Pidilite Inds. (PIDILITIND)
CyclicalFairStock Score: 60/100 — STEADY
Score breakdown: P/E: 0/3 · ROCE: 2/2 · Growth: 1/2 · Dividend: 0/1
Key Financials
| Current Price | ₹1,693 |
| Market Cap | ₹1,72,311.9 Cr |
| P/E Ratio | 65.37 |
| ROCE | 29.84% |
| ROE | 23.5% |
| Dividend Yield | 0.68% |
| Profit Growth | 27.71% |
| Debt/Equity | 0.04 |
| Sales Growth | 19.25% |
| Free Cash Flow | ₹745 Cr |
| Promoter Holding | 69.32% |
| 52-Week Range | ₹1,259 — ₹1,707.5 |
| Sector | Chemicals & Petrochemicals |
| Book Value | ₹106.43 |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
I look at Pidilite as a classic Indian stalwart: a specialty chemicals franchise with durable economics. The numbers confirm quality: ROE 23.50%, ROCE 29.84%, debt/equity just 0.04, Piotroski 8/9, Altman Z 8.99. Sales grew 19.25% and profit 27.71%, with latest quarter sales ₹3,710 Cr and net profit ₹624 Cr. Over five years revenue CAGR is 12.49%, so growth is steady rather than explosive. Promoter holding 69.32% aligns skin in the game, and FCF ₹745 Cr shows cash conversion. High returns on capital and low leverage hint at a moat, while profit growing faster than sales suggests operating strength. But Buffett/Graham discipline asks price. At ₹1693, market cap ₹1.72 lakh Cr, P/E 65.37, P/B 15.91, EV/EBITDA 44.09. Book value is ₹106.43. Graham Number ₹220.42 and DCF intrinsic value ₹164.24 imply the market is paying up for decades of future excellence. Margin of safety is -576.87%, a red flag. Dividend yield 0.68% offers little income cushion. The 52-week range ₹1259-₹1707.50 means price is near the top. FairStock Score 60/100 STEADY. Graham would separate operating excellence from investment merit. Pidilite earns high returns, carries low debt and grows profits faster than sales, but he would demand a margin of safety, and here there is none. The valuation already assumes many years of double-digit compounding. If growth slows, the multiple can compress sharply. At 65 times earnings, the stock is priced for perfection. So: wonderful business, fortress balance sheet, but not a bargain. For Indian retail, I'd watch it, buy only on meaningful drawdown, or hold if already owned. A stalwart can compound, but entry price matters.
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