⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
CLEAN - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.8
| Stock Code | CLEAN | Market Cap | 7,628 Cr. | Current Price | 718 ₹ | High / Low | 1,600 ₹ |
| Stock P/E | 28.1 | Book Value | 146 ₹ | Dividend Yield | 0.84 % | ROCE | 29.3 % |
| ROE | 21.9 % | Face Value | 1.00 ₹ | DMA 50 | 784 ₹ | DMA 200 | 993 ₹ |
| Chg in FII Hold | -1.13 % | Chg in DII Hold | 0.79 % | PAT Qtr | 51.9 Cr. | PAT Prev Qtr | 64.6 Cr. |
| RSI | 41.0 | MACD | -21.7 | Volume | 3,30,020 | Avg Vol 1Wk | 2,58,202 |
| Low price | 674 ₹ | High price | 1,600 ₹ | PEG Ratio | 3.29 | Debt to equity | 0.00 |
| 52w Index | 4.80 % | Qtr Profit Var | -30.0 % | EPS | 25.6 ₹ | Industry PE | 25.7 |
📊 Financial Overview
- Revenue & Profitability: Quarterly PAT declined from 64.6 Cr. to 51.9 Cr., showing short-term weakness. EPS at 25.6 ₹ is decent but under pressure.
- Margins & Returns: ROE at 21.9% and ROCE at 29.3% are strong, reflecting efficient capital use and profitability.
- Debt Profile: Debt-to-equity ratio of 0.00 highlights a debt-free balance sheet, ensuring financial stability.
- Cash Flow: Dividend yield of 0.84% provides moderate shareholder returns.
💹 Valuation Indicators
- P/E Ratio: 28.1 vs Industry PE of 25.7 → slightly overvalued relative to peers.
- P/B Ratio: Current Price 718 ₹ vs Book Value 146 ₹ → P/B ~4.9, expensive compared to industry norms.
- PEG Ratio: 3.29 → suggests overvaluation relative to growth prospects.
- Intrinsic Value: Trading above intrinsic value, limiting near-term upside.
🏢 Business Model & Competitive Advantage
- Clean Science & Technology operates in specialty chemicals, focusing on green chemistry and sustainable processes.
- Competitive advantage lies in innovation, niche product portfolio, and debt-free structure.
- Strong ROE/ROCE metrics highlight operational efficiency despite profit decline.
📈 Technical & Entry Zone
- Stock trading at 718 ₹, below 50 DMA (784 ₹) and 200 DMA (993 ₹), showing bearish momentum.
- RSI at 41.0 indicates neutral-to-oversold momentum; MACD negative suggests short-term weakness.
- Entry Zone: Attractive between 690–710 ₹ for cautious accumulation, with long-term holding potential.
✅ Positive
- Strong ROE (21.9%) and ROCE (29.3%).
- Debt-free balance sheet ensures financial stability.
- Increase in DII holdings (+0.79%) signals domestic institutional confidence.
⚠️ Limitation
- Quarterly PAT decline (-30%) shows short-term weakness.
- High P/E (28.1) and P/B (~4.9) indicate premium valuation.
- PEG ratio (3.29) suggests overvaluation relative to growth.
📉 Company Negative News
- No major recent negative news, but profit decline and reduced FII holdings (-1.13%) raise caution.
📈 Company Positive News
- Strong institutional confidence with DII holdings increasing (+0.79%).
- Debt-free status and high efficiency metrics reinforce long-term strength.
🏭 Industry
- Specialty chemicals sector benefits from rising demand in pharmaceuticals, agrochemicals, and sustainable solutions.
- Industry PE at 25.7 indicates moderate valuations compared to CLEAN’s premium.
- Competition from global and domestic specialty chemical players remains a challenge.
🔮 Conclusion
- CLEAN shows strong fundamentals with debt-free status and excellent ROE/ROCE.
- Valuation appears stretched, limiting near-term upside despite long-term sectoral demand drivers.
- Recommendation: Accumulate cautiously in the 690–710 ₹ range for long-term holding, focusing on specialty chemical demand and sustainable growth.