DINESH

Clean Science & Technology

Latest CMP 822
Today's Change ▼ -1.78%
52-Week High / Low 1,193 | 656
Price Date: 14-Aug-2026
Recommendation Hold
Target Price 948
Expected Upside 7.4%
Forecast Horizon 2 Years
Historical CAGR -14.5%
1,000 Invested 19-Jul-2021
Today's Value 451
Investment Period 5 Years

Stock Snapshot

Post Results Return
+4.7%
Mild Positive Re-rating
1-Year Target Price
835
2-Year Target Price
948
52-Week High / Low
1,193 / 656
20-Day Return
+12.6%
Market Cap (Cr.)
8,733
Current PE
36.8
P/BV Ratio
5.7
Dividend Yield
0.4%
Industry PE
41.1

Price Performance

Basis of our Recommendation

Clean Science & Technology is navigating a complex macroeconomic landscape characterized by raw material volatility and competitive pressures. Management's recent commentary highlights a strategic pivot towards high-value specialty chemicals, particularly in the HALS segment, which is expected to drive revenue growth with a targeted CAGR of 18% over FY26-28. The upcoming commercialization of the Performance Chemical 2 plant is anticipated to enhance capacity and operational efficiency, supporting Vista's forecast of improving margins and stable revenue recovery. However, challenges remain, including elevated raw material costs and competition from established players like BASF. The specialty chemicals industry is experiencing structural growth, bolstered by strong domestic demand and favorable trade agreements, which aligns with Vista's positive long-term outlook. Over the next 12-24 months, key opportunities include expanding the HALS portfolio and leveraging international partnerships, while watchpoints include managing input cost volatility and maintaining competitive pricing. Overall, Clean Science & Technology's focus on innovation and sustainable practices positions it well for future growth, despite the inherent risks in the current environment

👍 Why We Like This Stock

  • Strategic partnerships and long-term supply agreements are expected to drive capacity expansions and revenue growth
  • The upcoming commercialization of the Performance Chemical 2 plant is anticipated to enhance operational efficiency and margins
  • The HALS segment is emerging as a strong growth driver, with exports increasing significantly

Things To Watch Out For

  • Elevated raw material prices and logistics disruptions pose risks to profitability
  • Intense competition in the HALS segment from major players like BASF could pressure market share
  • The overall cautious macroeconomic environment may impact demand and pricing strategies

Key Parameters

Balance Sheet Strength
Stable Financial Structure
Market Share
Stable
Industry Outlook
Weakening
Analyst View
Hold
Dividend History
Regular
FII Holdings
Stable

Financial Snapshot

Actuals Forecast
FY24 FY25 FY26 FY27 FY28
Revenue (Cr.) 791 967 957 1,018 1,116
Profit Before Tax (Cr.) 323 357 310 327 370
PBT Margin 40.8% 36.9% 3239.3% 32.2% 33.2%
Net Profit (Cr.) 248 260 222 233 264
Earnings Per Share 23.3 24.4 20.8 22.0 24.8

Analyst Recommendations

Broker Recommendation Target Price Date
IDBI Capital ► Hold 857 15-May-2026
Motilal Oswal ► Neutral 790 03-Aug-2026
Prabhudas Liladhar ► Hold 745 03-Aug-2026
Consensus Recommendation ► Hold
Consensus Target 768
Coverage 3 Analysts
Analysts' Viewpoint
Clean Science & Technology is leveraging strategic initiatives, such as a long-term supply agreement with Kemin Industries and a manufacturing agreement with Geneus Chem AG, to drive capacity expansion and revenue growth. The commercialization of its performance chemical plants, particularly the second plant by 3QFY27, is expected to further boost revenues. However, the company faces challenges from elevated raw material prices and competition from major players like BASF and Sabo in the HALS segment. Despite these risks, management remains optimistic about achieving a targeted revenue CAGR of 18% over FY26-28.

Company Overview

Show Company Profile

Clean Science and Technology Limited, together with its subsidiaries, manufactures fine and specialty chemicals in India, China, the Americas, Europe, and internationally. It operates through Performance Chemicals, FMCG Chemicals, and Pharmaceutical & Agro Intermediates segments. The company offers performance chemicals, including monomethyl ether of hydroquinone, butylated hydroxy anisole, tertiary butyl hydroquinone, hindered amine light stabilisers, and butylated hydroxytoluene, as well as clean antiOX 962, 4-oxo tempo, 4-butoxy tempo, clean light stab 770, 4-hydroxy tempo, l-ascorbyl palmitate, 2,5-di-tertiary butyl hydroquinone, and dimethyl sebacate. It also provides FMCG chemicals, such as 4-methoxy acetophenone, anisole, guaiacol, butylated hydroxy anisole, l-ascorbyl palmitate, tertiary butyl hydroquinone, para di-methoxy benzene, and ortho methoxy toluene. In addition, the company offers pharmaceutical and agro intermediates, which include guaiacol, dicyclohexyl carbodiimide, veratrole, DHDT, para benzoquinone, para di-methoxy benzene, anisole, and ortho methoxy toluene. It exports its products and serves polymers, coatings, food, automotive, construction, cosmetics, personal care, fragrances, pharmaceuticals, agrochemical manufacturers, specialty chemical firms, and other industries. The company was incorporated in 2003 and is headquartered in Pune, India.