Nagarjuna Fertilizers and Chemicals Limited

Basic Materials — Agricultural Inputs · BSE

₹1.55₹0.00 (0.00%)

DalalBaazaar Score

24 / 100

🔴 Weak

Verdict

HIGH RISK

Risk

Very High

Driven by negative shareholders' equity — the company owes more than it owns, short-term liabilities exceed short-term assets, negative free cash flow.

In simple words: The company owes more than it owns — years of losses have wiped out its net worth. Solvency — whether it can keep funding itself at all — is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:46 pm

Understanding the Business

Company site ↗

The 60-second version of Nagarjuna Fertilizers and Chemicals Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Nagarjuna Fertilizers and Chemicals Limited manufactures and markets fertilizers and micro irrigation equipment in India. The company offers urea, specialty fertilizers, micronutrients, and supplements and OSR, as well as agri informatic services.

IndustryAgricultural Inputs

SectorBasic Materials

Who are its competitors?

The closest listed comparisons in its industry are TATA STEEL LIMITED, JSW STEEL LIMITED, ULTRATECH CEMENT LIMITED, ASIAN PAINTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

DalalBaazaar Score

24/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Shareholders' equity is negative — accumulated losses exceed the capital in the business

Quality vs. Valuation

Company Quality

25/ 100

Weak

How good the business is, ignoring the share price entirely.

Valuation

30/ 100

Expensive

What you are being asked to pay, ignoring how good the business is.

Weak on business quality and not cheap enough to compensate.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

Multiples unreliable — equity base is negative

EV/EBITDA

—

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Debt is being paid down
Total debt is down 100% over 3 years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

6 items require attention · 3 high · 3 watch

🔴Negative shareholders' equityFinancial
Liabilities exceed assets — accumulated losses have wiped out the company's net worth.
🔴Thin interest coverageFinancial
Operating profit covers interest only -1.3x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹16 Cr in the latest reported year.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 40.7x to -1.3x.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹49 Cr in the latest year.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.24 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 100% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.

🔴 Bear CaseWhat could go wrong?

Solvency comes before everything else
Liabilities exceed assets. Until net worth is rebuilt, the equity is a claim on a business that owes more than it owns, and further losses or a funding squeeze can leave shareholders with nothing.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.
Several serious flags at once
3 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Free cash flow remains positive✗ -₹49 Cr
Profit that never becomes cash eventually stops being profit.
2Interest cover stays above 3x✗ -1.3x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

2 / 8 checks passed

✗ Shareholders' equity is positive (assets exceed liabilities)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✗ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

0 good · 5 neutral · 6 weak

Market Cap

₹93 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

₹-0.08

Loss-making

Negative earnings per share — the business is losing money

ROE

Not meaningful

Negative equity

Return on equity can't be read when equity itself is negative

ROCE

Not available

No data

Source didn't return this field

Debt/Equity

Not meaningful

Negative equity

Shareholders' equity is negative, so this ratio can't be read

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

-100.6%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹49 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

-284.4%

Weak

Thin margins leave little room for error

Net Margin

-226.9%

Weak

Very little revenue reaches the bottom line

Current Ratio

0.24

Tight

Tight short-term liquidity

Beta (vs Nifty)

0.55

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

1.7 / 2.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

0.0

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹5,641 Cr	₹4,765 Cr	₹872 Cr	—	—
EBITDA	-₹34 Cr	-₹242 Cr	₹2,504 Cr	-₹9 Cr	—
EBITDA Margin	-0.6%	-5.1%	287.2%	—	—
PAT (Net Profit)	-₹900 Cr	-₹1,284 Cr	₹2,425 Cr	-₹16 Cr	—
EPS	₹-15.05	₹-21.47	₹40.55	₹-0.26	—
Total Debt	₹2,842 Cr	₹3,261 Cr	₹19 Cr	₹6 Cr	-87.0%
Free Cash Flow	₹241 Cr	₹44 Cr	-₹211 Cr	-₹49 Cr	—

🟢 Total Debt has shrunk at 87.0% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹241 Cr to -₹49 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹286 Cr

Total Liabilities

₹1,228 Cr

Cash & Equivalents

₹8 Cr

Operating Cash Flow

-₹49 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

55.8%

Peer Comparison

Company	P/E	ROE
TATA STEEL LIMITED	19.8x	10.8%
JSW STEEL LIMITED	12.0x	24.7%
ULTRATECH CEMENT LIMITED	37.6x	11.1%
ASIAN PAINTS LIMITED	46.9x	22.3%

Recent News

3 mixed3 general

Nagarjuna Fertilizers & Chemicals Ltd. (Merged) Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 15 Oct

Nagarjuna Fertilizers and Chemicals Ltd. Share Price Live Today

CNBC TV18, 12 Oct

Nagarjuna Fertilizers vs Nifty 50: Returns Compared

Univest, 08 Oct

: Nagarjuna Fertilizers Q2 FY27 Results: Loss Trend Watch

Univest, 23 SeptResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Nagarjuna Fertilizers delays FY26 results to June 15

scanx.trade, 30 MayResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Nagarjuna Fertilizers & Chemicals reports consolidated net loss of Rs 5.56 crore in the June 2026 quarter

Business Standard, 31 AugResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
3 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

MiddlingGrowth

WeakBusiness Quality · Financial Health · Profitability · Valuation · Risk

Points for each in the Score ↑

Avoid until solvency is resolved

Nagarjuna Fertilizers and Chemicals Limited owes more than it owns. Whatever the operating numbers show, the equity is a residual claim on a business with negative net worth, and that question has to be settled before any of the rest is worth weighing. 3 high-severity red flags sit above this conclusion and should be read first.

2 of 2 tripwires tripped — Free cash flow remains positive; Interest cover stays above 3x · see Key things to watch ↑