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Southern Magnesium and Chemicals Limited (513498) Fair Value & Analysis

Industrial Goods · IN · Market cap ₹42.8M

SM Southern Magnesium and Chemicals Limited 513498 · BSE
Price₹75.10
Fair Value₹8.36
Upside-88.9%
Quality32/100
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Evidence: Medium Range ₹5.37 – ₹13.33

Fair value as of: Jul 4, 2026

From 11 valuation models · updated today

Share price −6.1% over the past month.

Price vs Fair Value (12 months)

₹176.20 ₹62.65 Fair Value ₹8.36 Jun 2025 Jul 2026

12‑month range ₹62.65 – ₹176.20 · fair‑value band ₹5.37 – ₹13.33 · the ₹75.10 price screens above the ₹8.36 fair value. As of Jul 4, 2026.

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Analysis

Southern Magnesium and Chemicals Limited (513498) currently trades at ₹75.10, while our model-based Fair Value estimate is ₹8.36 — implying the stock looks roughly 88.9% overvalued today. We read business quality at 32/100 (below-average quality), in the Industrial Goods sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium — the entry price still matters most (evidence: medium).

Over the trailing twelve months, Southern Magnesium and Chemicals Limited generated revenue of ₹21.9M at a net margin of 4.8%. Net debt stands at ₹46.5M. The stock trades on a trailing P/E of 40.7. Fundamentals as of Jul 4, 2026

Key figures & financial health

Revenue (TTM) ₹21.9M
Revenue growth (YoY) +455%
Net margin 4.8%
Free cash flow −₹46.9M FY2026
P/E ratio 40.7
Operating margin 2.2%
More key figures
EPS (TTM) ₹0.3500
Net debt ₹46.5M FY2026

Figures from reported company fundamentals (EODHD) · as of Jul 4, 2026. TTM = trailing twelve months.

About the company

Southern Magnesium and Chemicals Limited engages in manufacturing and selling of magnesium metal and related products in India. The company offers various downstream products, such as magnesium granule, powder, alloy, and extrusion products. It also produces magnesium turning and chips products. The company was incorporated in 1985 and is based in Hyderabad, India.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Southern Magnesium and Chemicals Limited reported revenue of ₹33.6M in FY2026 versus ₹23.4M in FY2022, a compound +9.5%/yr. Reported net income was ₹1.3M in FY2026, compounding −25.0%/yr from FY2022.

Revenue +9.5%/yr
FY22 ₹23.4M
FY23 ₹85.7M
FY24 ₹94.7M
FY25 ₹124M
FY26 ₹33.6M
Net income −25.0%/yr
FY22 ₹4.0M
FY23 ₹35.3M
FY24 ₹33.3M
FY25 ₹32.0M
FY26 ₹1.3M

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Frequently asked questions

Is Southern Magnesium and Chemicals Limited (513498) undervalued?
As of Jul 4, 2026, our model estimates a fair value of ₹8.36 versus a price of ₹75.10 — about −89% (overvalued). Model-based estimate, not financial advice.
What is the fair value of 513498?
Our model-based fair value for Southern Magnesium and Chemicals Limited is ₹8.36 (as of Jul 4, 2026), built from audited fundamentals. The current price is ₹75.10.
What is the quality score of 513498?
Southern Magnesium and Chemicals Limited has a Quality Score of 32/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Southern Magnesium and Chemicals Limited (513498)?
Southern Magnesium and Chemicals Limited reported trailing-twelve-month revenue of about ₹21.9M (latest available figure, as of Jul 4, 2026).
What is the net profit margin of 513498?
The net profit margin of Southern Magnesium and Chemicals Limited is about 4.8%, meaning it keeps roughly 4.8% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data — nothing guessed.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.