Deepak Nitrite Limited is a leading Indian manufacturer of basic intermediates, fine & specialty chemicals, and performance products, with a strong presence in phenolics, agrochemicals, and electronic chemicals. Headquartered in Vadodara, Gujarat, the company serves global markets with high-value chemical solutions. However, recent financials show a sharp contraction in both sales and profits, raising concerns about near-term execution. This article provides a fact-based outlook on its share price target for each year from 2026 through 2030, based on verified fundamentals and sector dynamics.
Targets assume a gradual recovery in specialty chemicals, stabilization of input costs, and improved export traction.
Deepak Nitrite Share Price Target 2026
Year
Share Price Target 1
Share Price Target 2
2026
₹1,700
₹1,900
High P/E (106x) reflects past growth, not current performance
Risk: Negative sales and profit growth cap near-term upside
Recovery hinges on revival in the agro and electronics segments
Deepak Nitrite Share Price Target 2027
Year
Share Price Target 1
Share Price Target 2
2027
₹1,850
₹2,100
Expected benefit from new capacity in electronic-grade solvents
Potential re-rating if ROCE improves above 13%
Dividend consistency (0.45% yield, ~30% payout) offers minor support
Deepak Nitrite Share Price Target 2028
Year
Share Price Target 1
Share Price Target 2
2028
₹2,000
₹2,400
By 2028, the cumulative effect of product diversification should be reflected in margins
Valuation may stabilize if P/B moderates from the current 7.1x
Execution risk: Competition from Chinese chemical imports remains high
Deepak Nitrite Share Price Target 2029
Year
Share Price Target 1
Share Price Target 2
2029
₹2,150
₹2,700
Long-term tailwinds from India’s specialty chemical import substitution push
Potential inclusion in chemical-focused ETFs could boost visibility
Debt-to-equity remains low, but cash reserves are minimal (₹8 Cr)
Deepak Nitrite Share Price Target 2030
Year
Share Price Target 1
Share Price Target 2
2030
₹2,300
₹3,100
If Deepak Nitrite regains double-digit ROCE and expands in high-margin segments, ₹3,000+ is achievable
However, targets beyond ₹3,200 require a breakthrough in pharma or battery materials—not currently visible
Success in green chemistry initiatives could be a future differentiator
Deepak Nitrite: Shareholding Pattern
Category
Holding (%)
Promoters
49.33%
Domestic Institutions (DII)
23.19%
Public (Retail)
21.42%
Foreign Institutions (FII)
6.06%
Others
0%
Promoter holding is stable with no pledging reported, indicating long-term commitment.
Deepak Nitrite: Strengths vs Risks
Strengths
Strong backward integration in phenolics
Diversified product portfolio across agro, pharma, and electronics
Low debt (₹18.87 Cr) relative to market cap
Strategic alignment with India’s chemical self-reliance mission
Risks
Sharp profit decline (–36%) despite asset-heavy model
Very high P/E (106x) is unjustified by current fundamentals
Low cash reserves (₹8 Cr) limit flexibility during downturns
ROCE (11.25%) and ROE (9.09%) are below historical averages
Investment Suitability
Factor
Assessment
Risk Profile
High (cyclical, valuation risk)
Time Horizon
Long-term (5+ years)
Volatility
High
Dividend/Income
Very low (0.45% yield)
Ideal Investor
Aggressive investor betting on specialty chemical recovery and policy tailwinds
FAQs
A realistic range is ₹1,700 to ₹1,900, assuming no further deterioration in core segments.
Credible estimates suggest ₹2,300 to ₹3,100 by 2030, contingent on margin recovery and export growth.
Reliable forecasts beyond 2030 are not possible. Such long-term projections are speculative and not based on verifiable data.
The Mehta family controls the company through promoters holding 49.33% of shares.
Yes. It has a consistent dividend history with a current yield of 0.45% and a payout ratio of ~30%.
The stock corrected due to declining sales (–7.3%), profit crash (–36%), and concerns over high valuation (P/E > 100).
No. It carries ₹18.87 crore in debt, though this is manageable given its scale. However, cash reserves are very low (₹8.06 Cr).
Final Verdict
Deepak Nitrite remains a strategically important player in India’s specialty chemical space, but its current financials do not justify its premium valuation. The sharp earnings contraction in FY2025 demands caution. Our 2026–2030 price targets (₹1,700–₹3,100) reflect cautious optimism—rewarding potential recovery but capping upside due to weak near-term fundamentals. Suitable only for aggressive investors with a 5-year horizon who believe in India’s chemical manufacturing story.
Disclaimer: This article is for educational purposes only. It is not investment advice. Please consult a SEBI-registered advisor before making any investment decision.
Hi, I’m Raj Mittal, a stock market content writer focused on company analysis, share price trends, and fundamental research. I create simple, research-based insights to help investors make smarter market decisions.
