Best Chemical Stocks List in India

Best Chemical Stocks in India

India's chemical industry is one of the fastest-growing in the world, with a market size of around $163 billion in 2020. The industry produces a range of chemicals, including petrochemicals, basic inorganic chemicals, specialty chemicals, and agrochemicals. In recent years, the Indian government has been actively promoting the chemical industry's growth, which has resulted in significant investment in the sector. Consequently, the Indian chemical stock list is impressive.

The growth of the chemical industry in India presents an opportunity for investors to take advantage of this trend by investing in chemical stocks. In this article, we will take a look at the top 10 chemical stocks in India that are worth considering for an investment.

Top 10 Chemical Stocks in India:

Tata Chemicals:

Tata Chemicals is a leading chemicals company that manufactures products such as soda ash, salt, sodium bicarbonate, and fertilisers. The company is known for its sustainable business practices and focus on innovation. In addition to India, Tata Chemicals has a global presence, with manufacturing facilities in the UK, the US, and Kenya. The company’s stock has performed well in recent years, with steady growth in revenue and profits.

The company also produces consumer products like salt and spices under its Tata Salt and Tata Sampann brands. In 2021, Tata Chemicals Ltd. reported a revenue of over INR 30,000 crore.

Aarti Industries

Aarti Industries is a leading manufacturer of specialty chemicals and pharmaceutical intermediates. The company has a strong focus on research and development and has invested heavily in its manufacturing facilities. Aarti Industries has a diversified product portfolio, with products ranging from dyes and pigments to surfactants and agrochemicals. The company has a strong presence in both domestic and international markets and has consistently delivered strong financial performance.

The company has a presence in over 60 countries and serves industries such as pharmaceuticals, agrochemicals, and personal care. Aarti Industries reported a revenue of INR 10,289 crore in 2021.

Deepak Nitrite Limited (DEEPAKNTR)

Deepak Nitrite is a leading chemical manufacturing company in India that produces basic chemicals, fine and specialty chemicals, and performance products. The company operates in three business segments: Basic Chemicals, Fine and Specialty Chemicals, and Fluorescent Whitening Agents (FWAs).

Deepak Nitrite's product portfolio includes various chemicals, such as phenol, acetone, nitro-toluenes, aniline, sodium nitrite, sodium nitrate, xylidines, and cumene. The company also offers custom manufacturing services for various chemical products.

The company has a strong financial position with a market capitalisation of around INR 52,000 crore (as of March 2021) and a revenue of INR 3,942 crore in FY 2020.

UPL

UPL (formerly United Phosphorus Limited) is a leading agrochemicals company that manufactures and markets crop protection products, specialty chemicals, and other agricultural inputs. The company has a strong presence in both domestic and international markets and is known for its focus on innovation and sustainability. UPL has a diverse product portfolio and is well-positioned to benefit from the growing demand for agricultural inputs.

The company manufactures and sells insecticides, herbicides, and fungicides, among other products. UPL has a presence in over 130 countries and reported a revenue of INR 36,705 crore in 2021.

PI Industries

PI Industries is a diversified company that operates in the agrochemicals, fine chemicals, and custom synthesis segments. The company has a strong focus on research and development and has invested heavily in its manufacturing facilities. PI Industries has a strong presence in both domestic and international markets and has a diverse product portfolio that includes insecticides, herbicides, and fungicides.

The company manufactures and sells insecticides, herbicides, and fungicides, among other products. PI Industries has a presence in over 80 countries and reported a revenue of INR 3,520 crore in 2021.

Gujarat State Fertilizers & Chemicals (GSFC)

Gujarat State Fertilizers & Chemicals (GSFC) is a leading manufacturer of fertilisers, chemicals, and petrochemicals. The company has a strong focus on sustainability and has implemented various initiatives to reduce its environmental impact. GSFC has a diversified product portfolio and has a strong presence in industries such as agriculture, chemicals, and plastics. The company’s stock has performed well in recent years, with steady growth in revenue and profits.

The company serves industries such as textiles, paper, and water treatment. Gujarat Alkalies and Chemicals reported a revenue of INR 2,280 crore in 2021.

Navin Fluorine International Ltd. (NAVINFLUOR)

Navin Fluorine International is a specialty fluorochemicals company that offers a range of products and services, including fluorine chemistry, contract research, and manufacturing services. The company's product portfolio includes refrigeration gases, pharmaceutical intermediates, agrochemical intermediates, and specialty performance chemicals.

The company has a market capitalisation of around INR 19,000 crore (as of March 2021) and a revenue of INR 1,228 crore in FY 2020. Navin Fluorine International is also one of the few companies in India that offers contract research and manufacturing services in fluorine chemistry, which has a high entry barrier due to its complex and hazardous nature.

Vinati Organics

Vinati Organics is a specialty chemicals company that produces organic intermediates, monomers, and polymers. The company has a strong focus on research and development and has invested heavily in its manufacturing facilities. Vinati Organics has a diverse product portfolio and serves customers in industries such as agrochemicals, pharmaceuticals, and specialty polymers. The company’s stock has performed well in recent years, with steady growth in revenue and profits.

SRF Limited (SRF)

SRF Limited is a leading manufacturer of technical textiles, chemicals, and packaging films in India. The company operates in three business segments: Technical Textiles, Chemicals and Polymers, and Packaging Films.

SRF's product portfolio includes various chemicals such as refrigerants, agrochemicals, and industrial chemicals. The company also manufactures a range of specialty chemicals, such as fluorochemicals, polymer additives, and surfactants.

The company has a market capitalisation of around INR 35,000 crore (as of March 2021) and a revenue of INR 6,574 crore in FY 2020. SRF's strong financial position and diversified product portfolio make it a popular choice among investors.

Aarti Industries Limited (AARTIIND)

Aarti Industries Limited is a leading manufacturer of specialty chemicals and pharmaceuticals in India. The company operates in three business segments: Speciality Chemicals, Pharmaceuticals, and Home and Personal Care Chemicals.

Aarti Industries' product portfolio includes various specialty chemicals such as benzene-based intermediates, sulphuric acid and its derivatives, and specialty chemicals for agrochemicals, pharmaceuticals, and polymer additives.

The company has a market capitalisation of around INR 24,000 crore (as of March 2021) and a revenue of INR 9,345 crore in FY 2020. Aarti Industries' strong focus on research and development and its diversified product portfolio make it a popular choice among investors.

Gujarat Fluorochemicals Limited (GUJFLUORO)

Gujarat Fluorochemicals Limited is a leading producer of fluorochemicals and fluoropolymers in India. The company's product portfolio includes refrigerants, fluoropolymers, and specialty chemicals such as elastomers, coatings, and adhesives.

The company has a market capitalisation of around INR 10,000 crore (as of March 2021) and a revenue of INR 1,809 crore in FY 2020.

Conclusion

Chemical stocks in India offer investors a chance to invest in a rapidly growing industry with a bright future. However, with so many companies to choose from, it’s important to do your research and carefully evaluate each potential investment opportunity.

While looking for the best chemical stocks in India, investors should consider a company's financials, industry trends, competition, management team, and valuation. By taking the time to evaluate these factors, investors can make informed investment decisions that have the potential to generate significant returns over the long run.

Disclaimer

The investment options and stocks mentioned here are not recommendations. Please go through your own due diligence and conduct thorough research before investing. Investment in the securities market is subject to market risks. Please read the Risk Disclosure documents carefully before investing. Past performance of instruments/securities does not indicate their future performance. Due to the price fluctuation risk and the market risk, there is no guarantee that your personal investment objectives will be achieved.