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Tata Chemicals Ltd

TATACHEMCommodity Chemicals
755.05+0.00 (+0.00%)
As on 16 Jan 2026, 10:12 amMarket Closed

Fundamental Score

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Tata Chemicals Ltd Share Price Live NSE/BSE

No data
High
0.00
Low
0.00
Volume
0
Change
+0.00%

Profitability Metrics

Poor

Return on Equity

1.20%
Poor

Return on Capital Employed

3.96%
Excellent

Operating Profit Margin (5Y)

17.78%
Average

Dividend Yield

1.38%

Valuation Metrics

Poor

Price to Earnings

62.18x

Market Capitalization

20.26K (Cr)

Industry P/E

20.98x

Growth Metrics

Poor

YoY Quarterly Profit Growth

-49.38%
Poor

YoY Quarterly Sales Growth

-3.05%
Poor

Sales Growth (5Y)

7.53%
Poor

EPS Growth (5Y)

-47.92%
Poor

Profit Growth (5Y)

-47.92%

Financial Health

Excellent

Debt to Equity

0.34x
Poor

Interest Coverage

2.20x
Excellent

Free Cash Flow (5Y)

3.61K (Cr)

Ownership Structure

Average

Promoter Holding

37.98%
Good

FII Holding

13.73%
Excellent

DII Holding

22.17%
Excellent

Pledged Percentage

0.00%
Market-cap Classification
Large-cap
Established & liquid; typically steadier returns.
37.98%
Promoter Holding
20.26K (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 TATACHEM across key market metrics for learning purposes.

Positive Indicators

4 factors identified

Strong Operating Margins (17.78%)

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.

Strong Cash Generation (₹3612.82 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.

Strong Institutional Confidence (FII+DII: 35.90%)

Observation: Significant professional investor participation indicates quality recognition.

Analysis: High institutional holding often signals thorough due diligence and quality business fundamentals.

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

10 factors identified

Below-Average Return on Equity (1.20%)

Observation: Returns on equity are below industry benchmarks.

Analysis: ROE <10% may indicate inefficient capital utilization. Consider monitoring for operational improvements and management effectiveness.

Suboptimal ROCE (3.96%)

Observation: Returns on capital employed are below expectations.

Analysis: ROCE <10% suggests potential inefficiencies in capital allocation. Review business model and competitive positioning.

Premium Valuation Risk (P/E: 62.18x)

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.

Profit Decline Concern (-49.38%)

Observation: Significant year-over-year profit contraction observed.

Analysis: Declining profitability requires investigation into underlying causes. Monitor for recovery signs and management guidance.

Weak Earnings Growth (-47.92% CAGR)

Observation: Below-average 5-year EPS growth performance.

Analysis: Low EPS growth may not keep pace with inflation. Consider growth catalysts and competitive positioning.

Stagnant Profit Growth (-47.92% CAGR)

Observation: Limited 5-year profit growth trajectory.

Analysis: Low profit growth may indicate scalability challenges or market maturity. Assess transformation initiatives.

Weak Interest Coverage (2.20x)

Observation: Limited ability to service debt obligations from earnings.

Analysis: Low interest coverage raises concerns about financial stability. Monitor cash flow and debt reduction plans.

Very Low ROE

Observation: Poor capital utilization and shareholder returns.

Analysis: ROE below 5% suggests significant inefficiencies in capital deployment.

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.

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Financial Statements

Comprehensive financial data for Tata Chemicals Ltd

About TATACHEM

Business Overview

Tata Chemicals Limited, together with its subsidiaries, manufactures, markets, sells, and distributes basic chemistry and specialty products in India, rest of Asia, Africa, Europe, the United Kingdom, the Americas, and internationally. The company offers dense, heavy, high purity, industrial grade, and light soda ash; allied chemicals, such as caustic soda, chlorine and bromine-based products, and gypsum; sodium bicarbonate; sodium chloride; calcium chloride; crushed refined soda; standard ash Magadi; natural and synthetic light soda ash; crex; energy; ordinary Portland and masonry cement under the Tata Shudh brand name; and livestock and dry industrial salt. It also provides nano zinc oxide and silica; prebiotics and dietary fibers; herbicides, insecticides, fungicides, bio-fertilizers, bio-stimulants, micronutrients, organic fertilizers, water-soluble fertilizers, bio-pesticides, and seeds; and energy storage solutions. The company's products are used in various applications, such as agriculture; animal nutrition; chemicals; construction; food and nutrition; glass; high performance rubber; metals; oral care and cosmetics; paints, inks, and adhesives; pharmaceuticals; safety and environment; soaps and detergents; textiles and leather; lithium-ion, dry cell, and other batteries; and others. Tata Chemicals Limited was founded in 1927 and is headquartered in Mumbai, India.

Company Details

Symbol:TATACHEM
Industry:Commodity Chemicals
Sector:Commodity Chemicals

Key Leadership

Mr. Ramakrishnan Mukundan B.E.(Elec), MBA
MD, CEO & Executive Director
Mr. Nandakumar S. Tirumalai
CFO & Chief Investor Relations Officer
Mr. Jeraz E. Mahernosh
Company Secretary & Compliance Officer

TATACHEM Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)1.20%
Return on Capital Employed3.96%
Operating Profit Margin (5Y)17.78%
Debt to Equity Ratio0.34
Interest Coverage Ratio2.20

Growth & Valuation

Sales Growth (5Y)7.53%
Profit Growth (5Y)-47.92%
EPS Growth (5Y)-47.92%
YoY Quarterly Profit Growth-49.38%
YoY Quarterly Sales Growth-3.05%

Frequently Asked Questions

What is the current price of Tata Chemicals Ltd (TATACHEM)?

As of 16 Jan 2026, 10:12 am IST, Tata Chemicals Ltd (TATACHEM) is currently trading at ₹755.05. The stock has a market capitalization of ₹20.26K (Cr).

Is TATACHEM share price Overvalued or Undervalued?

TATACHEM is currently trading at a P/E ratio of 62.18x, compared to the industry average of 20.98x. Based on this relative valuation, the stock appears to be Overvalued against its sector peers.

What factors affect the Tata Chemicals Ltd share price?

Key factors influencing TATACHEM's price include its quarterly earnings growth (Sales Growth: -3.05%), raw material costs, government infrastructure spending, and institutional flows (FII/DII holding).

Is Tata Chemicals Ltd a good stock for long-term investment?

Tata Chemicals Ltd shows a 5-year Profit Growth of -47.92% and an ROE of 1.20%. Long-term investors should consider these fundamentals alongside the debt-to-equity ratio of 0.34 before investing.

How does Tata Chemicals Ltd compare with its industry peers?

Tata Chemicals Ltd competes with major peers in the Commodity Chemicals. Investors should compare TATACHEM's P/E of 62.18x and ROE of 1.20% against the industry averages to determine its competitive standing.

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

TATACHEM has a P/E ratio of 62.18x compared to the industry average of 20.98x. 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 ₹62 for every ₹1 of annual earnings.

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

TATACHEM has a Bull Run fundamental score of 14.9/100, which indicates concerns that require careful analysis. This comprehensive rating is based on 15+ financial parameters including profitability, growth metrics, and valuation ratios.

What sector and industry does TATACHEM belong to?

TATACHEM operates in the Commodity Chemicals industry. This classification helps understand the competitive landscape and sector-specific trends affecting Tata Chemicals Ltd.

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

TATACHEM has an ROE of 1.20%, which suggests challenges in generating returns from shareholders' equity. Return on Equity measures how efficiently Tata Chemicals Ltd generates profits from shareholders' equity.

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

TATACHEM has a debt-to-equity ratio of 0.34, which indicates moderate leverage that should be monitored. A ratio below 1.0 generally indicates conservative financing.

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

TATACHEM offers a dividend yield of 1.38%, which means you receive ₹1.38 annual dividend for every ₹100 invested.

How has TATACHEM grown over the past 5 years?

TATACHEM has achieved 5-year growth rates of: Sales Growth 7.53%, Profit Growth -47.92%, and EPS Growth -47.92%.

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

Promoters hold 37.98% of TATACHEM shares, with 0.00% of promoter shares pledged. High promoter holding often indicates strong management confidence.

What is TATACHEM's market capitalization category?

TATACHEM has a market capitalization of ₹20261 crores, placing it in the Large-cap category.

How volatile is TATACHEM stock?

TATACHEM has a beta of N/A. A beta > 1 suggests the stock is more volatile than the market, while a beta < 1 suggests it is less volatile.

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

TATACHEM has a 52-week high of ₹N/A and low of ₹N/A.

What is TATACHEM's operating profit margin trend?

TATACHEM has a 5-year average Operating Profit Margin (OPM) of 17.78%, indicating the company's operational efficiency.

How is TATACHEM's quarterly performance?

Recent quarterly performance shows YoY Sales Growth of -3.05% and YoY Profit Growth of -49.38%.

What is the institutional holding pattern in TATACHEM?

TATACHEM has FII holding of 13.73% and DII holding of 22.17%. Significant institutional holding often suggests professional confidence in the stock.