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Sumitomo Chemical India Limited

SUMICHEMFertilizers & Agrochemicals

Fundamental Score

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Sumitomo Chemical India Limited Share Price & Market Analysis

Current Market Price (CMP)
534.35
No change data available
Market Cap
28.15K (Cr)
Industry
Fertilizers & Agrochemicals

Profitability Metrics

Good

Return on Equity

18.81%
Excellent

Return on Capital Employed

25.14%
Excellent

Operating Profit Margin (5Y)

18.87%
Poor

Dividend Yield

0.21%

Valuation Metrics

Poor

Price to Earnings

50.87x

Market Capitalization

28.15K (Cr)

Industry P/E

31.20x

Growth Metrics

Excellent

YoY Quarterly Profit Growth

40.05%
Excellent

YoY Quarterly Sales Growth

26.00%
Poor

Sales Growth (5Y)

4.98%
Excellent

EPS Growth (5Y)

17.27%
Excellent

Profit Growth (5Y)

17.27%

Financial Health

Excellent

Debt to Equity

0.02x
Excellent

Interest Coverage

141.24x
Excellent

Free Cash Flow (5Y)

1.89K (Cr)

Ownership Structure

Good

Promoter Holding

75.00%
Poor

FII Holding

3.65%
Average

DII Holding

8.15%
Excellent

Pledged Percentage

0.00%
Market-cap Classification
Large-cap
Established & liquid; typically steadier returns.
75.00%
Promoter Holding
28.15K (Cr)
Market Cap

Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice

Market Data Analysis & Educational Insights

Educational evaluation of SUMICHEM across key market metrics for learning purposes.

Positive Indicators

12 factors identified

Strong Return on Equity (18.81%)

Observation: Efficient use of shareholders' capital generating superior returns.

Analysis: ROE >15% indicates strong profitability and effective management. This metric suggests the company can generate substantial returns on invested capital.

Excellent ROCE Performance (25.14%)

Observation: Superior returns on capital employed across business operations.

Analysis: ROCE >15% demonstrates efficient capital deployment and strong operational performance. This indicates quality business fundamentals.

Strong Operating Margins (18.87%)

Observation: Healthy 5-year operating margins indicate pricing power and cost control.

Analysis: OPM >15% suggests operational efficiency and competitive advantages. This indicates sustainable profitability potential.

Robust Profit Growth (40.05%)

Observation: Strong year-over-year profit expansion demonstrates business momentum.

Analysis: Profit growth >20% indicates effective execution and market opportunity capture. This suggests positive business trajectory.

Strong Revenue Growth (26.00%)

Observation: Healthy sales growth indicates market demand and execution capability.

Analysis: Revenue growth >15% suggests strong market position and growth potential. This indicates business expansion success.

Excellent EPS Growth (17.27% CAGR)

Observation: Outstanding 5-year earnings per share compound growth.

Analysis: EPS CAGR >15% indicates strong wealth creation potential and effective capital allocation over extended periods.

Strong Profit Growth Track Record (17.27% CAGR)

Observation: Consistent 5-year profit compound annual growth rate.

Analysis: Profit CAGR >15% demonstrates scalable business model and effective operational leverage over time.

Conservative Debt Levels (D/E: 0.02)

Observation: Low leverage provides financial flexibility and reduced risk.

Analysis: Conservative debt structure offers resilience during economic downturns and flexibility for growth investments.

Strong Interest Coverage (141.24x)

Observation: Earnings comfortably cover interest obligations.

Analysis: Interest coverage >5x indicates low financial distress risk and strong debt servicing capability.

Strong Cash Generation (₹1889.32 Cr over 5Y)

Observation: Healthy free cash flow generation supports growth and returns.

Analysis: Strong FCF provides flexibility for dividends, debt reduction, and growth investments.

Balanced Promoter Holding (75.00%)

Observation: Optimal balance between promoter control and public float.

Analysis: Promoter holding in 50-75% range provides management alignment while ensuring adequate liquidity.

Zero Share Pledging Risk

Observation: No promoter shares pledged as collateral, reducing forced-selling risk.

Analysis: Absence of share pledging eliminates potential forced-selling pressure during market stress.

Risk Factors

4 factors identified

Premium Valuation Risk (P/E: 50.87x)

Observation: High valuation multiples may limit upside potential.

Analysis: Elevated P/E ratios require strong growth execution to justify current valuations. Consider entry timing carefully.

Limited Growth History (4.98% CAGR)

Observation: Below-average 5-year sales growth trajectory.

Analysis: Low sales CAGR may indicate mature markets or limited growth opportunities. Assess future growth catalysts.

High P/E Ratio

Observation: Stock may be overvalued relative to earnings.

Analysis: P/E above 30 requires strong growth execution to justify current valuations.

Very High P/E Ratio

Observation: Significant overvaluation risk present.

Analysis: Extremely high P/E ratios indicate potential bubble territory and high downside risk.

📊 Educational Market Overview

Disclaimer: The ratings and scores are generated algorithmically from publicly available market data and are provided for educational and informational purposes only. They do not constitute investment advice, recommendation, or solicitation to buy/sell any securities.

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Financial Statements

Comprehensive financial data for Sumitomo Chemical India Limited

About SUMICHEM

Company Details

Symbol:SUMICHEM
Industry:Fertilizers & Agrochemicals
Sector:Pesticides & Agrochemicals

Market Information

Market Cap:28.15K (Cr)
P/E Ratio:50.87
Beta:N/A

Performance

52W High:N/A
52W Low:N/A
Dividend Yield:0.21%

SUMICHEM Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)18.81%
Return on Capital Employed25.14%
Operating Profit Margin (5Y)18.87%
Debt to Equity Ratio0.02
Interest Coverage Ratio141.24

Growth & Valuation

Sales Growth (5Y)4.98%
Profit Growth (5Y)17.27%
EPS Growth (5Y)17.27%
YoY Quarterly Profit Growth40.05%
YoY Quarterly Sales Growth26.00%

Frequently Asked Questions

What is the current price of SUMICHEM?

SUMICHEM is currently trading at ₹534.35 with a gain of 0.00% today. The current market price (CMP) represents the last traded price of SUMICHEM shares on the stock exchange. This price fluctuates throughout trading hours based on supply and demand. You can track real-time price movements, percentage changes, and trading volume in the header section.

What is the P/E ratio of SUMICHEM and what does it mean?

SUMICHEM has a P/E ratio of 50.87x compared to the industry average of 31.20x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹51 for every ₹1 of annual earnings. This is higher than the industry average, suggesting either growth premium or potential overvaluation.

How is SUMICHEM performing according to Bull Run's analysis?

SUMICHEM has a Bull Run fundamental score of 65.6/100, which indicates moderate strength with some areas for improvement. This comprehensive rating is based on 15+ financial parameters including profitability (ROE: 18.81%), growth metrics, valuation ratios, and financial health indicators. The score updates quarterly with new financial data and helps you quickly assess overall investment quality.

What sector and industry does SUMICHEM belong to?

SUMICHEM operates in the Fertilizers & Agrochemicals industry. This sector classification helps understand the broader economic trends, regulatory framework, and competitive landscape affecting Sumitomo Chemical India Limited. Companies in this industry typically face similar market dynamics, cyclical patterns, and macroeconomic factors. Understanding the industry context is crucial for peer comparison and assessing how sector-specific trends might impact the stock's performance.

What is Return on Equity (ROE) and why is it important for SUMICHEM?

SUMICHEM has an ROE of 18.81%, which indicates excellent management efficiency and profitable operations. Return on Equity measures how efficiently Sumitomo Chemical India Limited generates profits from shareholders' equity. An ROE of 19% means the company generates ₹19 profit for every ₹100 of shareholders' equity. This metric is crucial for assessing management's ability to create value for shareholders.

How is SUMICHEM's debt-to-equity ratio and what does it indicate?

SUMICHEM has a debt-to-equity ratio of 0.02, which indicates conservative financing with low financial risk. This means the company has ₹2 of debt for every ₹100 of equity. This conservative approach provides financial stability but may limit growth potential.

What is SUMICHEM's dividend yield and is it a good dividend stock?

SUMICHEM offers a dividend yield of 0.21%, which means you receive ₹0.21 annual dividend for every ₹100 invested. The focus appears to be more on growth rather than dividend income. Dividend yield is calculated as annual dividend per share ÷ current share price × 100. Evaluate dividend consistency over 5+ years and free cash flow coverage for sustainability.

How has SUMICHEM grown over the past 5 years?

SUMICHEM has achieved 5-year growth rates of: Sales Growth 4.98%, Profit Growth 17.27%, and EPS Growth 17.27%. These growth metrics show the company's ability to expand its business and improve profitability over time. Sales growth indicates market expansion, profit growth shows operational efficiency, and EPS growth directly impacts share price appreciation potential.

What is the promoter holding in SUMICHEM and why does it matter?

Promoters hold 75.00% of SUMICHEM shares, with 0.00% of promoter shares pledged. This high promoter holding indicates strong management confidence and alignment with shareholders. Low pledging indicates financial stability of promoters. Recent change in promoter holding: 0.00%.

How does SUMICHEM compare with its industry peers?

SUMICHEM trades at P/E 50.87x vs industry average 31.20x, with ROE of 18.81% and ROCE of 25.14%. The stock trades at a premium to industry average, which may be justified by superior fundamentals. Peer comparison helps identify whether SUMICHEM is outperforming its competitive set in profitability, growth, and valuation metrics.

What is SUMICHEM's market capitalization and what category does it fall into?

SUMICHEM has a market capitalization of ₹28152 crores, making it a Large-cap stock. Large-cap stocks offer stability and liquidity but typically slower growth. Market cap is calculated as current share price × total outstanding shares, representing the company's total market value.

What are the key financial ratios to consider for SUMICHEM?

Key ratios for SUMICHEM: ROE 18.81% (Excellent), ROCE 25.14%, P/E 50.87x, Debt-to-Equity 0.02, Interest Coverage 141.24x. These ratios help assess profitability (ROE, ROCE), valuation (P/E), financial health (D/E, Interest Coverage), and overall investment quality. Compare these with industry medians and historical trends for meaningful analysis.

How volatile is SUMICHEM stock and what is its beta?

SUMICHEM has a beta of N/A, which means it is less volatile than the market and offers defensive characteristics. Beta measures price volatility relative to the Nifty 50. Lower beta stocks provide stability during uncertain market conditions. Consider beta alongside your risk tolerance and portfolio diversification strategy.

What is the 52-week high and low for SUMICHEM?

SUMICHEM has a 52-week high of ₹N/A and low of ₹N/A. Currently trading at ₹534.35, the stock is within its annual trading range. Trading near highs indicates strong momentum but limited upside potential.

What are the key risks associated with investing in SUMICHEM?

Key risks for SUMICHEM include: Market volatility (Beta: N/A), financial leverage (Debt-to-Equity: 0.02), and operational challenges. The stock has a Fundamental Score of 65.6/100, indicating moderate risk requiring careful monitoring. Sector-specific risks in Fertilizers & Agrochemicals include regulatory changes, economic cycles, and competitive pressures. Consider your risk tolerance, investment horizon, and portfolio diversification before investing. Past performance doesn't guarantee future results.

What is SUMICHEM's operating profit margin and how has it trended?

SUMICHEM has a 5-year average Operating Profit Margin (OPM) of 18.87%, which is good and shows decent operational efficiency. Operating Profit Margin shows operational efficiency by measuring operating profit as a percentage of revenue. This strong margin indicates competitive advantages and operational leverage. Compare with industry peers to understand relative performance.

How is SUMICHEM's quarterly performance in terms of sales and profit growth?

SUMICHEM's recent quarterly performance shows YoY Sales Growth of 26.00% and YoY Profit Growth of 40.05%. This strong double-digit growth indicates excellent business momentum and management execution. Sales growth shows market demand while profit growth reveals operational efficiency and margin management.

What is the FII and DII holding pattern in SUMICHEM?

SUMICHEM has FII holding of 3.65% and DII holding of 8.15%, totaling 11.80% institutional ownership. This institutional participation level shows the confidence of professional money managers. Monitor quarterly changes in institutional holdings for investment flow trends and sentiment.