A valuation metric called the “PEG ratio” is used to assess how much a company’s projected growth, earnings generated per share (EPS), and stock price are traded off. The annual growth rate can be the predicted growth rate for the upcoming year or the next five years, and the P/E ratio used in the calculation can be projected or trailing.
Here are the three chemical stocks with a peg ratio of less than 1.
Archean Chemical Industries Ltd
The primary goal of Archean Chemical Industries Limited, the top producer of specialty marine chemicals in India, is to supply clients all over the world with bromine, industrial salt, and potash sulphate.
With a market capitalization of Rs 6,887.85 Crores. Archean Chemical Industries Ltd, On Friday, The shares closed at Rs 559.30 a share, an increase of 4.46 percent from the previous closing price. The company’s PEG ratio is reported to be 0.37.
Archean Chemical Industries Ltd’s Net profit margin increased by 9.9 percent from 16.65 percent in Q2FY23 to 26.55 percent in Q2FY24.
Fine Organic Industries Ltd
Fine Organic Industries is involved in the production, processing, sourcing, distributing, dealing, importing, and exporting of a broad variety of oleochemical-based additives for use in food, plastics, cosmetics, and coatings.
With a market capitalization of Rs 13,014.39 Crores. Fine Organic Industries Ltd, On Friday, The shares closed at Rs 4,244.75 a share, a decrease of 0.33 percent from the previous closing price. The company’s PEG ratio is reported to be 0.62.
Fine Organic Industries Ltd’s Net profit margin increased by 6.6 percent from 13.73 percent in Q2FY23 to 20.42 percent in Q2FY24.
GHCL Ltd
The company produces sodium bicarbonate and soda ash, which is an important raw material for the glass and ceramics industries as well as detergents. Additionally, GHCL owns lignite mines in Khadsaliya, Gujarat’s Bhavnagar district, which provide the raw materials required to produce soda ash.
With a market capitalization of Rs 5,139.17 Crores. GHCL Ltd, On Friday, The shares closed at Rs 537.65 a share, a decrease of 1.29 percent from the previous closing price. The company’s PEG ratio is reported to be 0.23.
GHCL Ltd’s Net profit margin increased by 8.72 percent from 15.83 percent in Q2FY23 to 24.55 percent in Q2FY24.
Written by:- Abhishek Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
