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Shankara Building Products Ltd. (IN:SHANKARA)
:SHANKARA
India Market
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Shankara Building Products Ltd. (SHANKARA) AI Stock Analysis

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IN:SHANKARA

Shankara Building Products Ltd.

(SHANKARA)

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Neutral 59 (OpenAI - 5.2)
Rating:59Neutral
Price Target:
₹149.00
▲(6.50% Upside)
Action:Upgraded
Date:08/09/26
The score is held back primarily by weakening fundamentals, especially the sharp revenue and profit decline and the shift to negative operating/free cash flow, which increases near-term financial risk. Offsetting this, technicals are constructive with price above key moving averages and positive MACD, and valuation looks favorable with a low P/E and a moderate dividend yield.
Positive Factors
Diversified product and channel mix
A broad product portfolio plus dual retail and trade distribution reduces single-market exposure and supports stable demand across renovation and construction cycles. Durable supplier and channel breadth enables cross-selling, scale in sourcing and logistics, and resilience in revenue composition over months.
Negative Factors
Severe revenue decline
A ~73% year-on-year revenue collapse materially erodes scale advantages, supplier negotiating power and fixed-cost absorption. Such a structural drop increases the risk of permanent market-share loss, weakens category mix, and makes multi-month recovery and margin restoration more challenging.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified product and channel mix
A broad product portfolio plus dual retail and trade distribution reduces single-market exposure and supports stable demand across renovation and construction cycles. Durable supplier and channel breadth enables cross-selling, scale in sourcing and logistics, and resilience in revenue composition over months.
Read all positive factors

Shankara Building Products Ltd. (SHANKARA) vs. iShares MSCI India ETF (INDA)

Shankara Building Products Ltd. Business Overview & Revenue Model

Company Description
Shankara Building Products Limited stands as a leading Indian retailer specializing in construction materials and home improvement goods. The company operates through three core segments: Retail, Channel, and Enterprise. Its extensive product rang...
How the Company Makes Money
Shankara makes money mainly by procuring building-material and home-improvement products from a wide set of third-party manufacturers/brands and selling them to customers through (a) its retail stores/showrooms and (b) its distribution/trade chann...

Shankara Building Products Ltd. Financial Statement Overview

Summary
Financial performance weakened materially in the latest annual period: revenue fell sharply (-72.7% YoY) with margin compression and net income dropping to 38.4M from 774.0M. Cash generation deteriorated significantly with negative operating cash flow (-1.14B) and deeply negative free cash flow (-1.79B). Leverage is still manageable (debt-to-equity ~0.43) but rose notably as equity declined and returns weakened (ROE ~0.9%).
Income Statement
34
Negative
Balance Sheet
56
Neutral
Cash Flow
22
Negative
BreakdownMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue13.64B56.97B48.28B40.30B24.09B
Gross Profit523.00M3.18B2.61B2.24B1.59B
EBITDA234.80M1.69B1.52B1.25B876.50M
Net Income38.40M774.00M811.30M630.50M343.20M
Balance Sheet
Total Assets7.57B18.02B15.86B12.92B10.41B
Cash, Cash Equivalents and Short-Term Investments76.20M298.30M344.00M58.70M24.80M
Total Debt1.92B1.04B866.50M878.40M1.33B
Total Liabilities3.09B9.34B7.88B6.49B4.85B
Stockholders Equity4.47B8.68B7.98B6.43B5.56B
Cash Flow
Free Cash Flow-1.79B375.70M-204.60M472.10M497.10M
Operating Cash Flow-1.14B636.00M97.20M919.60M696.40M
Investing Cash Flow-636.30M-263.90M-272.00M-452.00M-183.80M
Financing Cash Flow1.38B-423.70M399.60M-433.70M-596.80M

Shankara Building Products Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price139.90
Price Trends
50DMA
141.42
Positive
100DMA
130.49
Positive
200DMA
120.60
Positive
Market Momentum
MACD
2.26
Positive
RSI
67.66
Neutral
STOCH
83.15
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SHANKARA, the sentiment is Positive. The current price of 139.9 is below the 20-day moving average (MA) of 145.86, below the 50-day MA of 141.42, and above the 200-day MA of 120.60, indicating a bullish trend. The MACD of 2.26 indicates Positive momentum. The RSI at 67.66 is Neutral, neither overbought nor oversold. The STOCH value of 83.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:SHANKARA.

Shankara Building Products Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
59
Neutral
₹3.59B72.342.02%-77.00%-94.71%
57
Neutral
₹1.92B24.990.46%-1.13%115.74%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
53
Neutral
₹4.72B20.460.31%7.05%-3.28%
42
Neutral
₹2.57B-1.03-0.49%6.19%
37
Underperform
₹830.58M-1.84-11.04%-6.64%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:SHANKARA
Shankara Building Products Ltd.
148.20
-100.16
-40.33%
IN:FRETAIL
Future Retail Ltd.
IN:PRAXIS
Praxis Home Retail Ltd.
4.47
-7.77
-63.48%
IN:RUSHIL
Rushil Decor Ltd.
16.09
-15.48
-49.04%
IN:SPENCERS
Spencer's Retail Ltd.
28.46
-29.35
-50.77%
IN:SUPERHOUSE
Superhouse Limited
173.75
27.35
18.68%

Shankara Building Products Ltd. Corporate Events

Shankara Building Products Publishes Q1 FY27 Unaudited Results in Newspapers
Aug 6, 2026
Shankara Building Products Ltd. has notified the stock exchanges that it has published newspaper advertisements in Business Standard and Kannada Prabha detailing its unaudited financial results for the quarter ended June 30, 2026. The disclosure, ...
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 09, 2026