Aarti Industries Ltd is a leading Indian manufacturer of specialty chemicals, with operations spanning organic and inorganic chemicals, pharmaceutical intermediates, agrochemicals, dyes, and polymer additives. Headquartered in Mumbai, the company operates major facilities in Gujarat and Maharashtra and serves global clients across regulated markets. Despite strong sales growth, recent profitability has been under pressure due to rising input costs and working capital strain. This article provides a data-backed outlook on the Aarti Industries share price target 2026–2030.
Aarti Industries Ltd: Company Overview
- Founded: 1984
- Headquarters: Mumbai, Maharashtra
- Key Segments: Specialty Chemicals (NCB-based), Agrochemicals, Pharma Intermediates, Dyes & Pigments
- Strategic Edge: Strong R&D focus, backward integration in key molecules, export presence in regulated markets
- Market Position: Among India’s top specialty chemical players with ~₹7,095 Cr in TTM revenue
The company has historically delivered strong sales growth but faces margin pressure from volatile raw material prices and elevated debt levels.
Aarti Industries Ltd: Key Financial Snapshot
| Metric | Value |
|---|---|
| Current Share Price | ₹371.50 |
| Market Capitalization | ₹13,475.82 Cr |
| No. of Shares Outstanding | 36.26 Cr |
| 52-Week High / Low | ₹558 / 344 |
| P/E Ratio (TTM) | 46.15 |
| P/B Ratio | 2.35 |
| EPS (TTM) | ₹8.05 |
| Book Value (TTM) | ₹157.84 |
| ROE | 6.23% |
| ROCE | 6.48% |
| Dividend Yield | 0.29% |
| Face Value | ₹5 |
| Cash | ₹292.67 Cr |
| Total Debt | ₹3,788.15 Cr |
| Debt-to-Equity | 0.67 |
| Sales Growth (YoY) | 15.11% |
| Profit Growth (YoY) | -18.62% |
| Promoter Holding | 42.14% |
Aarti Industries Ltd Share Price Target Forecast (2026–2030)
| Year | Target Price Range (₹) |
|---|---|
| 2026 | ₹390 – ₹430 |
| 2027 | ₹410 – ₹460 |
| 2028 | ₹430 – ₹490 |
| 2029 | ₹450 – ₹530 |
| 2030 | ₹470 – ₹570 |
Aarti Industries Ltd Share Price Target 2026
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2026 | ₹390 | ₹430 |
Aarti Industries reported 15.11% sales growth but an 18.62% profit decline in FY2025, driven by compressed margins and higher interest costs. With ROCE at just 6.48% and ROE at 6.23%, return ratios remain weak despite a rich P/E of 46.15x. The stock appears overvalued unless earnings rebound sharply. A 2026 target of ₹390–₹430 assumes modest margin recovery and stable raw material prices.
Aarti Industries Ltd Share Price Target 2027
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2027 | ₹410 | ₹460 |
The company’s expansion in high-value specialty segments and export diversification could support long-term growth. However, elevated debt (₹3,788 Cr) and low cash reserves (₹293 Cr) limit financial flexibility. If EPS recovers to ₹9–₹10 by FY27 and P/E moderates to 42–44x, the 2027 range of ₹410–₹460 is realistic—but remains speculative without ROCE improvement.
Aarti Industries Ltd Share Price Target 2028
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2028 | ₹430 | ₹490 |
By 2028, benefits from new capacity and product mix shift toward higher-margin specialties should reflect in profitability. However, working capital days have increased (from 39 to 58), indicating cash flow pressure. Assuming EPS of ₹10–₹11 and P/E of 40–44x, the ₹430–₹490 band is justified—if execution stays on track.
Aarti Industries Ltd Share Price Target 2029
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2029 | ₹450 | ₹530 |
Long-term tailwinds include India’s push for chemical self-reliance and global supply chain diversification. Risks include regulatory scrutiny in export markets and persistent input cost volatility. Using a P/E of 41–45x on projected EPS (~₹10.50–₹11.80), the 2029 target is ₹450–₹530.
Aarti Industries Ltd Share Price Target 2030
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2030 | ₹470 | ₹570 |
Over a five-year horizon, Aarti Industries’ value hinges on margin normalization and debt reduction. While not a “multibagger” at the current scale, it offers moderate growth potential. A terminal P/E of 42–46x on FY30 EPS (~₹11–₹12.40) supports the ₹470–₹570 range.
Aarti Industries Ltd: Shareholding Pattern
| Category | Holding (%) |
|---|---|
| Promoters | 42.14% |
| Domestic Institutional Investors (DII) | 18.21% |
| Foreign Institutional Investors (FII) | 6.70% |
| Public & Retail | 32.95% |
| Others | 0% |
Strong retail participation (33%) reflects brand trust, while institutional ownership (25%) indicates growing professional interest.
Aarti Industries Ltd: Strengths vs Risks
Strengths:
- Strong market position in NCB-based specialty chemicals
- Diversified global client base in regulated markets
- Consistent 10%+ sales CAGR over 10 years
- Backward integration in key intermediates
Risks:
- Very high P/E (46.15x) with low ROCE (6.48%)—valuation mismatch
- Rising debt (D/E: 0.67) and declining cash reserves
- Profit growth negative (-18.62%) despite top-line expansion
- Low dividend yield (0.29%) limits income appeal
Investment Suitability
| Factor | Assessment |
|---|---|
| Risk Profile | Moderate to High |
| Ideal Time Horizon | 3–5+ years |
| Volatility | Higher than market average (mid-cap chemical stock) |
| Dividend/Income Potential | Minimal (0.29% yield) |
| Best For | Growth-oriented investors comfortable with cyclical chemical stocks and valuation risk |
- Declining profitability despite sales growth
- Margin pressure from raw material inflation
- Rich valuation unwinding amid broader mid-cap correction
Final Verdict
Aarti Industries remains a quality player in India’s specialty chemicals space, but its current valuation demands perfection. Our Aarti Industries share price target 2026–2030 (₹390 to ₹570) reflects cautious optimism—contingent on margin recovery, debt management, and ROCE improvement. Suitable only for high-conviction, long-term investors.
Disclaimer: Price targets are estimates based on publicly available data and sector analysis. They are not investment advice. Consult a SEBI-registered advisor before making decisions.
Sources
- Screener.in – Aarti Industries Consolidated Page (FY2025 + TTM)
- Finology Ticker – AARTIIND Financial Ratios & Valuation
- Aarti Industries Investor Presentation (Q3 FY26, Nov 2025)
- BSE India – Annual Report FY2025
- Ministry of Chemicals & Fertilizers – Specialty Chemicals Policy Updates
