TipRanks
Gem Aromatics Limited (IN:GEMAROMA)
:GEMAROMA
India Market
Want to see IN:GEMAROMA full AI Analyst Report?

Gem Aromatics Limited (GEMAROMA) AI Stock Analysis

0 Followers

Top Page

IN:GEMAROMA

Gem Aromatics Limited

(GEMAROMA)

Select Model
Select Model
Select Model
Neutral 42 (OpenAI - Gpt-5.6Sol)
Rating:42Neutral
Price Target:
₹151.00
▼(-14.01% Downside)
Action:Reiterated
Date:09/16/26
The score is primarily weighed down by weak financial quality—especially persistently negative free cash flow and very thin net profitability—despite improved leverage and solid revenue growth. Technical indicators also remain bearish with the stock trading below key moving averages and negative MACD. Valuation is constrained by a negative P/E and no disclosed dividend yield.
Positive Factors
Strong Revenue Growth
Revenue growth of 25.6% indicates meaningful expansion in the company’s business scale and customer demand. If sustained, this top-line momentum can support operating leverage, strengthen market presence, and provide a broader base from which future earnings improvement can develop.
Negative Factors
Persistently Negative Free Cash Flow
Deeply negative free cash flow in consecutive years indicates that the business is not yet funding investment and working-capital needs through internally generated cash. Continued cash deficits can require external funding or balance-sheet capacity, limiting flexibility and increasing execution risk over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Growth
Revenue growth of 25.6% indicates meaningful expansion in the company’s business scale and customer demand. If sustained, this top-line momentum can support operating leverage, strengthen market presence, and provide a broader base from which future earnings improvement can develop.
Read all positive factors

Gem Aromatics Limited (GEMAROMA) vs. iShares MSCI India ETF (INDA)

Gem Aromatics Limited Business Overview & Revenue Model

Company Description
Based in Mumbai, India, Gem Aromatics Limited, established in 1997, operates as a global producer and distributor of a wide array of specialized aromatic compounds. The firm's product catalog features a comprehensive selection of mint derivatives,...

Gem Aromatics Limited Financial Statement Overview

Summary
Despite strong FY2026 revenue growth and improved operating profitability, overall quality is held back by extremely thin net margins and persistently negative free cash flow. Balance-sheet leverage improved meaningfully, but weak cash generation remains the main financial risk.
Income Statement
44
Neutral
Balance Sheet
62
Positive
Cash Flow
28
Negative
BreakdownTTMMar 2026Mar 2025
Income Statement
Total Revenue2.92B3.66B4.95B
Gross Profit628.26M513.22M1.15B
EBITDA498.97M407.52M9.81M
Net Income250.26M14.25M6.24M
Balance Sheet
Total Assets6.58B6.42B5.35B
Cash, Cash Equivalents and Short-Term Investments367.87M159.42M11.31M
Total Debt1.46B1.52B2.25B
Total Liabilities2.03B1.92B2.51B
Stockholders Equity4.55B4.50B2.84B
Cash Flow
Free Cash Flow-1.53B-777.51M-1.30B
Operating Cash Flow-211.63M173.55M-249.16M
Investing Cash Flow-1.20B-1.02B-925.37M
Financing Cash Flow1.69B900.63M1.03B

Gem Aromatics Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price175.60
Price Trends
50DMA
178.57
Negative
100DMA
172.81
Negative
200DMA
170.72
Negative
Market Momentum
MACD
-4.81
Positive
RSI
35.25
Neutral
STOCH
25.84
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GEMAROMA, the sentiment is Negative. The current price of 175.6 is above the 20-day moving average (MA) of 167.29, below the 50-day MA of 178.57, and above the 200-day MA of 170.72, indicating a bearish trend. The MACD of -4.81 indicates Positive momentum. The RSI at 35.25 is Neutral, neither overbought nor oversold. The STOCH value of 25.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:GEMAROMA.

Gem Aromatics Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
57
Neutral
₹429.61M15.023.70%574.64%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
42
Neutral
₹8.38B-57.07
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:GEMAROMA
Gem Aromatics Limited
157.65
-122.40
-43.71%
IN:AMBICAAGAR
Ambica Agarbathies & Aroma Industries Ltd.
25.41
-2.11
-7.67%
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: Sep 16, 2026