Ugar Sugar Works Ltd (UGARSUGAR) AI Stock Analysis

• Market Cap: ₹4.58B
• Dividend Yield: 0.62%
• Average Volume (3M): 7.00K
• Price to Earnings (P/E): 47.2
• Beta (1Y): 1.56
• Revenue Growth: 20.40%
• EPS Growth: N/A
• Country: IN
• Employees: 905
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Confectioners
• EPS (TTM): -2.86
• Shares Outstanding: 112,500,000
• 10 Day Avg. Volume: 5,799
• 30 Day Avg. Volume: 6,999
• PEG Ratio: 0.18
• Price to Book (P/B): 2.45
• Price to Sales (P/S): 0.40
• P/FCF Ratio: -9.44
• 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: 44 Neutral
• Price Target: ₹41.00 ▲(0.99% Upside)

The overall stock score is primarily impacted by financial instability, with declining revenues and high leverage. Technical analysis indicates a bearish trend, and valuation metrics are poor with a negative P/E ratio. These factors collectively suggest a challenging outlook for Ugar Sugar Works Ltd.

Positive Factors

Business Model Strength

The diversified revenue streams from sugar and by-products like molasses and bagasse provide a stable foundation, reducing reliance on a single product and enhancing resilience against market fluctuations.

Sustainability Commitment

A focus on sustainability and innovation can drive long-term growth by improving operational efficiency and aligning with global environmental trends, potentially attracting eco-conscious investors and customers.

Operational Efficiency

Operational efficiency, as indicated by positive EBITDA margins, reflects the company's ability to manage costs effectively, which is crucial for maintaining profitability in a competitive industry.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to invest in growth opportunities and making it vulnerable to interest rate fluctuations.

Declining Revenue

Declining revenue indicates potential challenges in market demand or competitive positioning, which could impact the company's ability to sustain operations and invest in future growth.

Inconsistent Cash Flow

Inconsistent cash flow can hinder the company's ability to meet its financial obligations and invest in new projects, affecting long-term growth and stability.

Ugar Sugar Works Ltd Business Overview & Revenue Model

Company Description

Ugar Sugar Works Ltd (UGARSUGAR) is a prominent player in the sugar manufacturing industry, primarily engaged in the production and processing of sugar from sugarcane. Located in India, the company operates in the agribusiness sector, focusing on the cultivation, harvesting, and processing of sugarcane, while also producing by-products such as molasses and bagasse. UGARSUGAR is committed to sustainability and innovation, striving to enhance productivity and quality in its operations.

How the Company Makes Money

UGARSUGAR generates revenue primarily through the sale of sugar produced from processed sugarcane. The company’s revenue model is multi-faceted, consisting of key streams such as the direct sale of sugar to wholesalers, retailers, and industrial clients. Additionally, UGARSUGAR earns income from the sale of by-products like molasses, which are utilized in the production of alcohol and animal feed, and bagasse, which can be used as biomass fuel or in paper manufacturing. The company may also engage in partnerships with local farmers, ensuring a steady supply of raw materials, which enhances operational efficiency and cost management. Seasonal variations in sugarcane production and market demand for sugar significantly influence UGARSUGAR's earnings, making it essential for the company to maintain strong relationships within the supply chain while adapting to market trends.

Ugar Sugar Works Ltd Financial Statement Overview

Summary

Ugar Sugar Works Ltd faces financial challenges with declining revenues, negative net income, high leverage, and inconsistent cash flows. While there are periods of operational efficiency, the company's financial health is under pressure.

Income Statement

Ugar Sugar Works Ltd has shown declining revenue over the last few years, with a significant drop in revenue from 2023 to 2025. The net profit margin has also turned negative in 2025, indicating a loss. Gross profit margin and EBIT margin are low, highlighting challenges in maintaining profitability. However, there were periods of positive EBITDA margin, suggesting some operational efficiency.

Balance Sheet

The company's balance sheet shows high leverage with a substantial debt-to-equity ratio, posing financial risk. Stockholders' equity has improved modestly, but total liabilities remain high. The equity ratio is relatively low, indicating a higher reliance on debt financing, which could impact financial stability.

Cash Flow

Cash flow analysis reveals inconsistencies, with negative free cash flow in recent years and volatile operating cash flow. The operating cash flow to net income ratio highlights challenges in converting earnings into cash flow, which could affect liquidity. Positive free cash flow in 2023 was not sustained in 2024 and 2025, raising concerns about cash management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	13.70B	13.30B	11.51B	17.94B	11.14B	9.10B
Gross Profit	1.86B	1.63B	1.96B	3.58B	1.88B	1.16B
EBITDA	510.68M	538.25M	1.03B	2.11B	1.01B	703.56M
Net Income	-181.54M	-162.50M	211.43M	1.03B	433.28M	170.53M
Balance Sheet
Total Assets	0.00	11.31B	10.85B	9.16B	11.64B	8.93B
Cash, Cash Equivalents and Short-Term Investments	16.88M	217.01M	259.38M	177.94M	72.70M	64.01M
Total Debt	0.00	6.11B	5.66B	4.00B	7.00B	6.10B
Total Liabilities	-2.16B	9.15B	8.50B	6.96B	10.42B	8.13B
Stockholders Equity	2.16B	2.16B	2.35B	2.21B	1.22B	805.00M
Cash Flow
Free Cash Flow	0.00	-561.42M	-1.40B	3.35B	-385.42M	-838.75M
Operating Cash Flow	0.00	213.06M	-373.18M	3.94B	930.02M	-777.66M
Investing Cash Flow	0.00	-725.84M	-982.60M	-484.19M	-1.31B	-55.06M
Financing Cash Flow	0.00	520.28M	1.31B	-3.46B	391.51M	787.17M

Ugar Sugar Works Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 40.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:UGARSUGAR, the sentiment is Negative. The current price of 40.6 is below the 20-day moving average (MA) of 41.20, below the 50-day MA of 42.38, and below the 200-day MA of 45.21, indicating a bearish trend. The MACD of -0.60 indicates Negative momentum. The RSI at 40.96 is Neutral, neither overbought nor oversold. The STOCH value of 41.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:UGARSUGAR.

Ugar Sugar Works Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAWANASUG	69 Neutral	₹3.40B	3.39	―	4.80%	6.31%	161.73%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KOTARISUG	60 Neutral	₹2.53B	20.77	―	―	-39.31%	-110.49%
SAKHTISUG	56 Neutral	₹2.33B	8.62	―	―	1.70%	-71.32%
VISHWARAJ	45 Neutral	₹1.72B	-4.79	―	2.86%	-3.45%	-858.71%
UGARSUGAR	44 Neutral	₹4.58B	47.17	―	0.62%	20.40%	―