In the ever-evolving landscape of the chemical industry, Himadri Speciality Chemical Ltd has emerged as a noteworthy player with a rich history and a diverse product portfolio. As India’s leading coal pitch manufacturer and the sole producer of advanced carbon materials in the country, Himadri holds a unique position in the market. With a keen focus on specialty carbon products such as Coal Tar Pitch, Carbon Black, Naphthalene, and more, the company has demonstrated steady growth, reflected in its impressive financial statistics. As we delve into the prospects for the years ahead, one question looms large: can Himadri Speciality Chemical reach the ambitious target of 500 INR by 2030? To answer this, we’ll explore the company’s recent performance, its foray into emerging markets like lithium-ion batteries, and the broader industry trends shaping its trajectory.
ABOUT HIMADRI SPECIALITY CHEMICAL
Himadri Speciality Chemical, a Kolkata-based conglomerate, has established itself as a prominent player in the speciality carbon industry with a comprehensive product portfolio and a commitment to innovation.
The company, founded by the Choudhary family, has evolved over the years, becoming a symbol of growth and sustainability. Their adoption of a butterfly logo in 2016 represents a new phase of growth and reflects the interconnectedness of their diverse businesses, all rooted in the versatile substance of carbon.
Himadri’s strong emphasis on sustainability, employee well-being, and community development aligns with their mission to contribute positively to the regions in which they operate.
Their vision aims to make them a global leader in speciality carbon products through eco-friendly technologies and customer satisfaction. Upholding values of integrity, excellence, safety, and sustainability, Himadri Speciality Chemical is dedicated to creating a better future for generations to come.
Himadri Speciality Chemical Q1 FY2024 Results: Summary and Key Points
- Q1 FY2024 net profit more than doubled: Himadri Speciality Chemical reported a significant increase in net profit for the first quarter of the fiscal year 2023-24, with profits soaring to Rs 86 crore. This marks a substantial improvement from the Rs 38 crore profit in the same period of the previous fiscal year.
- Reduced expenses contributed to profit growth: The company’s impressive profit growth can be attributed to a reduction in expenses. Expenses decreased from Rs 1,000 crore in the year-ago quarter to Rs 842 crore in Q1 FY2024.
- Total income declined: While the company experienced substantial profit growth, its total income witnessed a decrease. Total income dropped from Rs 1,048 crore in the year-ago quarter to Rs 961 crore in Q1 FY2024.
- Regulatory filing: These financial results were disclosed by Himadri Speciality Chemical Limited (HSCL) in a regulatory filing on July 19, 2023.
- Impact on the market: The positive earnings report for Q1 FY2024 may have influenced the stock market, potentially contributing to a change in the stock price. As of August 25, 2023, the stock’s closing price was Rs 190.90 with a 0.18% increase.
HIMADRI SPECIALITY CHEMICAL IN RECENT NEWS
- On August 23rd, Himadri Speciality Chemical’s stock saw a remarkable upswing, surging by more than 4 percent to reach a 52-week peak of Rs 190.90. This surge was attributed to the green light given by the committee of creditors (CoC) for the company’s resolution plan, which involves a partnership with Dalmia Bharat Refractories in relation to Birla Tyres.
- On the Bombay Stock Exchange (BSE), the stock was trading at Rs 188.5, marking a 3.4 percent increase from the previous closing price. Over the past month, the stock has exhibited impressive growth, recording a 35 percent gain. Looking at the three-month performance, it has surged by an impressive 61 percent. So far this year, it has delivered remarkable returns, with an overall increase of 90 percent.
HOW TO BUY HIMADRI SPECIALITY CHEMICAL SHARES IN INDIA?
To buy Himadri Speciality Chemical shares in India, you can use the services of various stockbrokers and trading platforms. Here are some company names that offer such services:
- Zerodha
- HDFC Securities
- ICICI Direct
- Kotak Securities
- Angel Broking
- Sharekhan
- Upstox
- 5Paisa
- Motilal Oswal
- Axis Direct
HIMADRI SPECIALITY CHEMICAL SHARE PRICE TARGET 2023 TO 2025
Let’s examine the statistics regarding the projected share price target for the period between 2023 and 2025, after conducting a thorough review of the company.
| When | Maximum Price | Minimum Price |
| August 2023 | ₹200.55 | ₹182.32 |
| September 2023 | ₹205.16 | ₹186.51 |
| October 2023 | ₹199.19 | ₹181.08 |
| November 2023 | ₹203.17 | ₹184.70 |
| December 2023 | ₹209.27 | ₹190.24 |
In the month of August 2023, the Himadri Speciality Chemical share price stands at ₹200.55, with the lowest point recorded at ₹182.32. Looking ahead into the future months, it is projected that the share price may gradually climb, reaching around ₹205.16 in September, while the minimum price is expected to rise to ₹186.51. By October 2023, the share price might settle at approximately ₹199.19, with a potential low of ₹181.08. Subsequent months continue this trend, indicating an upward trajectory with the share price potentially reaching ₹209.27 in December and not falling below ₹190.24.
| When | Maximum Price | Minimum Price |
| January 2024 | ₹213.54 | ₹185.68 |
| February 2024 | ₹217.89 | ₹189.47 |
| March 2024 | ₹220.10 | ₹191.39 |
| April 2024 | ₹213.68 | ₹185.81 |
| May 2024 | ₹209.50 | ₹182.17 |
| June 2024 | ₹224.16 | ₹194.92 |
| July 2024 | ₹230.88 | ₹200.77 |
| August 2024 | ₹235.50 | ₹204.78 |
| September 2024 | ₹240.21 | ₹208.88 |
| October 2024 | ₹244.12 | ₹212.28 |
| November 2024 | ₹253.88 | ₹220.77 |
| December 2024 | ₹258.96 | ₹225.18 |
In January 2024, the Himadri Speciality Chemical share price is anticipated to begin the year at ₹213.54, with a minimum price of ₹185.68. As the year unfolds, the share price is projected to steadily climb, reaching a high of ₹258.96 in December 2024. By the end of the year, the minimum price is expected to be around ₹225.18. This trajectory suggests a positive outlook for the company’s shares, indicating an upward trend that investors may find promising.
| When | Maximum Price | Minimum Price |
| January 2025 | ₹264.14 | ₹203.18 |
| February 2025 | ₹278.04 | ₹213.88 |
| March 2025 | ₹283.60 | ₹218.16 |
| April 2025 | ₹280.79 | ₹216.00 |
| May 2025 | ₹275.29 | ₹211.76 |
| June 2025 | ₹282.17 | ₹217.05 |
| July 2025 | ₹286.47 | ₹220.36 |
| August 2025 | ₹296.86 | ₹228.35 |
| September 2025 | ₹302.80 | ₹232.92 |
| October 2025 | ₹308.85 | ₹237.58 |
| November 2025 | ₹299.86 | ₹230.66 |
| December 2025 | ₹305.85 | ₹235.27 |
In January 2025, Himadri Speciality Chemical is expected to kick off the year with a share price of ₹264.14, featuring a minimum price of ₹203.18. As the year unfolds, the share price is forecasted to experience a steady ascent, culminating in December 2025 with a maximum price of ₹305.85 and a minimum price of ₹235.27. This trajectory points towards a positive trend, indicating potential growth opportunities for investors considering the company’s shares in 2025.
| Year | Maximum Price | Minimum Price |
| 2026 | ₹351.73 | ₹246.21 |
| 2027 | ₹298.97 | ₹209.28 |
| 2028 | ₹388.66 | ₹260.40 |
| 2029 | ₹505.26 | ₹353.68 |
| 2030 | ₹530.52 | ₹371.37 |
Over the next few years, Himadri Speciality Chemical’s share price appears to have an interesting journey in store. In 2026, it’s expected to open at ₹246.21 and potentially climb to ₹351.73, offering investors some upward potential. As we move into 2027, the share price might fluctuate between ₹209.28 and ₹298.97. In 2028, it could peak at ₹388.66 and drop to a low of ₹260.40. The years ahead, particularly 2029 and 2030, could be promising, with the share price possibly soaring to ₹505.26 and ₹530.52 respectively at its highest, but also dipping to ₹353.68 and ₹371.37 at its lowest. So, it’s a mix of opportunities and ups-and-downs for those considering investing in Himadri Speciality Chemical.
HIMADRI SPECIALITY CHEMICAL FINANCIAL CONDITION (LAST 5 YEARS)
| Year | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 |
| Sales | 2,422 | 1,806 | 1,679 | 2,791 | 4,172 |
| Expenses | 1,863 | 1,525 | 1,549 | 2,635 | 3,773 |
| Operating Profit | 560 | 280 | 131 | 156 | 399 |
| OPM % | 23% | 16% | 8% | 6% | 10% |
| Other Income | 8 | 8 | 14 | -17 | -2 |
| Interest | 71 | 55 | 33 | 36 | 66 |
| Depreciation | 34 | 39 | 47 | 50 | 51 |
| Profit before tax | 462 | 194 | 65 | 53 | 280 |
| Tax % | 30% | -6% | 27% | 27% | 23% |
| Net Profit | 324 | 205 | 47 | 39 | 216 |
| EPS in Rs | 7.75 | 4.91 | 1.13 | 0.98 | 4.99 |
| Dividend Payout % | 2% | 3% | 13% | 20% | 5% |
Over the past five years, Himadri Speciality Chemical has exhibited a mix of growth and challenges in its financial performance. The company’s revenue demonstrated a notable upward trend, with sales increasing from INR 2,422 million in March 2019 to INR 4,172 million in March 2023. While the expenses also saw a gradual increase, the operating profit showed resilience, reaching INR 399 million in March 2023. However, the operating profit margin experienced fluctuations, starting at 23% in 2019 and stabilizing at 10% in 2023. Despite facing periods of negative other income and varied interest expenses, the company managed to maintain a steady net profit trajectory, growing from INR 324 million in 2019 to INR 216 million in 2023. With a relatively conservative dividend payout percentage and effective tax management, Himadri Speciality Chemical’s financial performance over the past five years underscores its ability to navigate the challenges of its industry while sustaining growth.
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FAQs
By 2025, Himadri Speciality Chemical is anticipated to see its share price potentially reach a maximum of ₹305.85 and a minimum of ₹235.27, based on the analysis.
Looking ahead to 2030, the share price target for Himadri Speciality Chemical suggests a potential high of ₹530.52 and a low of ₹371.37, as per the analysis provided.
Is it worthwhile to invest in Himadri Speciality Chemical for the long term?
Investing in Himadri Speciality Chemical for the long term can be considered, given the projected growth potential in its share price over the years. However, it’s essential to carefully evaluate your investment goals and risk tolerance before making any decisions.
Will the Himadri Speciality Chemical stock grow?
According to the analysis, Himadri Speciality Chemical’s stock is expected to experience growth, with the share price potentially increasing over the coming years. However, the stock market is subject to various factors, and growth is never guaranteed.
Can Himadri Speciality Chemical reach ₹500 INR?
Based on the analysis provided, it is projected that Himadri Speciality Chemical’s share price could potentially reach ₹530.52 by 2030, as mentioned earlier. Therefore, there is a possibility that the share price could reach ₹500 INR or even exceed it by 2030, but this would depend on various market factors and the company’s performance over the coming years.
CONCLUSION
In conclusion, a comprehensive analysis of Himadri Speciality Chemical reveals a mixed picture. While the stock’s current price of ₹191 is trading above its book value, indicating investor confidence, its high P/E ratio of 29.0 raises questions about valuation.
There are encouraging signs, such as improved debtor days and a reduction in working capital requirements, which suggest operational efficiency. However, challenges loom with a decrease in promoter holding, a consistently low return on equity (6.09% over the last 3 years), and a modest dividend payout ratio of 12.9% of profits during the same period.
Regarding the share price target, the analysis points to potential growth, with the stock possibly reaching ₹500 INR by 2030. Yet, the high P/E ratio and other concerns underscore the importance of cautious consideration. Investors should conduct thorough due diligence, considering both strengths and weaknesses, and perhaps consult financial experts before deciding on an investment strategy for Himadri Speciality Chemical.
What did we learn?
- 1 ABOUT HIMADRI SPECIALITY CHEMICAL
- 2 Himadri Speciality Chemical Q1 FY2024 Results: Summary and Key Points
- 3 HIMADRI SPECIALITY CHEMICAL IN RECENT NEWS
- 4 HOW TO BUY HIMADRI SPECIALITY CHEMICAL SHARES IN INDIA?
- 5 HIMADRI SPECIALITY CHEMICAL SHARE PRICE TARGET 2023 TO 2025
- 6 HIMADRI SPECIALITY CHEMICAL FINANCIAL CONDITION (LAST 5 YEARS)
- 7 FAQs
- 7.1 What is the share price target for Himadri Speciality Chemical by 2025?
- 7.2 What is the share price target for Himadri Speciality Chemical by 2030?
- 7.3 Is it worthwhile to invest in Himadri Speciality Chemical for the long term?
- 7.4 Will the Himadri Speciality Chemical stock grow?
- 7.5 Can Himadri Speciality Chemical reach ₹500 INR?
- 8 CONCLUSION
