Top Glass Stocks in India: Glass is one of the most useful materials in our daily life. It has been produced for thousands of years now. Over time many countries have joined the race across centuries. Today in India to we see quite a lot of competition as many companies have started producing various products using glass.
In this article, we will take a look at the glass industry and analyze the top glass stocks in India. Keep reading to find out!
Table of Contents
Glass Manufacturing Industry – An overview
The Indian glass industry represents one of the largest markets in terms of manufacturing capacity for glass products in Asia. The industry is majorly categorized into four segments.
The container glass is the largest segment that comprises glass products used for packaging. It is followed by specialty glass used in electronics and optical lenses.
The Indian flat glass market was valued at over USD 2 billion in 2020. The market is projected to grow at a CAGR of more than 4% over the next 5 years. The flat glass industry accounts for around 16% of total global glass production. The Indian glass container market is also estimated to be around USD 1.1 Billion in the coming years.
In the future, one of the key drivers of the industry can be the widespread adoption of glass. In recent times, laminated glass, tempered glass, and value-added glass have gained popularity. This can be attributed to its durability, easy installation, high resistance, and low maintenance, as compared with traditional alternatives.
Top Glass stocks in India to Look For In 2022
Here is the list of top glass stocks in India. They are:
1. Asahi India Glass Ltd.
| Face Value (₹): 1 | Market Cap (Cr): ₹14,000 |
| EPS (₹): 17.1 | Promoter’s Holdings (%): 54.24 |
| Book Value (₹): 72.5 | Dividend Yield (%): 0.34 |
| Debt to Equity: 0.70 | Stock P/E: 33.8 |
| ROE (%): 21.4 | Net Profit Margin: 10.8 |
Source: Trade Brains Portal (Last Updated – 12 JAN 2022)
Asahi India Glass Limited, established in 1984, is a glass solution and manufacturing company in India. It is also known as AIS, which manufactures automotive safety glass, float glass, architectural processed glass, and glass products. It has 12 manufacturing plants and sub-assembly units across India.
The Company dominated the market for passenger cars in India with a share of 74%, reaffirming its position as the supplier of choice for carmakers in the country in FY22.
Their client list includes names like Maruti Suzuki India, Reva Motors, Ford India, Volvo India, General Motors, Mahindra and Mahindra are among the others.
The dividend-paying company has the highest market capitalization among its peers which stands at Rs 14,000 Cr with a dividend yield of 0.34%. Coming to the financials of the company, the Net profit of the company for FY22 stood at Rs 345 Cr and the revenue at Rs 3,173 Cr.
The promoters have pledged 6.09% of their shares. It is trading at a PE valuation of 33.8 which is close to the sectoral P/E of 34.70.
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2. La Opala RG Ltd.
| Face Value (₹): 2 | Market Cap (Cr): ₹3,400 |
| EPS (₹): 7.87 | Promoter’s Holdings (%): 65.6 |
| Book Value (₹): 66.7 | Dividend Yield (%): 0.48 |
| Debt to Equity: 0.02 | Stock P/E: 36.9 |
| ROE (%): 13.2 | Net Profit Margin (%): 28.7 |
Source: Trade Brains Portal (Last Updated – 12 JAN 2022)
La Opala RG Ltd., established in 1987, is a leading manufacturer and marketer of lifestyle products in the tableware segment. It was the first to introduce opal glass and 24% lead crystal glass in India. The company has a network of 12,000 retailers and 200 distributors across 650 towns.
The products of the company include Opal glassware and Crystalware. In fact, the company enjoys a strong market positioning through three brands which are La Opala, Diva from La Opala, and Solitaire.
The company earned Rs 323 Cr as revenue and recorded a net profit of Rs 87 Crore in FY22. The Promoters holding remains unchanged at 65.64% with zero promoters pledge. The company has been able to reduce debt over the last few years. La Opala is a dividend-paying company with a dividend yield of 0.48 and is available at a good valuation as well with a P/E ratio of 36.9.
3. Borosil Ltd.
| Face Value (₹): 1 | Market Cap (Cr): ₹4,100 |
| EPS (₹): 7.33 | Promoter’s Holdings (%): 70.46 |
| Book Value (₹): 67.72 | Dividend Yield (%): 0.28 |
| Debt to Equity: 0 | Stock P/E: 45 |
| ROE (%): 12.5 | Net Profit Margin (%): 11.3 |
Source: Trade Brains Portal (Last Updated – 12 JAN 2022)
Borosil Ltd. is one of the largest Indian glassware companies with a significant presence in the USA and Netherlands. It is the Market leader in Microwavable Kitchenware and Laboratory Glassware in the country. It has more than 15,000 retail outlets and has three manufacturing facilities.
The company operated in different segments. In the consumer ware segment, its products include Glassware, Non-glassware, and opal ware.
For the Scientific Product division, the company offers Laboratory Glassware, Lab Instrumentation, and Pharma Packaging. Borosil Renewables Ltd., a part of the Borosil group, recently became the first and only solar glass manufacturer in India.
The financials of the company has been improving over the years. The net profit for last year stood at Rs 84 Cr whereas it earned a total revenue of Rs 828 Cr in the same period.
The company has low debt which is a good sign and pays dividends with a yield of 0.28. The promoter holding remains unchanged at 70.46%. There is no promoter’s pledge. Borosil Ltd is available at a higher valuation than its peers with a P/E ratio of 45.
4. AGI Greenpac Ltd
| Face Value (₹): 2 | Market Cap (Cr): ₹1,784 |
| EPS (₹): 39 | Promoter’s Holdings (%): 60.2 |
| Book Value (₹): 215 | Dividend Yield (%): 1.80 |
| Debt to Equity: 0.84 | Stock P/E: 7.06 |
| ROE (%): 14.7 | Net Profit Margin: 13.5% |
Established in 1972, AGI Greenpac (HSIL formerly) is engaged in the business of manufacturing high-quality glass for packaging of food, pharmaceuticals, soft drinks, spirits, beer, wine, and other industries.
It has two state-of-the-art manufacturing plants in India Hyderabad and Bhongir. Presently, it has the capacity to melt 1,600 tonnes of glass per day. The company has upwards of 3,000 employees.
It reported revenues of Rs. 1,430 crores in FY22 with a net profit of Rs. 193 crores. AGI Greenpac was earlier involved in the business of tiles, sanitary ware, and appliances but was demerged. Later, it sold its sanitary ware business to SHIL in a slump sale.
5. Saint-Gobain Sekurit India Ltd
| Face Value (₹): 10 | Market Cap (Cr): ₹756 |
| EPS (₹): 5 | Promoter’s Holdings (%): 75.00 |
| Book Value (₹): 19.8 | Dividend Yield (%): 1.81 |
| Debt to Equity: 0.04 | Stock P/E: 32.1 |
| ROE (%): 14.7 | Net Profit Margin (%): 15.6 |
Source: Trade Brains Portal (Last Updated – 12 JAN 2022)
Saint-GobainSekurit India Ltd is a part of a French multinational corporation, Saint-Gobain. The company started its venture in India in 1996.
Their main business is to supply automotive glazing and modular components for the global vehicle manufacturing segment and the replacement market. The company produces laminated and tempered glazing for the Indian Automotive Market.
The product range of the company includes glasses for passenger cars and MUVs, Commercial Vehicles, 3-wheelers, and bus/coachbuilders. Saint-Gobain has a presence in several important OEMs like Tata Motors, Hyundai Motors, Toyota Kirloskar Motors, General Motors, and Mahindra-Renault, among others.
The financials of the company show that it earned a net profit of Rs 48 Cr and a Revenue of Rs 151 Cr in FY22, both of which have declined from the year before.
The company has focused on reducing debt and has a low debt-to-equity ratio of 0.04. The company pays dividends and has a yield of 1.81. The promoter’s holding is high with a total of 75% and zero promoters’ pledges. The PE ratio is 32 which is in line with the industry average.
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List of all the companies engaged in glass manufacturing in India
| Company Name | Market Cap (Rs. Cr.) | CMP (Rs.) |
|---|---|---|
| Asahi India Glass | 14,000 | 572 |
| Borosil | 4,100 | 360 |
| La Opala RG | 3,500 | 310 |
| AGI Greenpac | 1800 | 274 |
| Saint-Gobain Sekurit India | 760 | 83 |
| Empire Industries | 429 | 715 |
| Haldyn Glass | 240 | 45 |
In closing
The glass industry remained a part of the cottage industry for a long time before it evolved and adapted the modern processes. The industry has a lot of potentials to grow in the next few years. In this article, we covered the top Glass stocks in India and also had a look at the overall industry in India. That’s all for this post. Happy Reading!
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