Gujarat Alkalies & Chemicals Ltd. (GUJALKALI) AI Stock Analysis

• Market Cap: ₹37.15B
• Dividend Yield: 3.12%
• Average Volume (3M): 3.71K
• Price to Earnings (P/E): 24796.6
• Beta (1Y): 1.03
• Revenue Growth: 10.35%
• EPS Growth: N/A
• Country: IN
• Employees: 1,365
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): 2.23
• Shares Outstanding: 73,436,930
• 10 Day Avg. Volume: 2,205
• 30 Day Avg. Volume: 3,713
• PEG Ratio: 0.88
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 74.51
• 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: 59 Neutral
• Price Target: ₹600.00 ▲(18.61% Upside)

Gujarat Alkalies & Chemicals Ltd. has a solid financial base with potential for improvement in profitability. However, technical indicators present a mixed outlook, and the negative P/E ratio is a significant concern. The dividend yield offers some investor appeal, but overall, the stock faces challenges in valuation and consistent profitability.

Positive Factors

Revenue Growth

The company has shown signs of revenue recovery, indicating potential for sustained growth and market demand for its products.

Cash Generation

Improved cash flows suggest strong operational efficiency and the ability to fund growth initiatives without external financing.

Balance Sheet Health

A strong balance sheet with low leverage enhances financial stability and flexibility, supporting long-term strategic investments.

Negative Factors

Profitability Challenges

Inconsistent profitability and recent net losses could hinder long-term financial performance and investor confidence.

Free Cash Flow Volatility

Volatile free cash flow can limit the company's ability to invest in growth opportunities and manage unexpected expenses.

Net Losses Impacting Equity

Recent net losses have weakened return on equity, potentially affecting investor returns and the company's ability to raise capital.

Gujarat Alkalies & Chemicals Ltd. Business Overview & Revenue Model

Company Description

Gujarat Alkalies & Chemicals Ltd. (GUJALKALI) is a leading manufacturer and supplier of a wide range of chemical products in India. Established in 1973, the company operates primarily in the chemical sector, focusing on the production of caustic soda, chlorine, and other related chemicals. GUJALKALI serves various industries including textiles, pharmaceuticals, water treatment, and agrochemicals, positioning itself as a key player in the chemical market.

How the Company Makes Money

GUJALKALI generates revenue primarily through the production and sale of its core products, including caustic soda, chlorine, and other chemical derivatives. The company operates on a business model that emphasizes both domestic and export sales, catering to a diverse range of industrial clients. Key revenue streams include bulk sales to large manufacturers and smaller orders to various industries. Additionally, GUJALKALI benefits from strategic partnerships with other companies in the chemical sector, enhancing its distribution network and market reach. The company also explores opportunities in value-added products, which contribute to its overall earnings. Market dynamics such as pricing, demand fluctuations, and regulatory factors in the chemical industry play a significant role in shaping its revenue performance.

Gujarat Alkalies & Chemicals Ltd. Financial Statement Overview

Summary

Gujarat Alkalies & Chemicals Ltd. shows a solid financial foundation with strengths in equity financing and potential for profitability improvement. Revenue and cash flow recovery are positive signs, yet challenges remain in achieving consistent profitability.

Income Statement

Gujarat Alkalies & Chemicals Ltd. has demonstrated fluctuating revenue growth, with a recent decline followed by a recovery. The gross profit margin is relatively strong, although net profit margins have been inconsistent, impacted by negative net income in the latest year. EBIT and EBITDA margins show variability but have potential for improvement given past performance.

Balance Sheet

The company maintains a healthy debt-to-equity ratio, indicating a conservative approach to leveraging. Return on equity has been affected by recent net losses, although historically it has shown strength. The equity ratio suggests strong capital structure with a high proportion of equity financing.

Cash Flow

Cash flows show improvement in operating cash flow and free cash flow in the latest year, recovering from previous deficits. The operating cash flow to net income ratio indicates a robust cash-generating ability, though free cash flow volatility poses a risk to financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	42.01B	40.73B	37.79B	45.16B	36.94B	23.52B
Gross Profit	16.19B	12.36B	6.18B	30.07B	22.84B	13.05B
EBITDA	4.07B	3.60B	1.19B	11.57B	10.33B	4.26B
Net Income	-343.70M	-651.20M	-2.37B	4.10B	5.60B	1.66B
Balance Sheet
Total Assets	0.00	83.43B	80.23B	83.35B	79.77B	71.54B
Cash, Cash Equivalents and Short-Term Investments	1.53B	1.53B	1.79B	5.02B	3.20B	4.07B
Total Debt	0.00	5.61B	5.44B	5.97B	5.94B	4.98B
Total Liabilities	-60.26B	23.17B	19.48B	21.96B	20.78B	17.80B
Stockholders Equity	60.26B	60.26B	60.76B	61.39B	58.99B	53.75B
Cash Flow
Free Cash Flow	0.00	557.40M	-1.65B	2.77B	-1.74B	-3.73B
Operating Cash Flow	0.00	3.81B	666.16M	9.60B	7.35B	4.21B
Investing Cash Flow	0.00	-2.64B	-900.00M	-6.61B	-8.05B	-3.32B
Financing Cash Flow	0.00	-1.45B	-2.77B	-1.40B	117.44M	2.26B

Gujarat Alkalies & Chemicals Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 505.85
• 50DMA: Negative
• 100DMA: Negative
• 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:GUJALKALI, the sentiment is Negative. The current price of 505.85 is below the 20-day moving average (MA) of 516.72, below the 50-day MA of 541.09, and below the 200-day MA of 565.13, indicating a bearish trend. The MACD of -11.31 indicates Positive momentum. The RSI at 35.58 is Neutral, neither overbought nor oversold. The STOCH value of 43.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:GUJALKALI.

Gujarat Alkalies & Chemicals Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNFC	70 Outperform	₹71.40B	11.23	―	3.70%	-7.53%	42.74%
GHCL	66 Neutral	₹54.81B	9.61	―	2.10%	-5.14%	7.25%
INDIAGLYCO	65 Neutral	₹65.84B	25.41	―	0.47%	5.61%	33.63%
DEEPAKFERT	62 Neutral	₹152.05B	15.45	―	0.83%	21.68%	45.18%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
GUJALKALI	59 Neutral	₹37.15B	24,796.57	―	3.12%	10.35%	―
RAIN	52 Neutral	₹41.86B	-31.62	―	1.61%	3.30%	91.30%

Gujarat Alkalies & Chemicals Ltd. Corporate Events

Gujarat Alkalies Reports Revenue Growth and Operational Efficiency Gains

Gujarat Alkalies and Chemicals Limited reported a 10% increase in sales revenue for the second quarter of the financial year 2025-26, reaching Rs.1063 Crores, driven by higher capacity utilization and better sales realization. The company also achieved a 7% increase in EBITDA and has been actively working on improving operational efficiencies and reducing energy costs through increased use of renewable power. Additionally, its subsidiary, GACL-NALCO Alkalies & Chemicals Private Limited, reported its first profit before tax.

Gujarat Alkalies & Chemicals Reports Q2 2025 Financial Results

Gujarat Alkalies and Chemicals Limited has released its unaudited financial results for the second quarter and half-year ending September 30, 2025. The company reported a net profit before tax, with notable provisions made for goods damaged due to a fire at a contract manufacturer. The results include contributions from a 60% equity joint venture, GACL-NALCO Alkalies & Chemicals Pvt. Ltd. The board declared a dividend, and employee expenses included significant pay revisions.

Gujarat Alkalies Launches ‘Saksham Niveshak’ Campaign to Secure Shareholder Dividends

Gujarat Alkalies and Chemicals Limited has announced its participation in the ‘Saksham Niveshak’ campaign, a 100-day initiative launched by the Investor Education and Protection Fund Authority under the Ministry of Corporate Affairs. The campaign aims to update KYC details and prevent the transfer of unpaid or unclaimed dividends to the IEPF. The company has been proactive in assisting shareholders by sending communications to update their KYC details and claim their dividends. This initiative is expected to enhance shareholder engagement and ensure compliance with regulatory requirements, potentially improving the company’s stakeholder relations.