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IndiaPulse

Laxmi Organic Industries Limited (LXCHEM)

Micro Cap

Chemicals stocks · Micro cap · NSE

Laxmi Organic Industries Ltd. is a leading Indian chemical company with 50+ products, 700+ active customers, and 4 manufacturing sites, serving 55+ countries. It operates in Essentials (e.g., Ethyl Acetate, Acetic Anhydride) and Specialties (e.g., Ketene/Diketene, Fluorination) segments, emphasizing R&D and sustainable practices.

₹172.04
-3.54 · -2.02%
Quote04 Sept, 03:59 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags15 Aug 2026
Coverage13/14 · 93%
Valuation2026-07-20 · Rf 6.8% · Chemicals P/E 34.2 (n=45)
Data confidence
Fresh enough for analysis
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Weak fundamentals, management trust is acceptable, price trend is neutral, and recent execution is weak.

Suggested next step
Check latest quarters
Result consistency is weak; verify whether the thesis is improving or deteriorating.
U-Score
OVERVALUED
26

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
Mixed Trust
63

low confidence · 0/0 claims checked

Technical
Neutral
50

Timing lens: price trend and sector relative strength.

Result consistency
weak
34

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Excellent · 100/100

Rev +40% YoY · PAT +224% YoY · margin expansion · +32% QoQ · operating leverage

Filed 29 Jul 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹968 Cr+39.7%+31.7%
EBITDA₹114 Cr+267.7%+111.1%
Operating margin12.0%+760 bps+500 bps
PAT₹68 Cr+223.8%+209.1%
PAT margin7.0%+399 bps+403 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis under stressReviewed 2026-06-10T07:23:52.420Z
Management commentary snapshot

Q4FY26 revenue grew 4% YoY, but PAT declined 1% YoY. For FY26, revenue declined 5% YoY, and PAT dropped 30% YoY. Adjusted EBITDA margins compressed significantly YoY for both Q4 and FY26.

While Q4FY26 showed sequential profitability improvement, full-year FY26 results indicate significant revenue and profit contraction. The company attributes Q4 revenue growth to higher price realizations, but overall margins are under pressure. Management's mention of a 'subdued chemical environment' suggests external challenges impacting performance.

Current business mix

Revenue by Segment (FY26)

Latest issuer-disclosed distribution across 2 reported categories.

Businessmix
Essentials75.0%
Specialties25.0%
Growth engines

Strategic Acquisitions

Foray into fluorospecialties, acquired Ketene/Diketene business, acquired know-how of pigment derivatives.

New Products

Achieving >20%+ Revenue Contribution from New Products launched in last 5 years.

Customer Centricity

Strategic shift to Customer Centric Business Approach helped gain market and increase wallet share.

Fluorine Assets

Fluorine assets started delivering revenue in FY26.

Capacity and execution

Dahej Site 4 Commissioning

CTO received for production (first phase) and commercial delivery started in Q3FY26. Chemical charging expected in Q1FY27.

Dahej Site 4 Approvals

Inorganic EC received (May 2024), Organic CTE received (June 2024), EC and Factory License received (Q1FY26).

Tailwinds

Biobased Products Readiness

Essentials strategy includes being 'Future ready for biobased products'.

Sustainability Certifications

ISCC Plus Certification audit successfully completed at Site 4 without non-conformity.

Headwinds

Subdued Chemical Environment

Company gained market share 'even during the subdued chemical environment'.

Inflationary Pressures

Disclaimer mentions 'inflationary pressures and general economic conditions affecting demand / supply and price conditions in domestic and international markets'.

Risk radar

Fiscal Policy & Competition

Disclaimer mentions 'risks and uncertainties regarding fiscal policy, competition'.

Demand/Supply & Price Conditions

Disclaimer mentions 'general economic conditions affecting demand / supply and price conditions in domestic and international markets'.

Management accountability

What management said, and what results must prove

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

YoY comparison is crucial to assess annual performance and account for seasonality in the chemical industry. QoQ comparison is important to track sequential momentum, especially given the stated 'improvement in Profitability on sequential basis' in Q4FY26.

Sector KPIs management disclosed

Gross Margin

Q4FY26 Gross Margin 33.6% (-100 bps YoY), FY26 Gross Margin 32.9% (-190 bps YoY).

Revenue Growth Driver

Q4FY26 revenue growth 'mainly driven by higher price realizations'.

Market Share (Essentials)

Management aims to 'Retain India market share' and 'Grow exports'.

Cost Leadership (Essentials)

Achieved through 'Raw Material, logistics' and 'Operational efficiencies'.

Management forward view

Strategic Shift

Pivoted for the next growth phase with a strategic shift to a customer-centric business approach.

Essentials Strategy

Grow in existing products, enter new products, retain India market share, grow exports, focus on operational efficiencies.

Specialties Strategy

Expand & optimize incumbents, enter new products, grow market share, focus on global customers, improve cost leadership.

New Product Sales Target

Aim to have minimum 20% sales from new products in Specialties.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
Specialties Revenue Growth-18% YoY in FY26Recovery and growth in Specialties segment, especially from new products and fluorine assets.
EBITDA MarginFY26 EBITDA Margin 6.0% (-330 bps YoY)Improvement in EBITDA margins, indicating better cost control and pricing power.
Dahej Capacity Ramp-upCTO received, commercial delivery started Q3FY26, chemical charging Q1FY27Timely commissioning and utilization ramp-up of Dahej facilities.
New Product Contribution>20% revenue from new products (last 5 years)Continued strong contribution from new products, especially in Specialties.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

50Neutral

SMA20 -3.8% / mo · MACD −

Stock trend: 45
Sector RS: 57
Sector 3M: +0.0% vs Nifty -1.5%

Technical chart

LXCHEMdaily · 1Y · AUTO+47.3%
Latest close ₹172.04 on 2026-09-04
Bar
-1.4%
RSI
49
MACD hist
-0.30
52W pos
48%
2026-09-04O ₹174.40H ₹176.46L ₹171.70C ₹172.04Vol 4.2L sh
₹102.79₹129.25₹155.70₹182.16₹208.6152L172.042026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Mixed signals

Signals are conflicting — long-term uptrend intact. RSI 49. Wait for confirmation.

  • Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
  • SMA20 falling (~4.0% over last month) — short-term momentum negative.
  • RSI(14) at 49 — rising, no extreme reading.
  • MACD below signal but histogram contracting — bearish momentum easing.
  • 29% off 52W high · 60% 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.

Valuation & score drivers

U-Score 26 · OVERVALUED · pillar breakdown, sector model, fair-value anchor

26U-SCORE
OVERVALUED

Fundamental score breakdown

OVERVALUED
Valuation2/30
Growth4/25
Quality0/20
Balance Sheet11/15
Cash Flow4/10
Piotroski
7/9 (+5)
Penalties
0
Raw sum
26

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

26/100 · OVERVALUED

Positive drivers

  • Piotroski is strong at 7/9.
  • Balance sheet contributes 11/15 to the score.
  • Cash flow contributes 4/10 to the score.

Main drags

  • Fair-value margin of safety is negative at -837.9%.
  • Quality is weaker at 0/20; verify the latest quarterly trend.
  • Valuation is weaker at 2/30; 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.

Cyclical normalized
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
38.0
PB
2.4
EV/EBITDA
15.8
ROE
4.1%
ROCE
4.7%
FCF Yield
Debt/Equity
0.3
MoS
-837.9%
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: 05 Sept 2026
v4.3-runtime-valuation
Final score
26
Previous: 26
Verdict
OVERVALUED
Previous: OVERVALUED
Margin of safety
-837.9%
Previous: -837.9%

Score history

12 stored score snapshots. Latest stored move: -1 points.

05 Sept 2026
v4.3-runtime-valuation
26
26
27
27
26
25
27
27
27
27
27
26

Factor attribution

No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.

Modelled fair value

Graham Number
₹85.52
-101.2% MoS
Growth-justified P/E
4.0
Growth-justified Value
₹18.34
-837.9% MoS
PEG

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
63Mixed Trust · 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.

Mixed Trust: Claim history is still being built. It ranks around the 38th percentile of the scored universe and 23rd percentile within Chemicals. Main check: financial discipline is weak at 30/100.

Healthy Trust Lite: Promoter holding is 69.3%. Key concern: ROCE is low at 4.7%.

Computed 05 Sept 2026
management-trust-v1
90 docs text-extracted · 35 concalls text-extracted
Score band
Mixed Trust

Usable, but needs evidence. Treat guidance with a margin of safety.

Relative rank
38th percentile

overall median 67 · Chemicals: 23rd pctile, median 73 · Micro: 21st pctile, median 73

Evidence depth
Financial-only

90 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

Mixed Trust · low confidence
What 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
67
acceptable · profit to cash conversion
Balance sheet
89
strong · leverage and solvency
Discipline
30
weak · capital discipline
Results
34
weak · quarterly consistency

Trust positives

  • Promoter holding is 69.3%.
  • Promoter pledge is zero.
  • 6 years of positive FCF.

Trust risks

  • ROCE is low at 4.7%.
  • ROE is low at 4.1%.
  • ROCE trend is -2.9%.
  • 1/4 latest quarters had positive YoY PAT growth.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
38.00
P/B
2.40
EV/EBITDA
15.85
Market Cap
4781.00Cr

Profitability

ROE
4.11%
ROCE
4.72%
ROA
3.66%
Dividend Y
0.17%

Growth (CAGR)

Revenue 5Y
10.00%
EPS 5Y
-9.00%
Revenue 3Y
1.00%
EPS 3Y
-14.00%

Balance Sheet

Debt/Equity
0.28
Interest Coverage
12.14×
Altman Z
3.97
Book Value
71.60

Cash Flow

FCF Yield
FCF Positive Y
6/5
OCF
175.00 Cr
EPS TTM
4.54

Shareholding

Promoter Hold
69.34%
Promoter Pledge
0.00%
Momentum 52W
49%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in Chemicals, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.