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MomentumDeep Value

Asian Paints Ltd: Why Is It Outperforming Nifty 500?

Active
Average6w Streak

In Week of Jun 27, 2026, Asian Paints Ltd (Building Materials - Paints) is outperforming Nifty 500 with +8.9% relative strength. Fundamentals: Average. On a 6-week streak.

Asian Paints Ltd Key Facts

PE Ratio
57.1x
Market Cap
₹2,53,727 Cr
PAT Growth YoY
+69%
Revenue Growth YoY
+11%
OPM
19.0%
RS vs Nifty 500
+8.9%
PE: Near TroughRiding Wave

What's Happening

🌐FII stake decreased 3.6% this quarter
🏛️DII accumulation — stake up 8.4%
💰Trading 65% above estimated fair value — significant premium

Key Numbers

PAT Growth YoY
+69%
Inflection Up
Revenue YoY
+11%
Inflection Up
Operating Margin
19.0%
+200 bps YoY
PE Ratio
57.1
Current Price
₹2,645
Dividend Yield
1.04%
Fundamental Score
55/100
Average
3Y PAT CAGR
+2%
Market Cap
2.5L Cr
Valuation
Significantly Overvalued

12-Week Performance

Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.

12 weeks agoThis week

How Fast Is Asian Paints Ltd Growing?

Revenue, profit and margin growth rates

MetricYoY3Y CAGRTrend
Revenue+11%+1%Inflection Up
PAT (Net Profit)+69%+2%Inflection Up
OPM19.0%+200 bpsExpanding

Other Top Building Materials - Paints Stocks Beating Nifty 500

Berger Paints India Ltd
Average • 6w streak
+19.0%
Kansai Nerolac Paints Ltd
Average
+14.7%
← Back to Building Materials - PaintsDashboard

Frequently Asked Questions: Asian Paints Ltd

Based on publicly available financial data. This is educational research, not investment advice.

What were Asian Paints Ltd's latest quarterly results?

Asian Paints Ltd's latest quarterly results (Mar 2026) show

  • PAT Growth YoY: +69.0% (turning around (inflection up))
  • Revenue Growth YoY: +10.6%
  • Operating Margin: 19.0% (expanding)

Is Asian Paints Ltd's profit growing or declining?

Asian Paints Ltd's profit is growing with an turning around (inflection up) trend.

  • PAT Growth YoY: +69.0% (latest quarter)
  • PAT Growth QoQ: +10.3% (sequential)
  • 3-Year PAT CAGR: +1.6%
  • Trend: Turning around (inflection up) — consistent growth pattern

What is Asian Paints Ltd's revenue growth trend?

Asian Paints Ltd's revenue growth trend is turning around (inflection up).

  • Revenue Growth YoY: +10.6%
  • Revenue Growth QoQ: +4.3% (sequential)
  • 3-Year Revenue CAGR: +1.1%

How is Asian Paints Ltd's operating margin trending?

Asian Paints Ltd's operating margin is expanding.

  • Current OPM: 19.0%
  • OPM Change YoY: +2.0% basis points
  • OPM Change QoQ: -1.0% basis points

What is Asian Paints Ltd's 3-year profit and revenue CAGR?

Asian Paints Ltd's long-term compounding rates

  • 3-Year Profit CAGR: +1.6%
  • 3-Year Revenue CAGR: +1.1%

Is Asian Paints Ltd's growth accelerating or decelerating?

Asian Paints Ltd's earnings growth is turning around (inflection up) with improving on a sequential basis.

  • YoY Acceleration: +73.8% bps
  • Sequential Acceleration: +4.8% bps

What is Asian Paints Ltd's trailing twelve month (TTM) performance?

Asian Paints Ltd's trailing twelve month (TTM) performance

  • TTM PAT: ₹4,000 Cr
  • TTM PAT Growth: +18.4% YoY
  • TTM Revenue: ₹36,000 Cr
  • TTM Revenue Growth: +5.0% YoY
  • TTM Operating Margin: 18.8%

Is Asian Paints Ltd overvalued or undervalued?

Asian Paints Ltd appears significantly overvalued based on our fair value analysis.

  • Valuation Signal: Significantly Overvalued
  • Current PE: 57.1x
  • Price-to-Book: 11.9x

What is Asian Paints Ltd's current PE ratio?

Asian Paints Ltd's current PE ratio is 57.1x.

  • Current PE: 57.1x
  • Market Cap: 2.5 Lakh Cr
  • Dividend Yield: 1.04%

How does Asian Paints Ltd's valuation compare to its history?

Asian Paints Ltd's current PE is 57.1x.

  • Current PE: 57.1x
  • Valuation Assessment: Significantly Overvalued

What is Asian Paints Ltd's price-to-book ratio?

Asian Paints Ltd's price-to-book ratio is 11.9x.

  • Price-to-Book (P/B): 11.9x
  • Book Value per Share: ₹223
  • Current Price: ₹2645

Is Asian Paints Ltd a fundamentally strong company?

Asian Paints Ltd is rated Average with a fundamental score of 54.91/100. This score is calculated from objective financial metrics

  • Revenue Growth YoY: +10.6% (10% weight)
  • PAT Growth YoY: +69.0% (10% weight)
  • PAT Growth QoQ: +10.3% (10% weight)
  • Margins expanding (10% weight)

Is Asian Paints Ltd debt free?

Asian Paints Ltd has a debt-to-equity ratio of N/A.

  • Total Debt: ₹4,000 Cr

What is Asian Paints Ltd's return on equity (ROE) and ROCE?

Asian Paints Ltd's return ratios over recent years

  • FY2024: ROCE 38.0%
  • FY2025: ROCE 26.0%
  • FY2026: ROCE 26.0%

Is Asian Paints Ltd's cash flow positive?

Asian Paints Ltd's operating cash flow is positive (FY2026).

  • Cash from Operations (CFO): ₹7,000 Cr
  • Free Cash Flow (FCF): ₹6,000 Cr
  • CFO/PAT Ratio: 161% (strong cash conversion)

What is Asian Paints Ltd's dividend yield?

Asian Paints Ltd's current dividend yield is 1.04%.

  • Dividend Yield: 1.04%
  • Current Price: ₹2645

Who holds Asian Paints Ltd shares — promoters, FII, DII?

Asian Paints Ltd's shareholding pattern (Mar 2026)

  • Promoters: 52.6%
  • FII (Foreign): 12.1%
  • DII (Domestic): 21.7%
  • Public: 13.4%

Is promoter holding increasing or decreasing in Asian Paints Ltd?

Asian Paints Ltd's promoter holding has remained stable recently.

  • Current Promoter Holding: 52.6% (Mar 2026)
  • Previous Quarter: 52.6% (Dec 2025)
  • Change: 0.00% (stable)

How long has Asian Paints Ltd been outperforming Nifty 500?

Asian Paints Ltd has been outperforming Nifty 500 for 6 consecutive weeks, indicating building momentum.

Is Asian Paints Ltd a new momentum entry or an established outperformer?

Asian Paints Ltd is an established outperformer with 6 weeks of consecutive Nifty 500 outperformance.

Is Asian Paints Ltd worth studying for long term investment?

Based on quantitative research signals, here is why Asian Paints Ltd may be worth studying

  • Earnings growing at +69.0% YoY
  • Operating margins are expanding — OPM at 19.0%
  • Cash flow is positive — CFO ₹7,000 Cr

What is the investment thesis for Asian Paints Ltd?

Asian Paints Ltd investment thesis summary:

Research Signals (Bull Case)

  • Revenue growing at +10.6% YoY
  • Margins expanding

Risk Factors (Bear Case)

  • Appears significantly overvalued

What is the future outlook for Asian Paints Ltd?

Asian Paints Ltd's forward outlook based on current data signals

  • Earnings Trend: turning around (inflection up)
  • Revenue Trend: turning around (inflection up)
  • Margin Trend: expanding
  • Valuation: Significantly Overvalued

The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.