Navin Fluorine International Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Navin Fluorine International Ltd trades at ₹8,235, in a confirmed uptrend and 82 weeks into that stage. That is +24.2% against its own 200-day average. It sits at 99% of a 52-week range of ₹4,600 to ₹8,271. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 48 straight weeks.

Today the stock is in a confirmed uptrend — week 82 of stage 2, confirmed. At ₹8,235 it trades +24.2% versus its 200-day average and sits at 99% of its 52-week range (₹4,600–₹8,271).

Against the market, two honest reads. Cumulative: over the last 10.5 years the stock moved +2,953% while the NIFTY 500 moved +284% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 48 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Story check

Navin Fluorine International Ltd's story is not scored yet against the markers our research file set on 19 July 2026. Where it sits in its own cycle: Not stated in the research file. Our fortnightly research layers last read it on 19 July 2026.

Our read, 19 July 2026. Navin Fluorine has delivered its earnings step-change — FY26 PAT of 664 Cr (+130% YoY) — and now enters FY27 with three new capacity projects commissioning inside the year, all falling onto a largely fixed-cost base that is already absorbed.

From the numbers. PE decomposition is earnings-driven (per pe_pb_expansion_snapshots record): the multiple is compressing because EPS is rising faster than price. FII buying (institutional_signal = FII_BUYING) signals institutional…

From the price. Price stage 2, week 82 — above its 200-day line, relative strength rising.

From the research. Navin Fluorine has delivered its earnings step-change — FY26 PAT of 664 Cr (+130% YoY) — and now enters FY27 with three new capacity projects commissioning inside the year, all falling onto a largely fixed-cost base…

What is proven. Navin Fluorine has delivered its earnings step-change — FY26 PAT of 664 Cr (+130% YoY) — and now enters FY27 with three new capacity projects commissioning inside the year, all falling onto a largely fixed-cost base that is already absorbed.

What is not proven yet. If OPM falls below 28% for two consecutive quarters while revenue continues to grow — indicating that the margin expansion was utilisation-driven and the new capacity additions are commissioning at margins that dilute the blended rate rather than sustain it — the peak-margin-trap verdict would be confirmed and the 83x normalised PE would not be justified by earnings growth.

🚨 What would change our mind. If OPM falls below 28% for two consecutive quarters while revenue continues to grow — indicating that the margin expansion was utilisation-driven and the new capacity additions are commissioning at margins that dilute the blended rate rather than sustain it — the peak-margin-trap verdict would be confirmed and the 83x normalised PE would not be justified by earnings growth.

Layer 1 read, 19 July 2026 — KEEP. Chemicals capex bet has paid off in earnings — the only question left is whether peak margins hold as new plants ramp. Five years of capex converted into a step-change: revenue nearly doubled to 938cr, EPS more than tripled to 41.48 and FY26 PAT grew 130%, all volume/operating-leverage driven and cash-backed (OCF/PAT 1.81). It stays a fallback rather than a top pick because it is expensive (PE ~60, margins at the 93rd percentile) and three new plants commission in FY27 that could dilute the blended margin before they lift it.

What would change Layer 1’s mind. If OPM falls below 28% for two consecutive quarters while revenue keeps growing — the timeline's own falsification — that confirms the margin expansion was utilisation-driven and the new capacity is diluting the blend, which would make the ~60x PE indefensible and flip P2->DROP.

Layer 2 read, 19 July 2026 — BENCH. Real earnings but peak margins + a sector supply flood + a 'chemical bust' expert call keep it BENCHed, not admitted. The FY26 step-change is genuine and cash-backed — revenue 491->938cr and EPS 12.41->41.48 on a commissioned fluorine platform. But OPM sits at the 93rd percentile with a normalised ~83x PE (a ⚠ model read), the fluorochemicals sector is in a capex SUPPLY_FLOOD with institutions absent (CAPACITY_RISK: capex_yoy +28.2%, cwip +43.45%), and a reliable expert (wt 1.0) independently flags 'peak earnings + peak valuation'. Three streams point at the same unresolved peak-margin risk, so BENCH holds it until FY27 utilisation proves the new capacity accretes margin rather than diluting it.

What would change Layer 2’s mind. FY27 quarterly data showing blended OPM HOLDING >=28% (not falling below for two consecutive quarters) as Wave-2 capacity commissions — proving new capacity accretes rather than dilutes margins [consumes thesis.would_change_my_mind + D3 stops_working_if] — flips BENCH->ADVANCE. Conversely, OPM <28% for two consecutive quarters while revenue grows confirms the peak-margin trap and flips toward DROP.

What the company does. The company converted five years of heavy capex (3,307 Cr invested across FY22–FY26) into a fully commissioned fluorine platform across HPP, Specialty, and CDMO verticals. FY26 results validated the operating leverage thesis: EBITDA more than doubled on 41% revenue growth. The risk the market must price is whether current margins (OPM 34%, at the 93rd percentile of ten-year history) are structural or cyclical — and the PEAK_MARGIN_VALUE_TRAP flag means this question is not resolved until capacity utilisation data for the new FY27 wave arrives.

🚨 What the surface reading misses. The surface reading is: Trailing PE of approximately 60x at the 62nd percentile looks moderate — neither cheap nor expensive The research reads it further: GPM has been stable at 58–59% for six quarters, so the OPM expansion is operating leverage from fixed cost absorption — but at 34.3% OPM, the margin is at the 93rd percentile of ten-year history (min 15%, max 37.5%). Normalising earnings to mid-cycle margins of 24.8% produces normalised EPS of approximately 91 Cr, pushing the effective PE to 83x at the 98th percentile. The margin is not structurally broken but it is at the top of its own historical band.

🚨 What the surface reading misses. The surface reading is: Promoter selling 170 bps over 18 months during a recovery — negative signal The research reads it further: The FII offset is structural: FII holding increased by approximately 460 bps over the same period, from 19.2% to 23.78%. The institutional market is replacing promoter supply with informed demand. No pledge release or distress event is documented. The reduction is gradual (not a single quarter acceleration) and at absolute levels of 27.1% still represents material promoter skin-in-the-game.

Sources: our stock research file (19 July 2026) · quarterly results through Jun 26 · the company’s own earnings calls. The story check is re-scored every results season; the record below never changes.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Navin Fluorine International Ltd reported ₹1,045 Cr of revenue in the Jun 26 quarter, +44.1% year on year. That is the 9th straight quarter of year-on-year growth. Over 10 years it has compounded at 17.2% a year. The last full year, FY26, came in at ₹3,314 Cr. The last four reported quarters add to ₹3,633 Cr.

FY26 revenue came in at ₹3,314 Cr (+41.1% on the year), capping 10 years at 17.2% compound. The latest quarter (Jun 26) printed ₹1,045 Cr, +44.1% year on year — the 9th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +42.8% growth against the decade's 17.2% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +42.4% over the last 4 quarters against +31.6%/yr over the last 8 — accelerating; TTM profit +122.3% vs +74.2%/yr — accelerating.

FY26-Q4. revenue ₹938 Cr and profit ₹213 Cr as reported.

FY27-Q1. revenue ₹1,045 Cr and profit ₹243 Cr as reported.

Why-sources: our stock research file (19 July 2026) and the company’s own results for those quarters.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Navin Fluorine International Ltd's operating margin is 34.0% in the Jun 26 quarter, +5.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 13 fiscal years the operating margin has ranged 12.0% to 33.0%. The current quarter is running above every full year in that window.

Why this happened. R32 expansion and Dahej MPP debottlenecking have disclosed peak annual revenue potential of 740–985 Cr; Chemox's peak revenue potential has not been disclosed. R32 expansion adds 15,000 MTPA equivalent commissioned Q3 FY27 with 60–70% first-year utilisation guided. Dahej MPP debottlenecking adds 140–160 Cr peak revenue (Q3 FY27). Chemox/liquid cooling project targets Q1 FY27 commissioning with phase-two scale gated by 18-month market development. The critical operating leverage mechanism is that fixed costs (employee, depreciation, plant overheads) are already embedded in the current cost base — each new revenue rupee carries structurally higher margins.

The latest quarter's operating margin is 34.0%, +5.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 12.0%–33.0%, and FY26's 33.0% is the top of that band — a record year.

Why the margin moved: operating margin went +5.7 pp year on year while gross margin went −0.6 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Worth repeating from the valuation section: cheap against its own history on record margins is not the same thing as cheap — a record margin flatters every ratio built on top of it.

FY26-Q4. revenue ₹938 Cr and profit ₹213 Cr as reported.

FY27-Q1. revenue ₹1,045 Cr and profit ₹243 Cr as reported.

Why-sources: our stock research file (19 July 2026) and the company’s own results for those quarters.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Navin Fluorine International Ltd earned ₹243 Cr of net profit in the Jun 26 quarter, +107.7% year on year. It is the 7th consecutive quarter of growth. Full-year FY26 profit was ₹664 Cr. The 10-year compound rate is 23.0%. That is 23.3% of the quarter's revenue. The same quarter a year earlier earned ₹117 Cr.

Jun 26 profit was ₹243 Cr, +107.7% year on year — the 7th consecutive quarter of growth. On the full year, FY26 printed ₹664 Cr (+129.8%), and the 10-year compound rate is 23.0%.

Why profit moved: revenue contributed +44.1% and the margin +5.0 pp — the quarter was margin-led: most of the profit growth came from keeping more of each sale.

Pace comparison, last four quarters: profit +125.7% vs revenue +42.8%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

FY26-Q4. revenue ₹938 Cr and profit ₹213 Cr as reported.

FY27-Q1. revenue ₹1,045 Cr and profit ₹243 Cr as reported.

Why-sources: our stock research file (19 July 2026) and the company’s own results for those quarters.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 181% of Navin Fluorine International Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹894 Cr of operating cash against ₹664 Cr of profit. After ₹525 Cr of capital spending, ₹369 Cr was left as free cash.

FY26: operating cash of ₹894 Cr against reported profit of ₹664 Cr, leaving free cash of ₹369 Cr after ₹525 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 181% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 181%: the cash cycle tightened 80 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner.

Router verdict: the bigger cash user is investment — capital spending ran 5.2× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Navin Fluorine International Ltd's cash conversion cycle runs 60 days in FY26, down from 140 days in FY21. Capital spending ran ₹1,906 Cr over the last 3 years. At FY26 sales of ₹3,314 Cr each day of that cycle holds about ₹9.1 Cr, so roughly ₹545 Cr sits inside the business at any moment.

FY26: debtors at 83 days, inventory at 121 days — roughly 4.0 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 60 days, tighter than FY21's 140.

The full loop: cash goes out to suppliers and production on day 0; stock waits 121 days to sell; customers pay about 83 days after that; and suppliers themselves are paid at 144 days — netting out to the 60-day cycle.

In money terms: at FY26 sales of ₹3,314 Cr, each day of the cycle holds about ₹9.1 Cr — so the 60-day loop keeps roughly ₹545 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹1,906 Cr over the last 3 fiscal years against ₹364 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹143 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Navin Fluorine International Ltd earns a ROCE of 21% in FY26. That is up from a trough of 11% in FY14. Return on invested capital clears the cost of that capital by +9.0 percentage points, so growth here adds value rather than only size. The wiring behind it is 20.0% net margin on 0.52× asset turns.

FY26 ROCE is 21%, recovered from a FY14 trough of 11% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 20.0% net margin × 0.52× asset turns × 1.61× balance-sheet leverage ≈ 16.7% on equity. Margin is doing the heavy lifting; leverage is a meaningful part of the equation.

The capstone test — ROIC − WACC: 21.0% − 12.0% = a +9.0 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

Navin Fluorine International Ltd carries total debt of ₹1,275 Cr against shareholder equity of ₹3,975 Cr as of Mar 26, a debt-to-equity of 0.32. On the annual view that ratio went from 0.07 in FY22 to 0.32 in FY26. Read the returns elsewhere on this page with that leverage in mind.

Mar 26: total debt of ₹1,275 Cr against shareholder equity of ₹3,975 Cr — a debt-to-equity of 0.32. On the annual view, debt-to-equity went from 0.07 (FY22) to 0.32 (FY26). Read the returns on this page with that leverage in mind.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Foreign institutions added 5.7 points of Navin Fluorine International Ltd over 8 quarters, the biggest move on the register. That takes foreign institutions to 23.7% of the company. Promoters moved −1.7 points over the same window, to 27.1%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: +5.7 points over 8 quarters to 23.7%; Promoters: −1.7 points over 8 quarters to 27.1%; Domestic institutions: +1.2 points over 8 quarters to 28.5%.

Why the register moved: foreign institutions drove it (+5.7 points), absorbed on the other side by promoters (−1.7 points) — steady accumulation by institutions reading the same numbers this page reads.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Navin Fluorine International Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Navin Fluorine International Ltd trades at 53.1× P/E, mid-range by its own standards (55th percentile). Its long-run median P/E is 48.6×, measured across 10.5 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 53.1× is mid-range by its own standards (55th percentile), against a long-run median of 48.6× measured over 10.5 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +122.5% against a +64.8% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the +17.2%/yr price move, ~+25.4%/yr came from earnings growth and ~−8.2 pp from the multiple (compressing); over 10y, of the +33.2%/yr price move, ~+24.9%/yr came from earnings growth and ~+8.3 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is unremarkable against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: Improving Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Navin Fluorine International Ltd reads as improving on its fundamental arc. Improving — profit growth bottomed 7 quarters ago at −29.5% and has held its recovery at +122.3%, ROCE lifting at 21.5%. The read is built from 12 quarters across 4 curves, on full evidence.

Why it matters: a sustained climb off the trough is the setup this page is built to catch — the question moves to what you pay for it.

4-Factor Sector Score

79.4/100 — rank 1 of 4 in Chemicals - Flourine · 97% evidence confidence

Navin Fluorine International Ltd scores 79.4 out of 100 against the 4 companies it is compared with in Chemicals - Flourine, ranking 1. Confirmed research leader: earnings, capital efficiency and relative strength agree. Move to management, catalyst and risk diligence.

The four contributions add to the total exactly: 35 + 20.1 + 9.9 + 14.4 = 79.4. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Said versus delivered

What Navin Fluorine International Ltd's management promised, set against what actually arrived — 4 tracked promises on the record. Read straight from the company’s own earnings calls. A promise that slipped stays on this page after it is met.

Strategic Pivot on Solar Markets · 9 February 2026. Management explicitly stated in the July 2025 call that their strategy was opposed to entering the solar space, citing a desire to avoid commoditized products and focus solely on niche electronic grades. In a clear reversal during the latest call, management stated that solar is now 'part of the journey' and their strategy 'does not exclude solar'. Earlier call (Jul 2025): “Our focus will be mainly in the electronic space as opposed to the solar space. It”. Later call (Feb 2026): “Solar is part of the journey to get to electronics grade. We will get to electronics grade, but it does not exclude solar.”

🚨 AHF Project Commissioning Delay · 9 February 2026. In the July 2025 call, management targeted the AHF project completion for the end of Q2 FY26. This timeline has slipped by two quarters, with the latest call confirming the project was only commissioned during Q4 FY26. Earlier call (Jul 2025): “Meanwhile, our AHF project continues to advance steadily with completion target for the end of Q2 FY”. Later call (Feb 2026): “We are pleased to inform you that the AHF project has been successfully commissioned during Q4 FY26.”

EBITDA Margin Guidance Upgraded · 30 October 2025. After guiding for an FY26 EBITDA margin of ~25% in May 2025 and cautiously reiterating a "north of 25%" stance in July 2025 while declining to formally revise guidance, management materially upgraded the outlook in the October 2025 call. They now expect a full-year EBITDA margin of 28% to 30%, a significant upward revision based on strong first-half performance. Earlier call (Jul 2025): “while I would say that I think there is reasonable confidence to say we”. Later call (Oct 2025): “Where we stand now in the first half, given the performance, I think we”.

🚨 AHF Project Commissioning Delayed · 30 October 2025. In both the May 2025 and July 2025 calls, management consistently guided for the AHF project to be completed by the end of Q2 FY26. However, in the October 2025 call, the commissioning timeline was pushed back one quarter to Q3 FY26, a material delay for a key strategic capital project. Earlier call (Jul 2025): “Meanwhile, our AHF project continues to advance steadily with completion target for the end of Q2 FY”. Earlier call (May 2025): “Our ongoing AHF project is progressing well with the completion expected by Q2 FY”. Later call (Oct 2025): “Our ASF project continues to advance steadily with mechanical trials underway. We are expecting to commission the same by Q3 of FY26.”

Every quote above is taken word for word from the company’s own earnings calls.

Frequently asked questions