ASTRAL - Fundamental Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Fundamental Rating: 3.1

Here’s a granular look at Astral Ltd. (ASTRAL) — a specialty building materials and piping company with impressive capital discipline and long-term brand power, yet currently trading at elevated valuations and muted technical momentum.

📜 Core Financials Evaluation

EPS: ₹19.5, ROE: 15.2%, ROCE: 20.3% — respectable return metrics, though not industry-leading.

Debt-to-Equity: 0.06 — exceptionally low leverage, signaling financial prudence.

PAT Qtr ₹178 Cr. vs ₹113 Cr. — good earnings, but Profit Variation: -1.77% suggests moderation or one-time effects.

Dividend Yield: 0.26% — minimal shareholder income; classic growth stock behavior.

💹 Valuation Indicators

Metric Value Insights

P/E Ratio 73.5 🔺 Significantly above Industry PE: 26.4 — suggests aggressive pricing

P/B Ratio ~10.5 High relative to Book Value ₹135

PEG Ratio 26.3 🚨 Extremely stretched — indicates price running far ahead of earnings growth

Intrinsic Value Below CMP Based on cash flows and growth — overvalued in current state

🏗️ Business Model & Moat

Leading player in pipes, adhesives, and water management systems, with growing footprints in building products and infrastructure solutions.

Strong brand equity and distributor relationships.

R&D-led product innovation and semi-rural reach expand future potential.

Low debt and diversified segments cushion cyclical downturns.

FII Change: -0.02%, DII Change: +0.11% — near-neutral institutional sentiment.

📉 Technical & Sentiment Analysis

CMP ₹1,419 trades below DMA 50 ₹1,471 and DMA 200 ₹1,549 — bearish drift.

RSI: 34.6, MACD: -14.5 — oversold zone, signals potential bounce if momentum revives.

52W High ₹2,214, CMP at ~36% discount — underperforming relative to broader index.

Volume trend weak — below weekly averages, suggests tepid near-term interest.

🎯 Entry Zone & Investment Perspective

Suggested Entry: ₹1,300–₹1,350 — accumulative zone aligning with key support and RSI signals.

Long-Term View

Solid business fundamentals and proven execution history.

Near-term caution due to valuations and slowing earnings growth.

Ideal for SIP-style accumulation over dips — especially for thematic exposure to India’s construction and infrastructure story.

Would you like to see a side-by-side breakdown against peers like Prince Pipes, Finolex, or Supreme Industries? It could help pinpoint Astral’s edge on growth, pricing power, and capital efficiency 🏗️📈.

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