Pidilite Industries Limited Fundamental Analysis
Pidilite Industries Limited Fundamental Analysis
Pidilite Industries Limited (PIDILITIND.NS) shows moderate financial fundamentals with a PE ratio of 65.31, profit margin of 16.77%, and ROE of 24.43%. The company generates $146.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 96.5/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze PIDILITIND.NS's fundamental strength across five key dimensions:
Efficiency Score
ExcellentPIDILITIND.NS demonstrates superior asset utilization.
Valuation Score
WeakPIDILITIND.NS trades at a premium to fair value.
Growth Score
ModeratePIDILITIND.NS shows steady but slowing expansion.
Financial Health Score
ExcellentPIDILITIND.NS maintains a strong and stable balance sheet.
Profitability Score
ExcellentPIDILITIND.NS achieves industry-leading margins.
Key Financial Metrics
Is PIDILITIND.NS Expensive or Cheap?
P/E Ratio
PIDILITIND.NS trades at 65.31 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, PIDILITIND.NS's PEG of 3.66 indicates potential overvaluation.
Price to Book
The market values Pidilite Industries Limited at 14.76 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 43.73 times EBITDA. This signals the market has high growth expectations.
How Well Does PIDILITIND.NS Make Money?
Net Profit Margin
For every $100 in sales, Pidilite Industries Limited keeps $16.77 as profit after all expenses.
Operating Margin
Core operations generate 26.50 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $24.43 in profit for every $100 of shareholder equity.
ROA
Pidilite Industries Limited generates $15.87 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Pidilite Industries Limited generates limited operating cash flow of $14.34B, signaling weaker underlying cash strength.
Free Cash Flow
Pidilite Industries Limited produces free cash flow of $11.45B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $11.25 in free cash annually.
FCF Yield
PIDILITIND.NS converts 0.72% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
65.31
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.66
vs 25 benchmark
P/B Ratio
Price to book value ratio
14.76
vs 25 benchmark
P/S Ratio
Price to sales ratio
10.95
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.04
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.38
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.24
vs 25 benchmark
ROA
Return on assets percentage
0.16
vs 25 benchmark
ROCE
Return on capital employed
0.33
vs 25 benchmark
How PIDILITIND.NS Stacks Against Its Sector Peers
| Metric | PIDILITIND.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 65.31 | 32.56 | Worse (Expensive) |
| ROE | 24.43% | 1178.00% | Weak |
| Net Margin | 16.77% | -145.00% (disorted) | Strong |
| Debt/Equity | 0.04 | 0.61 | Strong (Low Leverage) |
| Current Ratio | 2.38 | 3.48 | Strong Liquidity |
| ROA | 15.87% | 624.00% | Weak |
PIDILITIND.NS outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Pidilite Industries Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value