Indo Rama Synthetics (India) Limited (INDORAMA) AI Stock Analysis

• Market Cap: ₹14.28B
• Dividend Yield: N/A
• Average Volume (3M): 28.97K
• Price to Earnings (P/E): 19.5
• Beta (1Y): 1.51
• Revenue Growth: 14.14%
• EPS Growth: N/A
• Country: IN
• Employees: 1,443
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Apparel - Manufacturers
• EPS (TTM): 2.02
• Shares Outstanding: 261,113,160
• 10 Day Avg. Volume: 19,328
• 30 Day Avg. Volume: 28,966
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹51.00
• Price Target Upside: -6.73% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 54 Neutral
• Price Target: ₹51.00 ▼(-6.73% Downside)

The overall stock score of 54 reflects a mixed outlook. The strongest positive factor is the technical analysis, which indicates bullish momentum. However, concerns about financial leverage, low profitability, and extremely high valuation weigh heavily on the score.

Indo Rama Synthetics (India) Limited Business Overview & Revenue Model

Company Description

Indo Rama Synthetics (India) Limited (INDORAMA) is a leading player in the textile industry, primarily engaged in the production and distribution of polyester products. The company operates in the synthetic textiles sector, specializing in manufacturing a wide range of polyester goods, including polyester staple fiber, polyester filament yarn, and polyester chips. With a strong focus on quality and innovation, Indo Rama Synthetics serves various industries such as apparel, home textiles, and industrial applications.

How the Company Makes Money

Indo Rama Synthetics (India) Limited generates revenue through the production and sale of its polyester products. The company's key revenue streams include the sale of polyester staple fiber, polyester filament yarn, and polyester chips, which are essential raw materials for textile manufacturers. By supplying these materials to various sectors like apparel, home textiles, and industrial applications, Indo Rama Synthetics captures value from a broad customer base. Additionally, the company's strategic partnerships with suppliers and customers enhance its market reach and operational efficiency, contributing to its earnings. Indo Rama's focus on cost-effective production processes and quality assurance further supports its profitability in the competitive textile market.

Indo Rama Synthetics (India) Limited Financial Statement Overview

Summary

Indo Rama Synthetics shows mixed financial performance. Revenue and cash flow have improved, but profitability remains weak with low net profit margins and high leverage. The company needs to focus on reducing debt and improving operational efficiency for sustainable growth.

Income Statement

Indo Rama Synthetics shows mixed performance in its income statement. The company experienced a significant recovery in revenue from 2024 to 2025, with a revenue growth rate of 15.23%. Gross profit margin improved to 21.2% in 2025, indicating better cost management. However, the net profit margin remains weak at 0.03% in 2025, primarily due to past losses and fluctuating EBIT margins. The EBITDA margin of 4.2% shows limited operating efficiency, highlighting the need for further profitability improvement.

Balance Sheet

The balance sheet indicates high leverage with a debt-to-equity ratio of 3.09 in 2025, which poses financial risk. The equity ratio is low at 12.5%, suggesting potential vulnerability in financial stability. Return on Equity (ROE) improved to 0.38% due to a small net income, but still remains low. The company must focus on reducing debt levels and improving equity to enhance financial stability.

Cash Flow

Cash flow analysis reveals a substantial improvement with positive free cash flow of 3.52 billion in 2025. The operating cash flow to net income ratio is strong, reflecting effective cash generation from operations. However, the free cash flow growth rate is not calculable due to negative values in previous years, indicating a volatile cash flow history. Continued focus on maintaining positive cash flows is essential for financial health.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	42.59B	42.59B	40.19B	36.96B	39.06B	19.81B
Gross Profit	8.57B	9.03B	8.14B	3.95B	7.87B	4.44B
EBITDA	1.78B	1.79B	662.00M	-327.10M	3.13B	1.03B
Net Income	15.00M	14.00M	-245.60M	-2.03B	2.69B	1.13B
Balance Sheet
Total Assets	29.36B	29.36B	27.13B	29.07B	21.05B	17.11B
Cash, Cash Equivalents and Short-Term Investments	300.40M	300.40M	3.55B	572.20M	99.20M	79.10M
Total Debt	11.36B	11.36B	8.90B	13.39B	3.54B	3.95B
Total Liabilities	25.67B	25.67B	21.40B	25.39B	15.06B	13.78B
Stockholders Equity	3.68B	3.68B	5.73B	3.68B	5.99B	3.33B
Cash Flow
Free Cash Flow	0.00	3.52B	-4.46B	-3.57B	1.20B	1.56B
Operating Cash Flow	0.00	3.91B	-809.90M	-967.30M	2.00B	1.82B
Investing Cash Flow	0.00	-363.40M	-3.48B	-2.58B	-754.40M	-175.00M
Financing Cash Flow	0.00	-3.54B	4.79B	3.22B	-1.23B	-1.74B

Indo Rama Synthetics (India) Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 54.68
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:INDORAMA, the sentiment is Positive. The current price of 54.68 is above the 20-day moving average (MA) of 53.48, above the 50-day MA of 52.50, and above the 200-day MA of 44.32, indicating a bullish trend. The MACD of 0.63 indicates Negative momentum. The RSI at 57.20 is Neutral, neither overbought nor oversold. The STOCH value of 72.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:INDORAMA.

Indo Rama Synthetics (India) Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JAYAGROGN	70 Neutral	11.39B	12.77	9.52%	1.06%	7.47%	-3.69%
ESTER	66 Neutral	10.82B	45.54	1.77%	0.54%	22.18%	―
FAIRCHEMOR	54 Neutral	10.13B	109.00	7.28%	0.96%	-19.46%	-80.73%
TNPL	54 Neutral	10.37B	-40.53	0.18%	2.00%	-0.66%	-125.23%
INDORAMA	54 Neutral	₹14.28B	19.47	―	―	14.14%	―
OAL	46 Neutral	11.31B	47.41	5.18%	0.15%	9.52%	-8.72%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%