Coromandel International's Quality Grade Change Reflects Strong Financial Stability and Growth Potential

Coromandel International, a midcap player in the fertilizers industry, has recently undergone an evaluation revision reflecting its current financial standing. The company has demonstrated notable sales growth over the past five years, with a rate of 15.42%. Additionally, its EBIT growth during the same period stands at 7.17%, indicating a stable operational performance.
Financial metrics reveal a strong position, with an EBIT to interest ratio averaging 15.32, showcasing the company's ability to cover interest expenses comfortably. Coromandel's debt management is also commendable, as evidenced by a debt to EBITDA ratio of 0.57 and a net debt to equity ratio of just 0.03, suggesting minimal leverage.

The company maintains a solid return on capital employed (ROCE) of 29.16% and a return on equity (ROE) of 17.27%, reflecting efficient use of capital and shareholder equity. Furthermore, the dividend payout ratio is at 21.38%, indicating a balanced approach to returning value to shareholders.

In comparison to its peers, Coromandel International's performance metrics position it favorably, particularly in terms of sales growth and financial stability, highlighting its competitive edge in the fertilizers sector.