Sumitomo Chemical India Ltd. (SUMICHEM) AI Stock Analysis

• Market Cap: ₹296.42B
• Dividend Yield: 0.2%
• Average Volume (3M): 38.86K
• Price to Earnings (P/E): 53.2
• Beta (1Y): 1.03
• Revenue Growth: 13.78%
• EPS Growth: 28.22%
• Country: IN
• Employees: 1,649
• Sector: Basic Materials
• Sector Strength: 60
• Industry: Agricultural Inputs
• EPS (TTM): 3.60
• Shares Outstanding: 499,145,720
• 10 Day Avg. Volume: 60,078
• 30 Day Avg. Volume: 38,858
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹718.00
• Price Target Upside: 23.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ₹718.00 ▲(23.21% Upside)

Sumitomo Chemical India Ltd. has a robust financial performance, which is the strongest factor in its overall score. Technical analysis indicates bullish momentum, albeit with caution due to overbought signals. The high P/E ratio and low dividend yield suggest valuation concerns, slightly offsetting the positive financial performance.

Sumitomo Chemical India Ltd. Business Overview & Revenue Model

Company Description

Sumitomo Chemical India Ltd. (SUMICHEM) is a subsidiary of Sumitomo Chemical Company, Limited, a global leader in the chemical industry. Operating in the Indian market, SUMICHEM focuses on sectors such as agrochemicals, environmental health, and specialty chemicals. Its core products include insecticides, herbicides, fungicides, and other crop protection solutions. The company is committed to sustainable agricultural practices and provides innovative solutions to enhance crop productivity and protect the environment.

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 with consistent revenue growth, healthy profit margins, and operational efficiency. The balance sheet is solid with low leverage and strong capital structure. Cash flows are robust, supporting sustainable growth, although there is room for improvement in cost management and shareholder returns.

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	Mar 2025	Mar 2023	Mar 2024	Mar 2022	Mar 2021
Income Statement
Total Revenue	31.49B	35.11B	28.18B	30.40B	26.28B
Gross Profit	9.59B	12.40B	10.19B	11.24B	9.66B
EBITDA	7.52B	7.12B	5.71B	6.29B	5.07B
Net Income	5.05B	5.02B	3.70B	4.24B	3.45B
Balance Sheet
Total Assets	39.64B	33.69B	33.13B	30.10B	26.70B
Cash, Cash Equivalents and Short-Term Investments	5.00B	8.27B	10.27B	5.75B	5.32B
Total Debt	518.93M	339.72M	302.49M	375.84M	326.35M
Total Liabilities	10.59B	9.87B	8.69B	10.82B	11.29B
Stockholders Equity	29.01B	23.82B	24.42B	19.27B	15.41B
Cash Flow
Free Cash Flow	4.87B	2.70B	6.93B	1.08B	3.82B
Operating Cash Flow	5.17B	3.89B	7.57B	2.22B	4.25B
Investing Cash Flow	-4.57B	-3.27B	-4.20B	-2.90B	-2.58B
Financing Cash Flow	-679.20M	-725.45M	-3.37B	-626.38M	-470.64M

Sumitomo Chemical India Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 582.75
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• 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 Neutral. The current price of 582.75 is below the 20-day moving average (MA) of 601.11, above the 50-day MA of 550.68, and above the 200-day MA of 526.53, indicating a neutral trend. The MACD of 13.57 indicates Positive momentum. The RSI at 49.06 is Neutral, neither overbought nor oversold. The STOCH value of 10.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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
SUMICHEM	70 Outperform	₹296.42B	53.20		0.20%	13.78%	28.22%
HSCL	69 Neutral	₹231.89B	37.72		0.13%	2.17%	28.95%
BASF	69 Neutral	₹201.28B	50.84		0.44%	5.63%	-41.01%
RALLIS	67 Neutral	₹72.11B	41.92		0.66%	7.10%	29.32%
GNFC	61 Neutral	₹73.87B	13.15		3.28%	-9.97%	9.63%
BAYERCROP	57 Neutral	₹253.12B	42.72		2.22%	15.23%	-11.06%
Sector *	44 Neutral	AU$1.54B	-7.28	-26.52%	4.40%	-3.13%	-36.41%