The shares of the Mid-cap company, which specializes in manufacturing and marketing building materials, with a primary focus on polymer piping systems, but has diversified into other product categories, including adhesives, sealants, construction chemicals, paints, and bathware, are in focus following an analyst viewpoint on the stock after its Q2 results.
With a market capitalization of 41,770.01 Crores on Thursday, the shares of Astral Limited rose by upto 6.4 percent, reaching a high of Rs. 1568.05 compared to its previous close of Rs. 1467.55.
What Happened
Astral Limited, engaged in manufacturing and marketing building materials, with a primary focus on polymer piping systems, but has diversified into other product categories, including adhesives, sealants, construction chemicals, paints, and bathware, is in focus following an analyst viewpoint on the stock after its Q2 results.
Its Revenue from operations rose by 15 percent YoY from Rs. 1,370 Crores in Q2FY25 to Rs. 1,577 Crores in Q2FY26, and it rose by 15 percent QoQ from Rs. 1,361 Crores in Q1FY26 to Rs. 1,577 Crores in Q2FY26.
Its Net Profit YoY rose by 24 percent from Rs. 109 Crores in Q2FY25 to Rs. 135 Crores in Q2FY26, and it rose by 70 percent QoQ from Rs. 79.2 crores in Q1FY26 to Rs. 135 Crores in Q2FY26. The earnings per share (EPS) for the quarterly period stood at Rs. 5.02, compared to Rs. 3.02 in the previous quarter.
Analyst Viewpoint
UBS on Astral
UBS has maintained a “Buy” rating on Astral, setting a target price of Rs 1,800 with an upside potential of 23 percent from the previous day’s close. The company posted an impressive 20.6% year-on-year plumbing volume growth, marking the highest growth in six quarters and surpassing Supreme Industries for the first time in four quarters.
Astral also saw a significant margin expansion, with a 60 basis point increase year-on-year and 260 basis points quarter-on-quarter. The company’s performance in Paints and Adhesives was robust, while its UK business saw a notable margin improvement, rising to 7.3%.
Company Overview & Others
Astral Limited is an Indian building materials company that started by manufacturing polymer piping systems and has since diversified into products like adhesives, sealants, bathware, water tanks, and paints. Known for innovation and quality, it serves residential, commercial, and industrial sectors through a vast dealer network across India, with manufacturing facilities in India, the UK, and the US.
The company is financially strong, with a Return on Capital Employed (ROCE) of 19.7% and a Return on Equity (ROE) of 14.9%, indicating efficient use of its capital and equity. Additionally, the company maintains a healthy dividend payout of 19.4%, reflecting a strong balance between profitability and shareholder returns.
The company’s total income from operations for the quarter ending September 30, 2025, was Rs. 1577.4 crores, showing a YoY increase from Rs. 1370.4 crores in the same quarter of 2024. The Plumbing segment grew from Rs. 966.4 crores to Rs. 1,118.6 crores, while the Paints and Adhesives segment saw an increase from Rs. 404 crores to Rs. 458.8 crores.
Written by Sridhar J
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