Tata Chemicals Limited (TATACHEM) AI Stock Analysis

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Tata Chemicals Limited

(NSE:TATACHEM)

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Rating:47Neutral

Price Target:INR 628.00▲(5.45% Upside)

Action:reiterated

Date:10/13/26

The score is held down mainly by deteriorating fundamentals—FY2026 net loss, compressed profitability, and negative free cash flow—despite a still-manageable balance sheet. Technicals also lean bearish with price below key moving averages and a negative MACD, while valuation is mixed given the negative P/E (losses) and only modest dividend yield.

Positive Factors

Diversified Product and Customer BaseTata Chemicals combines industrial inorganic chemicals with branded consumer staples, serving glass, detergents, food, pharmaceutical, and household markets. This breadth diversifies demand sources and gives the company multiple routes to maintain customer relevance across different end-market cycles.

Negative Factors

Revenue ContractionThe multi-year decline in revenue indicates weaker top-line momentum and reduces the scale available to absorb fixed operating costs. If softer sales persist, Tata Chemicals may have less capacity to leverage its manufacturing footprint and sustain historical profitability across its markets.

Tata Chemicals Limited (TATACHEM) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 149.54B
Dividend Yield: 1.85%
Average Volume (3M): 129.91K
Price to Earnings (P/E): -7.0
Beta (1Y): 1.13
Revenue Growth: 2.04%
EPS Growth: -742.43%
Country: India
Employees: 4,644
Sector: General
Sector Strength: 55
Industry: Chemicals

Tata Chemicals Limited Business Overview & Revenue Model

Company Description

Tata Chemicals Limited, established in Mumbai, India, in 1927, is a global producer and supplier of both fundamental chemical compounds and specialized materials. Operating across India, Europe, Africa, the Americas, and wider international markets,...

How the Company Makes Money

Tata Chemicals primarily makes money by manufacturing commodity and specialty inorganic chemicals and selling them to industrial customers, alongside selling branded consumer staples. Its main revenue streams typically include: (1) Soda ash sales: So...

Tata Chemicals Limited Financial Statement Overview

Summary

Financials are pressured: revenue has softened and FY2026 swung to a large net loss (-18.96B, -13.0% net margin) with notable margin compression versus prior years. The balance sheet is relatively stable with moderate leverage (debt-to-equity ~0.38), but cash generation has weakened as free cash flow turned negative in FY2025–FY2026 and operating cash flow coverage fell (~0.15 in FY2026).

Income Statement

38Negative

Balance Sheet

66Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	151.20B	145.84B	148.87B	154.21B	167.89B	126.22B
Gross Profit	66.27B	63.40B	89.42B	93.15B	99.25B	74.25B
EBITDA	510.00M	3.32B	19.92B	29.37B	39.09B	23.55B
Net Income	-21.65B	-18.96B	2.35B	2.68B	23.17B	12.58B
Balance Sheet
Total Assets	0	390.31B	377.80B	367.56B	350.84B	338.43B
Cash, Cash Equivalents and Short-Term Investments	11.36B	11.53B	14.01B	12.57B	19.34B	26.16B
Total Debt	0	80.01B	70.72B	55.63B	62.96B	70.25B
Total Liabilities	-221.75B	168.56B	152.79B	136.42B	144.42B	146.86B
Stockholders Equity	221.75B	212.06B	215.94B	222.41B	197.21B	182.53B
Cash Flow
Free Cash Flow	-640.00M	-1.66B	-2.44B	11.82B	13.93B	3.68B
Operating Cash Flow	5.36B	10.39B	17.61B	30.16B	29.71B	16.44B
Investing Cash Flow	-1.77B	-10.66B	-16.81B	-6.10B	-11.86B	-8.36B
Financing Cash Flow	-5.55B	-1.83B	290.00M	-24.94B	-20.76B	-7.55B

Tata Chemicals Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price595.55

Price Trends

50DMA632.99Negative

100DMA665.93Negative

200DMA685.26Negative

Market Momentum

MACD-12.26Positive

RSI42.42Neutral

STOCH38.88Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TATACHEM, the sentiment is Negative. The current price of 595.55 is below the 20-day moving average (MA) of 609.85, below the 50-day MA of 632.99, and below the 200-day MA of 685.26, indicating a bearish trend. The MACD of -12.26 indicates Positive momentum. The RSI at 42.42 is Neutral, neither overbought nor oversold. The STOCH value of 38.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:TATACHEM.

Tata Chemicals Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:TATACHEM against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:GHCL	73Outperform	INR 34.73B	6.81	―	3.18%	-3.37%	-13.58%
IN:GNFC	72Outperform	INR 74.31B	7.15	―	4.15%	12.55%	84.52%
IN:GUJALKALI	56Neutral	INR 39.71B	59.87	―	3.27%	7.07%	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:DEEPAKNTR	55Neutral	INR 207.25B	19.51	―	0.49%	25.13%	99.89%
IN:DEEPAKFERT	51Neutral	INR 138.86B	14.11	―	0.91%	13.63%	0.30%
IN:TATACHEM	47Neutral	INR 151.72B	-7.01	―	1.85%	2.04%	-742.43%

* General Sector Average

Performance Comparison

IN:TATACHEM and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:TATACHEM	Tata Chemicals Limited	595.55	-266.41	-30.91%
IN:DEEPAKFERT	Deepak Fertilisers and Petrochemicals Corporation Ltd.	1099.95	-376.72	-25.51%
IN:DEEPAKNTR	Deepak Nitrite Limited	1519.50	-208.95	-12.09%
IN:GHCL	Ghcl Limited	377.00	-227.26	-37.61%
IN:GNFC	Gujarat Narmada Valley Fertilizers & Chemicals Ltd.	505.70	17.50	3.58%
IN:GUJALKALI	Gujarat Alkalies & Chemicals Ltd.	540.75	-6.20	-1.13%

Tata Chemicals Limited Corporate Events

Tata Chemicals Schedules Investor Meeting With Aditya Birla Sun Life AMC

Sep 15, 2026

Tata Chemicals Limited has notified the stock exchanges of a scheduled one-on-one meeting with Aditya Birla Sun Life AMC in Mumbai on September 18, 2026, in line with SEBI’s disclosure regulations for analyst and institutional investor interact...

Tata Chemicals North America Completes Acquisition of SVM Soda Ash Contracts

Sep 12, 2026

Tata Chemicals North America Inc., the U.S. arm of Tata Chemicals Limited, has completed the acquisition of North American soda ash customer contracts formerly associated with Searles Valley Minerals Inc. The deal follows TCNA’s selection as th...

Tata Chemicals’ US Unit Secures SVM Soda Ash Contracts Worth $21 Million

Aug 28, 2026

Tata Chemicals North America Inc., a wholly owned subsidiary of Tata Chemicals Limited, has been declared the successful bidder for the acquisition of North American soda ash customer contracts of Searles Valley Minerals Inc. in U.S. Chapter 11 proce...

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: Oct 13, 2026

Tata Chemicals Limited AI Stock Analysis

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