Seya Industries Limited

Basic Materials — Specialty Chemicals · NSE

₹12.29+₹0.24 (+1.99%)

DalalBaazaar Score

38 / 100

🔴 Weak

Verdict

CAUTION

Risk

Very High

Driven by moderate debt load, short-term liabilities exceed short-term assets, negative free cash flow.

In simple words: The company is currently losing money. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

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

What does this company do?

Seya Industries Limited manufactures and sells specialty chemicals in India and internationally.

IndustrySpecialty Chemicals

SectorBasic Materials

Employees27

Who are its competitors?

The closest listed comparisons in its industry are ASIAN PAINTS LIMITED, PIDILITE INDUSTRIES LTD, SRF LTD, UPL LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

ASIAN PAINTS LIMITEDP/E 46.9x · ROE 22.3%

PIDILITE INDUSTRIES LTDP/E 57.8x · ROE 24.4%

SRF LTDP/E 33.8x · ROE 15.4%

UPL LIMITEDP/E 21.5x · ROE 6.1%

What is its competitive advantage?Little sign of one

Returns on capital of -0.3% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

ROCE-0.3%

ROE-0.4%

Peer median ROE22.3%

DalalBaazaar Score

38/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative

Quality vs. Valuation

Company Quality

36/ 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

No P/E — the company is lossmaking

P/E (Trailing)

Not meaningful

P/B

0.04x

EV/EBITDA

58.2x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well0

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

🔴 What Needs Attention2

Free cash flow is negative
The business is not currently covering its capital spending from operations.
Short-term liquidity is tight
Current ratio of 0.26 — near-term obligations exceed near-term assets.

Red Flags

4 items require attention · 3 high · 1 watch

🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🔴The company is lossmakingFinancial
Net profit of -₹3 Cr in the latest reported year.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.26 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

No clear supporting case emerges from the available numbers.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 55.6x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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

1Debt / EBITDA falls below 3x✗ 55.6x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
2Free cash flow remains positive✗ -₹17 Cr
Profit that never becomes cash eventually stops being profit.
3ROCE stays above 8%✗ -0.3%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

5 / 10 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✗ 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

2 good · 4 neutral · 5 weak

Market Cap

₹37 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

0.04x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-1.12

Loss-making

Negative earnings per share — the business is losing money

ROE

-0.4%

Weak

Weak capital efficiency

ROCE

-0.3%

Weak

Low return on total capital employed

Debt/Equity

0.94x

Moderate

Moderate leverage

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

54.4%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

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

Free Cash Flow

-₹17 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹12.29

Operating Margin

0.0%

Weak

Thin margins leave little room for error

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

0.26

Tight

Tight short-term liquidity

Beta (vs Nifty)

0.34

Defensive

Steadier than the market

52W Range Position

24%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

13.0 / 12.7

Bullish alignment (short > long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

21.0

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹37 Cr	₹8 Cr	—	—	—
EBITDA	-₹8 Cr	₹13 Cr	₹10 Cr	₹14 Cr	—
EBITDA Margin	-22.0%	158.9%	—	—	—
PAT (Net Profit)	-₹25 Cr	-₹3 Cr	-₹6 Cr	-₹3 Cr	—
EPS	₹-9.29	₹-1.31	₹-2.37	₹-1.08	—
ROE	-3.0%	-0.4%	-0.8%	-0.4%	—
ROCE	-1.7%	-0.3%	-0.5%	-0.3%	—
Total Debt	₹770 Cr	₹771 Cr	₹773 Cr	₹773 Cr	+0.1%
Free Cash Flow	-₹13 Cr	-₹10 Cr	-₹17 Cr	-₹17 Cr	—

🟢 EBITDA has turned positive, from -₹8 Cr to ₹14 Cr.

🟢 ROE has risen from -3.0% to -0.4% over 3 years (+2.6 pts).

🟢 ROCE has risen from -1.7% to -0.3% over 3 years (+1.4 pts).

🟡 Total Debt has been broadly flat over 3 years (0.1% a year).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,605 Cr

Total Liabilities

₹787 Cr

Total Debt

₹773 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

-₹17 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

64.5%

Corporate Actions

Ex-Dividend Date

19 Sept 2019

Peer Comparison

Company	P/E	ROE
ASIAN PAINTS LIMITED	46.9x	22.3%
PIDILITE INDUSTRIES LTD	57.8x	24.4%
SRF LTD	33.8x	15.4%
UPL LIMITED	21.5x	6.1%

Recent News

1 mixed5 general

Seya Industries (SEYAIND.NS) Eases 1.94% to ₹12.61, Holding Above ₹11.98 Support - Pre-Earnings Momentum

https://www.siam.in/, 07 OctResults

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

Seya Industries Share: Bull Case vs Bear Case for 2026

Univest, 24 Sept

Seya Industries files FY26 annual report and AGM notice under CIRP

scanx.trade, 18 Sept

Seya Industries Share Price Forecast to 2030

Univest, 28 Jul

Seya Industries CS Manisha Solanki resigns citing personal reasons

scanx.trade, 02 Oct

BIOPOL Stock Price and Chart — NSE:BIOPOL

TradingView, 13 Feb

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
1 metric 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

🔴Business QualityWeak6.1/20

🔴Financial HealthStretched7.5/20

🟡GrowthModest10/20

🔴ProfitabilityWeak3.2/15

🟡ValuationFair7.1/15

🔴RiskHigh4/10

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 3 high-severity red flags sit above this conclusion and should be read first.

This thesis breaks if

✗Debt / EBITDA falls below 3x55.6x
✗Free cash flow remains positive-₹17 Cr
✗ROCE stays above 8%-0.3%