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Megastar Foods Ltd. (IN:MEGASTAR)
:MEGASTAR
India Market
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Megastar Foods Ltd. (MEGASTAR) Price & Analysis

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MEGASTAR Stock Chart & Stats

₹225.50
-₹10.50(-3.49%)
At close: 4:00 PM EST
₹225.50
-₹10.50(-3.49%)

Bulls Say, Bears Say

Bulls Say
Revenue GrowthTop-line expanded ~15.9% in FY2026 following a sharp step-up in FY2025, indicating strengthening demand and successful scale-up. Sustained revenue momentum is a durable foundation for fixed-cost absorption, improved unit economics, and potential longer-term market-share gains if execution continues.
Operating ProfitabilityPositive EBIT margin (~4.9%) shows the core business generates operating earnings after direct costs. Persistent operating profitability provides recurring cash to fund reinvestment, service debt and defend distribution, enabling structural improvements even if net margins remain compressed.
Recovered Operating Cash FlowOperating cash flow returning to positive (~135M) after prior negative years represents a meaningful durability improvement in cash conversion. Reliable operating cash flows reduce reliance on external financing and support deleveraging, capex and working-capital needs over the medium term.
Bears Say
Thin, Volatile MarginsVery low gross (~9%) and net (~1.7%) margins leave little room to absorb commodity inflation or competitive pricing pressure. Margin volatility suggests inconsistent cost pass-through or mix effects, increasing downside risk to earnings and limiting durable free-cash generation under stress.
Rising LeverageLeverage has roughly doubled versus FY2024, leaving a relatively debt-heavy capital structure (D/E ~1.28). Elevated debt increases interest burden and refinancing risk, constraining strategic flexibility and making the company more vulnerable to margin shocks or cyclical demand weakness over the medium term.
Inconsistent Free Cash FlowFCF has been volatile—strong in FY2022, negative FY2023–FY2025, and only modestly positive (~56M) in FY2026. With FCF substantially below net income, cash conversion inconsistency limits capacity for consistent debt reduction, dividends or strategic investment, weakening long-term financial resilience.

MEGASTAR FAQ

What was Megastar Foods Ltd.’s price range in the past 12 months?
Megastar Foods Ltd. lowest stock price was ₹197.70 and its highest was ₹391.15 in the past 12 months.
    What is Megastar Foods Ltd.’s market cap?
    Megastar Foods Ltd.’s market cap is ₹3.84B.
      When is Megastar Foods Ltd.’s upcoming earnings report date?
      Megastar Foods Ltd.’s upcoming earnings report date is Aug 07, 2026 which is in 18 days.
        How were Megastar Foods Ltd.’s earnings last quarter?
        Megastar Foods Ltd. released its earnings results on May 21, 2026. The company reported ₹1.98 earnings per share for the quarter, beating the consensus estimate of N/A by ₹1.98.
          Is Megastar Foods Ltd. overvalued?
          According to Wall Street analysts Megastar Foods Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Megastar Foods Ltd. pay dividends?
            Megastar Foods Ltd. does not currently pay dividends.
            What is Megastar Foods Ltd.’s EPS estimate?
            Megastar Foods Ltd.’s EPS estimate for its next earnings report is not yet available.
            How many shares outstanding does Megastar Foods Ltd. have?
            Megastar Foods Ltd. has 11,293,700 shares outstanding.
              What happened to Megastar Foods Ltd.’s price movement after its last earnings report?
              Megastar Foods Ltd. reported an EPS of ₹1.98 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.568%.
                Which hedge fund is a major shareholder of Megastar Foods Ltd.?
                Currently, no hedge funds are holding shares in IN:MEGASTAR
                What is the TipRanks Smart Score and how is it calculated?
                Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                  Company Description

                  Megastar Foods Ltd.

                  Founded in 2011 and headquartered in Chandigarh, India, Megastar Foods Limited is a prominent food processor specializing in the large-scale production of a diverse range of nourishing wheat flour products across India. The company's extensive offerings include traditional flours like atta, wheat flour, suji, rawa, and chokar, alongside a comprehensive line of organic alternatives such as organic atta, organic whole wheat flour, and organic wheat flour. These versatile ingredients are widely utilized in the creation of various food items, including biscuits, cookies, pizzas, breads, buns, and other baked goods. Additionally, Megastar Foods Limited actively engages in exporting its products to international markets.

                  Megastar Foods Ltd. (MEGASTAR) Earnings & Revenues

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