IP
IndiaPulse

Thermax Limited (THERMAX)

Large Cap

Industrials stocks · Large cap · NSE

Thermax Limited is a global provider of sustainable solutions in energy and environment, with 18 manufacturing locations (14 in India, 4 international) and sales/service in 30+ countries. It reported Rs. 10,694 crore revenue and 7,854 employees globally.

₹3,637.6
-96.30 · -2.58%
Quote04 Sept, 03:58 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage13/14 · 93%
Valuation2026-07-20 · Rf 6.8% · Industrials P/E 26.4 (n=540)
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 argues for patience, and recent execution is weak.

Suggested next step
Research, do not rush
The four lenses are not strongly aligned. Compare peers and wait for a cleaner setup.
U-Score
OVERVALUED
29

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

Trust
Healthy Trust
72

low confidence · 0/0 claims checked

Technical
Bearish
39

Timing lens: price trend and sector relative strength.

Result consistency
mixed
53

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

Latest result

Quarter ended 30 Jun 2026

Bad · 0/100

PAT -85% YoY · margin compression · Rev +7% YoY

Filed 30 Jul 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹2,303 Cr+6.7%-32.8%
EBITDA₹69 Cr-69.3%-81.6%
Operating margin3.0%-700 bps-800 bps
PAT₹22 Cr-85.4%-91.0%
PAT margin1.0%-604 bps-616 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 intactReviewed 2026-06-13T09:23:36.058Z
Management commentary snapshot

Q4 FY26 order booking surged 112% YoY to Rs. 4,490 crore, driven by a large thermal power plant order. YTD order booking grew 34% to Rs. 13,871 crore. Revenue increased 13% YoY in Q4 to Rs. 3,428 crore, with PAT up 18% to Rs. 244 crore. YTD revenue grew 3% to Rs. 10,694 crore, PAT up 15% to Rs. 720 crore.

Thermax demonstrated robust Q4 order booking, significantly boosted by a large power project, and improved profitability in Industrial Products and Infra. While Chemicals and Green Solutions faced margin pressures, the overall order book and execution momentum appear healthy, supporting the long-term thesis.

Current business mix

Order Book by Sector (Q4 FY26)

Latest issuer-disclosed distribution across 7 reported categories.

Businessmix
Power42.0%
Food & Beverages9.0%
Chemicals7.0%
Metals & Mining7.0%
Engineering7.0%
Data Centres2.0%
Others26.0%
Growth engines

Thermal Power Projects

Secured a Rs. 1,600 crore boiler package order for a 1x800 MW ultra supercritical thermal power plant in Central India.

Data Centres

Secured breakthrough order of multiple hot water driven chillers (45,000 TR combined capacity) for a large data centre in the USA.

Waste-to-Energy Solutions

Commissioned a 1x40 TPH waste-to-energy boiler in North India, operating on 100% RDF, NRSW, and biomass.

CBG Production

Achieved ~8,000 tonnes of CBG production in Q4 FY26 (19,400+ tonnes YTD), commissioning Reliance Akola and Nanded plants.

Capacity and execution

CBG Plants Commissioned

Commissioned Reliance Akola and Nanded plants, thereby completing all 14 existing plants.

Jafrabad Hybrid Project Progress

9 of 21 WTGs installed, 40.8 MWp of 69.5 MWp module installation completed, EHV line and PSS charging completed.

Tailwinds

Manufacturing PMI

India's manufacturing PMI remained in expansionary territory through Q4 FY26 (mid-50s), indicating sustained factory growth.

Data Centres as New Sector

Data Centres are continuing as a new sector with tremendous future potential.

Green Solutions Demand

Breakthrough in community steam solutions with an order win for 2x30 TPH biomass boilers for a food park in Gujarat.

Headwinds

Input Commodity Prices Volatility

High volatility in input commodity prices (steel up ~20–25%, non-ferrous metals) due to geopolitical instability and USD appreciation.

Raw Material Cost Escalation

Faced raw material cost escalation due to West Asia geopolitical risks in the chemicals segment.

Weakened Demand Outlook

Weakened demand outlook in the ceramic segment.

Middle East War Impact

The Middle East war impact will affect most industries in the short-medium term.

Risk radar

Project Overrun Costs

Green Solutions business incurred project overrun costs during the quarter, impacting margins.

Product Mix Impact on Margins

Industrial Products segment performance lower due to product mix. Chemicals segment profitability lower due to higher input costs and change in product mix.

Geopolitical Risks

Middle East crises caused supply disruptions and raw material volatility, impacting chemicals.

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 essential for understanding seasonal business cycles and long-term growth trends in project-based industrial segments. QoQ comparison provides insight into sequential momentum, project execution, and immediate operational efficiency changes.

Sector KPIs management disclosed

Order Booking (Q4 FY26)

Rs. 4,490 crore (112% YoY growth)

Order Booking (YTD Mar 26)

Rs. 13,871 crore (34% YoY growth)

Order Balance (Q4 FY26)

Rs. 13,604 crore (27% YoY growth)

Revenue (Q4 FY26)

Rs. 3,428 crore (13% YoY growth)

Management forward view

Stakeholder Value Commitment

Board recommended a dividend of Rs. 14/share for FY25-26 and a special dividend of Rs. 6/share for 60th anniversary.

Enhanced Digital Presence

Launched new Thermax Chemicals and Thermax Global websites to strengthen digital presence and customer engagement.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
Order InflowQ4 FY26 OB Rs. 4,490 crore (112% YoY).Sustained high order booking, especially from non-power segments and new sectors like data centers.
Segment ProfitabilityIndustrial Infra PBIT % improved to 6.5% (Q4 FY26).Improvement in Green Solutions and Chemicals segment profitability and stable margins in Industrial Products.
Project ExecutionJafrabad hybrid project reaching advanced stage, CBG plants commissioned.Timely commissioning and ramp-up of large projects and new capacity.
Input Cost ManagementMitigated supply disruptions through price revisions and supply assurance in chemicals.Ability to pass on increased input costs and manage raw material volatility.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

39Bearish

SMA20 -10.2% / mo · RSI oversold · MACD −

Stock trend: 33
Sector RS: 48
Sector 3M: -1.6% vs Nifty -1.5%

Technical chart

THERMAXdaily · 1Y · AUTO+18.7%
Latest close ₹3637.60 on 2026-09-04
Bar
-2.7%
RSI
25
MACD hist
-14.82
52W pos
35%
2026-09-04O ₹3739.00H ₹3765.60L ₹3617.00C ₹3637.60Vol 2.6L sh
₹2.89k₹3.52k₹4.14k₹4.77k₹5.39k52H3637.602026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Bearish setup

Trend is weak — long-term trend down. RSI 25.

  • Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
  • SMA20 falling (~11.4% over last month) — short-term momentum negative.
  • RSI(14) at 25 — oversold zone; bounce conditions.
  • MACD below signal, histogram expanding negatively — bearish momentum building.
  • 31% off 52W high · 33% 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

56
RS percentile
Stage 1 Base / Transition
1M return
-10.4%
3M return
-23.3%
6M return
+14.9%
1Y return
+9.6%
RS 1D
-5
RS 20D
-23
Sector rank
#2
Industry rank
#8
Stage evidence
  • Price is 9.7% below the 30-week proxy without full trend alignment.
  • The 30-week proxy changed +3.6% over 20 sessions.
  • The moving-average structure does not confirm Stage 2 or Stage 4.
50-DMA
price below
200-DMA
price below
Sector
leading
Industry
neutral
Relative-strength line vs Nifty 500 (base 100)
264 observations
04 Sept 2026Value 107.05-2.58%
7797117137157Aug 25Dec 25Apr 26Sept 26107
RS vs Nifty 500107

Valuation & score drivers

U-Score 29 · OVERVALUED · pillar breakdown, sector model, fair-value anchor

29U-SCORE
OVERVALUED

Fundamental score breakdown

OVERVALUED
Valuation0/30
Growth10/25
Quality2/20
Balance Sheet8/15
Cash Flow4/10
Piotroski
8/9 (+5)
Penalties
0
Raw sum
29

Why this score?

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

29/100 · OVERVALUED

Positive drivers

  • Piotroski is strong at 8/9.
  • Balance sheet contributes 8/15 to the score.
  • Growth contributes 10/25 to the score.

Main drags

  • Fair-value margin of safety is negative at -84.4%.
  • Valuation is weaker at 0/30; verify the latest quarterly trend.
  • Quality is weaker at 2/20; verify the latest quarterly trend.
Sector valuation model

Blended valuation: PE, EV/EBITDA, FCF yield, and balance-sheet checks

For this sector, IndiaPulse uses a blended lens rather than relying on a single valuation ratio.

Blended relative
Primary lens
PE, EV/EBITDA, margin of safety, and FCF yield together.
Secondary checks
ROE/ROCE, growth, cash conversion, leverage, promoter risk.
Main risk check
One cheap metric is not enough if quality or cash flow is weak.
PE
78.8
PB
7.8
EV/EBITDA
42.0
ROE
10.6%
ROCE
13.9%
FCF Yield
Debt/Equity
0.4
MoS
-84.4%
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
29
Previous: 29
Verdict
OVERVALUED
Previous: OVERVALUED
Margin of safety
-84.4%
Previous: -84.4%

Score history

12 stored score snapshots. Latest stored move: +0 points.

05 Sept 2026
v4.3-runtime-valuation
27
27
29
29
29
29
29
29
29
29
29
29

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
₹722.6
-403.4% MoS
Growth-justified P/E
39.6
Growth-justified Value
₹1,972.08
-84.4% MoS
PEG
5.79

Trust score

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

Trust Score
72Healthy 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.

Healthy Trust: Claim history is still being built. It ranks around the 69th percentile of the scored universe and 67th percentile within Industrials. Main check: results consistency is weak at 53/100.

Healthy Trust Lite: Promoter holding is 62%. Key concern: 2 latest quarters had PAT decline worse than 25% YoY.

Computed 05 Sept 2026
management-trust-v1
75 docs text-extracted · 16 concalls text-extracted
Score band
Healthy Trust

Generally investable credibility. Look for weak sub-scores before increasing position size.

Relative rank
69th percentile

overall median 67 · Industrials: 67th pctile, median 68 · Large: 47th pctile, median 73

Evidence depth
Financial-only

75 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

Healthy 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
60
acceptable · capital discipline
Results
53
watch · quarterly consistency

Trust positives

  • Promoter holding is 62%.
  • Promoter pledge is zero.
  • 7 years of positive FCF.
  • 3/4 latest quarters had positive YoY revenue growth.

Trust risks

  • 2 latest quarters had PAT decline worse than 25% YoY.

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
78.80
P/B
7.81
EV/EBITDA
42.00
Market Cap
43344.00Cr

Profitability

ROE
10.60%
ROCE
13.90%
ROA
4.46%
Dividend Y
0.38%

Growth (CAGR)

Revenue 5Y
18.00%
EPS 5Y
18.00%
Revenue 3Y
10.00%
EPS 3Y
7.00%

Balance Sheet

Debt/Equity
0.42
Interest Coverage
6.04×
Altman Z
5.15
Book Value
466.00

Cash Flow

FCF Yield
FCF Positive Y
7/5
OCF
542.00 Cr
EPS TTM
49.80

Shareholding

Promoter Hold
61.99%
Promoter Pledge
0.00%
Momentum 52W
35%

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 Industrials, 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.