Gulshan Polyols Limited (GULPOLY) AI Stock Analysis

Gulshan Polyols Limited

(NSE:GULPOLY)

Select Model

Rating:52Neutral

Price Target:INR 144.00▲(1.05% Upside)

Action:reiterated

Date:09/06/26

Gulshan Polyols scores in the below-average range, driven primarily by weak financial fundamentals. A debt-funded expansion tripled revenue but collapsed margins and produced four straight years of negative free cash flow, leaving leverage far above historical norms. Technicals reinforce caution, with the price below its 20-, 50- and 100-day moving averages and a negative MACD, though it still holds above the 200-day line. The offsetting positive is valuation: a P/E of 7.85 and a ~0.81% dividend yield price in much of the risk and offer upside if the FY2026E recovery in margins, cash flow and deleveraging materialises. Until that turnaround is demonstrated in reported results, the risk-reward remains speculative.

Positive Factors

Revenue ExpansionMulti-year revenue expansion indicates growing demand for the company’s specialty chemicals across its served applications. Continued top-line growth can improve capacity utilization, strengthen customer relationships, and provide a durable base for margin and earnings development over the next several quarters.

Negative Factors

Earnings VolatilityWide swings in earnings and margins reduce confidence that the FY2026 improvement will be sustained across the business cycle. Volatility can make planning, capital allocation, and reinvestment less predictable, limiting the reliability of future profitability even with strong recent results.

Gulshan Polyols Limited (GULPOLY) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 10.13B
Dividend Yield: 1.05%
Average Volume (3M): 18.31K
Price to Earnings (P/E): 6.0
Beta (1Y): 1.35
Revenue Growth: 9.30%
EPS Growth: 425.35%
Country: India
Employees: 575
Sector: General
Sector Strength: 55
Industry: Chemicals

Gulshan Polyols Limited Business Overview & Revenue Model

Company Description

Established in Delhi, India, in 1981, Gulshan Polyols Limited specializes in mineral and grain processing, alongside its distillery operations, catering to both domestic and international markets. The company functions as a subsidiary of Gulshan Hold...

How the Company Makes Money

Gulshan Polyols primarily makes money by manufacturing and selling chemical ingredients (with a key focus on sorbitol and related starch/sugar derivatives) to business customers. Revenue is generated through (1) domestic and export sales of these fin...

Gulshan Polyols Limited Financial Statement Overview

Summary

Financials are the weakest link. Revenue tripled from ₹7.7B (FY2021) to over ₹20B, but that growth came from a debt-funded capacity expansion that crushed profitability — net margins fell from ~8.1% to ~1.2-1.3% in FY2024-FY2025 and EBITDA margins halved to ~5%. The balance sheet deteriorated sharply, with debt rising from ₹120M to ~₹4.0B and debt-to-equity climbing from 0.03x to 0.65x, while ROE dropped to ~3.0% in FY2024. Cash flow is the weakest component (score 38), with four consecutive years of negative free cash flow, bottoming at -₹2.4B in FY2023. FY2026E projections point to a genuine turnaround — net income of ₹1.07B, EBITDA margin near 10%, free cash flow of ₹1.8B and reduced leverage — but these remain estimates with meaningful execution risk given the recent track record.

Income Statement

52Neutral

Balance Sheet

45Neutral

Cash Flow

38Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	23.59B	23.12B	20.20B	13.58B	11.80B	10.95B
Gross Profit	8.24B	7.78B	6.24B	3.29B	1.29B	1.86B
EBITDA	2.78B	2.31B	1.00B	702.84M	950.63M	1.52B
Net Income	1.48B	1.07B	246.66M	177.58M	451.82M	852.49M
Balance Sheet
Total Assets	0	13.04B	13.23B	11.56B	9.88B	7.74B
Cash, Cash Equivalents and Short-Term Investments	281.04M	281.04M	169.94M	211.26M	85.44M	1.22B
Total Debt	0	3.18B	3.97B	3.54B	2.53B	1.17B
Total Liabilities	-7.19B	5.86B	7.10B	5.66B	4.13B	2.39B
Stockholders Equity	7.19B	7.19B	6.13B	5.90B	5.75B	5.35B
Cash Flow
Free Cash Flow	-384.65M	1.81B	-145.90M	-1.13B	-2.39B	-524.14M
Operating Cash Flow	-258.24M	2.07B	416.80M	662.78M	154.41M	609.30M
Investing Cash Flow	-122.16M	-602.36M	-543.17M	-1.58B	-2.47B	-1.36B
Financing Cash Flow	376.73M	-1.21B	132.41M	876.00M	1.24B	1.70B

Gulshan Polyols Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price142.50

Price Trends

50DMA171.21Negative

100DMA182.59Negative

200DMA171.97Negative

Market Momentum

MACD-7.00Positive

RSI30.22Neutral

STOCH12.00Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GULPOLY, the sentiment is Negative. The current price of 142.50 is below the 20-day moving average (MA) of 158.21, below the 50-day MA of 171.21, and below the 200-day MA of 171.97, indicating a bearish trend. The MACD of -7.00 indicates Positive momentum. The RSI at 30.22 is Neutral, neither overbought nor oversold. The STOCH value of 12.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:GULPOLY.

Gulshan Polyols Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:GULPOLY against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:INDOAMIN	76Outperform	INR 8.68B	10.73	―	0.42%	13.23%	22.22%
IN:VALIANTORG	64Neutral	INR 11.77B	21.82	―	―	1.41%	946.41%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:DMCC	53Neutral	INR 6.34B	15.85	―	0.98%	72.14%	34.49%
IN:GULPOLY	52Neutral	INR 8.89B	6.00	―	1.05%	9.30%	425.35%
IN:DCW	50Neutral	INR 13.28B	18.61	―	0.89%	11.82%	104.11%
IN:GODAVARIB	44Neutral	INR 10.42B	6797.00	―	―	7.00%	―

* General Sector Average

Performance Comparison

IN:GULPOLY and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:GULPOLY	Gulshan Polyols Limited	142.50	-12.49	-8.06%
IN:DCW	DCW Ltd.	45.00	-17.54	-28.04%
IN:DMCC	DMCC Speciality Chemicals Limited	254.25	-45.46	-15.17%
IN:GODAVARIB	Godavari Biorefineries Limited	203.55	-64.80	-24.15%
IN:INDOAMIN	Indo Amines Limited	119.55	-12.92	-9.75%
IN:VALIANTORG	Valiant Organics Limited	419.85	114.85	37.66%

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 06, 2026

Gulshan Polyols Limited AI Stock Analysis