TipRanks
Go Ultimate55% OFF

Shankara Building Products Ltd. (SHANKARA) AI Stock Analysis

Top Page

IN:SHANKARA

Shankara Building Products Ltd.

(NSE:SHANKARA)

Select Model
Rating:59Neutral
Price Target:INR 122.00â–²(4.86% 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
Broad product portfolioA wide product portfolio allows Shankara to address multiple stages of construction and renovation demand through one platform. This broadens customer relevance, supports cross-selling across building categories, and can make the business more resilient than a specialist focused on a single product line.
Negative Factors
Severe revenue contractionThe steep annual revenue decline indicates a major deterioration in business activity and materially reduces operating scale. Lower volume makes it harder to absorb fixed costs, support the store and distribution network, and restore sustainable earnings over the next several quarters.

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

-30%-25%-20%-15%-10%-5%0%5%10%IN:SHANKARA-16.77%INDA-12.02%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
INR 2.90B
Dividend Yield
2.58%
Average Volume (3M)
14.34K
Price to Earnings (P/E)
56.8
Beta (1Y)
0.78
Revenue Growth
-77.00%
EPS Growth
-94.71%
Country
India
Employees
130
Sector
General
Sector Strength
55
Industry
Home Improvement

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 range i...

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

34Negative

Balance Sheet

56Neutral

Cash Flow

22Negative
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue26.85B13.64B56.97B48.28B40.30B24.09B
Gross Profit1.49B523.00M3.18B2.61B2.24B1.59B
EBITDA773.30M234.80M1.69B1.52B1.25B878.40M
Net Income358.20M38.40M774.00M811.30M630.50M343.20M
Balance Sheet
Total Assets7.57B7.57B18.02B15.86B12.92B10.41B
Cash, Cash Equivalents and Short-Term Investments76.20M76.20M298.30M344.00M58.70M24.80M
Total Debt1.92B1.92B1.04B866.50M878.40M1.33B
Total Liabilities3.09B3.09B9.34B7.88B6.49B4.85B
Stockholders Equity4.47B4.47B8.68B7.98B6.43B5.56B
Cash Flow
Free Cash Flow-381.00M-1.79B375.70M-204.60M472.10M497.10M
Operating Cash Flow-102.90M-1.14B636.00M97.20M919.60M696.40M
Investing Cash Flow-282.10M-636.30M-263.90M-272.00M-452.00M-183.80M
Financing Cash Flow100.00K1.38B-423.70M399.60M-433.70M-596.80M

Shankara Building Products Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price116.35

Price Trends

50DMA133.39Negative
100DMA132.81Negative
200DMA122.68Negative

Market Momentum

MACD-5.19Negative
RSI38.91Neutral
STOCH59.11Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SHANKARA, the sentiment is Negative. The current price of 116.35 is below the 20-day moving average (MA) of 117.69, below the 50-day MA of 133.39, and below the 200-day MA of 122.68, indicating a bearish trend. The MACD of -5.19 indicates Negative momentum. The RSI at 38.91 is Neutral, neither overbought nor oversold. The STOCH value of 59.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SHANKARA.

Shankara Building Products Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

IN:SHANKARA against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
IN:SUPERHOUSEIN:SUPERHOUSE63NeutralINR 1.65B21.24―0.53%-1.13%115.74%
IN:SHANKARAIN:SHANKARA59NeutralINR 2.82B56.78―2.58%-77.00%-94.71%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
IN:RUSHILIN:RUSHIL49NeutralINR 4.55B20.25―0.32%7.05%-3.28%
IN:SPENCERSIN:SPENCERS42NeutralINR 1.94B-0.78――-0.49%6.19%
IN:PRAXISIN:PRAXIS39UnderperformINR 785.99M-1.75――-11.04%-6.64%

* General Sector Average

Performance Comparison

-60%-40%-20%0%IN:SHANKARAIN:PRAXISIN:RUSHILIN:SPENCERSIN:SUPERHOUSEDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
IN:SHANKARA and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
IN:SHANKARAShankara Building Products Ltd.116.35-25.60-18.03%
IN:PRAXISPraxis Home Retail Ltd.4.23-8.27-66.16%
IN:RUSHILRushil Decor Ltd.15.49-11.32-42.21%
IN:SPENCERSSpencer's Retail Ltd.21.57-28.93-57.29%
IN:SUPERHOUSESuperhouse Limited149.95-11.30-7.01%

Shankara Building Products Ltd. Corporate Events

Shankara Building Products Clarifies NSE Query on Segment Reporting and Audit Format

Sep 16, 2026

Shankara Building Products Ltd. operates in the building materials and construction supplies sector, with its corporate base in Bengaluru. Following a demerger of its trading business to Shankara Buildpro Ltd., the company’s remaining operation...

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, mad...

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