Rama Phosphates Limited (RAMAPHO) AI Stock Analysis

• Market Cap: ₹3.78B
• Dividend Yield: 0.46%
• Average Volume (3M): 27.40K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 1.33
• Revenue Growth: 22.68%
• EPS Growth: N/A
• Country: IN
• Employees: 510
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Agricultural Inputs
• EPS (TTM): 3.96
• Shares Outstanding: 35,302,460
• 10 Day Avg. Volume: 67,288
• 30 Day Avg. Volume: 27,403
• PEG Ratio: -0.16
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.61
• P/FCF Ratio: 9.65
• 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: 57 Neutral
• Price Target: ₹114.00 ▼(-33.37% Downside)
• Action: Reiterated Date: 02/26/26
• Date: Action: Reiterated 02/26/26

Overall score is driven by moderate financial performance (growth and improving profitability but with margin volatility, rising leverage, and recently improved cash flow). Technical indicators are notably weak and pull the score down, while the low P/E provides a valuation offset.

Positive Factors

Strong revenue growth

Sustained top-line growth signals expanding sales and market traction in core fertiliser and chemical segments. Over the next several months this supports higher absolute gross profit, greater scale to absorb fixed costs, and more flexibility to invest in capacity or product mix improvements.

Free cash flow turned positive

Conversion to positive free cash flow materially improves liquidity and reduces dependence on external funding. This enduring change enhances the company’s ability to fund working capital seasonality, capex for plants, or deleveraging initiatives over the coming quarters.

Strengthened equity position

A stronger equity base provides a durable financial buffer against cyclical agricultural demand and commodity swings. It supports borrowing capacity on better terms, reduces insolvency risk, and underpins strategic investments or resilience during adverse seasons.

Negative Factors

Rising leverage

Increasing leverage elevates interest and refinancing risk, especially for a seasonal agribusiness. With debt rising, cash flow volatility or margin pressure could constrain serviceability and limit strategic flexibility for capex or working capital over the medium term.

Volatile margins

Inconsistent EBIT and net margins undermine predictability of earnings and cash generation. Given fertiliser margins are sensitive to raw material and input costs, persistent volatility can weaken investment planning, credit metrics, and the firm’s ability to sustain profitability through cycles.

Cash management inconsistencies

Discrepancies between operating cash flow and reported net income suggest working capital swings or non-cash adjustments. These structural cash management issues can strain liquidity in peak seasonality, complicate debt servicing, and reduce the reliability of earnings for reinvestment.

Rama Phosphates Limited Business Overview & Revenue Model

Company Description

Rama Phosphates Limited engages in the manufacture and sale of fertilizers, chemicals, soya, and micronutrients in India. It operates through SSP Fertilizer, Chemicals, Power, Soya, and Micro Nutrients divisions. The company offers powder and granular single super phosphate fertilizers; various grades of nitrogen phosphorus potash mixed fertilizers; fortified fertilizers, such as boronated and zincated single super phosphate fertilizers; micronutrients, including magnesium sulphate, Sulphur dust, zinc sulphate, monohydrate, and zinc sulphate hepta-hydrate; and water soluble fertilizers. It also provides chemicals comprising sulphuric acid, oleum, and chlorosulphonic acid; and soya, lecithin, and de oiled cakes, as well as phospho gypsum and linear alkyl benzene sulphonic acid. Rama Phosphates Limited offers its products under the Girnar, Suryaphool, and Sampurn brand names. The company was incorporated in 1984 and is headquartered in Mumbai, India. As of 31 March 2022, Rama Phosphates Limited operates as a subsidiary of Silver Eagle Inc.

How the Company Makes Money

Rama Phosphates Limited primarily makes money by selling manufactured phosphate-based fertilisers and related products to the agricultural market through its distribution and dealer network, generating revenue from volume sales tied to seasonal crop demand. A secondary revenue stream comes from the sale of phosphate/chemical products and by-products used for industrial applications, where earnings are driven by contract/customer orders and commodity-linked pricing of key inputs and outputs. Profitability is influenced by raw material costs (phosphate rock/phosphoric acid and other inputs), plant utilization, product mix (fertiliser vs. industrial chemicals), and prevailing market prices; specific details on major customer contracts or named partnerships are null.

Rama Phosphates Limited Financial Statement Overview

Summary

Moderate fundamentals: strong revenue growth and improvement to positive net income support the score, but volatile EBIT/net margins, rising leverage (higher debt-to-equity), and only recently positive free cash flow keep it from scoring higher.

Income Statement

Rama Phosphates Limited has demonstrated significant revenue growth, particularly from 2024 to 2025, with a sharp increase in gross profit margins. However, the volatility in EBIT and net profit margins over the years indicates operational challenges. The transition from negative to positive net income is a notable improvement, but maintaining consistent profitability remains a challenge.

Balance Sheet

The company's equity position has strengthened over the years, showing a healthy equity ratio. However, the debt-to-equity ratio has increased, indicating growing leverage, which could pose a risk if not managed carefully. The stable growth in stockholders' equity is a positive indicator of financial health.

Cash Flow

Free cash flow has improved significantly, turning positive in 2025 after a period of negative cash flows, which is a positive sign for liquidity. However, the operating cash flow to net income ratio indicates potential discrepancies in cash management. Efficient cash flow management will be crucial for sustaining growth.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	8.17B	5.15B	4.33B	5.71B	4.90B	4.63B
Gross Profit	2.77B	2.23B	-720.70M	-975.08M	-1.13B	1.80B
EBITDA	816.94M	434.25M	-207.22M	722.57M	1.14B	624.07M
Net Income	422.26M	136.75M	-310.67M	409.34M	700.37M	421.09M
Balance Sheet
Total Assets	6.44B	6.34B	6.26B	5.34B	4.43B	3.11B
Cash, Cash Equivalents and Short-Term Investments	112.64M	36.69M	73.65M	62.42M	17.57M	8.72M
Total Debt	1.03B	1.26B	1.49B	1.18B	588.47M	54.98M
Total Liabilities	2.41B	2.63B	2.73B	2.25B	1.73B	1.07B
Stockholders Equity	4.03B	3.71B	3.53B	3.09B	2.70B	2.04B
Cash Flow
Free Cash Flow	0.00	324.44M	-131.67M	-464.73M	-429.47M	254.41M
Operating Cash Flow	0.00	399.05M	-51.04M	-362.60M	-85.82M	444.56M
Investing Cash Flow	0.00	-41.33M	-115.35M	-81.45M	-316.63M	-212.70M
Financing Cash Flow	0.00	-358.86M	164.22M	447.50M	402.07M	-233.45M

Rama Phosphates Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 171.10
• 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:RAMAPHO, the sentiment is Negative. The current price of 171.1 is above the 20-day moving average (MA) of 126.31, above the 50-day MA of 147.75, and above the 200-day MA of 151.23, indicating a bearish trend. The MACD of -10.76 indicates Positive momentum. The RSI at 25.53 is Positive, neither overbought nor oversold. The STOCH value of 7.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RAMAPHO.

Rama Phosphates Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KHAICHEM	62 Neutral	₹4.84B	9.32	―	―	67.43%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
AGROPHOS	61 Neutral	₹634.78M	23.51	―	2.51%	69.30%	―
RAMAPHO	57 Neutral	₹3.78B	10.12	―	0.46%	22.68%	―
VIKASECO	52 Neutral	₹2.19B	-45.38	―	―	7.61%	-50.76%
NAGAFERT	48 Neutral	₹2.40B	-13.60	―	―	-100.00%	-101.18%
KANORICHEM	45 Neutral	₹2.68B	23.83	―	―	-1.30%	-27.85%

Rama Phosphates Limited Corporate Events

Rama Phosphates’ ICRA Outlook Upgraded to Stable as Ratings Reaffirmed

Rama Phosphates Limited announced that credit rating agency ICRA has reaffirmed the company’s existing ratings on its bank facilities totaling Rs 136 crore, with an improvement in the outlook on its long-term facilities from “Negative” to “Stable.” Long-term fund-based limits and term loans of Rs 80 crore and Rs 8 crore, respectively, remain rated ICRA A- with a Stable outlook, while short-term non-fund-based limits of Rs 48 crore continue at ICRA A2+. The revision in outlook signals a more positive view of the company’s credit profile and may support its standing with lenders and stakeholders as it manages its working capital and growth requirements.

Rama Phosphates Closes Trading Window Ahead of December Quarter Results

Rama Phosphates Limited has announced the closure of its trading window for designated persons from January 1, 2026 until 48 hours after the declaration of its unaudited financial results for the quarter and nine months ended December 31, 2025. The move, made in line with SEBI’s Prohibition of Insider Trading Regulations and the company’s internal code of conduct, is a routine compliance step aimed at preventing insider trading around the results announcement and reinforcing governance standards for insiders and market participants.