Target: ₹8,500
CMP: ₹6,075.15
We visited Atul’s integrated complex based in Atul, Gujarat, and met Vivek Gadre – President (Corporate Strategy) and Whole-time Director. The plant spans over 1,350 acres, purchased in 1947.
The company manufactures over 900 products and 400 formulations across its divisions at this location, except for products under its aromatics division like p-Cresol.
The complex is split across four zones dedicated to a particular division, and has its own ETP and a separate central ETP. KTAs: The new liquid epoxy resin (LER) plant operates at about 75-80 per cent utilisation on the debottlenecked capacity (demand coming from windmill applications in the domestic market; US exports impacted due to tariffs); ECH will be abundantly available, with new capacities coming on stream in South-east Asia; Captive power plants cater to the overall energy requirement of the integrated complex, including the caustic soda plant; Atul holds a competitive edge in terms of 2,4-D exports to the US; Its R&D team consists of 223 members; the company has filed for 18 patents, of which 9 have been granted.
We trim our FY27E EPS by about 5 per cent to factor in the near-term EBITDA margin pressure owing to weaker export volumes to the US, and rollover to Dec-27E EPS. Maintain Buy and target price of ₹8,500.
Published on January 9, 2026
