Shalimar Paints Ltd (SHALPAINTS) AI Stock Analysis

• Market Cap: ₹5.36B
• Dividend Yield: N/A
• Average Volume (3M): 40.24K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.61
• Revenue Growth: 8.89%
• EPS Growth: 24.00%
• Country: IN
• Employees: 896
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): -1.69
• Shares Outstanding: 83,711,180
• 10 Day Avg. Volume: 15,769
• 30 Day Avg. Volume: 40,240
• PEG Ratio: -25.78
• Price to Book (P/B): 2.76
• Price to Sales (P/S): 1.45
• P/FCF Ratio: -8.31
• 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: 39 Underperform
• Price Target: ₹67.00 ▲(3.63% Upside)

Shalimar Paints Ltd's stock score is primarily impacted by its poor financial performance and weak technical indicators. The company's negative profitability and cash flow issues are significant concerns, compounded by bearish market momentum. The negative P/E ratio and lack of dividend yield further detract from its valuation appeal.

Positive Factors

Revenue Growth

Despite challenges, the company has achieved a notable revenue increase, indicating potential for market expansion and product demand.

Market Position

Being a well-established player in the industry, Shalimar Paints benefits from brand recognition and a strong market presence, aiding long-term competitiveness.

Business Model

A diversified revenue model across multiple channels enhances resilience and adaptability to market changes, supporting sustainable growth.

Negative Factors

Profitability Issues

Negative profitability and declining margins indicate operational inefficiencies, which could hinder long-term financial stability and growth.

Cash Flow Challenges

Poor cash flow management limits the company's ability to invest in growth opportunities and meet financial obligations, impacting future prospects.

Margin Sustainability

Negative margins reflect ongoing operational challenges, suggesting difficulties in cost management and pricing power, affecting long-term viability.

Shalimar Paints Ltd Business Overview & Revenue Model

Company Description

Shalimar Paints Ltd (SHALPAINTS) is a prominent player in the Indian paint industry, engaged in the manufacturing and marketing of a wide range of decorative and industrial paints, coatings, and related products. Established in 1902, the company has established a strong reputation for quality and innovation across various sectors, including residential, commercial, and industrial applications. Its core product offerings include emulsions, enamels, varnishes, and special effect paints, catering to diverse customer needs and preferences.

How the Company Makes Money

Shalimar Paints Ltd generates revenue primarily through the sale of its paints and coatings products. The company's revenue model is built on multiple key streams, including direct sales to wholesalers and retailers, business-to-business (B2B) transactions with construction companies and contractors, and e-commerce sales through online platforms. Additionally, SHALPAINTS benefits from strategic partnerships with distributors and retailers that enhance its market reach. The company also invests in marketing and promotional activities to increase brand visibility and customer loyalty, further contributing to its earnings. Seasonal demand for home improvement and construction projects often leads to spikes in revenue during specific times of the year.

Shalimar Paints Ltd Financial Statement Overview

Summary

Shalimar Paints Ltd is facing financial difficulties with negative profitability metrics and cash flow challenges. Despite some revenue growth, the company struggles with maintaining positive margins and efficient cash management. The balance sheet shows a balance in leveraging, but overall financial health needs improvement.

Income Statement

Shalimar Paints Ltd has shown inconsistent revenue growth with a recent increase from 5306M to 5990M (12.9% growth). However, profitability remains a concern with negative net income and declining gross profit margins (from 25.9% to 11.4% in the latest period). Both EBIT and EBITDA margins are negative, indicating operational struggles.

Balance Sheet

The company's debt-to-equity ratio is manageable, reflecting a balance between debt and equity. However, stockholders' equity has decreased, leading to a lower ROE and a slight increase in liabilities. The equity ratio is relatively stable at around 44.8%, suggesting a mildly leveraged position.

Cash Flow

The cash flow situation is challenging, with negative free cash flow and operating cash flow. The free cash flow has deteriorated significantly, indicating cash management issues. The ratios of operating cash flow to net income and free cash flow to net income are unfavorable, highlighting inefficiencies in cash utilization.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.24B	5.99B	5.35B	4.82B	3.58B	3.24B
Gross Profit	1.55B	686.00M	1.42B	1.23B	861.59M	1.00B
EBITDA	-325.10M	-468.40M	-487.30M	-75.40M	-286.70M	65.40M
Net Income	-697.90M	-801.60M	-738.50M	-361.50M	-603.51M	-498.63M
Balance Sheet
Total Assets	0.00	7.02B	6.70B	6.24B	6.47B	5.06B
Cash, Cash Equivalents and Short-Term Investments	567.60M	533.10M	1.03B	1.06B	1.62B	76.74M
Total Debt	0.00	1.64B	1.06B	1.40B	1.68B	1.31B
Total Liabilities	-3.15B	3.87B	2.76B	2.71B	2.96B	2.83B
Stockholders Equity	3.15B	3.15B	3.93B	3.53B	3.51B	2.23B
Cash Flow
Free Cash Flow	0.00	-1.05B	-395.30M	-591.30M	-648.70M	138.60M
Operating Cash Flow	0.00	-723.20M	176.80M	-479.30M	-618.05M	159.02M
Investing Cash Flow	0.00	-178.40M	-513.50M	-837.80M	-57.49M	-49.41M
Financing Cash Flow	0.00	444.20M	628.10M	-68.70M	2.25B	-111.18M

Shalimar Paints Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 64.65
• 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:SHALPAINTS, the sentiment is Negative. The current price of 64.65 is below the 20-day moving average (MA) of 69.91, below the 50-day MA of 76.27, and below the 200-day MA of 91.10, indicating a bearish trend. The MACD of -3.16 indicates Positive momentum. The RSI at 25.73 is Positive, neither overbought nor oversold. The STOCH value of 8.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SHALPAINTS.

Shalimar Paints Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHREEPUSHK	68 Neutral	₹12.74B	19.07	―	0.50%	28.67%	50.12%
BHAGERIA	63 Neutral	₹9.33B	18.31	―	0.84%	33.39%	85.08%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SHIVALIK	54 Neutral	₹6.07B	42.77	―	0.13%	13.17%	-0.02%
BODALCHEM	52 Neutral	₹6.84B	19.30	―	―	15.56%	2114.71%
DECCANCE	48 Neutral	₹10.58B	31.88	―	0.08%	-28.32%	93.44%
SHALPAINTS	39 Underperform	₹5.36B	-8.33	―	―	8.89%	24.00%

Shalimar Paints Ltd Corporate Events

Shalimar Paints Releases FY 2024-25 Sustainability Report

Shalimar Paints Limited has released its Business Responsibility and Sustainability Report for the financial year 2024-25, in compliance with SEBI regulations. This report, which is part of the company’s annual report, highlights the company’s commitment to sustainable business practices and provides insights into its operational metrics. The report’s release underscores Shalimar Paints’ dedication to transparency and accountability in its business operations, potentially impacting its industry positioning and stakeholder relations.