly products attracts environmentally conscious consumers and businesses, further bolstering its revenue potential.

Fineotex Chemical Limited Financial Statement Overview

Summary

Fineotex Chemical Limited exhibits strong financial health with robust revenue growth, solid profitability, and a stable balance sheet characterized by low leverage. However, recent fluctuations in cash flow due to increased capital expenditures suggest a need for careful cash management.

Income Statement

Fineotex Chemical Limited has demonstrated robust revenue growth with a significant increase from 2020 to 2025. The company maintained a strong gross profit margin, consistently above 30%, and an improving net profit margin, indicating efficient cost management. Despite a slight dip in revenue in the latest year, the overall performance showcases resilience and profitability, making the income statement solid.

Balance Sheet

The balance sheet of Fineotex Chemical Limited reflects a healthy financial position with low debt levels and a growing stockholders' equity, resulting in a very low debt-to-equity ratio. The equity ratio remains strong, highlighting financial stability. However, the lower cash reserves in the latest year could pose a risk if not managed carefully.

Cash Flow

Cash flow analysis shows variability, with a recent decline in free cash flow due to increased capital expenditures. The operating cash flow to net income ratio indicates strong cash generation capabilities, although the fluctuation in free cash flow suggests potential liquidity challenges if investment activities continue to rise.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.29B	5.33B	5.69B	5.17B	3.67B	2.17B
Gross Profit	1.97B	2.06B	2.17B	1.78B	1.30B	757.73M
EBITDA	1.46B	1.52B	1.65B	1.13B	767.24M	580.62M
Net Income	1.04B	1.08B	1.20B	883.16M	551.74M	425.88M
Balance Sheet
Total Assets	0.00	8.15B	5.48B	4.22B	3.39B	2.67B
Cash, Cash Equivalents and Short-Term Investments	416.97M	330.01M	735.06M	611.90M	308.35M	279.33M
Total Debt	0.00	2.17M	51.90M	72.80M	19.08M	34.76M
Total Liabilities	-7.39B	757.59M	945.90M	659.02M	700.96M	509.90M
Stockholders Equity	7.39B	7.31B	4.47B	3.49B	2.62B	2.09B
Cash Flow
Free Cash Flow	0.00	-73.46M	494.76M	887.62M	-91.37M	-149.48M
Operating Cash Flow	0.00	693.34M	973.81M	1.08B	133.75M	92.59M
Investing Cash Flow	0.00	-2.73B	-468.50M	-1.03B	-7.44M	-65.32M
Financing Cash Flow	0.00	1.76B	-239.11M	-64.39M	-56.59M	-44.42M

Fineotex Chemical Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 24.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:FCL, the sentiment is Negative. The current price of 24 is below the 20-day moving average (MA) of 24.48, below the 50-day MA of 25.03, and below the 200-day MA of 24.78, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 43.89 is Neutral, neither overbought nor oversold. The STOCH value of 5.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:FCL.

Fineotex Chemical Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FCL	75 Outperform	₹27.50B	28.04	―	0.67%	-10.12%	-22.38%
MANINDS	74 Outperform	₹30.61B	16.43	―	―	10.26%	46.49%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
RAMRAT	60 Neutral	₹28.62B	39.80	―	0.41%	19.75%	13.42%
KIRIINDUS	60 Neutral	₹34.16B	26.01	―	―	-22.04%	-58.81%
MOL	45 Neutral	₹15.68B	39.53	―	―	―	―
TIRUMALCHM	41 Neutral	₹27.30B	-15.97	―	0.43%	-11.11%	-340.74%

Fineotex Chemical Limited Corporate Events

Fineotex Chemical Limited Strengthens Growth Prospects with Successful Warrant Exercise

Fineotex Chemical Limited has successfully exercised warrants on a preferential basis, with significant participation from its promoter group, indicating strong confidence in the company’s growth prospects. The funds raised will be used for working capital and potential acquisitions, bolstering Fineotex’s expansion plans and reinforcing its market position both domestically and internationally.

Fineotex Chemical Expands Capital Through Warrant Conversion

Fineotex Chemical Limited has announced the allotment of 13,750,000 equity shares following the conversion of warrants, as approved in their recent board meeting. This move, conducted on a preferential basis, increases the company’s issued and paid-up capital to Rs. 115,95,00,900, reflecting strategic financial maneuvering to strengthen its market position and shareholder value.

Fineotex Chemical Limited Schedules Earnings Conference Call for Q2 FY2025-26

Fineotex Chemical Limited has announced an upcoming earnings conference call scheduled for November 18, 2025, to discuss its operational and financial performance for the second quarter and first half of the fiscal year 2025-26. This call will provide insights into the company’s performance and strategic direction, potentially impacting investor confidence and market positioning.

Fineotex Chemical Limited Conducts EGM via Video Conferencing

Fineotex Chemical Limited held an Extraordinary General Meeting (EGM) on October 25, 2025, via video conferencing, in compliance with the relevant provisions and circulars issued by the Ministry of Corporate Affairs and SEBI. The meeting was attended by key directors and members, including the Chairman and Managing Director, Surendrakumar Tibrewala, and other executive and non-executive directors, with a total of 50 members participating. The EGM proceedings were conducted to ensure adherence to regulatory requirements and to facilitate the company’s operational and strategic discussions.

Fineotex Chemical Limited Approves Share Capital Increase at EGM

Fineotex Chemical Limited held an Extraordinary General Meeting (EGM) on October 25, 2025, where all proposed resolutions were addressed. The meeting was conducted via video conferencing, and shareholders were provided with remote e-voting facilities. The primary resolution involved approving an increase in authorized share capital, which was passed without any opposition from the promoter group. The scrutinizer’s report confirmed the voting results, indicating strong shareholder support for the resolution.

Fineotex Chemical Limited Announces Trading Window Closure

Fineotex Chemical Limited has announced the closure of its trading window in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015. This measure is part of the company’s Code of Conduct to regulate, monitor, and report trading by insiders. The trading window closure is effective from September 24, 2025, until 48 hours after the conclusion of the Board Meeting on September 27, 2025. During this period, directors, designated employees, and their immediate relatives are prohibited from trading in the company’s securities. This move ensures adherence to regulatory requirements and maintains transparency in the company’s operations.