Rallis India Limited (RALLIS) AI Stock Analysis

• Market Cap: ₹46.66B
• Dividend Yield: 0.92%
• Average Volume (3M): 30.51K
• Price to Earnings (P/E): 700.0
• Beta (1Y): 1.45
• Revenue Growth: 0.91%
• EPS Growth: 18.12%
• Country: IN
• Employees: 1,657
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Agricultural Inputs
• EPS (TTM): 1.39
• Shares Outstanding: 194,468,900
• 10 Day Avg. Volume: 39,613
• 30 Day Avg. Volume: 30,508
• PEG Ratio: -2.24
• Price to Book (P/B): 2.26
• Price to Sales (P/S): 1.62
• P/FCF Ratio: 19.48
• 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): 10.1
• Revenue Forecast (FY): ₹29.01B

• Rating: 63 Neutral
• Price Target: ₹256.00 ▼(-6.59% Downside)
• Action: Reiterated Date: 01/23/26
• Date: Action: Reiterated 01/23/26

The score is primarily supported by steady financial performance, strong cash conversion, and conservative leverage, which together outweigh modest profitability softening. Technicals are mixed (short-term strength but negative MACD and below longer-term averages), and valuation is a headwind due to a higher P/E and low dividend yield.

Positive Factors

Strong cash generation

Consistent operating cash flow and expanding free cash flow provide durable internal funding for Rallis. This strengthens liquidity, reduces reliance on external financing for capex or working capital, and supports reinvestment or dividends over multiple crop cycles.

Conservative balance sheet

Low financial leverage and a healthy equity ratio give Rallis flexibility to withstand cyclical agricultural demand. Conservative capital structure lowers refinancing risk during weak seasons and preserves capacity to pursue strategic investments or contract-manufacturing opportunities.

Stable gross and EBITDA margins

Consistent gross and EBITDA margins indicate resilient cost control and operational efficiency in formulation and manufacturing. This margin stability supports predictable cash conversion and long-term profitability even if net margins fluctuate from other items.

Negative Factors

Declining net margin and ROE

A downward trend in net margin and ROE signals pressure on bottom-line profitability and shareholder returns. If persistent, this could reflect rising SG&A or other costs, weaker pricing power, or lower product mix quality, weakening long-term returns on capital.

Moderate revenue growth rate

Mid-single-digit revenue growth suggests limited top-line momentum relative to peers in higher-growth agri-tech or input-adjacent segments. Without faster product adoption, export expansion, or differentiated seeds, growth may constrain margin expansion and scale benefits over time.

Exposure to seasonality and input-cost swings

Revenue and margins are structurally tied to cropping seasons and volatile raw material costs. This creates recurring variability in volumes and unit economics, challenging consistent profitability and requiring tight procurement and inventory management to protect margins long term.

Rallis India Limited Business Overview & Revenue Model

Company Description

Rallis India Limited manufactures and markets agri-input primarily in India and internationally. The company offers crop protection products, including insecticides, herbicides, fungicides, and bio pesticide; organic fertilizers and plant growth nutrients; seeds, such as maize, watermelon, cauliflower, cabbage, bottle gourd, cucumber, bitter gourd, chilli, okra, tomato, millet, paddy, and cotton; and animal nutrition products. It also provides household products, such as Termex, an insecticide for termite control; Sentry, a synthetic pyrethroid insecticide; and Ralligel plus, a chemical spray for cockroach control. In addition, the company offers contract manufacturing services for crop protection chemicals, specialty chemicals, polymers, and intermediates. It sells its products through a network of dealers and retailers. The company was incorporated in 1948 and is based in Mumbai, India. Rallis India Limited is a subsidiary of Tata Chemicals Limited.

How the Company Makes Money

Rallis primarily makes money by selling agri-input products and services across multiple streams: (1) Crop Protection (Domestic): Revenue is generated from the sale of branded and generic crop protection formulations (e.g., insecticides, herbicides, fungicides) sold through distribution channels to farmers and agri-retailers, as well as to institutional/government and large farm customers where applicable. Earnings in this stream are driven by volumes, product mix (higher-margin differentiated products vs. commoditized products), seasonal demand linked to cropping cycles and monsoons, and pricing influenced by raw material costs and competitive intensity. (2) Seeds (Domestic): The company earns revenue by selling seeds/planting material through its distribution network; performance depends on crop/variety adoption, acreage trends, pricing, and the success of new product introductions. (3) International/Exports and Contract Manufacturing: Rallis also generates revenue from exports and from manufacturing/formulation services for other companies (contract manufacturing), where income is earned via supply contracts that typically pay for product volumes manufactured and delivered (and may include formulation/processing services). (4) Manufacturing and Supply Chain Leverage: A portion of earnings is supported by operating its manufacturing/formulation capabilities and sourcing, which can improve margins when utilization is high and procurement is efficient. Significant partnerships or specific counterparty arrangements: null.

Rallis India Limited Financial Statement Overview

Summary

Stable revenue growth and consistent gross/EBITDA margins support a solid operating profile. Strength is reinforced by strong operating cash flow and growing free cash flow, plus low leverage. Offsetting this, net margin and return on equity have slightly declined, indicating some profitability pressure.

Income Statement

Rallis India has shown moderate revenue growth with a slight increase in revenue from previous years. The gross profit margin is stable, indicating good cost management. However, the net profit margin has slightly declined, which suggests an increase in operating expenses or other costs. EBIT and EBITDA margins have remained consistent, reflecting stable operational efficiency.

Balance Sheet

The company maintains a healthy equity ratio, indicating strong reliance on equity financing. The debt-to-equity ratio is low, reflecting prudent financial leverage. However, return on equity has experienced a slight decline, pointing to a need for improved profitability or asset utilization.

Cash Flow

Rallis India has demonstrated consistent operating cash flow generation, which is a positive indicator of its liquidity position. The free cash flow has grown, showing efficient capital expenditure management. The operating cash flow to net income ratio is strong, indicating effective conversion of profits into cash.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	27.70B	26.63B	26.33B	29.67B	25.91B	24.19B
Gross Profit	10.18B	5.71B	10.45B	10.01B	9.61B	9.35B
EBITDA	3.62B	3.19B	3.28B	2.33B	3.03B	3.74B
Net Income	1.76B	1.25B	1.48B	920.00M	1.64B	2.29B
Balance Sheet
Total Assets	33.28B	29.74B	30.03B	27.98B	28.58B	25.89B
Cash, Cash Equivalents and Short-Term Investments	4.54B	4.37B	2.79B	2.71B	2.73B	3.36B
Total Debt	1.11B	630.00M	1.34B	1.37B	927.42M	756.11M
Total Liabilities	12.76B	10.70B	11.74B	10.68B	11.61B	9.97B
Stockholders Equity	20.52B	19.04B	18.29B	17.30B	16.97B	15.91B
Cash Flow
Free Cash Flow	530.00M	2.21B	1.87B	289.20M	-192.01M	483.00M
Operating Cash Flow	720.00M	2.95B	2.69B	2.17B	1.66B	2.17B
Investing Cash Flow	-170.00M	-2.14B	-1.02B	-1.42B	-1.04B	-1.62B
Financing Cash Flow	-630.00M	-800.00M	-1.84B	-410.50M	-614.43M	-674.20M

Rallis India Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 274.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RALLIS, the sentiment is Negative. The current price of 274.05 is above the 20-day moving average (MA) of 268.12, above the 50-day MA of 265.84, and below the 200-day MA of 299.76, indicating a bearish trend. The MACD of -6.69 indicates Positive momentum. The RSI at 32.96 is Neutral, neither overbought nor oversold. The STOCH value of 7.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RALLIS.

Rallis India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHARDACROP	78 Outperform	₹89.30B	13.57	―	1.02%	33.23%	107.47%
GNFC	70 Outperform	₹62.58B	12.10	―	3.68%	-7.53%	42.74%
GSFC	68 Neutral	₹62.16B	11.49	―	2.80%	15.25%	26.49%
RALLIS	63 Neutral	₹46.66B	700.00	―	0.92%	0.91%	18.12%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
RCF	60 Neutral	₹66.86B	24.87	―	0.93%	-3.19%	59.25%
NFL	45 Neutral	₹34.97B	8.30	―	1.77%	-7.78%	-70.89%

Rallis India Limited Corporate Events

Rallis India Schedules Investor and Analyst Meetings in Mumbai

Rallis India Limited has announced a schedule of meetings with analysts and institutional investors in Mumbai on March 10 and 11, 2026, including one-on-one interactions with Abakkus Asset Manager Private Limited and Karma Capital Advisors Private Limited. The company emphasized that these engagements, conducted under SEBI disclosure regulations, will not involve sharing any unpublished price-sensitive information, underscoring its commitment to regulatory compliance and transparent investor communication.

Rallis India Publishes Q3 FY26 Earnings Call Transcript for Investors

Rallis India Limited has released the transcript of its analysts and investors conference call discussing the company’s unaudited financial results for the third quarter and nine months ended December 31, 2025. The document, now available on the company’s website, provides detailed management commentary from the CEO and CFO on recent financial performance and business developments, offering greater transparency and structured communication for shareholders and market participants.

Rallis India Seeks Shareholder Nod via E-Voting to Appoint Independent Director

Rallis India Limited has announced that it has issued a postal ballot notice to shareholders and activated an electronic voting process to seek approval for the appointment of Mahesh Kumar Girdhar as an independent director through a special resolution. The company has published the postal ballot and e-voting information in leading English and Marathi newspapers and made the notice available online, underlining its compliance with SEBI listing norms and Companies Act requirements while reinforcing corporate governance and shareholder participation in key board-level decisions.