Khaitan Chemical (KHAICHEM)
TurnaroundFairStock Score: 23/100 — RISKY
Score breakdown: P/E: 3/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹52.37 |
| Market Cap | ₹507.93 Cr |
| P/E Ratio | 8.71 |
| ROCE | 2.48% |
| ROE | 35.8% |
| Dividend Yield | 0.1% |
| Profit Growth | -48.9% |
| Debt/Equity | 1.05 |
| Sales Growth | -5.7% |
| Promoter Holding | 72.65% |
| 52-Week Range | ₹40.2 — ₹132.9 |
| Sector | Fertilizers & Agrochemicals |
| Book Value | ₹29.97 |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
At ₹62.66, the market is pricing Khaitan Chemical at only 7.64 times trailing earnings and 2.96 times book. A low P/E and a PEG ratio of 0.16 immediately catch my eye. Profit has grown 62.87 percent on a sales increase of 33.69 percent, and the latest quarter shows ₹266 crore revenue and ₹20 crore net profit. Those are strong numbers, but I have learned to be suspicious when a cheap-looking fertilizer stock also shows a ROCE of just 2.48 percent. That tiny operating return on capital tells me the 35.80 percent ROE owes much more to financial engineering than to an economic moat. With debt/equity at 1.07, the company is using leverage to boost equity returns, and in a commodity business that is a fragile foundation.
The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer