NCL Industries Ltd (NCLIND) AI Stock Analysis

• Market Cap: ₹8.29B
• Dividend Yield: 1.52%
• Average Volume (3M): 3.83K
• Price to Earnings (P/E): 16.6
• Beta (1Y): 1.41
• Revenue Growth: -16.46%
• EPS Growth: -21.60%
• Country: IN
• Employees: 1,026
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 4.40
• Shares Outstanding: 45,232,790
• 10 Day Avg. Volume: 3,091
• 30 Day Avg. Volume: 3,834
• PEG Ratio: -0.46
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 0.60
• P/FCF Ratio: -16.97
• 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: 49 Neutral
• Price Target: ₹182.00 ▼(-12.31% Downside)

The overall stock score reflects significant challenges in financial performance, with declining revenue and profitability. Technical indicators show a lack of strong momentum, and the valuation suggests potential overvaluation. These factors collectively contribute to a cautious outlook for the stock.

Positive Factors

Product diversification

NCL’s offerings include cement plus prefabricated/engineered building products. A diversified product mix reduces reliance on commoditized cement sales, supports higher-margin value-added revenue, and gives durable cross-sell opportunities to contractors and distributors over cycles.

Improving leverage

A modest improvement in debt-to-equity signals strengthening capital structure and lower financial risk. Reduced leverage increases flexibility to fund capex, absorb cyclical downturns, and lowers refinancing pressure, supporting longer-term operational and strategic initiatives.

Established supply-chain channels

NCL’s direct access to dealers, contractors and project customers creates durable distribution reach and operational scale. Established channels and manufacturing footprint aid steady order flow, logistics optimization, and faster recovery when construction demand improves.

Negative Factors

Declining revenue trend

Material negative revenue growth erodes scale economics and market positioning. Sustained sales declines limit pricing leverage, force utilization cuts, and restrain reinvestment capacity; without a clear recovery in volumes or market share, long-term growth prospects are impaired.

Negative free cash flow

Negative free cash flow constrains the firm’s ability to fund maintenance capex, pension obligations, or strategic investments from operations. Over time this increases reliance on external financing, raises liquidity and refinancing risk, and can limit operational resilience.

Margin contraction and falling profitability

Contracting gross, operating and net margins indicate rising input costs, weaker pricing power, or operational inefficiencies. Persisting margin pressure reduces return on capital, limits ability to reinvest for growth, and undermines sustainable shareholder returns over time.

NCL Industries Ltd Business Overview & Revenue Model

Company Description

NCL Industries Limited manufactures and sells building materials in India. It operates through five segments: Cement, Boards, Readymade Doors, Energy, and Ready Mix Concrete. It offers cement, including ordinary Portland and pozzolana Portland cement under the Nagarjuna brand name; and special cement for making concrete sleepers. The company also provides ready mixed concrete under the Nagarjuna brand name; cement-bonded particleboards under the Bison Panel brand name; and readymade doors under the NCL Door brand. In addition, it engages in the generation of hydel power with a total installed capacity of 15.75 MW. The company was formerly known as Nagarjuna Cements Limited and changed its name to NCL Industries Limited in December 1987. NCL Industries Limited was incorporated in 1979 and is based in Secunderabad, India.

How the Company Makes Money

NCL Industries generates revenue through multiple streams, primarily from the sale of its core products such as cement, plywood, and particle board. The cement segment forms a significant portion of its revenue, leveraging the growing demand in the construction sector. Additionally, the company benefits from partnerships with distributors and retailers, ensuring a robust supply chain and market reach. Revenue is further supplemented by exports and collaborations with construction firms and real estate developers, capitalizing on large-scale projects. Seasonal demand fluctuations and regional construction activities also play a crucial role in shaping its earnings.

NCL Industries Ltd Financial Statement Overview

Summary

NCL Industries Ltd has faced declining revenue and profitability over the past year, with weakening margins and lower free cash flow. While leverage has improved marginally, the overall financial health reflects challenges in maintaining growth and liquidity.

Income Statement

The company has shown a decline in revenue from 2024 to 2025, indicating a negative revenue growth rate. Gross profit and net income margins have also decreased over the past year, showing a downward trend in profitability. The EBIT and EBITDA margins have contracted, suggesting reduced operational efficiency.

Balance Sheet

The debt-to-equity ratio improved slightly, indicating better leverage management. However, the equity ratio remains relatively stable, suggesting no significant improvement in asset financing stability. Return on equity has declined, reflecting reduced profitability for shareholders.

Cash Flow

Free cash flow has turned negative in the most recent year, indicating potential liquidity challenges. The operating cash flow to net income ratio has decreased, suggesting less cash generation relative to net income. Free cash flow to net income ratio reflects similar liquidity concerns.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	13.93B	14.11B	18.71B	16.10B	16.33B	13.84B
Gross Profit	6.55B	5.48B	9.12B	7.04B	8.28B	7.61B
EBITDA	1.36B	1.20B	2.25B	1.67B	2.17B	2.90B
Net Income	327.01M	251.97M	932.19M	442.87M	943.50M	1.45B
Balance Sheet
Total Assets	0.00	16.35B	15.39B	15.20B	14.71B	12.99B
Cash, Cash Equivalents and Short-Term Investments	215.65M	218.12M	522.53M	430.17M	107.17M	709.35M
Total Debt	0.00	2.52B	2.18B	2.92B	3.73B	3.01B
Total Liabilities	-8.58B	7.77B	6.90B	7.50B	7.30B	6.34B
Stockholders Equity	8.58B	8.58B	8.49B	7.70B	7.41B	6.65B
Cash Flow
Free Cash Flow	0.00	-498.43M	1.21B	1.05B	-684.24M	951.10M
Operating Cash Flow	0.00	679.90M	1.83B	2.08B	716.25M	2.41B
Investing Cash Flow	0.00	-1.12B	-590.93M	-958.05M	-1.39B	-1.36B
Financing Cash Flow	0.00	142.07M	-1.10B	-828.23M	69.81M	-523.60M

NCL Industries Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 207.55
• 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:NCLIND, the sentiment is Negative. The current price of 207.55 is above the 20-day moving average (MA) of 196.39, above the 50-day MA of 198.09, and below the 200-day MA of 208.47, indicating a bearish trend. The MACD of -4.73 indicates Positive momentum. The RSI at 30.85 is Neutral, neither overbought nor oversold. The STOCH value of 27.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:NCLIND.

NCL Industries Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZUARI	74 Outperform	₹11.66B	1.19	―	―	23.32%	447.31%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
TNPL	58 Neutral	₹9.22B	31.15	―	2.08%	4.65%	-127.24%
SAURASHCEM	53 Neutral	₹7.95B	23.11	―	2.39%	2.37%	55.27%
SHREDIGCEM	50 Neutral	₹10.83B	28.84	―	1.66%	3.09%	-50.15%
NCLIND	49 Neutral	₹8.29B	16.55	―	1.52%	-16.46%	-21.60%
DECCANCE	48 Neutral	₹8.81B	26.56	―	0.08%	-28.32%	93.44%

NCL Industries Ltd Corporate Events

NCL Industries Discloses Loss of Physical Share Certificates and Duplicate Requests

NCL Industries Ltd has informed the stock exchanges that its registrar and transfer agent has reported the loss of certain physical share certificates held by shareholders and has received requests for issuance of duplicate certificates. The disclosure, made under SEBI’s Listing Obligations and Disclosure Requirements, is a routine compliance step and signals that the company is formally processing these investor requests, with no indication of any impact on its operations or financial performance, but with relevance for affected shareholders and record-keeping integrity.

NCL Industries Announces Completion of Independent Director Sudha Reddy’s Term

NCL Industries Limited has announced that independent director Mrs. Sudha Reddy Punuru has completed her term on the company’s board, effective at the close of business on 3 January 2026. With the expiry of her tenure, she also ceases to be a member of the Corporate Social Responsibility Committee, marking a change in the company’s board composition and CSR committee structure in line with regulatory disclosure requirements.

NCL Industries Reports Loss of Share Certificates and Initiates Replacement Process

NCL Industries Ltd has reported the loss of share certificates as per the regulations of SEBI. The company has received requests from shareholders for the issuance of duplicate share certificates, which are being processed by their RTA, Venture Capital and Corporate Investments Pvt. Ltd. This announcement highlights the company’s adherence to regulatory compliance and its efforts to address shareholder concerns promptly.

NCL Industries Reports Loss of Share Certificates

NCL Industries Limited has reported a loss of share certificates, as communicated to the Bombay Stock Exchange and the National Stock Exchange of India. This announcement is part of the company’s compliance with SEBI regulations, indicating that they are processing requests for the issuance of duplicate share certificates for affected shareholders.