Century Enka Limited (CENTENKA) AI Stock Analysis

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Century Enka Limited

(NSE:CENTENKA)

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Rating:74.2Outperform

Price Target:INR 529.00▲(13.53% Upside)

Action:reiterated

Date:08/24/26

The score is driven mainly by a resilient financial position, combining very low leverage, growing equity and a strong recent turnaround in free cash flow with only adequate, cyclical profitability. A favorable valuation, with a single-digit P/E and moderate dividend yield, further supports the rating by offering potential upside without requiring aggressive growth assumptions. Technical factors provide additional but secondary support: the stock is in an established uptrend above key long-term moving averages, though short-term momentum has cooled, suggesting consolidation rather than a powerful rally.

Positive Factors

Very Low LeverageVery low leverage reduces financial risk and leaves Century Enka with substantial flexibility to withstand industry cycles, fund operations, or support future investment. A steadily expanding equity base and asset base further strengthen resilience when demand or pricing conditions weaken.

Negative Factors

Volatile Revenue and MarginsWide margin variation and an inconsistent revenue trajectory indicate that earnings depend materially on changing demand and pricing conditions. This reduces confidence in near-term earnings durability and makes profitability less predictable across the next several quarters.

Century Enka Limited (CENTENKA) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 10.24B
Dividend Yield: 2.33%
Average Volume (3M): 15.98K
Price to Earnings (P/E): 7.2
Beta (1Y): 1.07
Revenue Growth: 14.88%
EPS Growth: 145.16%
Country: India
Employees: 1,457
Sector: General
Sector Strength: 55
Industry: Manufacturing - Textiles

Century Enka Limited Business Overview & Revenue Model

Company Description

Century Enka Limited functions as a manufacturer and global distributor of synthetic fibers and related goods. The company's extensive product line encompasses a wide variety of nylon filament yarns, including monofilament, mother, multifilament, and...

Century Enka Limited Financial Statement Overview

Summary

Strong, low-leverage balance sheet and improving, now solidly positive free cash flow support a healthy financial profile, but declining revenues and compressed margins reflect cyclical, uneven profitability.

Income Statement

63Positive

Balance Sheet

82Very Positive

Cash Flow

71Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	17.05B	17.05B	20.02B	17.44B	20.68B	20.98B
Gross Profit	3.41B	2.96B	4.56B	3.60B	1.62B	4.56B
EBITDA	1.87B	1.48B	1.15B	1.15B	1.61B	2.85B
Net Income	1.01B	1.01B	664.70M	427.50M	903.20M	1.84B
Balance Sheet
Total Assets	18.51B	18.51B	17.82B	16.84B	16.23B	15.23B
Cash, Cash Equivalents and Short-Term Investments	3.59B	3.59B	3.42B	2.76B	3.20B	2.65B
Total Debt	221.70M	221.70M	368.20M	522.50M	678.40M	149.20M
Total Liabilities	3.56B	3.56B	3.64B	3.20B	3.01B	2.72B
Stockholders Equity	14.96B	14.96B	14.18B	13.64B	13.22B	12.51B
Cash Flow
Free Cash Flow	330.70M	977.70M	664.40M	-269.50M	-196.30M	-302.10M
Operating Cash Flow	458.50M	1.35B	1.18B	880.60M	2.19B	555.60M
Investing Cash Flow	-164.70M	-923.40M	-758.40M	-469.80M	-2.51B	-412.80M
Financing Cash Flow	-238.80M	-367.10M	-419.50M	-429.10M	291.80M	-169.50M

Century Enka Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price465.95

Price Trends

50DMA536.61Negative

100DMA544.36Negative

200DMA490.22Negative

Market Momentum

MACD-24.93Negative

RSI42.15Neutral

STOCH72.17Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CENTENKA, the sentiment is Negative. The current price of 465.95 is below the 20-day moving average (MA) of 488.87, below the 50-day MA of 536.61, and below the 200-day MA of 490.22, indicating a bearish trend. The MACD of -24.93 indicates Negative momentum. The RSI at 42.15 is Neutral, neither overbought nor oversold. The STOCH value of 72.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:CENTENKA.

Century Enka Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:CENTENKA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:PGIL	79Outperform	INR 128.60B	34.97	―	0.67%	21.31%	35.99%
IN:KPRMILL	76Outperform	INR 392.74B	37.82	―	0.43%	6.43%	24.09%
IN:CENTENKA	74Outperform	INR 10.38B	7.21	―	2.33%	14.88%	145.16%
IN:WELSPUNLIV	62Neutral	INR 241.76B	54.28	―	0.04%	5.02%	23.13%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:SALONA	48Neutral	INR 1.38B	60.96	―	0.26%	6.49%	203.65%
IN:WINSOME	47Neutral	INR 165.45M	-0.09	―	―	-98.74%	20.85%

* General Sector Average

Performance Comparison

IN:CENTENKA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:CENTENKA	Century Enka Limited	465.95	17.29	3.85%
IN:KPRMILL	K.P.R. Mill Limited	1158.40	77.14	7.13%
IN:PGIL	Pearl Global Industries Limited	1332.50	511.10	62.22%
IN:SALONA	Salona Cotspin Limited	263.00	-5.45	-2.03%
IN:WELSPUNLIV	Welspun Living Limited	249.65	111.68	80.95%
IN:WINSOME	Winsome Yarns Ltd	2.34	-647.66	-99.64%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 23, 2026

Century Enka Limited AI Stock Analysis