AksharChem (I)

Why is AksharChem (India) Ltd falling/rising?

As of 20-Jul, AksharChem (India) Ltd's stock price is slightly up at 235.03, but it has declined significantly by -24.29% over the past year, underperforming the market and its sector. Despite a recent increase in investor interest, the stock's long-term performance and fundamentals remain weak.

As of 20-Jul, AksharChem (India) Ltd's stock price is experiencing a slight rise, currently at 235.03, with a change of 0.03 (0.01%) upward. However, despite this minor increase, the stock has shown a significant decline over the past year, with a return of -24.29%, which is substantially worse than the broader market's negative return of -2.92% during the same period. <BR><BR>The stock has underperformed its sector today by -2.01%, indicating that while there is a slight uptick in price, it is not enough to offset the overall negative trend. The stock has also been characterized by erratic trading, having not traded on 4 out of the last 20 days, which may contribute to its volatility. <BR><BR>Investor participation has seen a notable increase, with delivery volume rising by 2755.07% against the 5-day average, suggesting some renewed interest. However, the stock's performance over longer periods remains concerning, with a -51.13% compound annual growth rate (CAGR) in operating profits over the last five years and a weak ability to service debt, as indicated by a poor EBIT to Interest ratio of 1.69.<BR><BR>Overall, while there is a minor rise in the stock price today, the broader context of significant long-term declines, weak fundamentals, and underperformance relative to both the market and sector suggests that the stock is still in a precarious position.

Which are the latest news on AksharChem (I)?

Should I buy, sell or hold AksharChem (India) Ltd?

How big is AksharChem (I)?

As of 10th June, AksharChem (India) Ltd has a market capitalization of 171.00 Cr and reported net sales of 205.15 Cr and net profit of 21.78 Cr over the latest four quarters.

As of 10th June, <BR><BR>Market Cap: AksharChem (India) Ltd has a market capitalization of 171.00 Cr, classified as a Micro Cap.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 205.15 Cr, while the sum of Net Profit for the same period is 21.78 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period is March 2016, with Shareholder's Funds amounting to 85.01 Cr and Total Assets valued at 155.11 Cr.

Who are in the management team of AksharChem (I)?

The management team of AksharChem (I) includes Paru M Jaykrishna (Chairperson & Managing Director), Munjal M Jaykrishna (Joint Managing Director & CEO), and several independent and non-executive directors, overseeing the company's operations and strategy.

The management team of AksharChem (I) includes the following members:<BR><BR>1. **Paru M Jaykrishna** - Chairperson & Managing Director<BR>2. **Munjal M Jaykrishna** - Joint Managing Director & CEO<BR>3. **Ashok Dolatsinh Barot** - Executive Director<BR>4. **Pradeep Jha** - Independent Director<BR>5. **Gokul M Jaykrishna** - Non-Executive Director<BR>6. **Gautam M Jain** - Independent Director<BR>7. **Jigar Mukesh Patel** - Independent Director<BR>8. **Maitri Kirankumar Mehta** - Independent Director<BR>9. **Meet J Joshi** - Company Secretary & Compliance Officer<BR><BR>This team is responsible for overseeing the company's operations and strategic direction.

Who are the peers of the AksharChem (I)?

AksharChem (I) peers include Bodal Chemicals, Sudarshan Colora, and Mehul Colours, among others. It has average management risk and growth, with a 1-year return of -21.86%, better than Sudarshan Colora but worse than Hindprakash Indu.

Peers: The peers of AksharChem (I) are Bodal Chemicals, Sudarshan Colora, Asahi Songwon, Poddar Pigments, Hindprakash Indu, Mehul Colours, Ducol Organics, Siddhika Coatins, and Renol Polychem.<BR><BR>Quality Snapshot: Excellent management risk is observed at Mehul Colours, Siddhika Coatins, and Renol Polychem, while Average management risk is found at Sudarshan Colora, Asahi Songwon, Poddar Pigments, and AksharChem (I), and the rest. Below Average management risk is present at Bodal Chemicals, Hindprakash Indu, and Ducol Organics, and the rest. Growth is Excellent at Mehul Colours, Siddhika Coatins, and Ducol Organics, while Average growth is found at AksharChem (I) and the rest. Below Average growth is observed at Bodal Chemicals, Sudarshan Colora, Asahi Songwon, Poddar Pigments, Hindprakash Indu, and the rest. Capital Structure is Excellent at Sudarshan Colora and Poddar Pigments, Good at Ducol Organics and Renol Polychem, while Below Average is seen at AksharChem (I), Bodal Chemicals, Hindprakash Indu, and the rest.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Hindprakash Indu at -1.15%, while the peer with the lowest is Sudarshan Colora at -38.64%. AksharChem (I) has a 1-year return of -21.86%, which is worse than Hindprakash Indu but better than Sudarshan Colora. Additionally, the six-month returns for Bodal Chemicals, Sudarshan Colora, Mehul Colours, and AksharChem (I) are negative.

What does AksharChem (I) do?

AksharChem (India) Ltd, established in 1989, operates in the Dyes and Pigments industry as a Micro Cap company, reporting net sales of 106 Cr and a profit of 5 Cr for the quarter ending March 2026. The company has a market cap of INR 171 Cr and key metrics include a dividend yield of 0.33% and a debt-equity ratio of 0.25.

Overview:<BR>AksharChem (India) Ltd operates in the Dyes and Pigments industry and is categorized as a Micro Cap company.<BR><BR>History:<BR>The company was incorporated in 1989 and was originally known as Audichem (India) Limited. It changed its name to AksharChem (India) Limited on March 23, 2004. The latest quarterly results reported net sales and profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>- Most recent Net Sales: 106 Cr (Quarterly Results - Mar 2026)<BR>- Most recent Net Profit: 5 Cr (Quarterly Results - Mar 2026)<BR>- Market-cap value: INR 171 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>- P/E: N/A<BR>- Industry P/E: 20<BR>- Dividend Yield: 0.33%<BR>- Debt-Equity: 0.25<BR>- Return on Equity: -0.81%<BR>- Price to Book: 0.65<BR><BR>Contact Details:<BR>Address: Akshar House Chhatral-Kadi Rd, Indrad Mehsana Gujarat : 382715<BR>Email: cs@aksharchemindia.com<BR>Website: http://www.aksharchemindia.com

When is the next results date for AksharChem (India) Ltd?

The next results date for AksharChem (India) Ltd is 21 May 2026.

The next results date for AksharChem (India) Ltd is scheduled for 21 May 2026.

Are AksharChem (India) Ltd latest results good or bad?

AksharChem (India) Ltd's latest results are concerning, showing a net loss of ₹4.62 crores in Q3 FY26, an 8,500% drop in profit, and the lowest net sales in recent quarters. The company's financial metrics indicate significant distress, making it a risky investment.

The latest results for AksharChem (India) Ltd are concerning and indicate a significant deterioration in financial performance. In Q3 FY26, the company reported a net loss of ₹4.62 crores, marking a severe decline compared to previous quarters. This represents an astonishing 8,500% drop in net profit quarter-on-quarter, highlighting a loss-making quarter.<BR><BR>Net sales for the same period were ₹80.38 crores, which is the lowest in recent quarters, suggesting weak demand or operational challenges. Additionally, interest costs surged to ₹1.85 crores, the highest on record, which has severely impacted the company's profitability. The operating profit to interest coverage ratio has collapsed to just 1.59 times, raising serious concerns about the company's ability to service its debt.<BR><BR>Overall, the financial metrics point to a company in distress, with multiple red flags indicating operational and financial challenges. The stock has also underperformed significantly, declining 10.32% over the past year, while the broader market has seen gains. Given these factors, the latest results can be classified as bad, with a strong recommendation for caution regarding any investment in the company.

How has been the historical performance of AksharChem (I)?

AksharChem (I) experienced a decline in net sales and cash flow from March 2015 to March 2016, but improved profitability metrics, with operating profit and profit after tax increasing. Total assets and liabilities grew, indicating stable asset management despite challenges in sales.

Answer:<BR>The historical performance of AksharChem (I) shows a mixed trend in its financial metrics from March 2015 to March 2016.<BR><BR>Breakdown:<BR>In the fiscal year ending March 2016, AksharChem reported net sales of 187.71 Cr, a decline from 199.82 Cr in the previous year. Total operating income also decreased to 187.83 Cr from 200.13 Cr. However, the company managed to reduce its total expenditure, which fell to 155.48 Cr from 172.61 Cr, leading to an increase in operating profit (PBDIT) to 33.52 Cr from 29.51 Cr. Profit before tax rose to 25.93 Cr compared to 23.51 Cr, and profit after tax slightly increased to 16.64 Cr from 16.00 Cr. The earnings per share improved to 22.75 from 21.88, reflecting a positive trend in profitability metrics. On the balance sheet, total assets grew to 155.11 Cr from 146.48 Cr, while total liabilities also increased to 155.11 Cr from 146.48 Cr. The company’s cash flow from operating activities decreased significantly to 13.30 Cr from 28.20 Cr, indicating a reduction in cash generation efficiency. Overall, while AksharChem faced challenges in sales and cash flow, it showed improvements in profitability and asset management.

Who are the top shareholders of the AksharChem (I)?

The top shareholder of AksharChem (I) is the Mrugesh Jaykrishna Family Trust, holding 38.87%. Individual investors own 28.69% of shares, with Tarak V Vora as the largest individual shareholder at 2.31%, while mutual funds and foreign institutional investors have minimal or no presence.

The top shareholders of AksharChem (I) include the Mrugesh Jaykrishna Family Trust, which holds the largest stake at 38.87%. The company is primarily controlled by its promoters, with no pledged promoter holdings reported. In terms of public shareholders, Tarak V Vora is the highest individual shareholder, owning 2.31%. Additionally, individual investors collectively hold 28.69% of the shares, while mutual funds have a minimal presence with 0.06% held by one scheme, and there are currently no foreign institutional investors (FIIs) involved.

Is AksharChem (I) overvalued or undervalued?

As of July 1, 2025, AksharChem (I) is considered overvalued with a PE ratio of 47.15 and a 1-year return of -13.08%, indicating a less attractive valuation compared to peers like Ultramarine Pigments.

As of 1 July 2025, AksharChem (I) has moved from a very attractive to an attractive valuation grade. The company appears to be overvalued based on its current metrics. Key ratios include a PE ratio of 47.15, an EV to EBITDA of 11.67, and a PEG ratio of 0.38, which indicates a high price relative to its earnings growth potential.<BR><BR>In comparison with peers, Sudarshan Chemicals is deemed expensive with a PE ratio of 78.87, while Ultramarine Pigments is very attractive with a PE of 19.62. This suggests that AksharChem's valuation is relatively high compared to some peers, despite being lower than Sudarshan. Additionally, the company's recent stock performance has lagged behind the Sensex, with a 1-year return of -13.08% compared to the Sensex's 5.31%, reinforcing the notion that it may be overvalued in the current market context.

What is the technical trend for AksharChem (I)?

As of May 9, 2025, AksharChem (I) shows a mildly bearish trend influenced by daily moving averages, while weekly indicators present mixed signals with some mildly bullish trends, resulting in an overall tempered bearish outlook.

As of 9 May 2025, the technical trend for AksharChem (I) has changed from bearish to mildly bearish. The current stance is mildly bearish, driven primarily by the daily moving averages indicating a bearish trend. While the weekly MACD, Bollinger Bands, KST, and OBV show mildly bullish signals, the monthly indicators remain bearish, creating a mixed outlook. The RSI shows no signals in both weekly and monthly time frames, indicating a lack of momentum. Overall, the strength of the bearish trend is tempered by some mildly bullish indicators on the weekly charts.

Has AksharChem (I) declared dividend?

Yes, AksharChem (India) Ltd has declared a 5% dividend, amounting to ₹0.5 per share, with an ex-date of September 23, 2024. While the company has announced a dividend, total returns have varied, showing declines in some periods and positive returns over the last 5 years.

AksharChem (India) Ltd has declared a 5% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 5%<BR>- Amount per share: 0.5<BR>- Ex-date: 23 Sep 24<BR><BR>Dividend Yield: 0.2%.<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -18.75% with no dividend return, resulting in a total return of -18.75%.<BR><BR>Over the past year, the price return was -2.73% with a dividend return of 0.19%, leading to a total return of -2.54%.<BR><BR>In the 2-year period, the price return was 9.36% and the dividend return was 0.41%, culminating in a total return of 9.77%.<BR><BR>For the 3-year period, the price return was -12.26% with a dividend return of 0.61%, resulting in a total return of -11.65%.<BR><BR>In the 4-year period, the price return was -15.41% and the dividend return was 1.46%, leading to a total return of -13.95%.<BR><BR>Finally, over the last 5 years, the price return was 12.35% with a dividend return of 2.16%, resulting in a total return of 14.51%.<BR><BR>Overall, while AksharChem has declared a dividend, the total returns over various periods show a mixed performance, with significant declines in some periods and positive returns in others, particularly over the longer 5-year horizon.