Zuari Agro Chemicals Ltd. (ZUARI) AI Stock Analysis

Zuari Agro Chemicals Ltd.

(NSE:ZUARI)

Select Model

Rating:62.3Neutral

Price Target:INR 196.00▲(6.20% Upside)

Action:downgraded

Date:09/17/26

The overall score is driven primarily by an improving financial position with better earnings and reduced leverage, offset by weak and bearish technical momentum and ongoing volatility in cash generation, while the very low P/E-based valuation provides a meaningful but earnings-dependent upside cushion.

Positive Factors

Improved LeverageThe reduction in leverage and total debt strengthens Zuari’s financial position compared with earlier years. Lower debt relative to equity can reduce balance-sheet pressure, improve resilience across agricultural cycles, and preserve more flexibility for operating needs and future investment.

Negative Factors

Sharp Revenue ContractionThe sharp 2026 sales decline indicates deteriorating top-line momentum and makes near-term operating scale less dependable. Continued weakness in revenue could reduce fixed-cost absorption, limit reinvestment capacity, and pressure the company’s position across fertilizer distribution channels.

Zuari Agro Chemicals Ltd. (ZUARI) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 7.75B
Dividend Yield: ―
Average Volume (3M): 5,915
Price to Earnings (P/E): 0.8
Beta (1Y): 0.96
Revenue Growth: -43.98%
EPS Growth: 268.95%
Country: India
Employees: 9
Sector: General
Sector Strength: 55
Industry: Agricultural Inputs

Zuari Agro Chemicals Ltd. Business Overview & Revenue Model

Company Description

Headquartered in Bengaluru, India, Zuari Agro Chemicals Limited, established in 1967, is engaged in the manufacturing, trading, and distribution of a wide variety of chemical and other agricultural nutrient products throughout India. Its comprehensiv...

How the Company Makes Money

Zuari Agro Chemicals Ltd. primarily makes money by selling agricultural inputs, with fertilizer sales forming the central revenue stream. The company generates revenue by (1) manufacturing and/or sourcing fertilizers and selling them into the domesti...

Zuari Agro Chemicals Ltd. Financial Statement Overview

Summary

Score reflects sharply improved profitability and reduced leverage against still-volatile revenues, margins, and cash flows, indicating a stronger but not yet consistently stable financial profile.

Income Statement

63Positive

Balance Sheet

71Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	25.69B	32.00B	44.36B	45.92B	45.53B	35.88B
Gross Profit	6.04B	8.71B	16.70B	5.79B	14.73B	12.20B
EBITDA	11.44B	3.09B	4.23B	5.31B	8.55B	2.85B
Net Income	9.39B	9.20B	1.65B	998.29M	4.77B	1.30B
Balance Sheet
Total Assets	0	32.51B	50.26B	48.20B	50.52B	62.62B
Cash, Cash Equivalents and Short-Term Investments	633.60M	633.60M	2.12B	3.49B	3.89B	5.86B
Total Debt	0	6.42B	7.17B	17.83B	21.08B	26.43B
Total Liabilities	-20.90B	11.61B	25.09B	25.30B	29.37B	54.18B
Stockholders Equity	20.90B	20.89B	18.56B	16.94B	15.81B	3.67B
Cash Flow
Free Cash Flow	-424.70M	-424.70M	4.07B	3.29B	-2.22B	3.44B
Operating Cash Flow	1.17B	1.17B	5.11B	4.73B	948.00M	5.71B
Investing Cash Flow	-729.80M	-729.80M	-1.22B	28.03M	4.26B	-1.37B
Financing Cash Flow	-2.45B	-2.45B	-4.94B	-5.27B	-6.98B	-2.96B

Zuari Agro Chemicals Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price184.55

Price Trends

50DMA215.49Negative

100DMA222.28Negative

200DMA228.06Negative

Market Momentum

MACD-7.98Positive

RSI28.34Positive

STOCH26.32Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ZUARI, the sentiment is Negative. The current price of 184.55 is below the 20-day moving average (MA) of 202.12, below the 50-day MA of 215.49, and below the 200-day MA of 228.06, indicating a bearish trend. The MACD of -7.98 indicates Positive momentum. The RSI at 28.34 is Positive, neither overbought nor oversold. The STOCH value of 26.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ZUARI.

Zuari Agro Chemicals Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:ZUARI against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:CHAMBLFERT	70Outperform	INR 141.97B	7.35	―	3.10%	15.58%	10.17%
IN:GSFC	70Outperform	INR 53.20B	7.67	―	3.75%	29.18%	7.85%
IN:RALLIS	63Neutral	INR 35.75B	18.14	―	1.63%	6.82%	11.93%
IN:ZUARI	62Neutral	INR 7.76B	0.82	―	―	-43.98%	268.95%
IN:COROMANDEL	61Neutral	INR 500.13B	27.27	―	0.65%	23.50%	-18.96%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:RCF	42Neutral	INR 51.67B	11.57	―	2.50%	17.52%	56.09%

* General Sector Average

Performance Comparison

IN:ZUARI and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:ZUARI	Zuari Agro Chemicals Ltd.	184.55	-68.00	-26.93%
IN:CHAMBLFERT	Chambal Fertilisers & Chemicals Ltd.	354.40	-122.18	-25.64%
IN:COROMANDEL	Coromandel International Limited	1695.00	-438.71	-20.56%
IN:GSFC	Gujarat State Fertilizers & Chemicals Limited	133.50	-53.83	-28.73%
IN:RALLIS	Rallis India Limited	183.85	-75.13	-29.01%
IN:RCF	Rashtriya Chemicals & Fertilizers Ltd.	93.65	-55.31	-37.13%

Zuari Agro Chemicals Ltd. Corporate Events

Zuari Agro Chemicals Sets Board Meet, Extends Trading Window Closure

Oct 21, 2026

Zuari Agro Chemicals Ltd. has scheduled a meeting of its Board of Directors on 2 November 2026 to consider the unaudited standalone and consolidated financial results for the quarter and half year ended 30 September 2026. The outcome will provide inv...

Zuari Agro Chemicals Enhances Digital Access Ahead of 17th AGM

Aug 26, 2026

Zuari Agro Chemicals Ltd. has notified stock exchanges that it has dispatched letters to shareholders who have not registered email addresses, providing the web link and exact navigation path to access the company’s Annual Report for FY 2025-26...

Zuari Agro Chemicals completes electronic dispatch of AGM notice and annual report

Aug 25, 2026

Zuari Agro Chemicals Ltd., a listed agrochemicals and fertiliser manufacturer based in Goa, serves the agricultural sector and maintains a nationwide investor base through its presence on major Indian stock exchanges. The company emphasises transpare...

Zuari Agro Chemicals Schedules 17th AGM, Releases 2025-26 Annual Report

Aug 24, 2026

Zuari Agro Chemicals Ltd., a listed fertiliser and agrochemicals manufacturer based in Goa and serving India’s agricultural sector, has announced the convening of its seventeenth Annual General Meeting. The company maintains compliance with mar...

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: Sep 17, 2026

Zuari Agro Chemicals Ltd. AI Stock Analysis