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Pondy Oxides And Chemicals Limited (POCL) Fair Value & Analysis

Basic Materials · IN · Market cap ₹38.1B

PO Pondy Oxides And Chemicals Limited POCL · BSE
Price₹500.10
Fair Value₹293.90
Upside-41.2%
Quality54/100

Risks

!Trades 41% ABOVE our fair value of ₹293.90
!Expensive Growth
!Thin margins · 4.3% net margin
!Low debt · negative free cash flow
Expensive Growth
Thin margins · 4.3% net margin
Low debt · negative free cash flow
Moderate moat 47/100
Evidence: High Range ₹220.42 – ₹367.37 Share as image

Fair value as of: Aug 23, 2026

From 15 valuation models · updated today

Share price −6.9% over the past month.

A solid business, but screening 41% overvalued on our models.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (₹367.37). The favourable scenario is already priced in.
  • Solid but not exceptional quality (54/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

₹618.48 ₹20.41 Fair Value ₹293.90 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 23, 2026.

How to read this chart

60‑month range ₹20.41 – ₹618.48 · fair‑value band ₹220.42 – ₹367.37 · the ₹500.10 price screens above the ₹293.90 fair value. Dashed = 300-day average. As of Aug 23, 2026.

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Analysis

Pondy Oxides And Chemicals Limited (POCL) currently trades at ₹500.10, while our model-based Fair Value estimate is ₹293.90, implying the stock looks roughly 41.2% overvalued today. The Quality Score stands at 54/100 (solid quality), in the Basic Materials 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: high).

Over the trailing twelve months, Pondy Oxides And Chemicals Limited generated revenue of ₹32.9B at a net margin of 4.3%. Revenue grew 55.1% year over year. It earns a return on equity of 19.1%. Net debt stands at ₹1.4B. Fundamentals as of Aug 23, 2026

Our scenario range runs from ₹220.42 (bear case) to ₹367.37 (bull case); at ₹500.10, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 23% below its 52-week high and 27% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -67% fair-value upside, at -41%, POCL screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income ₹114.43 ₹151.38 ₹497.66 76
ROIC Compounder ₹249.15 ₹379.65 ₹463.34 72
Growth-Adj P/E ₹413.40 ₹590.58 ₹767.75 68
All 15 models by family
DCF Models
Owner Earnings ₹220.63 ₹500.36 ₹1,088 31
Earnings-Based
Graham-Dodd ₹117.56 ₹819.84 ₹1,151 54
Lynch FV ₹361.48 ₹516.39 ₹671.31 50
PEG = 1.0 ₹361.48 ₹516.39 ₹671.31 46
EPV ₹184.56 ₹215.09 ₹241.81 59
Multiples
P/E Multiple ₹220.42 ₹293.90 ₹367.37 63
P/S Multiple ₹220.42 ₹293.90 ₹367.37 58
P/B Multiple ₹220.42 ₹293.90 ₹367.37 55
EV/EBIT ₹257.03 ₹342.26 ₹427.49 53
EV/EBITDA ₹208.39 ₹277.41 ₹346.42 54
EV/Revenue ₹222.94 ₹317.91 ₹412.88 43
Asset-Based
NCAV (Graham) ₹51.68 ₹69.25 ₹103.36 50
Economic Profit
Residual Income ₹114.43 ₹151.38 ₹497.66 76
ROIC Compounder ₹249.15 ₹379.65 ₹463.34 72
Growth Earnings
Growth-Adj P/E ₹413.40 ₹590.58 ₹767.75 68

Widest divergence: Growth Earnings (₹590.58) versus Asset-Based (₹69.25). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹32.9B
Revenue growth (YoY) +55.1%
Net margin 4.3%
Return on equity 19.1%
Free cash flow −₹942M FY2026
P/E ratio 27.7
More key figures
Operating margin 5.3%
EPS (TTM) ₹18.07
EPS growth (YoY) +34.7%
Net debt ₹1.4B FY2026

Figures from reported company fundamentals · as of Aug 23, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 54/100

Of which business quality 54 · Market factors (momentum, volatility) 49

Profitability 66
Margins and returns on capital today
Quality Growth 90
Are margins and returns improving?
Cashflow 8
Earnings quality: real cash, not paper profit
Fin. Strength 79
Balance sheet, leverage, solvency risk
Investment 33
Disciplined investing over empire-building
Low Volatility 64
Calm price path (market factor)
Momentum 42
Price trend over the last 3–12 months (market factor)
52W Momentum 44
Distance to the 52-week high (market factor)
Net Issuance 50
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Pondy Oxides And Chemicals Limited, a secondary lead manufacturer company, produces and sells lead, lead alloys, and plastic additives in India. It also provides calcium, antimony, master, tin, silver, cadmium, and babbit alloys, as well as aluminium, copper, plastics, and trading products.

Full company description

Pondy Oxides And Chemicals Limited, a secondary lead manufacturer company, produces and sells lead, lead alloys, and plastic additives in India. It also provides calcium, antimony, master, tin, silver, cadmium, and babbit alloys, as well as aluminium, copper, plastics, and trading products. The company primarily serves lead-acid battery manufacturing and other battery OEMs. It also exports its products to Japan, South Korea, Thailand, Indonesia, the Middle East, and internationally. Pondy Oxides And Chemicals Limited was incorporated in 1995 and is based in Chennai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Pondy Oxides And Chemicals Limited reported revenue of ₹29.6B in FY2026 versus ₹14.5B in FY2022, a compound +19.4%/yr. Reported net income was ₹1.3B in FY2026, compounding +28.6%/yr from FY2022.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹29.6B
Latest YoY
+43.8%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+26.1%
Revenue +19.4%/yr
FY22 ₹14.5B
FY23 ₹14.8B
FY24 ₹15.4B
FY25 ₹20.6B
FY26 ₹29.6B
Net income +28.6%/yr
FY22 ₹482M
FY23 ₹751M
FY24 ₹319M
FY25 ₹581M
FY26 ₹1.3B

POCL screens 41% overvalued. Compare with Linde plc →

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Cite: Fair Value Calculator (2026). "Pondy Oxides And Chemicals Limited Fair Value". https://www.fairvalue-calculator.com/stock/POCL.BSE

Peer Group

Specialty Chemicals · 677 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 55 · Above median
Fair Value upside −41% · Below median
Return on equity (TTM) 19% · Top 25%
Return on assets 14% · Top 25%
Net margin (TTM) 4% · Below median
Operating margin (TTM) 5% · Below median
Revenue growth 55% · Top 25%
Dividend yield (TTM) 0.3% · Bottom 25%

Valuation Multiples vs Specialty Chemicals median · lower = cheaper

P/E (TTM) 27.7× · Pricier than median
P/B 4.84× · Pricier than 75% of peers
P/S (TTM) 1.16× · Cheaper than median
EV/EBITDA 16.8× · Pricier than median

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

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Solar Industries India Limited SOLARINDS ₹18,730 ₹2,793 -85%
PT Chandra Asri Pacific Tbk TPIA 2,030 IDR 2,147 IDR +6%
Berger Paints India Limited BERGEPAINT ₹541.00 ₹156.35 -71%
Gujarat Fluorochemicals Limited FLUOROCHEM ₹4,680 ₹724.88 -85%
Himadri Speciality Chemical Limited HSCL ₹703.65 ₹229.10 -67%
Enaex S.A ENAEX 25,000 CLP 23,584 CLP -6%

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Frequently asked questions

Is Pondy Oxides And Chemicals Limited (POCL) overvalued or undervalued?
As of Aug 23, 2026, our model estimates a fair value of ₹293.90 versus a price of ₹500.10, about −41% (overvalued).
What is the fair value of POCL?
Our model-based fair value for Pondy Oxides And Chemicals Limited is ₹293.90 (as of Aug 23, 2026), built from audited fundamentals. The current price: ₹500.10.
What is the quality score of POCL?
Pondy Oxides And Chemicals Limited has a Quality Score of 54/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Pondy Oxides And Chemicals Limited (POCL)?
Pondy Oxides And Chemicals Limited reported trailing-twelve-month revenue of about ₹32.9B (latest available figure, as of Aug 23, 2026).
What is the net profit margin of POCL?
The net profit margin of Pondy Oxides And Chemicals Limited is about 4.3%, meaning it keeps roughly 4.3% 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.

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