Pondy Oxides & Chemicals Ltd. (POCL) AI Stock Analysis

• Market Cap: ₹40.08B
• Dividend Yield: 0.27%
• Average Volume (3M): 59.18K
• Price to Earnings (P/E): 43.2
• Beta (1Y): 2.46
• Revenue Growth: 23.51%
• EPS Growth: 48.21%
• Country: IN
• Employees: 438
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 11.10
• Shares Outstanding: 30,511,278
• 10 Day Avg. Volume: 85,715
• 30 Day Avg. Volume: 59,177
• PEG Ratio: 0.49
• Price to Book (P/B): 3.01
• Price to Sales (P/S): 0.87
• P/FCF Ratio: -10.51
• 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: 69 Neutral
• Price Target: ₹1,587.00 ▲(21.66% Upside)

The stock's overall score is driven by strong technical momentum and solid financial performance, despite concerns over valuation and cash flow management. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market penetration and demand for POCL's products, supporting long-term business expansion.

Operational Efficiency

Improved gross profit margins reflect effective cost control, enhancing profitability and competitive positioning in the market.

Market Reach

Diverse market reach across multiple industries reduces dependency on any single sector, providing stability and growth opportunities.

Negative Factors

Cash Flow Challenges

Negative cash flows can hinder the company's ability to invest in growth opportunities and meet financial obligations, affecting long-term viability.

Debt Levels

Rising debt levels may strain financial resources and limit strategic flexibility, impacting future financial health and stability.

Net Profit Margin

Moderate net profit margins suggest that rising expenses are impacting overall profitability, which could affect long-term earnings growth.

Pondy Oxides & Chemicals Ltd. Business Overview & Revenue Model

Company Description

Pondy Oxides And Chemicals Limited, a secondary lead smelter company, produces and sells lead metals and alloys, and zinc metal and oxides in India. It also provides master, tin, and babbit alloys, as well as PVC additives. The company primarily serves battery and chemical manufacturers, as well as PVC extruded and molded products. It also exports its products to Japan, South Korea, Thailand, Indonesia, the Middle East, and internationally. The company was incorporated in 1995 and is based in Chennai, India.

How the Company Makes Money

POCL generates revenue primarily through the sale of its chemical products, such as lead oxides and other specialty chemicals. The company's revenue model relies on both domestic and international markets, capitalizing on its export capabilities to reach a broader customer base. Key revenue streams include bulk sales to manufacturers in various industries, particularly in the battery and ceramics sectors, which are highly dependent on POCL's products. Additionally, the company may engage in long-term contracts and partnerships with major industrial clients, securing steady income. Factors contributing to its earnings include the increasing demand for lead oxides due to the growth of the battery industry, effective cost management, and a focus on quality that helps in maintaining competitive pricing.

Pondy Oxides & Chemicals Ltd. Financial Statement Overview

Summary

Pondy Oxides & Chemicals Ltd. has demonstrated strong revenue growth and operational efficiency with healthy margins. However, cash flow issues and increasing debt levels require attention to ensure long-term financial health.

Income Statement

Pondy Oxides & Chemicals Ltd. has demonstrated strong revenue growth, with a notable increase in total revenue from the previous year. The gross profit margin has improved, indicating effective cost management. However, the net profit margin remains moderate due to increased expenses impacting net income. The EBIT and EBITDA margins show positive operational efficiency, reflecting a strong operational performance.

Balance Sheet

The company has a solid equity base with a favorable equity ratio, highlighting financial stability. The debt-to-equity ratio is manageable, suggesting a balanced approach to leveraging. Return on equity is healthy, indicating efficient use of equity capital. However, the increase in total debt over previous years requires monitoring to ensure it does not adversely affect future financial flexibility.

Cash Flow

Cash flow analysis reveals challenges with negative operating and free cash flows, indicating potential liquidity issues. The free cash flow growth rate is concerning, with substantial capital expenditures affecting cash reserves. The operating cash flow to net income ratio suggests that the company needs to enhance its cash-generating capabilities to support future growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	22.15B	20.57B	15.41B	14.76B	14.55B	10.04B
Gross Profit	2.29B	2.15B	769.89M	1.74B	1.57B	698.50M
EBITDA	1.26B	1.05B	748.22M	1.11B	820.36M	275.84M
Net Income	702.62M	580.55M	318.72M	750.51M	482.48M	107.78M
Balance Sheet
Total Assets	0.00	7.37B	4.82B	4.73B	3.30B	3.19B
Cash, Cash Equivalents and Short-Term Investments	392.81M	398.90M	298.50M	7.79M	7.50M	1.25M
Total Debt	0.00	1.13B	1.03B	1.56B	1.07B	1.46B
Total Liabilities	-5.93B	1.45B	1.24B	2.08B	1.22B	1.58B
Stockholders Equity	5.93B	5.93B	3.57B	2.65B	2.08B	1.61B
Cash Flow
Free Cash Flow	0.00	-1.70B	284.84M	-321.28M	492.77M	-965.02M
Operating Cash Flow	0.00	-810.03M	653.05M	784.85M	632.13M	-905.90M
Investing Cash Flow	0.00	-678.59M	-528.27M	-1.09B	-143.65M	-33.36M
Financing Cash Flow	0.00	1.77B	-18.58M	301.00M	-482.25M	878.96M

Pondy Oxides & Chemicals Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1304.45
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:POCL, the sentiment is Positive. The current price of 1304.45 is below the 20-day moving average (MA) of 1314.26, below the 50-day MA of 1332.72, and above the 200-day MA of 986.82, indicating a neutral trend. The MACD of -14.37 indicates Positive momentum. The RSI at 48.84 is Neutral, neither overbought nor oversold. The STOCH value of 47.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:POCL.

Pondy Oxides & Chemicals Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DCMSRIND	69 Neutral	₹14.90B	24.45	―	1.23%	-3.72%	-50.02%
POCL	69 Neutral	₹40.08B	43.20	―	0.27%	23.51%	48.21%
BHARATRAS	65 Neutral	₹46.05B	33.50	―	0.01%	6.39%	-15.53%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
IOLCP	60 Neutral	₹26.90B	23.22	―	0.95%	5.74%	16.06%
VALIANTORG	46 Neutral	₹8.53B	165.22	―	―	16.43%	―
MOL	45 Neutral	₹17.46B	44.02	―	―	―	―

Pondy Oxides & Chemicals Ltd. Corporate Events

Pondy Oxides & Chemicals Ltd. Announces Investor Meeting Schedule

Pondy Oxides & Chemicals Ltd. has announced a schedule for upcoming meetings with analysts and institutional investors, set to take place virtually and in Mumbai. These meetings are part of the company’s investor relations efforts, aiming to engage with stakeholders without sharing any unpublished price-sensitive information, potentially impacting investor confidence and market perception.

Pondy Oxides & Chemicals Schedules Investor Meetings

Pondy Oxides & Chemicals Ltd. has announced a schedule for meetings with analysts and institutional investors, which includes a site visit and management meeting in Chennai and a virtual one-on-one meeting. These engagements are part of the company’s efforts to maintain transparency and communication with stakeholders, although no unpublished price-sensitive information will be disclosed.