Sector Alpha

Track where the smart money flows in Indian equities

DashboardWeekly UpdateSector Deep DivesUploadPipelinePE CyclesBrainAboutHow We Research

Data updated weekly. Not financial advice.

sectoralpha · stock story
Plastics - Drip Irrigation →
Home›Stocks›R M Drip & Sprinklers Systems Ltd
RMDRIPR M Drip & Sprinklers Systems LtdPlastics - Drip Irrigation
₹19.9−39.8% 1y

R M Drip & Sprinklers Systems Ltd (RMDRIP) — share price & stock analysis

From losses in FY19 and FY22 to record profits — the comeback is real, the price knows it.

TURNAROUNDTrailing NIFTY 500 for 22 weeks
STAGE 4 DOWNTRENDLAGGING NIFTY 22W
TURNAROUNDMARGINS COMPRESSINGDEBT RISING
DEEP CYCLICALEXPANSION
₹852 Cr
Market cap
24.4×
P/E
36.6%
ROE
By Sector Alpha Research · machine-compiled from Screener.in data · Updated 1 July 2026 · Sources: Screener.in company page, NSE quote · Not investment advice
The 30-second answer

R M Drip & Sprinklers Systems Ltd (RMDRIP) trades at ₹19.9 as of 1 July 2026, down 40% over the past year — trailing NIFTY 500 for 22 weeks. The machine reads this as turnaround: from losses in FY19 and FY22 to record profits — the comeback is real, the price knows it. the price is in Stage 4 — declining, 13 weeks in; the business cycle reads DEEP CYCLICAL / EXPANSION. Fundamentals-momentum score: 38/100 (deteriorating).

Data as of 1 July 2026 · every number traces to its Screener source column · not investment advice.

Key numbers
Market cap
₹852 Cr
P/E
24.4×
ROE
36.6%
Book value / share
₹2.6
Revenue (FY26)
₹197 Cr
Profit after tax (FY26)
₹35 Cr
Weinstein stage
Stage 4 (13 weeks)
Data as of
1 July 2026
MOMENTUM OF THE FUNDAMENTALS
38/100
DETERIORATING
Levels: ROCE 37% — a high-quality engine · debt moderate (0.49× equity) · margins near the top of their band
SalesUp 27% YoY — 4 straight growth quarters
MarginsOPM 31.1% → 21.0% in a year
ProfitDown 3% YoY
Balance sheetD/E 0.33× → 0.49×
Committed ownersPromoters + funds hold 25.0% (a year ago: 19.9%)
DEEP CYCLICAL
Trough
Recovery
Expansion
Peak

Profits swing violently in this business — real losses in FY19 and FY22. That is what “deep cyclical” means: the same company looks brilliant at the top of its cycle and broken at the bottom.net_profit

Where the clock stands now: earnings sit at 100% of their historical range, margins are near the top of their band, and valuation history is thin. That reads as EXPANSION — the comfortable middle — but the records are already on the table; from here the bet is that they keep coming.net_profit

2 of the 5 things we track are currently moving the right way — most of the dashboard is red.

Where the levels actually stand: ROCE 37% — a high-quality engine; debt moderate (0.49× equity); margins near the top of their band. Momentum says which way things are moving; these say where they are.

Read this number for what it is: it measures the DIRECTION of change, not the quality of the business. A mediocre business getting better scores high here; a great one having a soft quarter scores low. Profit, sales and margins count double.

WHERE THE PRICE IS IN ITS CYCLE

The price is in a downtrend — fighting it is expensive

STAGE 4 · DECLINING · 13 WEEKS

Price trends have a life cycle: they base (1), advance (2), top out (3) and decline (4). This chart is in Stage 4: declining — 13 weeks so far, confirmed.stage

The price is below its falling 200-day average — history says most of the damage in stocks happens here. Cheap can get cheaper in Stage 4.dma_200

Trailing NIFTY 500 for 22 weeks — relative strength is the market’s live opinion, and right now it is against it.rs_mansfield

What would end it: two Friday closes in a row below the 200-day line. That is the house exit rule — mechanical, no debates.dma_200

Weekly price with its 200-day and 50-day averages — stages shaded₹weinstein_stages
S4S2020.040.060.0Price200-DMAStage 4 began · Apr 26Oct 17Sep 20Nov 23Jul 26
Data: Weekly price, moving averages and stage (sampled — full series in the embedded dataset)
PeriodPrice (₹)200-DMA (₹)50-DMA (₹)Stage
Oct 173.33.43.44
Dec 174.33.74.12
Feb 183.33.84.02
Apr 183.53.63.54
Jun 183.63.84.02
Aug 182.83.53.14
Oct 182.93.43.04
Dec 182.03.12.44
Feb 193.03.02.74
Apr 192.23.02.81
Jun 191.52.51.84
Sep 190.92.11.24
Nov 191.21.91.14
Jan 201.41.71.14
Mar 201.01.61.34
May 202.91.82.12
Jul 202.92.33.02
Oct 203.32.53.02
Dec 203.02.73.12
Feb 211.92.52.24
Apr 211.22.21.64
Jun 211.41.91.44
Sep 211.11.71.34
Nov 210.91.61.14
Feb 220.91.51.04
Apr 221.01.30.94
Jul 220.91.30.94
Sep 220.91.20.94
Dec 221.01.11.04
Feb 231.31.11.04
Apr 233.01.52.12
Jun 232.92.02.92
Aug 232.82.12.82
Oct 233.12.32.82
Dec 236.13.14.62
Mar 248.24.16.12
May 247.85.07.32
Jul 248.86.08.12
Sep 2412.77.610.42
Nov 2418.710.214.62
Jan 2523.313.820.42
Mar 2523.716.722.62
May 2531.820.226.92
Jul 2534.424.731.92
Sep 2545.630.540.52
Nov 2546.135.344.22
Jan 2658.840.349.82
Mar 2622.042.241.32
May 2617.935.224.54
Jul 2619.931.921.04
THE LONG ARC

Losses, then a rebuild: profits are at an all-time high

Over 12 years, sales went from ₹3.0 Cr to ₹197 Cr (about 42% a year), and profit from ₹0.0 Cr to ₹35.0 Cr.revenuenet_profit

The books show real losses in FY19 and FY22 (worst: ₹−5.0 Cr). Everything about today’s cheap-looking numbers must be read against that history — the recovery is what you are buying.net_profit

Revenue by year₹ Crannual_results
0100200FY14FY19FY24FY26
Data: Revenue by year
PeriodRevenue (₹ Cr)
FY143
FY155
FY1612
FY1728
FY1843
FY1922
FY2023
FY2118
FY2218
FY2311
FY2450
FY25131
FY26197
Profit by year₹ Crannual_results
020.0FY14FY19FY24FY26
Data: Profit by year
PeriodProfit after tax (₹ Cr)
FY140
FY150
FY160
FY171
FY182
FY19-5
FY203
FY210
FY22-1
FY230
FY245
FY2524
FY2635
OPM % by year%annual_results
0.020.0FY14FY19FY24FY26
Data: OPM % by year
PeriodOPM % (%)
FY140.0
FY150.0
FY168.3
FY1710.7
FY1811.6
FY19-13.6
FY2017.4
FY2111.1
FY225.6
FY23-9.1
FY2410.0
FY2527.5
FY2626.4
CHAPTER 1 · THE ENGINE

Sales jumped 27% last quarter — the 4th straight quarter of growth

Revenue — the money that comes in from customers, before any costs.

Mar 26 sales were ₹61.1 Cr, up 27% on the same quarter last year.revenue

That makes 4 quarters of growth in a row — this is a trend, not a blip.revenue

Quarterly sales₹ Crquarterly_results
025.050.075.0YoY %+79+80+55+27Mar 18Dec 24Sep 25Mar 26
Data: Quarterly sales
PeriodRevenue (₹ Cr)YoY growth (%)
Mar 1822.0–
Jun 2417.0–
Sep 2417.0–
Dec 2448.0–
Mar 2548.0–
Jun 2530.079.2
Sep 2531.079.8
Dec 2575.055.0
Mar 2661.026.7
WATCH →If quarterly growth slips below 13%, the story weakens.
CHAPTER 2 · THE TAKE

Margins are compressing — 31% → 21% in a year

Margins — the share of every ₹100 of sales kept as profit. Gross (after raw materials), operating (after running costs), net (after everything).

Of every ₹100 of sales, the company keeps ₹21.0 as operating profit (a year ago it kept ₹31.1).opm_pct

Zoom out and this is the page's quiet hero: annual operating margin bottomed at −9.1% in FY23 and has been rebuilt to 26.4% — that recovery, not sales alone, is what powers the profit growth elsewhere on this page.operating_profit

The gross margin barely moved (43% → 45%), so the change came from running costs — overheads are growing faster than sales.gpm_pctopm_pct

Three margins, quarterly%margin_trends
-100.0-50.00.050.0GrossOperatingNetSep 22Jun 24Jun 25Mar 26
Data: Three margins, quarterly
PeriodGross (%)Operating (%)Net (%)
Sep 22-15.3-73.9-96.6
Mar 2348.325.852.4
Sep 2373.715.47.0
Mar 2433.910.011.5
Jun 2441.616.910.0
Sep 2441.917.510.6
Dec 2442.930.921.3
Mar 2542.931.121.3
Jun 2546.628.817.4
Sep 2547.026.918.4
Dec 2542.730.218.8
Mar 2645.021.016.4
CHAPTER 3 · THE BOTTOM LINE

Profit is treading water

PAT (profit after tax) — what is left for shareholders after every cost, interest and tax.

Mar 26 profit after tax was ₹10.0 Cr, down 3% year on year.net_profit

Quarterly profit after tax₹ Crquarterly_results
0510.015.0YoY %+212+213+37Mar 18Dec 24Sep 25Mar 26
Data: Quarterly profit after tax
PeriodPAT (₹ Cr)YoY growth (%)
Mar 182.0–
Jun 242.0–
Sep 242.0–
Dec 2410.0–
Mar 2510.0–
Jun 255.0212.4
Sep 256.0213.1
Dec 2514.036.8
Mar 2610.0-2.8
Where the profit change came from (Mar 25 → Mar 26)₹ Cr
10+4−6−0−0+0+210PAT Mar 25More salesThinnermarginsOther incomeDepreciationInterestTaxPAT Mar 26

The single biggest driver was margins giving way.

Data: Where the profit change came from (Mar 25 → Mar 26)
ComponentEffect (₹ Cr)
PAT Mar 2510
More sales+4
Thinner margins−6
Other income−0
Depreciation−0
Interest+0
Tax+2
PAT Mar 2610
CHAPTER 4 · THE ACID TEST

Profits on paper, cash lagging behind

Operating cash flow (CFO) — the cash that actually arrived, vs PAT, the profit accounting reports. Annual figures.

Over the last 3 profitable years, the business reported ₹64.0 Cr of profit and collected ₹−54.0 Cr of operating cash — about -84% conversion (2 loss years excluded — a negative denominator would flatter the ratio).operating_cash_flownet_profit

The wrinkle is the latest year: FY26 collected ₹−13.0 Cr against ₹35.0 Cr of reported profit — about -37%. One year isn’t a trend, but it is the line to watch.operating_cash_flownet_profit

Cash collected vs profit reported (annual)₹ Crcash_flow
-20.0020.0Operating cash flowProfit after taxFY14FY19FY24FY26
Data: Cash collected vs profit reported (annual)
PeriodOperating cash flow (₹ Cr)Profit after tax (₹ Cr)
FY140.00.0
FY151.00.0
FY161.00.0
FY173.01.0
FY18-6.02.0
FY192.0-5.0
FY202.03.0
FY213.00.0
FY221.0-1.0
FY23-2.00.0
FY24-14.05.0
FY25-27.024.0
FY26-13.035.0
CHAPTER 5 · THE PIPELINE

The cash cycle is tightening — money comes home faster

Working capital — days of sales locked up in inventory and unpaid bills. Screener reports this yearly, so this chart is annual.

One rupee now takes about 268 days to go out the door as materials and come back as collected cash — down from 333 days the year before.cash_conversion_cycle

The biggest mover: customers paying faster (301 → 253 days).debtor_days

Days of cash locked up (annual)daysratios
200400Customers owe (debtor days)Stock on shelf (inventory days)We owe suppliers (payable days)FY14FY19FY24FY26
Data: Days of cash locked up (annual)
PeriodCustomers owe (debtor days) (days)Stock on shelf (inventory days) (days)We owe suppliers (payable days) (days)
FY1488.010976.0
FY1575.055.077.0
FY1691.079.0121
FY1786.013977.0
FY1813585.055.0
FY1920776.080.0
FY20224100103
FY21298117117
FY22367131187
FY23497140263
FY24275138144
FY2530195.063.0
FY2625311498.0
CHAPTER 6 · THE BUILD

The asset base keeps compounding — this company builds

Capex — money spent on plants, machines and buildings. Gross block is what exists; CWIP (capital work-in-progress) is what is being built. Annual.

The productive asset base has gone from ₹1.0 Cr (FY14) to ₹22.0 Cr, with another ₹3.0 Cr of capacity under construction right now.fixed_assetscwip

The build is bigger than the cash engine: investing outflows (₹24.0 Cr) exceeded operating cash (₹−54.0 Cr) over the last 3 years — the difference comes from debt or shareholders.investing_cash_flowoperating_cash_flow

Assets in place vs under construction (annual)₹ Crbalance_sheet
010.020.0Fixed assetsUnder construction (CWIP)FY14FY19FY24FY26
Data: Assets in place vs under construction (annual)
PeriodFixed assets (₹ Cr)Under construction (CWIP) (₹ Cr)
FY141.00.0
FY153.00.0
FY163.00.0
FY178.00.0
FY188.00.0
FY197.00.0
FY206.00.0
FY217.00.0
FY226.00.0
FY235.00.0
FY2410.00.0
FY2518.01.0
FY2622.03.0
CHAPTER 7 · SURVIVAL

Debt is present but comfortable

Debt-to-equity — borrowings against shareholders’ money. Computed from the balance sheet. Annual.

For every ₹100 shareholders have put in (and left in), the company has borrowed ₹49 — total borrowings have grown from ₹1.0 Cr to ₹54.0 Cr over the window.borrowings

Total borrowings (annual)₹ Crbalance_sheet
020.040.0FY14FY19FY24FY26
Data: Total borrowings (annual)
PeriodBorrowings (₹ Cr)
FY141.0
FY153.0
FY164.0
FY1712.0
FY1810.0
FY199.0
FY208.0
FY219.0
FY228.0
FY238.0
FY246.0
FY2526.0
FY2654.0
Debt vs shareholders’ money (annual)xbalance_sheet
050.0100FY14FY19FY24FY26
Data: Debt vs shareholders’ money (annual)
PeriodDebt ÷ equity (x)
FY14100
FY152.0
FY162.0
FY174.0
FY180.6
FY190.8
FY200.6
FY210.6
FY220.6
FY230.6
FY240.2
FY250.3
FY260.5
CHAPTER 8 · THE ENGINE ROOM

Every ₹100 kept in the business earns ₹37 — a high-quality engine

ROCE — profit earned per ₹100 of capital used. ROE — the same, per ₹100 of shareholders’ money alone. Annual.

Return on capital employed is 37.0% (a year ago: 44.0%). This is the single best test of business quality: what the company earns on the money it keeps.roce_pct

Returns on capital (annual)%ratios
-20.00.020.040.0ROCEFY14FY19FY24FY26
Data: Returns on capital (annual)
PeriodROCE (%)
FY1411.0
FY159.0
FY1619.0
FY1725.0
FY1816.0
FY19-18.0
FY2014.0
FY216.0
FY222.0
FY235.0
FY2422.0
FY2544.0
FY2637.0
CHAPTER 9 · WHO OWNS IT

Big money is quietly accumulating

Shareholding — who owns the company: founders (promoters), foreign funds (FII), domestic funds (DII).

Promoters hold 21.1% (up 7.2 points over 8 quarters). Foreign funds own 3.9%, domestic funds 0.1%.promoters_pctfiis_pctdiis_pct

Institutions buying while the story develops is the market’s quiet vote of confidence — they meet management, you don’t.

Who holds the shares, quarterly%shareholding
Promoters33.8% → 21.1% · down 12.7 pts
20.030.0Apr 23Jun 24Jun 25Mar 26
Foreign funds0.0% → 3.9% · up 3.9 pts
0.01.02.03.04.0Apr 23Jun 24Jun 25Mar 26
Domestic funds0.0% → 0.1% · flat
0.00.10.20.3Apr 23Jun 24Jun 25Mar 26
Data: Who holds the shares, quarterly
PeriodPromoters (%)Foreign funds (%)Domestic funds (%)
Apr 2333.80.00.0
Sep 2327.60.00.0
Dec 2323.00.00.0
Mar 2423.00.00.0
Jun 2413.90.00.0
Sep 2413.90.00.0
Dec 2413.92.00.0
Mar 2517.82.10.0
Jun 2521.13.00.4
Sep 2521.13.00.4
Dec 2521.12.50.4
Mar 2621.13.90.1
THE VERDICT

Strong on the data — worth the deeper look if the story keeps its promises

The numbers lean positive, and the price is roughly fair to the delivery so far.

Best thing in the data: cash generation rising (₹−27.0 Cr → ₹−13.0 Cr).operating_cash_flow

Biggest worry: debt moving the wrong way (0.33× → 0.49×).borrowings

One dissent worth hearing: our technicals lens reads negative — “bearish MA stacking (Price < DMA50 < DMA200). momentum accelerating (1M: 2.2%)”. When a lens disagrees with the committee, it is usually pointing at the thing that breaks first.

The machine committee — 7 independent readsSTUDY DEEPER · 62%
Earnings patternNEUTRAL0% · w21
Valuation cyclePOSITIVE100% · w19
CatalystsPOSITIVE30% · w14
Quality & safetyNEUTRAL42% · w14
TechnicalsNEGATIVE62% · w12
ValuationPOSITIVE75% · w10
Growth at a pricePOSITIVE52% · w10
One model disagrees — the Technicals lens reads this stock as NEGATIVE (62% confidence): “bearish MA stacking (Price < DMA50 < DMA200). momentum accelerating (1M: 2.2%)”
7-model research readSTUDY DEEPER · 62% confidence
WHAT WOULD CHANGE THIS VIEWTwo quarters of sales reversing would kill this story.

Machine-written research from Screener data — every number traces to its source column. Sector Alpha is not a SEBI-registered investment adviser; nothing here is a recommendation to buy or sell. Not investment advice.

Frequently asked questions

Straight answers from the data

What does R M Drip & Sprinklers Systems Ltd do?

Incorporated in 1996, R M Drip & Sprinklers Systems Ltd manufactures micro irrigation systems[1]. It is listed in the Plastics - Drip Irrigation sector with a market capitalisation of ₹852 Cr.

What is R M Drip & Sprinklers Systems Ltd's share price?

As of 1 July 2026, R M Drip & Sprinklers Systems Ltd trades at ₹19.9, down 40% over the past year, with a market capitalisation of ₹852 Cr. Trailing NIFTY 500 for 22 weeks. Prices are weekly closes from Screener data; this page refreshes with each weekly update.

What is R M Drip & Sprinklers Systems Ltd's share price target?

Sector Alpha does not publish broker-style price targets. Our discounted-cash-flow model estimates R M Drip & Sprinklers Systems Ltd's intrinsic value at ₹17.0 per share under base assumptions (bear ₹7.0, bull ₹17.0), against the current price of ₹19.9 — a 1% margin of safety. The current price already implies roughly 11% annual earnings growth. These are model estimates, not forecasts — treat them as one input alongside the valuation history below, not as a target.

What did R M Drip & Sprinklers Systems Ltd report in its latest quarterly results?

In its most recent reported quarter (Q4 FY26, quarter ended March 2026): Mar 26 sales were ₹61.1 Cr, up 27% on the same quarter last year. Mar 26 profit after tax was ₹10.0 Cr, down 3% year on year. Figures are from Screener-scraped quarterly filings; the page updates when the next quarter is filed.

Is R M Drip & Sprinklers Systems Ltd growing?

Sales jumped 27% last quarter — the 4th straight quarter of growth. Mar 26 sales were ₹61.1 Cr, up 27% on the same quarter last year.

Are R M Drip & Sprinklers Systems Ltd's profits growing?

Profit is treading water. Mar 26 profit after tax was ₹10.0 Cr, down 3% year on year.

What are R M Drip & Sprinklers Systems Ltd's operating margins?

Margins are compressing — 31% → 21% in a year. In the most recent quarter, of every ₹100 of sales, the company keeps ₹21.0 as operating profit (a year ago it kept ₹31.1).

What is R M Drip & Sprinklers Systems Ltd's long-term growth record?

Revenue grew from ₹3 Cr in FY14 to ₹197 Cr in FY26 — a 41.7% compound annual growth rate over 12 years. Profit CAGR is not meaningful across this span — the company reported losses in FY19, FY22.

Is R M Drip & Sprinklers Systems Ltd stock in an uptrend?

The price is in a downtrend — fighting it is expensive. R M Drip & Sprinklers Systems Ltd is in Stage 4 — declining, 13 weeks in (confirmed). Stages follow Stan Weinstein's four-phase read of weekly price against the 200-day average: basing (1), advancing (2), topping (3), declining (4).

Why is R M Drip & Sprinklers Systems Ltd stock falling?

The price is down 40% over the past year and the chart is in Weinstein Stage 4 (declining) — trading below its 200-day average.

Is R M Drip & Sprinklers Systems Ltd beating the NIFTY 500?

No — trailing NIFTY 500 for 22 weeks, as of 1 July 2026. Relative strength is measured weekly against the NIFTY 500 (Mansfield RS): a positive reading means the stock has outperformed the index over the trailing window, week after week.

Where is R M Drip & Sprinklers Systems Ltd in its business cycle?

The data reads R M Drip & Sprinklers Systems Ltd as a deep cyclical business currently in its expansion phase — earnings at an all-time high for this company. Profits swing violently in this business — real losses in FY19 and FY22. That is what “deep cyclical” means: the same company looks brilliant at the top of its cycle and broken at the bottom.

Who owns R M Drip & Sprinklers Systems Ltd — what is the promoter holding?

Promoters hold 21.1% (up 7.2 points over 8 quarters). Foreign funds own 3.9%, domestic funds 0.1%. Institutions buying while the story develops is the market’s quiet vote of confidence — they meet management, you don’t. Shareholding is from Screener's quarterly filings data.

Does R M Drip & Sprinklers Systems Ltd have too much debt?

Debt is present but comfortable. For every ₹100 shareholders have put in (and left in), the company has borrowed ₹49 — total borrowings have grown from ₹1.0 Cr to ₹54.0 Cr over the window.

What is the bull case for R M Drip & Sprinklers Systems Ltd?

From losses in FY19 and FY22 to record profits — the comeback is real, the price knows it. Best thing in the data: cash generation rising (₹−27.0 Cr → ₹−13.0 Cr). Sales jumped 27% last quarter — the 4th straight quarter of growth.

What is the bear case for R M Drip & Sprinklers Systems Ltd — what could break the story?

Biggest worry: debt moving the wrong way (0.33× → 0.49×). Two quarters of sales reversing would kill this story. The nearest-term thing to watch: if quarterly growth slips below 13%, the story weakens. This falsification condition is stated up front so the thesis can be checked against incoming quarters, not defended after the fact.

Is R M Drip & Sprinklers Systems Ltd a stock worth studying right now?

Sector Alpha does not publish buy or sell recommendations — this is a research read, not advice. What the data says: strong on the data — worth the deeper look if the story keeps its promises. The numbers lean positive, and the price is roughly fair to the delivery so far. Across the 7-model scorecard the composite research signal is study deeper at 62% confidence. This is machine-written research compiled from Screener data — every number traces to its source — and it is not investment advice. Do your own diligence.

Generated from Screener data · 11 sources · why_traces/1.0 + story/1.2
details
generated 2026-07-03 11:21 · 8 material moves detected
sources: screener_company_info, screener_quarterly_results, screener_annual_results, screener_valuation_history, screener_shareholding, screener_cash_flow, screener_ratios, screener_balance_sheet, screener_margin_trends, weinstein_stages, agent_scores