Following the recent price correction, we upgrade the stock to HOLD' with a revised target price of Rs1,883, valuing it at 32x FY27E EPS. DN's Q1FY26 adjusted revenue stood at Rs18.7bn, declining to 13.6% YoY and 7% QoQ. Operating performance was impacted by ongoing pricing pressure, oversupply from China, and a decline in spreads. The Advanced Intermediates segment witnessed stable volumes across most products, except agrochemical intermediates, which were affected. The Phenols segment reported steady...

Deepak Nitrite Ltd. has lost -37.91% in the last 1 Year

Deepak Nitrite Ltd.

30 May 2025

1768.50

0.49%

Pricing pressure intensified in Q4; have prices/spreads bottomed out?

Hold: Deepak Nitrite Ltd.

ICICI Securities Limited

Deepak Nitrite’s (DN) Q4FY25 underlying print suggests margin pressure intensified in Q4 with rise in supplies from China, particularly for agrochemical intermediates.

Deepak Nitrite Ltd. has lost -37.91% in the last 1 Year

Deepak Nitrite Ltd.

29 May 2025

1768.50

0.49%

Deepak Nitrite (DN IN) Q4FY25 Result Update Margin...

Sell: Deepak Nitrite Ltd.

Recommendation Target

Prabhudas Lilladhar

185ktpa of acetone and 100ktpa of isopropyl alcohol, including greenfield infrastructure capex for an aggregate investment of ~Rs35bn. pricing pressure, oversupply from China as well as elevated input costs, which appear to have softened now. Sequentially, Advanced Intermediates segment benefitted from volume gains in key products and new offtake agreements,...

Deepak Nitrite Ltd. has lost -37.91% in the last 1 Year

Deepak Nitrite Ltd.

17 Feb 2025

1768.50

0.49%

Deepak Nitrite (DN IN) Q3FY25 Result Update Subdued...

Hold: Deepak Nitrite Ltd.

Recommendation Target

Prabhudas Lilladhar

Due to sharp correction in price, we upgrade to HOLD with TP of Rs.1,960. Deepak Nitrite's (DN) Q3FY25 revenue stood at Rs19bn, down 5.3% YoY and 6.3% QoQ. Operating performance for the quarter was impacted as plants remained idle due to deferral in demand, lag adjusted recovery in agchem, increase in RM cost as well as oversupply from Chinese counterparts. Planned maintenance shutdown at its phenolics plants further led to a decline in performance and an increase in phenol imports. Nitric acid project is expected...