DEEPAKFERT - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 05 Nov 25, 7:43 am

Fundamental Rating: 3.9

📈 Positive

• 💰 Low debt-to-equity ratio of 0.12 ensures financial stability and prudent capital structure.
• 📊 ROCE of 14.9% and ROE of 12.3% reflect decent capital efficiency for a manufacturing business.
• 📈 EPS of ₹33.9 supports solid earnings visibility and valuation strength.
• 📈 DII holding increased by 0.34%, indicating growing domestic institutional confidence.
• 📉 Trading near DMA50 and DMA200 (₹1,481 and ₹1,375), suggesting a technically stable zone.

⚠️ Limitation

• 📉 High P/E of 43.7 vs industry average of 22.5 suggests premium valuation.
• 📉 PEG ratio of 1.54 indicates valuation is stretched relative to growth.
• 📉 Quarterly PAT dropped from ₹175 Cr. to ₹86.8 Cr., showing margin pressure.
• 📉 MACD at -2.34 and RSI at 51.7 reflect neutral technical momentum.
• 📉 Volume below 1-week average may indicate reduced short-term investor interest.

📰 Company Negative News

• 📉 FII holding declined by 0.31%, showing slight foreign investor caution.
• 📉 Stock down 66.9% from 52-week high, reflecting prior volatility or sectoral pressure.

🌟 Company Positive News

• 📈 Quarterly profit variation of 21.7% indicates signs of recovery despite recent decline.
• 📈 Dividend yield of 0.65% offers modest passive income for long-term holders.

🧪 Industry

• 🧪 DEEPAKFERT operates in the chemicals and fertilizers sector, benefiting from agricultural demand and industrial applications.
• 📊 Industry P/E of 22.5 reflects moderate growth expectations and cyclical exposure to commodity pricing.

🧭 Conclusion

• 📌 Suggested entry zone: ₹1,420–₹1,470, near DMA levels and below recent highs for better margin of safety.
• 🕰️ Long-term holding viable for investors seeking exposure to agri-chemicals and industrial growth, but monitor earnings consistency.
• ⚖️ Watch for technical breakout and institutional flows before aggressive accumulation.