Скачать или смотреть Madhya Bharat Agro | Q2FY26

Positives:

Strong backward integration provides cost advantages and margin resilience

Consistent revenue growth driven by capacity expansion and market demand

Strategic location near raw material sources in Madhya Pradesh

Secured long-term green ammonia supply of 1.30 lakh MTPA

Upcoming capacity expansion in Maharashtra (Dhule plant) by October 2026

Concerns:

Expensive valuation at 42.5x P/E vs industry average of 28x

High P/B ratio of 8.4x indicates limited margin of safety

Cyclical nature of fertilizer business with raw material volatility

Working capital intensive business model

Recommendation: While MBAPL demonstrates strong operational performance and growth prospects, the current valuation appears stretched. Fundamental investors should wait for better entry points around ₹300-350 levels (30-35x P/E) for a more favorable risk-reward ratio. Existing shareholders can hold with a stop-loss at ₹380.