Oriental Carbon & Chemicals Ltd (OCCL) AI Stock Analysis

• Market Cap: ₹1.61B
• Dividend Yield: 10.93%
• Average Volume (3M): 6.79K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 0.86
• Revenue Growth: -76.65%
• EPS Growth: -76.77%
• Country: IN
• Employees: 419
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): 0.20
• Shares Outstanding: 9,990,092
• 10 Day Avg. Volume: 6,872
• 30 Day Avg. Volume: 6,789
• PEG Ratio: -0.20
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 1.52
• P/FCF Ratio: 300.56
• 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: 67 Neutral
• Price Target: ₹152.00 ▲(18.66% Upside)

The overall stock score is primarily influenced by the company's strong financial stability and attractive valuation, despite recent revenue declines and cash flow challenges. However, technical indicators suggest bearish momentum, which could pose short-term risks. The high dividend yield provides a cushion for investors seeking income.

Positive Factors

Financial Stability

A low debt-to-equity ratio indicates robust financial stability, allowing the company to withstand economic downturns and invest in growth opportunities without significant financial strain.

Profitability

Strong profitability and healthy margins suggest effective cost management and a competitive edge in pricing, supporting sustainable business operations and shareholder returns.

Market Position

Economies of scale enhance OCCL's market position by enabling competitive pricing and profitability, which are crucial for maintaining and expanding its market share in the specialty chemicals sector.

Negative Factors

Revenue Decline

A decline in revenue indicates potential challenges in market demand or competitive pressures, which could affect long-term growth prospects and necessitate strategic adjustments.

Cash Flow Challenges

Reduced free cash flow highlights liquidity constraints, potentially limiting the company's ability to fund operations, invest in growth, or manage debt efficiently, impacting financial flexibility.

Revenue Growth

A significant negative revenue growth rate suggests structural challenges in maintaining sales momentum, which could undermine market confidence and necessitate strategic realignment to reverse the trend.

Oriental Carbon & Chemicals Ltd Business Overview & Revenue Model

Company Description

Oriental Carbon & Chemicals Ltd (OCCL) is a prominent manufacturer and supplier in the specialty chemicals sector, primarily focusing on the production of carbon black, a key ingredient used in various industries such as tires, rubber goods, plastics, and coatings. Established in India, OCCL is recognized for its commitment to quality and innovation, catering to both domestic and international markets with a diverse range of carbon black grades tailored to meet specific customer needs.

How the Company Makes Money

Oriental Carbon & Chemicals Ltd generates revenue primarily through the sale of carbon black products to various industries, including automotive, rubber, and plastics. The company has established key revenue streams through long-term contracts with major tire manufacturers and rubber product companies, which provide a steady demand for its products. Additionally, OCCL benefits from economies of scale in production, allowing it to maintain competitive pricing while ensuring profitability. The company also explores opportunities for growth through strategic partnerships and collaborations with other firms in the specialty chemicals sector, enhancing its market reach and product offerings.

Oriental Carbon & Chemicals Ltd Financial Statement Overview

Summary

Oriental Carbon & Chemicals Ltd exhibits strong profitability and financial stability with low leverage. Despite recent revenue declines, the company maintains healthy margins and a solid equity position. However, challenges in cash flow generation suggest potential liquidity constraints, necessitating strategic focus on operational efficiencies.

Income Statement

The income statement reveals a recent decline in total revenue from the previous year, indicating potential challenges in maintaining growth. However, the company has demonstrated strong profitability with a notable net profit margin of approximately 9.63% in 2025. This reflects a capacity to manage costs effectively despite revenue fluctuations.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.01, pointing to robust financial stability and low leverage. The equity ratio is impressive at approximately 81.53%, showcasing substantial asset backing. The return on equity stands at about 3.91%, suggesting moderate returns for shareholders.

Cash Flow

The cash flow statement indicates a significant drop in free cash flow, highlighting potential liquidity issues. The operating cash flow to net income ratio of approximately 0.60 signals a need for improved cash conversion. However, the company still maintains positive free cash flow, ensuring ongoing operational funding.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.04B	1.08B	4.64B	4.65B	4.44B	3.74B
Gross Profit	717.69M	247.89M	2.78B	2.86B	2.36B	2.39B
EBITDA	421.18M	156.01M	1.07B	1.11B	933.83M	1.29B
Net Income	240.40M	104.22M	461.40M	486.37M	430.71M	789.97M
Balance Sheet
Total Assets	0.00	3.27B	8.96B	8.86B	8.65B	8.14B
Cash, Cash Equivalents and Short-Term Investments	885.16M	1.02B	1.32B	1.41B	1.18B	1.62B
Total Debt	0.00	38.48M	1.39B	1.67B	1.89B	1.85B
Total Liabilities	-2.92B	310.72M	2.32B	2.60B	2.86B	2.66B
Stockholders Equity	2.92B	2.66B	6.37B	6.02B	5.61B	5.33B
Cash Flow
Free Cash Flow	0.00	5.47M	762.25M	826.07M	-18.21M	66.04M
Operating Cash Flow	0.00	62.43M	971.26M	1.05B	529.51M	912.17M
Investing Cash Flow	0.00	104.17M	-425.67M	-540.00M	-330.82M	-1.29B
Financing Cash Flow	0.00	-153.16M	-536.27M	-522.72M	-202.52M	160.51M

Oriental Carbon & Chemicals Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 128.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:OCCL, the sentiment is Negative. The current price of 128.1 is below the 20-day moving average (MA) of 144.99, below the 50-day MA of 156.82, and below the 200-day MA of 187.00, indicating a bearish trend. The MACD of -8.68 indicates Positive momentum. The RSI at 17.06 is Positive, neither overbought nor oversold. The STOCH value of 5.69 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:OCCL.

Oriental Carbon & Chemicals Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHEMBOND	70 Outperform	₹2.19B	9.56	―	1.08%	-37.34%	-45.55%
OCCL	67 Neutral	₹1.61B	15.37	―	10.93%	-76.65%	-76.77%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
KESORAMIND	51 Neutral	₹1.61B	0.03	―	―	-91.62%	―
NAGAFERT	37 Underperform	₹2.96B	-8.56	―	―	-100.00%	-101.18%