Credit rating
Announcement under Regulation 30 (LODR)-Credit Rating 23 Sep - ICRA rated Solar Industries’ Rs500 crore commercial paper [ICRA]A1+; notes proposed $1.35 billion Omnia acquisition.
Source: Bse
Solar Industries India Limited (SOLARINDS)
Large CapChemicals stocks · Large cap · NSE
Solar Industries India Limited is a global manufacturer of industrial explosives and defense products. This call discusses the proposed acquisition of Omnia Holdings Limited, a South African diversified mining and agritech company, aimed at creating an integrated global platform for commercial explosives and blasting solutions.
Data qualityFresh enough for analysisQuote updated 19 Oct, 03:31 pm ISTDetails
Quote19 Oct, 03:31 pm IST
Base fundamentals14 Oct 2026 · screener
Latest result13 Aug, 02:33 pm IST
Score20 Oct, 04:30 am IST · v4.3-runtime-valuation
Tags04 Oct 2026
Coverage13/14 · 93%
Valuation2026-07-20 · Rf 6.8% · Chemicals P/E 33.1 (n=45)
Technical timing lens
Trend score and candlestick chart
50NeutralSMA20 -4.0% / mo · MACD + · sector -4.2pp vs Nifty 500 (3M)
Stock trend: 52
Sector RS: 46
Sector 3M: -9.8% vs Nifty 500 -5.6%
Chemicals FPI tailwindNot confirmed
Latest mapped FPI equity flow was not positive. View sector evidence
Technical chart
SOLARINDSD candles · FIT view+31.5%Latest close ₹19803.00 on 2026-10-19
Bar
-1.2%
RSI
49
MACD hist
27.67
52W pos
74%
2026-10-19O ₹20048.00H ₹20086.00L ₹19700.00C ₹19803.00Vol 91,543 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
SOLARINDSNifty ChemicalsNifty 500
- SOLARINDS
- +4.1%
- Nifty 500
- -5.6%
- Nifty Chemicals
- -8.5%
- Vs Nifty 500
- +9.6 pp
Chart stats
19 Oct 2026- From 52W high
- -12.8%
- 52W range position
- 74%
- ATR (14)
- 2.9%
- Volume vs 20D
- 0.52x
- Avg traded value
- ₹335 Cr
- 20D price channel
- ₹18,650 - ₹20,398
₹22,700
₹11,646 - ₹22,700
₹571.1
Latest completed session
20-session average
35.0% annualized volatility
Research snapshot
What the evidence says now
Mixed fundamentals, management evidence is still limited to a financial-only Trust Lite signal, price trend is neutral, and recent execution is consistent.
Suggested next step
Research, do not rush
The evidence is not strongly aligned. Compare peers and wait for a cleaner setup.
U-Score
Legacy · FAIR VALUE56
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
Latest result
Excellent100
Revenue +70.3% · PAT +88.7% YoY
Technical
Neutral50
Price trend and sector-relative-strength timing.
Valuation
Legacy model-100.0%
Legacy margin-of-safety estimate; the revised evidence label remains in shadow validation.
Trust
Limited evidence86
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 30 Jun 2026
Excellent · 100/100Rev +70% YoY · PAT +89% YoY · margin expansion · +20% QoQ · operating leverage
Filed 13 Aug 2026
Open results browser →| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹3,668 Cr | +70.3% | +20.1% |
| EBITDA | ₹1,015 Cr | +89.7% | +22.9% |
| Operating margin | 28.0% | +300 bps | +100 bps |
| PAT | ₹666 Cr | +88.7% | +19.8% |
| PAT margin | 18.2% | +177 bps | -5 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Fundamentals
Valuation
- P/E
- 91.20
- P/B
- 28.94
- EV/EBITDA
- 54.24
- Market Cap
- 181587.00Cr
Profitability
- ROE
- 32.60%
- ROCE
- 38.10%
- ROA
- 16.18%
- Dividend Y
- 0.05%
Growth (CAGR)
- Revenue 5Y
- 31.00%
- EPS 5Y
- 45.00%
- Revenue 3Y
- 12.00%
- EPS 3Y
- 30.00%
Balance Sheet
- Debt/Equity
- 0.24
- Interest Coverage
- 20.95×
- Altman Z
- 9.04
- Book Value
- 694.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 9/5
- OCF
- 621.00 Cr
- EPS TTM
- 220.06
Shareholding
- Promoter Hold
- 73.15%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 76%
Financial History
Updated 20/10/2026
Revenue
₹ CrLatest: 5,579+25.2% vs prev
Net Profit
₹ CrLatest: 1,222+52.2% vs prev
Return on Equity
%Latest: 28.9+10.4% vs prev
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
Bearish setupTrend is weak — long-term uptrend intact. RSI 49.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 falling (~4.2% over last month) — short-term momentum negative.
- RSI(14) at 49 — falling, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 13% off 52W high · 70% 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
92
RS percentile
Stage 2 UptrendEstablished S2
1M return
+6.7%
3M return
+4.1%
6M return
+29.7%
1Y return
+43.0%
RS 1D
0
RS 20D
+7
Sector rank
#13
Industry rank
-
Stage evidence
- Price is 11.2% above the 30-week proxy.
- The 50-DMA is above the 30-week proxy and its slope is rising +4.5%.
- Both 3-month and 6-month returns are positive.
50-DMA
price below
200-DMA
price above
S2 entered
30 Apr 2026
S2 age
121 trading sessions
Sector
neutral
Industry
unranked
Relative-strength line vs Nifty 500 (base 100)
262 observations
19 Oct 2026Value 148.24-0.01%
RS vs Nifty 500148
Valuation & peers
U-Score 56 · legacy U-Score band FAIR VALUE · valuation evidence and comparable companies
Valuation & peers
U-Score 56 · legacy U-Score band FAIR VALUE · valuation evidence and comparable companies
Premium Compounder
Fundamental score breakdown
U band · FAIR VALUEValuation0/30
Growth17/25
Quality20/20
Balance Sheet10/15
Cash Flow4/10
Piotroski
8/9 (+5)
Penalties
0
Raw sum
56
Why this score?
Top U-Score contributors and drags from the latest stored fundamentals.
56/100 · legacy band FAIR VALUE
Positive drivers
- Piotroski is strong at 8/9.
- Quality contributes 20/20 to the score.
- Growth contributes 17/25 to the score.
Main drags
- Fair-value margin of safety is negative at -100.0%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Cash flow is weaker at 4/10; 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
91.2
PB
28.9
EV/EBITDA
54.2
ROE
32.6%
ROCE
38.1%
FCF Yield
—
Debt/Equity
0.2
MoS
-100.0%
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
56
Previous: 56
Legacy U-Score band
FAIR VALUE
Previous: FAIR VALUE
Margin of safety
-100.0%
Previous: -100.0%
Score history
12 stored score snapshots. Latest stored move: +0 points.
20 Oct 2026
v4.3-runtime-valuation
56
56
56
56
56
56
56
56
56
56
56
56
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
₹1,853.71
-968.3% MoS
Growth-justified P/E
45.0
Growth-justified Value
₹9,902.7
-100.0% MoS
PEG
2.34
Comparable companies
Peers
Business-comparable peers in Chemicals — 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
FLUOROCHEM
Large
Gujarat Fluorochemicals Limited
Specialty Chemicals
match 89
36
82.2
7.8%
-80%
WATCHLIST
JUBLINGREA
Large
Jubilant Ingrevia Limited
Specialty Chemicals
match 88
51
32.0
9.5%
+28%
FAIR VALUE
SUMICHEM
Large
Sumitomo Chemical India Limited
Fertilizers & Agrochemicals
match 88
44
35.3
16.2%
-73%
WATCHLIST
PARADEEP
Large
Paradeep Phosphates Limited
Fertilizers & Chemicals
match 87
72
13.8
16.2%
+71%
UNDERVALUED
BAYERCROP
Large
Bayer Cropscience Limited
Agrochemicals
match 86
26
327.0
15.8%
-5483%
OVERVALUED
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 intactReviewed 2026-10-13T08:42:32.142Z
Management commentary snapshot
Solar Industries announces proposed acquisition of Omnia Holdings Limited to create a global explosives and blasting solutions platform, targeting significant revenue and EBITDA growth by FY28.
The proposed acquisition of Omnia Holdings is a transformational step for Solar Industries, significantly expanding its global footprint, manufacturing capabilities, and vertical integration in the explosives sector. Management's confidence in funding via debt and internal accruals, while maintaining defense capex, suggests a strong strategic rationale.
Growth engines
Global Explosives & Blasting Solutions
The acquisition aims to 'create a most integrated global platform for commercial explosives and blasting solutions' and become a 'leading global explosives and mining solutions provider'.
Vertical Integration of Raw Materials
Omnia's integrated manufacturing infrastructure, including nitric acid and ammonium nitrate facilities, will 'significantly strengthen the vertical integration' and supply chain.
Geographical Expansion & Market Reach
The transaction enhances scale, market access, and competitive positioning across Africa and other international markets, expanding presence to over 100 countries.
Agritech & Biological Solutions
Omnia's agriculture segment, with its technology-driven crop nutrition and AgriBio solutions, provides a 'compelling platform' and complementary business vertical.
Capacity and execution
Ammonium Nitrate Storage
Omnia recently expanded its ammonium nitrate storage infrastructure with a new 5,000-ton tank, doubling its storage capacities.
Manufacturing Footprint
The combined entity's manufacturing presence will expand from 11 countries to 25+ countries.
Tailwinds
Integrated Global Platform
The acquisition creates 'one of the largest and most integrated explosives and blasting solution platform globally'.
Enhanced Market Reach & Access
Expanded manufacturing capabilities and market reach will provide access to 'strategically important mining jurisdictions'.
Improved Cost Competitiveness
Vertical integration through Omnia's AN facilities will 'reinforce Solar Group's long-term cost competitiveness across the explosives value chain'.
Technology & Operational Efficiencies
The acquisition is expected to 'drive commercial growth and operational efficiencies through technology innovation' and advanced blasting solutions.
Risk radar
Integration Challenges
Management acknowledges 'managing the people, managing the country risk is definitely a risk factor' with global expansion.
Country-Specific Risks
Operating in diverse geographies introduces 'country risk', which the company has experience managing over the past 15-20 years.
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
This call focuses on a proposed acquisition and forward-looking financial projections for FY28, rather than current period results. Therefore, traditional YoY or QoQ comparisons for performance metrics are not applicable. However, the strategic impact and future financial targets are discussed.
Sector KPIs management disclosed
Market Access & Distribution
Management states distribution presence will increase from 90 to over 100 countries, and manufacturing presence will expand from 11 to 25+ countries post-acquisition.
Vertical Integration & Cost Competitiveness
Omnia's nitric acid and ammonium nitrate production facilities are expected to strengthen vertical integration, enhance security of supply, and reinforce long-term cost competitiveness.
EBITDA Margin Potential
Management sees 'a lot of headroom in enhancing the margins into the explosive business' for the combined entity, noting BME's current 13-14% EBITDA margins.
Export Potential
The acquisition is expected to 'help us in even increasing exports from India to that region and even other portions of the global markets'.
Management forward view
FY28 Financial Projections
Management projects combined revenue of INR 31,000-32,000 crores and EBITDA of INR 6,800-7,000 crores by FY28, without full synergy benefits.
Debt Management Strategy
The acquisition will be funded through debt and internal accruals, with management confident that net debt will not exceed two times EBITDA by FY28.
Continued Defense Focus
Management asserts that capital allocation for the defense vertical 'will not go down. Rather, as we move forward, it is going to go up and up'.
Agritech Business Strategy
The company has 'no intention as of now to expand agriculture business into the Indian market' but will utilize Omnia's knowledge-based products globally.
Thesis monitor
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Consolidated Revenue (FY28) | INR 31,000-32,000 crores (management estimate) | Achieving combined revenue target post-integration and market expansion. |
| Consolidated EBITDA (FY28) | INR 6,800-7,000 crores (management estimate) | EBITDA margin expansion and realization of synergy benefits from vertical integration and operational efficiencies. |
| Net Debt/EBITDA (FY28) | Below 2x (management target) | Maintaining leverage below 2x EBITDA while funding the acquisition and ongoing defense capex. |
| Defense Capex Program | INR 12,000 crores program announced two years prior, 'working aggressively' | Continued aggressive capital allocation and product development in the defense vertical as committed. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
capex timelinenot yet verifiablequantified
The company plans a capital expenditure of Rs. 2,050 Cr in FY27.
Timeframe: FY27Direction: increase
"Capex 1556 2050"
capex timelinenot yet verifiablequantified
The company plans a capital expenditure of Rs. 2,050 Cr in FY27.
Timeframe: FY27Direction: increase
"Capex 1556 2050"
order inflownot yet verifiablequantified
The company has an order book of over Rs. 21,300 Cr for CIL, SCCL, and Defence segments.
Timeframe: Future (as orders will be executed)
"Order Book Status CIL & SCCL Defence Rs. 21300 Cr+"
order inflownot yet verifiablequantified
The company has an order book of over Rs. 21,300 Cr for CIL, SCCL, and Defence segments.
Timeframe: Future (as orders will be executed)
"Order Book Status CIL & SCCL Defence Rs. 21300 Cr+"
revenue outlooknot yet verifiablequantified
The company expects to achieve a revenue of Rs. 14,000 Cr in FY27.
Timeframe: FY27Direction: increase
"Revenue 9838 14000"
revenue outlookdeliveredquantified
The company expects to achieve a revenue of Rs. 14,000 Cr in FY27.
Timeframe: FY27Direction: increase
"Revenue 9838 14000"
Outcome check: Revenue YoY averaged 70.3% across 1 later quarter(s).
Trust Score
86Limited 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: Management has 100% delivered/partly-delivered outcomes on 1 checked claims. It ranks around the 99th percentile of the scored universe and 100th percentile within Chemicals. No major sub-score weakness stands out.
This is a financial-behaviour screen, not a claim-tested management reliability verdict.
Computed 20 Oct 2026
management-trust-v1
126 docs text-extracted · 39 concalls text-extracted
Score band
Limited evidence
Financial behaviour is scored, but management claims do not yet have enough outcome checks.
Relative rank
99th percentile
overall median 67 · Chemicals: 100th pctile, median 73 · Large: 96th pctile, median 73
Evidence depth
Financial-only
126 documents have extracted text, but claim history is not strong enough yet.
Claim delivery
100% delivered or partly delivered
1/3 claims checked · 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
Can support position sizing if valuation and trend also agree.
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
98
strong · capital discipline
Results
95
strong · quarterly consistency
Trust positives
- ▸Promoter holding is 73.2%.
- ▸Promoter pledge is zero.
- ▸9 years of positive FCF.
- ▸ROCE is 38.1%.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Continue researching Solar Industries India Limited
Important announcements & filings
Latest exchange and company disclosures found within the past two years.
Open source ↗
Credit rating
Announcement under Regulation 30 (LODR)-Credit Rating 22 Sep - CRISIL placed Solar Industries' Rs1,479.5 crore loans and Rs35 crore NCDs on watch developing after Omnia acquisition.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Press Release / Media Release 14 Sep - Solar SA proposes all-cash acquisition of Omnia Holdings for ₹12,951 crores, subject to approvals.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation 14 Sep - Intimation of Conference Call under SEBI (LODR) Regulations, 2015.
Source: Bse
Annual report
Annual Report 2026
Source: Bse
Annual report
Annual Report 2025
Source: Bse
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.