Rain Industries

Why is Rain Industries Ltd falling/rising?

As of 08-Aug, Rain Industries Ltd's stock price is at 221.90, down 8.27%. The decline is due to underperformance, high volatility, negative market sentiment, and concerns over its debt levels despite previous strong financial results.

As of 08-Aug, Rain Industries Ltd's stock price is falling, currently at 221.90, which reflects a change of -20.0 (-8.27%). This decline is attributed to several factors. The stock has been underperforming, having lost -8.72% over the last two days, and it has also underperformed its sector by -4.57% today. Additionally, the stock has experienced high volatility, with an intraday volatility of 6.51%, indicating significant price fluctuations.<BR><BR>Despite hitting a new 52-week high of Rs. 251.95 earlier in the day, the stock faced a sharp decline, touching an intraday low of Rs. 211.5, which represents a drop of -12.57%. The trading volume suggests that more transactions occurred closer to this lower price, indicating a lack of confidence among investors.<BR><BR>Moreover, the overall market sentiment appears to be negative, as the Carbon Black sector, in which Rain Industries operates, has fallen by -3.91%. While the company has reported strong financial results in the past, including a 116.01% growth in net profit and positive results for the last five consecutive quarters, the high Debt to EBITDA ratio of 4.60 times raises concerns about its ability to service debt. This, combined with poor long-term growth metrics, such as a 9.26% annual growth rate in net sales over the last five years, contributes to the stock's current downward trend.

Which are the latest news on Rain Industries?

Should I buy, sell or hold Rain Industries Ltd?

What does Rain Industries do?

Rain Industries Ltd manufactures and sells Carbon Products, Chemicals, and Cement, operating in the Petrochemicals industry. As of March 2026, it reported net sales of ₹4,521 Cr and a net profit of ₹121 Cr, with a market cap of ₹6,877 Cr.

Overview:<BR>Rain Industries Ltd is engaged in the manufacture and sale of Carbon Products, Chemicals, and Cement, operating within the Petrochemicals industry and classified as a Small Cap company.<BR><BR>History:<BR>The company was incorporated in 1974 under the name 'Tadpatri Cements Limited' and underwent several name changes, becoming 'Rain Industries Limited' in 2013. The latest quarterly results reported net sales and profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>- Net Sales: 4,521 Cr (Quarterly Results - Mar 2026)<BR>- Net Profit: 121 Cr (Quarterly Results - Mar 2026)<BR>- Market Cap: INR 6,877 Cr (Small Cap)<BR><BR>Key Metrics:<BR>- P/E: 22.00<BR>- Industry P/E: 36<BR>- Dividend Yield: 0.49%<BR>- Debt Equity: 1.11<BR>- Return on Equity: 0.57%<BR>- Price to Book: 0.92<BR><BR>Contact Details:<BR>Address: Rain Center, 34 Srinagar Colony Hyderabad Telangana : 500073<BR>Tel: 91-40-40401234<BR>Email: secretarial@rain-industries.com<BR>Website: http://www.rain-industries.com

How big is Rain Industries?

As of 10th June, Rain Industries Ltd has a market capitalization of 6,877.00 Cr, with recent net sales totaling 17,698.53 Cr and a net profit of 301.66 Cr over the last four quarters.

As of 10th June, <BR><BR>Market Cap: Rain Industries Ltd has a market capitalization of 6,877.00 Cr, classifying it as a Small Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 17,698.53 Cr, while the sum of Net Profit for the same period is 301.66 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period for the balance sheet is December 2025. Shareholder's Funds are valued at 7,449.12 Cr, and Total Assets amount to 20,759.26 Cr.

Who are in the management team of Rain Industries?

The management team of Rain Industries includes N Radhakrishna Reddy (Managing Director), N Jagan Mohan Reddy (Vice Chairman), and N Sujith Kumar Reddy (Director), along with S Venkat Ramana Reddy (Company Secretary). The board also features independent directors, including Brian Jude McNamara (Chairman).

The management team of Rain Industries includes the following key individuals:<BR><BR>1. N Radhakrishna Reddy - Managing Director<BR>2. N Jagan Mohan Reddy - Vice Chairman<BR>3. N Sujith Kumar Reddy - Director<BR>4. S Venkat Ramana Reddy - Company Secretary & Compliance Officer<BR><BR>Additionally, the board features several independent directors:<BR><BR>1. Radhika Haribhakti<BR>2. Varun Batra<BR>3. Brian Jude McNamara - Chairman & Independent Director<BR>4. Nirmala Reddy<BR>5. Robert Thomas Tonti<BR>6. Shanti Sree Bolleni<BR><BR>This team plays a crucial role in guiding the company's strategic direction and governance.

Who are the peers of the Rain Industries?

Peers of Rain Industries include Supreme Petrochem, DCW, Manali Petrochem, and others. Rain Industries has the highest 1-year return at 26.94%, while DCW has the lowest at -45.29%.

Peers: The peers of Rain Industries are Supreme Petroch., DCW, Manali Petrochem, T N Petro Prod., Agarwal Indl., Pasupati Acrylon, Indian Acrylics, Kothari Petroche, and Petro Carbon.<BR><BR>Quality Snapshot: Excellent management risk is observed at Supreme Petroch., while Average management risk is found at Rain Industries, Manali Petrochem, T N Petro Prod., Agarwal Indl., Pasupati Acrylon, and Kothari Petroche, and the rest. Below Average management risk is noted for DCW and Indian Acrylics. All peers exhibit Below Average growth except for Kothari Petroche, which has Average growth, while the rest show Below Average growth. Capital Structure ratings are Excellent for Supreme Petroch., Manali Petrochem, T N Petro Prod., and Pasupati Acrylon, Good for Agarwal Indl., Average for DCW, and Below Average for Rain Industries and Indian Acrylics, with the rest having Excellent or Average ratings.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Rain Industries at 26.94%, while DCW has the lowest at -45.29%. Rain Industries' return is significantly higher than that of DCW. Additionally, the six-month returns for DCW, Agarwal Indl., and Indian Acrylics are negative.

Are Rain Industries Ltd latest results good or bad?

Rain Industries Ltd's latest Q4 FY26 results show a strong turnaround with a net profit of ₹121.44 crores and significant revenue growth, indicating improved performance. However, concerns about capital efficiency and high debt levels suggest caution regarding the sustainability of this recovery.

Rain Industries Ltd's latest results for Q4 FY26 indicate a significant turnaround, showcasing strong performance metrics. The company reported a consolidated net profit of ₹121.44 crores, marking an impressive 798.89% increase quarter-on-quarter and a return to profitability compared to a loss in the same quarter last year. <BR><BR>Revenue also saw robust growth, reaching ₹4,520.73 crores, which is a 5.12% increase from the previous quarter and a substantial 19.98% increase year-on-year. This growth is attributed to improving demand conditions in the petrochemicals sector, where Rain Industries managed to outperform the broader market.<BR><BR>Operating margins improved to 15.41%, the highest in eight quarters, reflecting better operational efficiency. However, despite these positive developments, the company's return on equity remains weak at 0.57%, indicating concerns over capital efficiency.<BR><BR>The market has reacted positively to these results, with the stock price increasing significantly in the short term. However, there are underlying concerns regarding the sustainability of this recovery, especially given the company's high debt levels and the recent trend of institutional selling.<BR><BR>In summary, while the latest results are a strong indication of recovery and improved performance, caution is warranted due to the ongoing challenges related to capital efficiency and market confidence.

Is Rain Industries overvalued or undervalued?

As of November 18, 2025, Rain Industries is considered very attractive and undervalued, with a PE ratio of -29.32, a low Price to Book Value of 0.55, and a favorable EV to EBITDA ratio of 6.06, especially when compared to peers like PCBL Chemical and Goa Carbon, despite its year-to-date stock performance lagging behind the Sensex.

As of 18 November 2025, the valuation grade for Rain Industries has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently considered undervalued, especially when analyzing its key financial ratios. The PE ratio stands at -29.32, which reflects a loss-making position, while the Price to Book Value is notably low at 0.55, suggesting that the market values the company significantly less than its book value. Additionally, the EV to EBITDA ratio is 6.06, which is relatively favorable compared to its peers.<BR><BR>In comparison to its peers, Rain Industries shows a stark contrast with PCBL Chemical, which has a PE ratio of 38.58 and an EV to EBITDA of 15.35, indicating it is valued much higher despite a similar industry context. Goa Carbon, on the other hand, is classified as risky and also shows a negative PE ratio of -18.87. This peer comparison highlights that Rain Industries may be undervalued relative to its industry peers, particularly given its very attractive valuation grade. The recent stock performance has lagged behind the Sensex, with a year-to-date return of -31.72% compared to the Sensex's 8.36%, further reinforcing the undervaluation narrative.

How has been the historical performance of Rain Industries?

Rain Industries has experienced significant declines in revenue and profitability, with net sales dropping from 21,011 Cr in December 2022 to 15,374 Cr by December 2024, and profit before tax turning from a profit of 2,326 Cr to a loss of 228 Cr in the same period. Overall, the company faces a challenging financial situation marked by reduced sales, operating profit, and cash flow.

Answer:<BR>The historical performance of Rain Industries shows significant fluctuations in revenue and profitability over the years, with a notable decline in recent periods.<BR><BR>Breakdown:<BR>Rain Industries' net sales peaked at 21,011.00 Cr in December 2022 but have since decreased to 15,374.39 Cr by December 2024. The total operating income followed a similar trend, declining from 21,011.00 Cr in December 2022 to 15,374.39 Cr in December 2024. The company's operating profit (PBDIT) also saw a dramatic drop from 3,641.03 Cr in December 2022 to 1,519.61 Cr in December 2024, reflecting a decrease in operating profit margin from 16.83% to 8.29%. Profit before tax turned negative, moving from a profit of 2,326.99 Cr in December 2022 to a loss of 228.07 Cr in December 2024, while profit after tax also fell from 1,576.62 Cr to a loss of 452.33 Cr in the same period. The total assets decreased from 21,945.08 Cr in December 2022 to 18,934.90 Cr in December 2024, and total liabilities also saw a decline from 19,986.54 Cr to 18,934.90 Cr. Cash flow from operating activities decreased from 3,063.00 Cr in December 2023 to 1,943.00 Cr in December 2024, indicating a tightening cash position. Overall, the financial metrics indicate a challenging period for Rain Industries, characterized by declining sales, profitability, and cash flow.

Is Rain Industries technically bullish or bearish?

As of November 7, 2025, the technical trend has shifted to bearish, indicated by negative MACD readings, bearish Bollinger Bands, and a bearish daily moving average, despite some mixed signals from Dow Theory.

As of 7 November 2025, the technical trend has changed from mildly bearish to bearish. The current technical stance is bearish with a strong indication of weakness. Key indicators driving this stance include bearish readings on the MACD across both weekly and monthly time frames, bearish signals from Bollinger Bands, and a bearish daily moving average. The KST is also bearish on both weekly and monthly charts. Although Dow Theory shows mildly bullish on the weekly and mildly bearish on the monthly, the overall sentiment remains bearish due to the prevailing indicators.

Has Rain Industries declared dividend?

Rain Industries Ltd has declared a 50% dividend, with an ex-date of August 13, 2025, and a dividend yield of 0.61%. Total returns have varied, showing a notable 65.31% return over the last 5 years, despite some negative returns in shorter periods.

Rain Industries Ltd has declared a 50% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 50%<BR>- Ex-date: 13 Aug 25<BR><BR>Dividend Yield: 0.61%.<BR><BR>Total Returns by Period:<BR>In the last 3 months, the price return was 14.33%, the dividend return was 0.69%, resulting in a total return of 15.02%.<BR><BR>Over the last 6 months, the price return was 9.49%, the dividend return was 0.71%, leading to a total return of 10.2%.<BR><BR>In the past year, the price return was 1.17%, the dividend return was 1.29%, which combined for a total return of 2.46%.<BR><BR>For the 2-year period, the price return was 2.69%, the dividend return was 1.27%, culminating in a total return of 3.96%.<BR><BR>Over the last 3 years, the price return was -16.92%, the dividend return was 1.50%, resulting in a total return of -15.42%.<BR><BR>In the last 4 years, the price return was -35.5%, the dividend return was 2.29%, leading to a total return of -33.21%.<BR><BR>For the 5-year period, the price return was 60.19%, the dividend return was 5.12%, which resulted in a total return of 65.31%.<BR><BR>Overall, Rain Industries has declared a significant dividend and has shown varying total returns across different periods, with a notable positive return over the last 5 years, despite some negative returns in shorter periods.

Who are the top shareholders of the Rain Industries?

The top shareholders of Rain Industries include Sujala Investments Private Limited (11.27%), 111 Foreign Institutional Investors (10.82%), mutual funds (4.57%), and ICICI Prudential (4.37%), with individual investors holding 29.87% of the shares.

The top shareholders of Rain Industries include a mix of institutional and individual investors. The largest promoter is Sujala Investments Private Limited, holding 11.27%. In terms of institutional investors, 111 Foreign Institutional Investors (FIIs) collectively hold 10.82%, while mutual funds are represented by 9 schemes, accounting for 4.57%. The highest public shareholder is ICICI Prudential, which holds 4.37%. Additionally, individual investors have a significant presence, holding 29.87% of the shares.

When is the next results date for Rain Industries?

No Upcoming Board Meetings