Sirca Paints India Ltd. (SIRCA) AI Stock Analysis

Sirca Paints India Ltd.

(NSE:SIRCA)

Select Model

Rating:69Neutral

Price Target:INR 440.00▲(8.56% Upside)

Action:reiterated

Date:08/09/26

The score is primarily supported by strong financial performance—especially growth, profitability, and a low-leverage balance sheet. It is tempered by weaker cash-flow consistency and a rich valuation (high P/E with a low dividend yield). Technicals are supportive but look overbought, which adds near-term risk.

Positive Factors

Strong Revenue GrowthStrong multi-year revenue expansion indicates increasing demand and successful business scale-up. Continued growth can broaden distribution reach, improve operating leverage, and support reinvestment in products and channels, strengthening the company’s earnings base over the next several quarters.

Negative Factors

Inconsistent Cash GenerationCash conversion has been less consistent than reported earnings, with operating cash flow lagging net income in several periods and free cash flow fluctuating sharply. This reduces earnings quality and makes internally funded expansion less predictable despite the latest recovery.

Sirca Paints India Ltd. (SIRCA) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 23.03B
Dividend Yield: 0.49%
Average Volume (3M): 12.06K
Price to Earnings (P/E): 34.1
Beta (1Y): 0.96
Revenue Growth: 24.10%
EPS Growth: 22.46%
Country: India
Employees: 724
Sector: General
Sector Strength: 55
Industry: Chemicals - Specialty

Sirca Paints India Ltd. Business Overview & Revenue Model

Company Description

Sirca Paints India Limited engages in the import and distribution of wood, glass, and metal coatings in India. The company provides wood coatings, PU products, stains, special effects, acrylic PU, polyster, wallpaints, U.V Products, N.C products, mel...

How the Company Makes Money

Sirca Paints India Ltd. makes money primarily by selling wood-coating and surface-finishing products in India. Its revenue model is product-led: it manufactures and/or sources (including via imports) coatings and allied finishing materials, then sell...

Sirca Paints India Ltd. Financial Statement Overview

Summary

Strong multi-year revenue growth and healthy profitability are supported by a conservatively financed balance sheet (low leverage and consistent mid-teen ROE). The main drag is cash-flow quality: operating cash flow has lagged net income in multiple periods and free cash flow has been volatile (notably the 2025 dip), reducing predictability.

Income Statement

82Very Positive

Balance Sheet

88Very Positive

Cash Flow

62Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	5.08B	4.92B	3.74B	3.12B	2.68B	2.00B
Gross Profit	2.00B	1.64B	1.80B	1.04B	1.20B	755.74M
EBITDA	1.04B	1.03B	726.04M	750.35M	665.53M	421.54M
Net Income	670.19M	650.18M	490.57M	514.34M	461.07M	277.23M
Balance Sheet
Total Assets	0	5.89B	4.51B	3.51B	3.12B	2.62B
Cash, Cash Equivalents and Short-Term Investments	1.08B	1.08B	562.03M	1.14B	860.00M	826.03M
Total Debt	0	439.32M	500.00M	20.00K	3.29M	0
Total Liabilities	-4.75B	1.14B	1.01B	422.14M	465.14M	372.20M
Stockholders Equity	4.75B	4.75B	3.50B	3.09B	2.65B	2.25B
Cash Flow
Free Cash Flow	70.14M	153.17M	-526.68M	199.21M	-287.79M	130.15M
Operating Cash Flow	91.01M	431.31M	542.65M	323.96M	-187.00M	351.59M
Investing Cash Flow	-548.12M	-733.61M	-453.25M	-214.14M	93.76M	-110.55M
Financing Cash Flow	541.08M	437.28M	-83.95M	-82.42M	-55.20M	-173.85M

Sirca Paints India Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price405.30

Price Trends

50DMA420.88Negative

100DMA416.23Negative

200DMA428.66Negative

Market Momentum

MACD-1.13Positive

RSI42.52Neutral

STOCH22.68Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SIRCA, the sentiment is Negative. The current price of 405.30 is below the 20-day moving average (MA) of 414.06, below the 50-day MA of 420.88, and below the 200-day MA of 428.66, indicating a bearish trend. The MACD of -1.13 indicates Positive momentum. The RSI at 42.52 is Neutral, neither overbought nor oversold. The STOCH value of 22.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SIRCA.

Sirca Paints India Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:SIRCA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:INDIGOPNTS	73Outperform	INR 47.64B	29.54	―	0.50%	9.51%	13.64%
IN:SIRCA	69Neutral	INR 23.02B	34.07	―	0.49%	24.10%	22.46%
IN:KANSAINER	66Neutral	INR 142.72B	23.76	―	1.42%	5.24%	-47.04%
IN:BERGEPAINT	59Neutral	INR 542.25B	44.55	―	0.86%	5.22%	6.57%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:ASIANPAINT	54Neutral	INR 2.22T	45.96	―	1.19%	12.37%	24.22%
IN:SHALPAINTS	46Neutral	INR 6.66B	-9.59	―	―	-10.48%	0.50%

* General Sector Average

Performance Comparison

IN:SIRCA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:SIRCA	Sirca Paints India Ltd.	405.30	-114.49	-22.03%
IN:ASIANPAINT	Asian Paints Ltd.	2315.00	-171.76	-6.91%
IN:BERGEPAINT	Berger Paints India Limited	465.05	-70.01	-13.08%
IN:INDIGOPNTS	Indigo Paints Ltd	998.10	-2.11	-0.21%
IN:KANSAINER	Kansai Nerolac Paints Limited	176.45	-69.67	-28.31%
IN:SHALPAINTS	Shalimar Paints Ltd	79.50	1.15	1.47%

Sirca Paints India Ltd. Corporate Events

Sirca Paints Files SEBI Demat Compliance Certificate for June Quarter

Jul 28, 2026

Sirca Paints India Ltd. has submitted a compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended June 30, 2026. The certificate, issued by its registrar and share transfer agent...

Sirca Paints Confirms No Deviation in Use of Preferential Issue Proceeds

Jul 28, 2026

Sirca Paints India Limited reported that funds amounting to approximately Rs. 75.29 crore raised via a preferential issue on September 11, 2025, have been used strictly in line with the objectives set out in its offer documentation. For the quarter e...

Sirca Paints India Publishes AGM Notice in Leading Dailies

Jul 21, 2026

Sirca Paints India Ltd. has notified exchanges that it has published a newspaper advertisement announcing its twenty-first annual general meeting. The notice appeared in national English and Hindi dailies, underscoring the company’s compliance...

Sirca Paints Alerts Shareholders on Transfer of Dormant Shares to IEPF

Jul 14, 2026

Sirca Paints India Ltd. has published newspaper advertisements in English and Hindi to inform shareholders about the proposed transfer of certain equity shares to the Investor Education and Protection Fund account. The move follows SEBI listing regul...

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

Sirca Paints India Ltd. AI Stock Analysis