Is Tatva Chintan overvalued or undervalued?

As of August 18, 2021, Tatva Chintan is considered overvalued with a PE ratio of 379.10, significantly higher than its peers, and despite short-term gains, it has a poor long-term performance with a 3-year return of -59.09%.

As of 18 August 2021, the valuation grade for Tatva Chintan moved from does not qualify to very expensive, indicating a significant shift in its perceived market value. The company is currently assessed as overvalued, with a PE ratio of 379.10, an EV to EBITDA ratio of 64.04, and a Price to Book Value of 2.94. These ratios suggest that the stock is trading at a premium compared to its earnings and book value, raising concerns about its sustainability at such high valuations.<BR><BR>In comparison to its peers, Tatva Chintan's valuation appears excessive, particularly when contrasted with Solar Industries India Ltd., which has a PE ratio of 123.77, and Godrej Industries Ltd., which is valued at a much more reasonable PE of 46.63. The stark differences in these ratios highlight the relative overvaluation of Tatva Chintan within the specialty chemicals sector. Furthermore, while the company has outperformed the Sensex in the short term, with a 1-month return of 30.59% compared to the Sensex's 3.81%, its long-term performance has been lackluster, with a 3-year return of -59.09%. This discrepancy reinforces the conclusion that Tatva Chintan is currently overvalued.

Has Tatva Chintan declared dividend?

Tatva Chintan Pharma Chem Ltd has declared a 20% dividend, amounting to ₹2 per share, with an ex-date of September 6, 2024. Despite the dividend announcement, the company has experienced significant declines in price returns over various periods.

Tatva Chintan Pharma Chem Ltd has declared a 20% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 20%<BR>- Amount per share: 2<BR>- Ex-date: 06 Sep 24<BR><BR>Dividend Yield: 0.21%.<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was 4.34%, the dividend return was 0%, resulting in a total return of 4.34%.<BR><BR>Over the past year, the price return was -8.59%, with a dividend return of 0.20%, leading to a total return of -8.39%.<BR><BR>In the last 2 years, the price return was -43.71%, while the dividend return was 0.23%, resulting in a total return of -43.48%.<BR><BR>For the 3-year period, the price return was -60.51%, the dividend return was 0.28%, culminating in a total return of -60.23%.<BR><BR>Over the last 4 years, there was no price return and no dividend return, resulting in a total return of 0.0%.<BR><BR>In the 5-year period, there was also no price return and no dividend return, leading to a total return of 0.0%.<BR><BR>Overall, while Tatva Chintan has declared a dividend, the total returns over various periods indicate significant declines in price, suggesting challenges in the company's performance despite the dividend announcement.

Who are the peers of the Tatva Chintan?

Tatva Chintan's peers include DDev Plastiks, Fineotex Chem, Bhansali Engg., Jubilant Agri, Yasho Industries, Vidhi Specialty, Paushak, Excel Industries, Jyoti Resins, and Platinum Industr. In terms of management risk and growth, Tatva Chintan is rated average, with a 1-year return of -19.87%, better than DDev Plastiks but worse than Excel Industries, which has the highest return at 14.83%.

Peers: The peers of Tatva Chintan are DDev Plastiks, Fineotex Chem, Bhansali Engg., Jubilant Agri, Yasho Industries, Vidhi Specialty, Paushak, Excel Industries, Jyoti Resins, and Platinum Industr.<BR><BR>Quality Snapshot: Excellent management risk is observed at DDev Plastiks, Fineotex Chem, Bhansali Engg., Jubilant Agri, Yasho Industries, and Jyoti Resins, while Average management risk is found at Tatva Chintan, Vidhi Specialty, Paushak, Excel Industries, and Platinum Industr. Growth is rated as Excellent for Jubilant Agri and Jyoti Resins, Good for DDev Plastiks, while Average growth is seen in Fineotex Chem, and the rest. Below Average growth is noted for Tatva Chintan, Bhansali Engg., Yasho Industries, Vidhi Specialty, Paushak, and Excel Industries, with the rest having similar ratings.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Excel Industries at 14.83%, while the lowest is DDev Plastiks at -27.62%, with Tatva Chintan's 1-year return at -19.87% being better than DDev Plastiks but worse than Excel Industries. Additionally, the six-month return is negative for DDev Plastiks, Fineotex Chem, Bhansali Engg., Yasho Industries, Vidhi Specialty, and Platinum Industr.

Who are in the management team of Tatva Chintan?

As of March 2022, the management team of Tatva Chintan includes Chintan Nitinkumar Shah (Chairman/Executive Director), Ajaykumar Mansukhlal Patel (WTD & Executive Director), Shekhar Rasiklal Somani (WTD & Executive Director), and three Independent Non-Executive Directors: Subhash Patel, Avani Rajesh Umatt, and Manher Chinmanlal Desai.

As of March 2022, the management team of Tatva Chintan includes the following individuals:<BR><BR>1. Chintan Nitinkumar Shah - Chairman / Executive Director<BR>2. Ajaykumar Mansukhlal Patel - WTD & Executive Director<BR>3. Shekhar Rasiklal Somani - WTD & Executive Director<BR>4. Subhash Patel - Independent Non-Executive Director<BR>5. Avani Rajesh Umatt - Independent Non-Executive Director<BR>6. Manher Chinmanlal Desai - Independent Non-Executive Director<BR><BR>These members play various roles within the company's governance and management structure.

What does Tatva Chintan do?

Tatva Chintan Pharma Chem Ltd is a small-cap company in the specialty chemicals industry, incorporated in 1996 and publicly listed since January 2021, with recent net sales of ₹1,079 Cr and a net profit of ₹10 Cr as of March 2025. Key metrics include a P/E ratio of 388.00 and a market cap of ₹2,216 Cr.

Overview:<BR>Tatva Chintan Pharma Chem Ltd operates in the specialty chemicals industry and is categorized as a small-cap company.<BR><BR>History:<BR>The company was incorporated in 1996 as 'Tatva Chintan Pharma Chem Private Limited' and transitioned to a public limited company on 27 January 2021. The latest reported quarterly results indicate net sales and net profit for the period ending March 2025.<BR><BR>Financial Snapshot:<BR>- Net Sales: 1,079 Cr (Quarterly Results - Mar 2025)<BR>- Net Profit: 10 Cr (Quarterly Results - Mar 2025)<BR>- Market Cap: INR 2,216 Cr (Small Cap)<BR><BR>Key Metrics:<BR>- P/E: 388.00<BR>- Industry P/E: 47<BR>- Dividend Yield: 0.21%<BR>- Debt-Equity: 0.03<BR>- Return on Equity: 0.77%<BR>- Price to Book: 2.97<BR><BR>Contact Details:<BR>No Company Details Available. Registrar Address: Not available.

Who are the top shareholders of the Tatva Chintan?

The top shareholders of Tatva Chintan include Shekhar Rasiklal Somani with 23.07%, two mutual fund schemes with 5.34%, 15 foreign institutional investors holding 3.3%, and Nippon Life India Trustee Ltd at 3.31%, while individual investors account for 16.92%.

The top shareholders of Tatva Chintan include the promoters, with Shekhar Rasiklal Somani holding the highest stake at 23.07%. There are also two mutual fund schemes that collectively hold 5.34%, and 15 foreign institutional investors (FIIs) with a combined holding of 3.3%. Additionally, the highest public shareholder is Nippon Life India Trustee Ltd, which holds 3.31%. Individual investors account for 16.92% of the shareholding.

When is the next results date for Tatva Chintan?

Tatva Chintan will announce its results on 24 July 2025.

Tatva Chintan will declare its results on 24 July 2025.

How big is Tatva Chintan?

As of 24th July, Tatva Chintan Pharma Chem Ltd has a market capitalization of 2,297.00 Cr, with recent net sales of 382.71 Cr and a net profit of 5.72 Cr. Shareholder's funds are 737.08 Cr, and total assets amount to 806.42 Cr as of March 2024.

As of 24th July, Tatva Chintan Pharma Chem Ltd has a market capitalization of 2,297.00 Cr, which classifies it as a Small Cap company.<BR><BR>For the latest four quarters, the company reported Net Sales of 382.71 Cr and a Net Profit of 5.72 Cr.<BR><BR>The latest annual reporting period for the balance sheet is March 2024, with Shareholder's Funds amounting to 737.08 Cr and Total Assets of 806.42 Cr.

Is Tatva Chintan technically bullish or bearish?

As of 14 October 2025, Tatva Chintan's technical trend is bullish, supported by strong daily moving averages and positive Bollinger Bands and OBV, although caution is advised due to mildly bearish signals from the MACD and KST on the weekly chart.

As of 14 October 2025, the technical trend has changed from mildly bullish to bullish. The current stance is bullish, with strength indicated by daily moving averages and positive performance in the Bollinger Bands and OBV on both weekly and monthly time frames. However, the MACD and KST on the weekly show mildly bearish signals, which suggests some caution. Overall, the bullish indicators outweigh the bearish ones, supporting a positive outlook for Tatva Chintan in the specialty chemicals industry.

How has been the historical performance of Tatva Chintan?

Tatva Chintan's historical performance has shown significant volatility, with net sales and profits declining from 2022 to 2025, while total assets and liabilities increased. Key metrics include a drop in profit after tax from INR 95.87 crore in March 2022 to INR 5.71 crore in March 2025.

Answer:<BR>The historical performance of Tatva Chintan shows a fluctuating trend in key financial metrics over the years.<BR><BR>Breakdown:<BR>Tatva Chintan's net sales have seen a decline from INR 423.61 crore in March 2023 to INR 382.71 crore in March 2025, with a peak of INR 433.65 crore in March 2022. Total operating income followed a similar trend, decreasing to INR 382.71 crore in March 2025 from INR 423.61 crore in March 2023. The company's operating profit (PBDIT) also dropped significantly from INR 117.26 crore in March 2022 to INR 36.53 crore in March 2025. Profit before tax decreased from INR 104.12 crore in March 2022 to INR 7.58 crore in March 2025, while profit after tax fell from INR 95.87 crore in March 2022 to INR 5.71 crore in March 2025. The earnings per share (EPS) reflected this decline, dropping from INR 43.24 in March 2022 to INR 2.44 in March 2025. On the balance sheet, total assets increased from INR 649.59 crore in March 2022 to INR 823.62 crore in March 2025, while total liabilities also rose from INR 649.59 crore to INR 823.62 crore in the same period. Cash flow from operating activities decreased from INR 98 crore in March 2024 to INR 24 crore in March 2025, and the company experienced a net cash outflow of INR 23 crore in March 2025. Overall, Tatva Chintan's financial performance has shown significant volatility, particularly in profitability metrics, while total assets and liabilities have increased.

Are Tatva Chintan latest results good or bad?

Tatva Chintan's Q2 FY26 results are positive, with a 49.17% increase in net profit and improved operating margins. However, concerns about the sustainability of this growth and low return on equity suggest investors should remain cautious.

Tatva Chintan's latest results for Q2 FY26 can be considered good overall, showcasing significant improvements in key financial metrics. The company reported a net profit of ₹9.92 crore, which reflects a substantial 49.17% increase quarter-on-quarter. Revenue also saw strong growth, reaching ₹123.52 crore, marking a 47.95% increase year-on-year and a 5.70% rise from the previous quarter.<BR><BR>One of the standout achievements was the operating margin, which expanded to 17.99%, the highest level in seven quarters. This indicates improved operational efficiency and cost management. The profit after tax (PAT) margin also improved to 8.03%, up 234 basis points from the previous quarter.<BR><BR>However, while the quarterly performance is promising, there are concerns regarding the sustainability of this growth, especially given the company's challenging five-year track record characterized by declining operating profits and weak return ratios. The average return on equity (ROE) remains low at 8.67%, which is below industry standards.<BR><BR>In summary, while the recent results indicate a positive turnaround and operational improvement, investors should remain cautious and monitor whether this performance can be sustained in the coming quarters.

Should I buy, sell or hold Tatva Chintan?

Which are the latest news on Tatva Chintan?

Why is Tatva Chintan falling/rising?

As of 04-Dec, Tatva Chintan Pharma Chem Ltd's stock price is currently 1,417.00, reflecting a decline of 1.1% and underperforming the sector. Despite a strong annual return, concerns about long-term growth and high valuation metrics contribute to the stock's recent weakness.

As of 04-Dec, Tatva Chintan Pharma Chem Ltd's stock price is falling, currently at 1,417.00, which reflects a decrease of 15.7 or 1.1%. The stock has underperformed the sector by 0.89% today and has seen a significant decline of 4.83% over the past week, while the benchmark Sensex has only decreased by 0.53%. <BR><BR>Investor participation appears to be declining, as evidenced by a 12.9% drop in delivery volume compared to the 5-day average. Although the stock is trading above its 50-day, 100-day, and 200-day moving averages, it is below its 5-day and 20-day moving averages, indicating short-term weakness. <BR><BR>Despite a strong performance over the past year, with a return of 58.09% compared to the market's 5.32%, the company's long-term growth prospects are concerning. Operating profit has decreased at an annual rate of 30.99% over the last five years, and the stock is considered expensive with a Price to Book Value of 4.4, which is above its peers. Additionally, while the company reported a significant growth in net profit of 49.17% in its latest quarterly results, its profits have only risen by 0.7% over the past year, leading to a high PEG ratio of 186.9. These factors contribute to the stock's current decline.