Sumitomo Chemical India Ltd. (SUMICHEM) AI Stock Analysis

• Market Cap: ₹258.41B
• Dividend Yield: 0.23%
• Average Volume (3M): 12.81K
• Price to Earnings (P/E): 46.4
• Beta (1Y): 1.13
• Revenue Growth: 13.78%
• EPS Growth: 28.22%
• Country: IN
• Employees: 1,649
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Agricultural Inputs
• EPS (TTM): 3.60
• Shares Outstanding: 499,145,720
• 10 Day Avg. Volume: 11,168
• 30 Day Avg. Volume: 12,809
• PEG Ratio: 1.49
• Price to Book (P/B): 9.52
• Price to Sales (P/S): 8.77
• P/FCF Ratio: 56.71
• 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: ₹614.00
• Price Target Upside: 16.63% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 66 Neutral
• Price Target: ₹614.00 ▲(16.63% Upside)

Sumitomo Chemical India Ltd. demonstrates strong financial performance, which is the most significant factor contributing to the overall score. However, technical analysis indicates a lack of strong momentum, and the valuation suggests the stock may be overvalued. These factors collectively result in a moderate overall stock score.

Sumitomo Chemical India Ltd. Business Overview & Revenue Model

Company Description

Sumitomo Chemical India Limited engages in the manufacture and sale of household and public health insecticides, agricultural pesticides, and animal nutrition products in India and internationally. It operates through two segments, Agro Chemicals and Others. The company offers crop protection products, such as insecticides, herbicides, fungicides, and miticides; animal nutrition and plant growth regulators; fumigants and rodenticides; weedicides; and biological products. It also exports its products. The company was incorporated in 2000 and is headquartered in Mumbai, India. Sumitomo Chemical India Limited is a subsidiary of Sumitomo Chemical Company Limited.

How the Company Makes Money

Sumitomo Chemical India Ltd. generates revenue primarily through the sale of its agrochemical products, including insecticides, herbicides, and fungicides. These products are sold to farmers, agricultural businesses, and distributors across India, thus contributing significantly to the company's revenue. The company also earns from its specialty chemicals segment, which offers solutions tailored for industrial applications. Strategic partnerships and collaborations with local distributors and global entities help in expanding its market reach and optimizing its supply chain, enhancing its revenue streams. Additionally, SUMICHEM benefits from leveraging the research and development capabilities of its parent company to introduce new and effective products to the market, further driving sales and profitability.

Sumitomo Chemical India Ltd. Financial Statement Overview

Summary

Sumitomo Chemical India Ltd. exhibits strong financial health across all verticals. The income statement reflects robust revenue and profit growth, supported by efficient operations. The balance sheet showcases a solid capital structure with low leverage, enhancing financial stability. Cash flows are strong, indicating effective cash management and growth potential. Overall, the company is well-positioned for continued success in the agricultural inputs industry, though attention to cost management and further optimization of shareholder returns could enhance performance.

Income Statement

Sumitomo Chemical India Ltd. shows strong financial performance with consistent revenue growth, as evidenced by a significant increase in total revenue from the previous year. The company maintains healthy profit margins, with a gross profit margin of over 30% and a net profit margin exceeding 16%. The EBIT and EBITDA margins also reflect operational efficiency. These factors indicate a robust and profitable income statement, although slightly fluctuating gross profit suggests potential room for improvement in cost management.

Balance Sheet

The company's balance sheet is solid, with a low debt-to-equity ratio indicating conservative leverage. The equity ratio above 70% demonstrates financial stability and a strong capital structure. However, the return on equity, while positive, shows potential for improvement to maximize shareholder value. Overall, the company maintains a healthy balance sheet with manageable liabilities and a robust equity base.

Cash Flow

The cash flow statement displays a positive trajectory, with consistent free cash flow generation and an improving operating cash flow to net income ratio. The free cash flow to net income ratio indicates efficient cash conversion, though slightly decreasing operating cash flow warrants monitoring. The company manages capital expenditures well, supporting sustainable cash flow growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	33.66B	31.49B	28.18B	34.73B	30.40B	26.28B
Gross Profit	12.03B	9.59B	10.19B	12.40B	11.24B	9.66B
EBITDA	8.23B	7.52B	5.71B	7.12B	6.29B	5.07B
Net Income	5.57B	5.05B	3.70B	5.02B	4.24B	3.45B
Balance Sheet
Total Assets	0.00	39.64B	33.13B	33.69B	30.10B	26.70B
Cash, Cash Equivalents and Short-Term Investments	12.62B	12.59B	8.91B	5.63B	5.75B	5.32B
Total Debt	0.00	518.93M	302.49M	339.72M	375.84M	326.35M
Total Liabilities	-29.05B	10.59B	8.69B	9.87B	10.82B	11.29B
Stockholders Equity	29.05B	29.01B	24.42B	23.82B	19.27B	15.41B
Cash Flow
Free Cash Flow	0.00	4.87B	6.93B	2.70B	1.08B	3.82B
Operating Cash Flow	0.00	5.17B	7.57B	3.89B	2.22B	4.25B
Investing Cash Flow	0.00	-4.57B	-4.20B	-3.27B	-2.90B	-2.58B
Financing Cash Flow	0.00	-679.20M	-3.37B	-725.45M	-626.38M	-470.64M

Sumitomo Chemical India Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 526.45
• 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:SUMICHEM, the sentiment is Negative. The current price of 526.45 is below the 20-day moving average (MA) of 540.73, below the 50-day MA of 562.62, and below the 200-day MA of 532.71, indicating a bearish trend. The MACD of -12.62 indicates Positive momentum. The RSI at 40.73 is Neutral, neither overbought nor oversold. The STOCH value of 18.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SUMICHEM.

Sumitomo Chemical India Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNFC	68 Neutral	₹73.64B	13.10	―	3.62%	-9.97%	9.63%
HSCL	68 Neutral	₹230.97B	37.57	―	0.13%	2.17%	28.95%
SUMICHEM	66 Neutral	₹258.41B	46.38	―	0.23%	13.78%	28.22%
BAYERCROP	62 Neutral	₹229.67B	38.76	―	2.44%	15.23%	-11.06%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
BASF	60 Neutral	₹198.72B	50.20	―	0.44%	5.63%	-41.01%
RALLIS	59 Neutral	₹55.29B	31.41	―	0.85%	0.91%	18.12%