Nikhil Adhesives Receives Quality Grade Change Amid Strong Long-Term Growth Indicators

Nikhil Adhesives, a microcap player in the specialty chemicals sector, has recently undergone an evaluation revision reflecting its current financial standing. The company has demonstrated a sales growth rate of 9.60% over the past five years, alongside a notable EBIT growth of 21.94%. Its EBIT to interest ratio stands at 4.80, indicating a solid ability to cover interest expenses.
In terms of leverage, Nikhil Adhesives maintains a debt to EBITDA ratio of 1.37 and a net debt to equity ratio of 0.32, suggesting a manageable debt profile. The company's sales to capital employed ratio is recorded at 5.01, while its tax ratio is at 24.38%. The dividend payout ratio is relatively low at 6.95%, and there are no pledged shares, reflecting a stable ownership structure. Institutional holding is minimal at 0.24%.

When compared to its peers, Nikhil Adhesives aligns with several companies in the specialty chemicals industry, all of which are currently rated similarly. Notably, while Nikhil has experienced a decline in stock performance over various periods, it has shown significant growth over the long term, particularly in the five and ten-year spans, outperforming many competitors in the sector.