Coromandel International
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Coromandel International's management has adopted a cautious yet strategic outlook, emphasizing the need to stabilize operations amid raw material cost inflation and subsidy dynamics. The company's focus on backward integration and capacity expansion, particularly with the commissioning of new acid plants, is expected to enhance cost competitiveness and secure supply chains. Despite facing near-term margin pressures, management's shift towards non-subsidy businesses and innovation in crop protection positions Coromandel for long-term growth. Vista's financial outlook reflects moderating revenue growth and margin pressures, aligning with management's cautious tone. The expected upside is tempered by geopolitical risks and subsidy uncertainties, yet the company's strong balance sheet and strategic initiatives provide a foundation for resilience. Over the next 12-24 months, key opportunities include expanding the specialty nutrients portfolio and optimizing digital retail channels, while watchpoints include raw material volatility and the need for regulatory clarity on subsidies
Why We Like This Stock
- Management's focus on backward integration and capacity expansion is expected to enhance cost competitiveness
- The shift towards non-subsidy businesses and innovation in crop protection could drive long-term revenue growth
- A strong balance sheet supports financial stability and positions the company to navigate market volatility
Things To Watch Out For
- Near-term margin pressures are exacerbated by raw material cost inflation and unfavorable subsidy dynamics
- Geopolitical risks and supply chain disruptions pose significant challenges to operational stability
- The domestic crop protection market remains muted, limiting immediate revenue growth potential
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 22,058 | 24,085 | 31,480 | 34,190 | 38,839 |
| Profit Before Tax (Cr.) | 2,182 | 2,284 | 2,688 | 2,092 | 2,767 |
| PBT Margin | 9.9% | 9.5% | 853.9% | 6.1% | 7.1% |
| Net Profit (Cr.) | 1,639 | 1,719 | 1,929 | 1,511 | 1,939 |
| Earnings Per Share | 55.6 | 58.7 | 67.4 | 49.7 | 65.7 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Elara Capital | ► Accumulate | 2,086 | 27-Jul-2026 |
| Motilal Oswal | ▲ Buy | 2,530 | 27-Jul-2026 |
Company Overview
Show Company Profile
Coromandel International Limited provides agriculture solutions in India and internationally. The company operates through the Nutrient and Other Allied Business, and Crop Protection segments. It offers crop nutrition products, including fertilizers, specialty nutrients, organic, and nano products; crop protection products comprising insecticides, fungicides, herbicides, plant growth regulators, and GPS products; and other bio products. It also provides drone spray services, as well as soil and leaf testing services. The company also provides value-added services, including drone spraying, soil testing, crop diagnostics, and weather insights, as well as e-commerce platform for advisory and ordering. In addition, it operates an e-commerce platform for advisory and ordering services. The company was formerly known as Coromandel Fertilisers Ltd and changed its name to Coromandel International Limited in September 2009. Coromandel International Limited was founded in 1901 and is based in Chennai, India. Coromandel International Limited operates as a subsidiary of E.I.D.- Parry (India) Limited.