N.K. Industries Ltd. (NKIND) AI Stock Analysis

• Market Cap: ₹393.89M
• Dividend Yield: N/A
• Average Volume (3M): 3.34K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.10
• Revenue Growth: -31.23%
• EPS Growth: -9236.29%
• Country: IN
• Employees: 178
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): -1.34
• Shares Outstanding: 6,009,900
• 10 Day Avg. Volume: 189
• 30 Day Avg. Volume: 3,344
• PEG Ratio: -0.04
• Price to Book (P/B): -0.11
• Price to Sales (P/S): 2.30
• P/FCF Ratio: -9.69
• 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: 40 Underperform
• Price Target: ₹54.00 ▼(-21.43% Downside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

The score is weighed down primarily by very weak financial performance (losses, negative equity, and negative operating/free cash flow). Technicals also remain bearish with price below key moving averages, though near-oversold signals modestly temper the downside. Valuation is constrained by a negative P/E tied to unprofitable operations and no provided dividend support.

Positive Factors

Defensive Industry Exposure

Exposure to household and personal products implies structurally stable end-market demand and lower cyclicality. Over a 2–6 month horizon, defensive category positioning can help revenue resilience versus cyclical peers and support recovery efforts if operations improve.

Low Market Sensitivity (Beta)

A near-zero/negative beta indicates low correlation with broad market swings, reducing equity volatility risk. This stability can materially ease refinancing and investor pressure during a multi-month turnaround, helping management execute operational fixes with less market-driven disruption.

Lean Headcount

A relatively small workforce suggests a lean cost structure that can be adjusted more quickly than a large organization. This agility supports faster restructuring or margin-improvement actions, helping contain fixed costs and accelerate cash conservation during a medium-term recovery.

Negative Factors

Negative Equity / Solvency Risk

Negative shareholders' equity signals solvency stress and undermines creditor confidence. It limits access to traditional debt financing, raises likelihood of covenant breaches or forced restructuring, and creates persistent capital-structure risk that impairs medium-term operational planning.

Negative Operating & Free Cash Flow

Sustained negative operating and free cash flow means the business cannot self-fund operations or investments. Over 2–6 months this forces reliance on external financing or asset disposals, constrains working-capital management, and increases risk of liquidity-driven operational disruption.

Declining Revenue & Ongoing Losses

A steep revenue decline (~34% YoY) alongside persistent net losses points to structural demand, competitive or execution failures. This erodes margins, prevents recovery of equity, and lengthens the timeframe to reach sustainable profitability absent clear product or commercial turnarounds.

N.K. Industries Ltd. Business Overview & Revenue Model

Company Description

N.K Industries Limited manufactures, sells, and trades in castor oil and its derivatives in India. Its products include commercial grade castor oil, cold pressed castor oil, castor oil British Pharma 93 grade, first pressed degummed castor oil, pale pressed grade castor oil, sodium sulphate anhydrous, refined castor oil, crude glycerin, de oiled cakes-castor meals, 12-hydroxy stearic acid flakes/powder, ricinoleic acid, hydrogenated castor oil, and high protein castor meal. N.K Industries Limited was incorporated in 1987 and is based in Ahmedabad, India.

How the Company Makes Money

N.K. Industries Ltd. Financial Statement Overview

Summary

Financial statements indicate severe weakness: persistent net losses and declining revenues (income statement), negative stockholders’ equity raising solvency concerns (balance sheet), and negative operating/free cash flow showing poor cash generation (cash flow).

Income Statement

The income statement reveals significant challenges with profitability and growth. The company has consistently reported negative net income, indicating ongoing losses. Revenue growth has been negative, highlighting a declining trend in sales. Margins, including gross profit, EBIT, and EBITDA, have been under pressure, with negative EBIT and EBITDA margins in the most recent period, suggesting operational inefficiencies and cost management issues.

Balance Sheet

The balance sheet shows a concerning financial structure with negative stockholders' equity, indicating potential solvency issues. The debt-to-equity ratio is negative due to negative equity, which is a red flag for financial stability. Return on equity is low, reflecting poor profitability relative to equity. The equity ratio is also negative, further emphasizing the company's weak financial position.

Cash Flow

Cash flow analysis indicates severe challenges, with negative operating and free cash flows, suggesting the company is not generating sufficient cash from its operations. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, indicating cash flow issues relative to reported earnings. The free cash flow to net income ratio is positive, but this is due to negative net income, which is not a positive indicator.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	204.70M	168.06M	164.82M	177.75M	176.93M	194.10M
Gross Profit	43.93M	17.24M	94.92M	158.35M	96.90M	117.20M
EBITDA	-19.88M	-10.69M	19.90M	17.05M	25.69M	22.33M
Net Income	-43.36M	-35.53M	-10.30M	-18.61M	-15.26M	-22.61M
Balance Sheet
Total Assets	0.00	18.93B	18.96B	18.97B	18.99B	19.02B
Cash, Cash Equivalents and Short-Term Investments	8.58M	18.97M	15.59M	14.99M	17.62M	19.13M
Total Debt	0.00	7.70M	7.70M	0.00	0.00	0.00
Total Liabilities	3.48B	22.41B	22.40B	22.40B	22.40B	22.41B
Stockholders Equity	-3.48B	-3.48B	-3.44B	-3.43B	-3.41B	-3.40B
Cash Flow
Free Cash Flow	0.00	-39.88M	-1.98M	-1.38M	-3.29M	27.62M
Operating Cash Flow	0.00	-30.16M	-1.02M	3.58M	12.52M	36.15M
Investing Cash Flow	0.00	22.43M	1.65M	-2.44M	-14.01M	-32.24M
Financing Cash Flow	0.00	7.61M	-40.00K	-3.76M	-27.00K	-115.54K

N.K. Industries Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 68.73
• 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:NKIND, the sentiment is Neutral. The current price of 68.73 is above the 20-day moving average (MA) of 65.88, below the 50-day MA of 68.73, and below the 200-day MA of 69.95, indicating a bearish trend. The MACD of -2.07 indicates Positive momentum. The RSI at 49.03 is Neutral, neither overbought nor oversold. The STOCH value of 30.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:NKIND.

N.K. Industries Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KANANIIND	50 Neutral	₹267.12M	21.13	―	―	―	―
LAXMICOT	46 Neutral	₹239.21M	-5.49	―	―	12.55%	―
BOHRAIND	41 Neutral	₹265.93M	-14.63	―	―	―	―
MOHITIND	41 Neutral	₹335.53M	-35.11	―	―	28.50%	9.14%
NKIND	40 Underperform	₹393.89M	-12.42	―	―	-31.23%	-9236.29%

N.K. Industries Ltd. Corporate Events

N.K. Industries Closes Trading Window Ahead of December Quarter Results

N.K. Industries Ltd. has announced the closure of its trading window for designated persons and their immediate relatives from 1 January 2026 until 48 hours after the declaration of its financial results for the quarter and nine months ended 31 December 2025, in line with SEBI’s Prohibition of Insider Trading Regulations and subsequent amendments and circulars. The move reinforces the company’s compliance posture on insider trading controls, temporarily restricting trading by directors, key managerial personnel, designated employees, connected persons and auditors to safeguard against misuse of unpublished price-sensitive information and provide greater assurance to regulators and investors.