Styrenix Performance Materials Limited

Basic Materials — Chemicals · NSE

₹2,045.00−₹27.10 (−1.31%)

DalalBaazaar Score

56 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity.

In simple words: Reasonable but unspectacular business quality, with modest growth. Nothing obvious stands out as stretched — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:59 pm

Understanding the Business

Company site ↗

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

What does this company do?

Styrenix Performance Materials Limited engages in the manufacture, trading, and sale of engineering thermoplastics in India.

IndustryChemicals

SectorBasic Materials

Employees440

Annual revenue₹3,438 Cr

How does it make money?

Turns over ₹3,438 Cr a year. Of every ₹100 of sales, about ₹5 reaches shareholders as profit, with ₹10 left at the operating level before interest, tax and depreciation. Each of its 440 employees supports ₹7.81 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹7.81 Cr

Who are its competitors?

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

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 12.8% 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.

Peer median ROE15.4%

What is the outlook?

1 analysts covering the stock expect revenue to grow about 15.8% and earnings to fall about 20.2% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+15.8%

Est. earnings growth-20.2%

Analysts1

What has been driving growth?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +45% while net margin moved -31% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+45%

Margin effect-31%

DalalBaazaar Score

56/ 100

Moderate

Weighted across six categories. Every point is explained below.

• ROCE of 12.8% is adequate but not distinctive
✗ ROCE has fallen by 19.4 points — returns are eroding
✗ EBITDA margin of 10.4% is thin — little cushion if costs rise
✗ Net margin of 7.7% is slim
• Revenue has compounded at 13.2% a year, which is the base these returns are earned on

Quality vs. Valuation

Company Quality

50/ 100

Average

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

Valuation

80/ 100

Cheap

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

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

13.2x

3Y Median

18.6x

40 monthly readings · mean 19.8x · range 10.4x–32.7x

Sector Median

33.8x

median of 3 sector peers

🟢Current valuation is approximately 29% below its 3y median of 18.6x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 61% below the peer median of 33.8x.

vs. its own history

Cheap

18.6x median over 40 months · -29%

vs. sector peers

Cheap

33.8x median of 3 peers · -61%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

11.4x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention3

Margins are compressing
EBITDA margin has slipped from 12.0% to 10.4% over 3 years.
Return on equity is falling
ROE has dropped from 25.6% to 13.4% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 32.2% to 12.8% — often a sign of competition or overexpansion.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 1462% over 3 years, from ₹35 Cr to ₹548 Cr.
🟡Inventory building faster than salesFinancial
Inventory up 92% against revenue up 45% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 29% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 61% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹26 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Margins are being competed away
EBITDA margin has fallen from 12.0% to 10.4%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Returns on shareholder capital are falling
ROE has dropped from 25.6% to 13.4%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
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.

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

1Revenue growth stays above 10% a year✓ 13.2% CAGR
Latest reported year was 7.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 8%✓ 10.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹26 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 10%✓ 12.8%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 12 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)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 5 neutral · 0 weak

Market Cap

₹3,598 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

13.2x

Cheap

Cheap against the generic band

P/B Ratio

2.63x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹155.15

Profitable

Profitable on a per-share basis

ROE

13.4%

Moderate

Moderate capital efficiency

ROCE

12.8%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.40x

Low

Conservative leverage

Revenue Growth (YoY)

7.1%

Modest

Modest growth

Profit Growth (YoY)

152.1%

Healthy

Profits growing at a healthy clip

Dividend Yield

2.25%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

₹26 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

16.2x

Flat

At or above the trailing multiple — no earnings uplift is being priced in

Operating Margin

18.8%

Good

Healthy core-business profitability

Net Margin

7.7%

Average

Average bottom-line conversion

Current Ratio

2.29

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.41

Defensive

Steadier than the market

52W Range Position

30%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

2046.1 / 2085.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

49.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,368 Cr	₹2,222 Cr	₹2,982 Cr	₹3,438 Cr	+13.2%
EBITDA	₹284 Cr	₹270 Cr	₹355 Cr	₹357 Cr	+7.8%
EBITDA Margin	12.0%	12.2%	11.9%	10.4%	—
PAT (Net Profit)	₹183 Cr	₹173 Cr	₹234 Cr	₹183 Cr	-0.0%
EPS	₹104.07	₹98.47	₹132.91	₹103.98	-0.0%
ROE	25.6%	24.0%	19.2%	13.4%	—
ROCE	32.2%	30.2%	18.3%	12.8%	—
Total Debt	₹35 Cr	₹27 Cr	₹397 Cr	₹548 Cr	+150.0%
Free Cash Flow	₹252 Cr	₹178 Cr	-₹435 Cr	₹26 Cr	-53.3%

🟢 Revenue has grown at 13.2% a year over 3 years.

🟢 EBITDA has grown at 7.8% a year over 3 years.

🔴 EBITDA Margin has fallen from 12.0% to 10.4% over 3 years (-1.6 pts).

🟡 PAT (Net Profit) has been broadly flat over 3 years (-0.0% a year).

🟡 EPS has been broadly flat over 3 years (-0.0% a year).

🔴 ROE has fallen from 25.6% to 13.4% over 3 years (-12.2 pts).

🔴 ROCE has fallen from 32.2% to 12.8% over 3 years (-19.4 pts).

🔴 Total Debt has grown at 150.0% a year over 3 years.

🔴 Free Cash Flow has shrunk at 53.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹2,483 Cr

Total Liabilities

₹1,116 Cr

Cash & Equivalents

₹70 Cr

Operating Cash Flow

₹183 Cr

Capex

-₹157 Cr

Shareholding (proxy)

Institutional Holding

16.0%

Insider Holding

48.9%

Corporate Actions

Dividend Rate

₹46

Ex-Dividend Date

10 Aug 2026

Analyst Consensus

Recommendations

1 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹2,900

+41.8% vs CMP

Target Range

₹2,900 – ₹2,900

Peer Comparison

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

Recent News

3 positive1 mixed2 general

STYRENIX PERFORMANCE LTD Share Price - Live NSE: STYRENIX Stock Price & Chart

Upstox, 16 Oct

Styrenix Performance Materials vs Nifty 50 Return Comparison

Univest, 12 Oct

Styrenix posts 166% profit surge in Q1FY27 despite volume dip

scanx.trade, 04 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

STYRENIX Forecast — Price Target — Prediction for 2027

TradingView, 26 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Earnings call transcript: Styrenix Q1 2026 profits jump as volumes fall

Investing.com India, 05 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Styrenix Performance Materials consolidated net profit rises 166.37% in the June 2026 quarter

Business Standard, 04 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

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

DalalBaazaar Thesis

StrongFinancial Health · Valuation

MiddlingProfitability · Risk

WeakBusiness Quality · Growth

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 1 high-severity red flag sits above this conclusion and should be read first.

All 5 tripwires holding · see Key things to watch ↑