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Shankar Lal Rampal Dye-Chem Ltd (SRD) Fair Value & Analysis

Basic Materials · IN · Market cap ₹2.6B

SL Shankar Lal Rampal Dye-Chem Ltd SRD · BSE
Price₹40.94
Fair Value₹33.07
Upside-19.2%
Quality64/100
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Weak Growth
Thin margins · 2.9% net margin
Low debt · negative free cash flow
Ranks above peers (8/13)
Narrow moat 39/100
Evidence: Medium Range ₹29.49 – ₹40.04 Share as image

Fair value as of: Aug 13, 2026

From 13 valuation models · updated 4 days ago

Fair value updated Aug 13, 2026, revised from ₹25.10 to ₹33.07 (+31.8%) since Jul 6, 2026. Share price +1.8% over the past month.

A solid business, but screening 19% overvalued on our models.

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What matters now

  • The price sits above even our optimistic bull case (₹40.04). The favourable scenario is already priced in.
  • Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

₹186.15 ₹5.70 Fair Value ₹33.07 Sep 2020 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹5.70 – ₹186.15 · fair‑value band ₹29.49 – ₹40.04 · the ₹40.94 price screens above the ₹33.07 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Shankar Lal Rampal Dye-Chem Ltd (SRD) currently trades at ₹40.94, while our model-based Fair Value estimate is ₹33.07, implying the stock looks roughly 19.2% overvalued today. The Quality Score stands at 64/100 (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: medium).

Over the trailing twelve months, Shankar Lal Rampal Dye-Chem Ltd generated revenue of ₹4.6B at a net margin of 2.9%. Revenue grew 30.5% year over year. It earns a return on equity of 11.6%. Net debt stands at ₹252M. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹29.49 (bear case) to ₹40.04 (bull case); at ₹40.94, 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 55% below its 52-week high and 11% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -68% fair-value upside, at -19%, SRD 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 ₹17.05 ₹19.18 ₹32.18 76
ROIC Compounder ₹21.78 ₹25.74 ₹30.07 72
Growth-Adj P/E ₹19.16 ₹27.37 ₹35.58 68
All 13 models by family
DCF Models
Owner Earnings ₹19.64 ₹26.14 ₹38.69 31
Earnings-Based
Graham-Dodd ₹14.34 ₹22.11 ₹26.41 54
EPV ₹21.68 ₹25.10 ₹28.05 59
Multiples
P/E Multiple ₹26.89 ₹35.85 ₹44.82 63
P/S Multiple ₹26.89 ₹35.85 ₹44.82 58
P/B Multiple ₹26.89 ₹35.85 ₹44.82 55
EV/EBIT ₹31.68 ₹42.24 ₹52.79 53
EV/EBITDA ₹22.78 ₹30.37 ₹37.96 54
EV/Revenue ₹27.46 ₹39.22 ₹50.98 43
Asset-Based
NCAV (Graham) ₹9.60 ₹12.86 ₹19.19 50
Economic Profit
Residual Income ₹17.05 ₹19.18 ₹32.18 76
ROIC Compounder ₹21.78 ₹25.74 ₹30.07 72
Growth Earnings
Growth-Adj P/E ₹19.16 ₹27.37 ₹35.58 68

Widest divergence: Multiples (₹35.85) versus Asset-Based (₹12.86). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹4.6B
Revenue growth (YoY) +30.5%
Net margin 2.9%
Return on equity 11.6%
Free cash flow −₹74.6M FY2025
P/E ratio 19.4
More key figures
Operating margin 4.8%
EPS (TTM) ₹2.11
EPS growth (YoY) +92.8%
Net debt ₹252M FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 64/100

Of which business quality 60 · Market factors (momentum, volatility) 24

Profitability 52
Margins and returns on capital today
Quality Growth 50
Are margins and returns improving?
Cashflow 11
Earnings quality: real cash, not paper profit
Fin. Strength 78
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 60
Calm price path (market factor)
Momentum 13
Price trend over the last 3–12 months (market factor)
52W Momentum 4
Distance to the 52-week high (market factor)
Net Issuance 100
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

Shankar Lal Rampal Dye-Chem Limited exports, imports, supplies, and trades in dyes, chemicals, and other products in India and internationally.

Full company description

Shankar Lal Rampal Dye-Chem Limited exports, imports, supplies, and trades in dyes, chemicals, and other products in India and internationally. It offers sulphur dyes, fully and semi refined paraffin wax, phosphoric acid, sodium sulphide flakes, sodium hydrosulphite, hydrogen peroxide, citric acid monohydrate, phosphate chemicals, refined glycerine, and other chemical and dyes products. The company was incorporated in 2005 and is based in Bhilwara, India.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Shankar Lal Rampal Dye-Chem Ltd reported revenue of ₹4.6B in FY2025 versus ₹6.3B in FY2021, a compound −7.3%/yr. Reported net income was ₹135M in FY2025, compounding −29.7%/yr from FY2021.

Growth Quality 15/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
₹4.6B
Latest YoY
−35.9%
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.
−13.8%
Avg. growth/yr (5Y) 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.
−1.6%
Avg. growth/yr (9Y) 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.
+3.2%
Revenue −7.3%/yr
FY21 ₹6.3B
FY22 ₹7.3B
FY23 ₹7.9B
FY24 ₹7.3B
FY25 ₹4.6B
Net income −29.7%/yr
FY21 ₹553M
FY22 ₹581M
FY23 ₹878M
FY24 ₹252M
FY25 ₹135M

SRD screens 19% overvalued. Compare with Linde plc →

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Cite: Fair Value Calculator (2026). "Shankar Lal Rampal Dye-Chem Ltd Fair Value". https://www.fairvalue-calculator.com/stock/SRD

Peer Group

Specialty Chemicals · 672 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 64 · Top 25%
Fair Value upside −19% · Above median
Return on equity (TTM) 12% · Top 25%
Return on assets 8% · Top 25%
Net margin (TTM) 3% · Below median
Operating margin (TTM) 5% · Below median
Revenue growth 31% · Top 25%
Dividend yield (TTM) 0.1% · Bottom 25%

Valuation Multiples vs Specialty Chemicals median · lower = cheaper

P/E (TTM) 19.4× · Cheaper than median
P/B 2.09× · Pricier than median
P/S (TTM) 0.55× · Cheaper than median
EV/EBITDA 13.2× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 8 · sector 0
FUTURE 100 · sector 18
PAST 46 · sector 23
HEALTH 100 · sector 95
DIVIDEND 2 · sector 31

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

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Specialty Chemicals stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

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Asian Paints Limited ASIANPAINT ₹2,756 ₹664.51 -76%
Solar Industries India Limited SOLARINDS ₹18,730 ₹2,793 -85%
Pidilite Industries Limited PIDILITIND ₹1,702 ₹351.84 -79%
PT Chandra Asri Pacific Tbk TPIA 2,160 IDR 2,322 IDR +8%
Berger Paints India Limited BERGEPAINT ₹559.80 ₹154.46 -72%
Gujarat Fluorochemicals Limited FLUOROCHEM ₹4,566 ₹836.47 -82%
Himadri Speciality Chemical Limited HSCL ₹778.15 ₹248.63 -68%

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Frequently asked questions

Is Shankar Lal Rampal Dye-Chem Ltd (SRD) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹33.07 versus a price of ₹40.94, about −19% (overvalued).
What is the fair value of SRD?
Our model-based fair value for Shankar Lal Rampal Dye-Chem Ltd is ₹33.07 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹40.94.
What is the quality score of SRD?
Shankar Lal Rampal Dye-Chem Ltd has a Quality Score of 64/100. 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 Shankar Lal Rampal Dye-Chem Ltd (SRD)?
Shankar Lal Rampal Dye-Chem Ltd reported trailing-twelve-month revenue of about ₹4.6B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of SRD?
The net profit margin of Shankar Lal Rampal Dye-Chem Ltd is about 2.9%, meaning it keeps roughly 2.9% 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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