Investor presentationSep 2026
Sep 2026 · PPT
Source: Nse
Arabian Petroleum Ltd. (ARABIAN)
SME CapPower stocks · SME cap · NSE
Established in 2006, Arabian Petroleum Ltd is a manufacturer of industrial and automotive lubricants, headquartered in Mumbai, India. The company develops and supplies specialized lubrication solutions across automotive, engineering, manufacturing, infrastructure, and other industrial sectors, focusing on high-performance products.
Data qualityFresh enough for analysisQuote updated 19 Oct, 03:31 pm ISTDetails
Quote19 Oct, 03:31 pm IST
Base fundamentals16 Oct 2026 · screener
Latest result01 Jun, 07:52 pm IST
Score20 Oct, 04:30 am IST · v4.3-runtime-valuation
Tags24 Apr 2026
Coverage13/14 · 93%
Valuation2026-07-20 · Rf 6.8% · Power P/E 16.8 (n=92)
Technical timing lens
Trend score and candlestick chart
85Strong Bullfull bull SMA stack · SMA20 +12.9% / mo · MACD + · near 52W high
Stock trend: 85
Sector RS: —
Power FPI tailwindNot confirmed
Latest mapped FPI equity flow was not positive. View sector evidence
Technical chart
ARABIAND candles · FIT view+50.4%Latest close ₹105.25 on 2026-10-19
Bar
-0.7%
RSI
64
MACD hist
0.59
52W pos
92%
2026-10-19O ₹106.00H ₹108.75L ₹104.50C ₹105.25Vol 34,000 sh
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal
Market context
Relative performance and chart statistics
Adjusted completed-session prices, rebased to 100
ARABIANNifty PowerNifty 500
- ARABIAN
- +56.5%
- Nifty 500
- -4.7%
- Nifty Power
- -12.5%
- Vs Nifty 500
- +61.2 pp
Chart stats
19 Oct 2026- From 52W high
- -3.2%
- 52W range position
- 92%
- ATR (14)
- 4.4%
- Volume vs 20D
- 1.55x
- Avg traded value
- ₹0.2 Cr
- 20D price channel
- ₹80.4 - ₹108.8
₹108.8
₹63.2 - ₹108.8
₹4.6
Latest completed session
20-session average
69.8% annualized volatility
Research snapshot
What the evidence says now
Mixed fundamentals, while price trend supports entry. This looks more like momentum/speculation than a clean fundamental investment setup.
Weak U-Score but strong trend: momentum may be ahead of fundamentals.
Suggested next step
Momentum only
Trend is strong but fundamentals do not support a clean investment thesis.
U-Score
Legacy · FAIR VALUE52
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
Latest result
Excellent77
Revenue +61.1% · PAT +66.7% YoY
Technical
Strong Bull85
Price trend and sector-relative-strength timing.
Valuation
Legacy model+59.3%
Legacy margin-of-safety estimate; the revised evidence label remains in shadow validation.
Trust
Limited evidence62
Financial-only signal; management claim evidence is not sufficient yet.
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Latest result
Quarter ended 31 Mar 2026
Excellent · 77/100Rev +61% YoY · PAT +67% YoY · +27% QoQ · operating leverage · margin compression
Filed 31 Mar 2026
Open results browser →| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹232 Cr | +61.1% | +27.5% |
| EBITDA | ₹9 Cr | NDF | +0.0% |
| Operating margin | 3.7% | NDF | -130 bps |
| PAT | ₹5 Cr | +66.7% | -16.7% |
| PAT margin | 2.2% | NDF | -114 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Fundamentals
Valuation
- P/E
- 10.10
- P/B
- 1.64
- EV/EBITDA
- 8.53
- Market Cap
- 114.00Cr
Profitability
- ROE
- 17.60%
- ROCE
- 18.40%
- ROA
- 6.40%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 25.55%
- EPS 5Y
- 25.36%
- Revenue 3Y
- 7.00%
- EPS 3Y
- 7.00%
Balance Sheet
- Debt/Equity
- 0.70
- Interest Coverage
- 4.50×
- Altman Z
- 4.03
- Book Value
- 63.60
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 1/5
- OCF
- -15.00 Cr
- EPS TTM
- 10.30
Shareholding
- Promoter Hold
- 73.45%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 95%
Financial History
Updated 20/10/2026
Revenue
₹ CrLatest: 232+27.5% vs prev
Net Profit
₹ CrLatest: 5.0-16.7% vs prev
ROE is shown only in the Annual view — quarterly equity data isn't published.
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Daily technical trend read
Bullish setupTrend is constructive — long-term trend unclear. RSI 64.
- SMA20 rising (~11.4% over last month) — short-term momentum positive.
- RSI(14) at 64 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 3% off 52W high · 67% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Nifty 500 leadership
Relative Strength & Trend Stage
89
RS percentile
Stage 2 UptrendEstablished S2
1M return
+23.1%
3M return
+61.1%
6M return
+51.4%
1Y return
+34.9%
RS 1D
+1
RS 20D
+20
Sector rank
#11
Industry rank
#2
Stage evidence
- Price is 39.0% above the 30-week proxy.
- The 50-DMA is above the 30-week proxy and its slope is rising +4.2%.
- Both 3-month and 6-month returns are positive.
50-DMA
price above
200-DMA
price above
S2 entered
18 Aug 2026
S2 age
35 trading sessions
Sector
neutral
Industry
leading
Relative-strength line vs Nifty 500 (base 100)
193 observations
19 Oct 2026Value 146.83+1.76%
RS vs Nifty 500147
Valuation & peers
U-Score 52 · legacy U-Score band FAIR VALUE · valuation evidence and comparable companies
Valuation & peers
U-Score 52 · legacy U-Score band FAIR VALUE · valuation evidence and comparable companies
Deep Value
Fundamental score breakdown
U band · FAIR VALUEValuation22/30
Growth16/25
Quality11/20
Balance Sheet9/15
Cash Flow0/10
Piotroski
5/9 (+3)
Penalties
-9
Raw sum
52
Why this score?
Top U-Score contributors and drags from the latest stored fundamentals.
52/100 · legacy band FAIR VALUE
Positive drivers
- Fair-value margin of safety is positive at 59.3%.
- Valuation contributes 22/30 to the score.
- Growth contributes 16/25 to the score.
Main drags
- Penalty bucket subtracts 9 points.
- Cash flow is weaker at 0/10; verify the latest quarterly trend.
- Quality is weaker at 11/20; verify the latest quarterly trend.
Sector valuation model
Cyclical valuation: normalized earnings, not just trailing PE
Cyclical companies can look cheapest near peak profits, so IndiaPulse flags value-trap risk separately.
Primary lens
Mid-cycle PE/EV/EBITDA using multi-year average margins or earnings.
Secondary checks
Current margin versus 5-year average, balance sheet strength, commodity cycle.
Main risk check
A low trailing PE may mean peak-cycle earnings, not true cheapness.
PE
10.1
PB
1.6
EV/EBITDA
8.5
ROE
17.6%
ROCE
18.4%
FCF Yield
—
Debt/Equity
0.7
MoS
+59.3%
Cyclical/value-trap warning
This sector can look cheap when profits are temporarily high. Check mid-cycle margins/earnings before relying on trailing PE.
Score movement
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Stored run: 20 Oct 2026
v4.3-runtime-valuation
Final score
52
Previous: 53 (-1)
Legacy U-Score band
FAIR VALUE
Previous: FAIR VALUE
Margin of safety
+59.3%
Previous: +60.8%
Score history
12 stored score snapshots. Latest stored move: +0 points.
20 Oct 2026
v4.3-runtime-valuation
55
55
55
57
57
57
55
53
53
53
53
53
Factor attribution
Valuation
22-1
was 23
Modelled fair value
Graham Number
₹121.41
+13.3% MoS
Growth-justified P/E
25.1
Growth-justified Value
₹258.84
+59.3% MoS
PEG
0.56
Comparable companies
Peers
Business-comparable peers in Power — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.
Ticker
Name
Why peer
Score
PE
ROE
MoS
Verdict
GANDHAR
Small
Gandhar Oil Refinery (India) Limited
Oil & Gas
match 148
51
9.1
10.5%
+31%
FAIR VALUE
GULFOILLUB
Small
Gulf Oil Lubricants India Limited
Oil & Gas
match 147
68
13.6
24.1%
+55%
UNDERVALUED
GULFPETRO
Small
GP Petroleums Limited
Oil & Gas
match 147
34
7.4
8.4%
-51%
WATCHLIST
VEEDOL
Small
Veedol Corporation Limited
Oil & Gas
match 147
71
10.7
19.5%
+24%
UNDERVALUED
POSITRON
SME
Positron Energy Ltd.
Oil & Gas
match 139
65
18.6
85.5%
+46%
UNDERVALUED
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business and thesis
Where growth can come from, and what can break the case
Thesis under stressReviewed 2026-06-21T02:53:48.792Z
Management commentary snapshot
Arabian Petroleum reported strong FY26 consolidated revenue growth of 44.88% YoY to ₹41,327.37 lakhs, with PAT increasing 23.47% YoY to ₹1,121.66 lakhs, despite a significant decline in EBITDA margin.
The company, a lubricants manufacturer, reported strong top-line growth but significant margin compression in FY26. While strategic expansions and order wins are positive, the decline in EBITDA and PAT margins raises concerns about profitability sustainability. The provided 'Power' sector lens is not applicable; analysis uses a manufacturing lens.
Current business mix
APL's Volume Contribution by Segment (FY26)
Latest issuer-disclosed distribution across 2 reported categories.
Automotive55.0%
Industrial45.0%
Growth engines
Strategic Subsidiaries
Arzol Petroleum Trading FZE (Dubai) and Lavisa Technologies Pvt. Ltd. (Specialty Metalworking) commenced revenue generation in H2 FY26.
Defense Sector Positioning
DRDO Technology Transfer for Universal Recoil Fluids and Low Temperature Coolants provides near-monopoly positioning.
Food-Grade & Pharma Market Entry
NSF (US FDA) approval for food-grade lubricants unlocks entry into the high-compliance Pharma sector.
Transformer Oil Segment
BIS Certification for transformer oil segment unlocks major revenue pathways for government tenders and OEM procurement.
Capacity and execution
De-bottlenecking & Capacity Expansion
M.O.U. signed for interim expansion, actively resolving bottlenecks in small pack SKU filling.
Backward Integration
Fatty Acid Amides production commenced December 2025, reducing import dependency and laying foundation for esterification.
Tailwinds
Global Market Access
Arzol Petroleum Trading FZE in Dubai strengthens access to the 'Mecca of the oil market' and adds 4 new countries.
High-Margin Specialty Segments
Lavisa Technologies focuses on value-added specialty metalworking lubricants, expected to enhance portfolio and margins.
Defense Sector Technology Advantage
Only a few national players hold similar technology for DRDO-transferred defense products, ensuring long-term recurring revenue.
Headwinds
Margin Compression
Consolidated EBITDA margin declined by 20.19% YoY and PAT margin by 14.78% YoY in FY26.
Increased Liabilities
Current liabilities more than doubled YoY from ₹4,637.95 lakhs to ₹10,122.72 lakhs as of March 31, 2026.
Subsidiary Losses
Lavisa Technologies Pvt. Ltd. reported a loss of ₹6.53 lakhs for FY26.
Risk radar
Competitive Dynamics
Forward-looking statements are subject to risks including competitive dynamics in the lubricants and greases industry.
Raw Material Price Volatility
Backward integration efforts aim to reduce import dependency on key raw material inputs, indicating exposure to price fluctuations.
Operational Challenges
The Company may face operational challenges and risks that could impact its growth and expansion plans.
Management accountability
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Analyst reading lens
Compare BOTH
Full-year YoY provides a macro view of growth and overall financial health, while H2 FY26 vs H1 FY26 (QoQ equivalent) shows sequential momentum and the impact of recent strategic initiatives and subsidiary contributions.
Sector KPIs management disclosed
Revenue Growth
FY26 Revenue from Operations was ₹41,327.37 lakhs, up 44.88% YoY from ₹28,524.66 lakhs in FY25.
Production Capacity
Current production capacity per annum is 48,000 KL.
Order Pipeline
Secured a 2-year BHEL contract, new rate contracts from MOIL & BEML, and a second repeat order from BRO Bhutan in H2 FY26.
EBITDA Margin
Consolidated EBITDA margin declined to 4.87% in FY26 from 6.10% in FY25, a 20.19% YoY decrease.
Management forward view
Subsidiary Profitability
Arzol FZE is expected to achieve profitability from FY27.
Margin Enhancement
Lavisa Technologies is expected to enhance the specialty product portfolio and improve margins.
Future Volume Growth
Post de-bottlenecking, utilization headroom will be created for the next phase of volume growth.
High-Value Tender Targeting
Larger high-value defense tenders are targeted for July–August.
Thesis monitor
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| EBITDA Margin | 4.87% (FY26) | Reversal of margin compression and improvement towards previous levels (6.10% in FY25). |
| Subsidiary Performance | Arzol FZE profitable (₹3.14 lakhs PAT), Lavisa loss-making (₹6.53 lakhs loss) in FY26. | Arzol FZE achieving expected profitability from FY27 and Lavisa turning profitable. |
| Order Book Conversion | Active contracts with BHEL, MOIL, BEML, BRO Bhutan, ONGC. | Conversion of targeted high-value defense tenders and sustained growth in institutional orders. |
| Capacity Utilization | De-bottlenecking underway for small pack SKU filling. | Increased utilization rates post-expansion and sustained volume growth. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trust Score
62Limited evidence · low confidenceTrust Lite
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Limited evidence: Claim history is still being built. It ranks around the 35th percentile of the scored universe and 36th percentile within Power. Main check: cash conversion is weak at 28/100.
This is a financial-behaviour screen, not a claim-tested management reliability verdict.
Computed 05 Sept 2026
management-trust-v1
5 docs text-extracted · 3 concalls text-extracted
Score band
Limited evidence
Financial behaviour is scored, but management claims do not yet have enough outcome checks.
Relative rank
35th percentile
overall median 67 · Power: 36th pctile, median 65 · SME: 41st pctile, median 64
Evidence depth
Financial-only
5 documents have extracted text, but claim history is not strong enough yet.
Claim delivery
Outcome history still building
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Limited evidence · low confidenceWhat it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Acceptable, but check the weakest sub-score before increasing exposure.
Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Promoter
86
strong · holding, pledge, alignment
Cash flow
28
weak · profit to cash conversion
Balance sheet
73
acceptable · leverage and solvency
Discipline
68
acceptable · capital discipline
Results
63
acceptable · quarterly consistency
Trust positives
- ▸Promoter holding is 73.5%.
- ▸Promoter pledge is zero.
- ▸OPM spread across recent quarters is 2.3%.
Trust risks
- ▸Operating cash flow is negative at ₹-15 Cr.
- ▸Only 1 years of positive FCF.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Continue researching Arabian Petroleum Ltd.
Important announcements & filings
Latest exchange and company disclosures found within the past two years.
Open source ↗
Annual reportSep 2026
Sep 2026 · Shareholders meeting 4 Sep - AGM notice and FY2025-26 annual report issued; AGM on 28 September 2026 at 9:30 a.m.
Source: Nse
Investor presentationJun 2026
Jun 2026 · PPT
Source: Nse
Annual reportMar 2026
Mar 2026 · Annual Report 2026
Source: Nse
Concall transcriptJan 2026
Jan 2026 · Transcript
Source: Nse
Investor presentationDec 2025
Dec 2025 · PPT
Source: Nse
Concall transcriptDec 2025
Dec 2025 · Transcript
Source: Nse
Concall transcriptJun 2025
Jun 2025 · Transcript
Source: Nse
Investor presentationJun 2025
Jun 2025 · PPT
Source: Nse
Annual reportMar 2025
Mar 2025 · Annual Report 2025
Source: Nse
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.