National Fertilizers Share Price

1. For the quarter ended on June 30, 2018, the total income of National Fertilizers Limited was reported to be at Rs.2,168.9 crore, as against Rs.1,878.6 crore reported for the same quarter of the previous fiscal year.
2. The overall expenditure for the year increased marginally YoY but still remained well below the total income reported. Consequently, the fertilizer giant reported a healthy profit for the June quarter.
3. Before taxation, National Fertilizers Limited reported its profit to be at Rs.65.91 crore as against Rs.39.66 crore reported for the same period last year. However, in comparison to the March quarter, the profit before tax has reduced by more than Rs.35 crore.
4. After the tax expenses, the company reported its net profit to be at Rs.41.2 crore. On a YoY basis, this marked an increase of a little over 60%. Consequently, its basic earnings per share (EPS) moved up from Rs.0.53 to Rs.0.84.
5. Coming to the liabilities part, the company's liabilities have increased YoY from Rs.7,899.2 crore to Rs.9,123.1 crore.

National Fertilizers Limited Stock Trends in 2018

1. On January 2, 2018, the opening National Fertilizers Limited share price was Rs.74.35 on the NSE. The shares gained marginally in the first month to go up close to their 52-week high at Rs.79.75. However, this rise was almost immediately followed by a small drop which took the scrip back to its previous levels at Rs.70.
2. In early February, the shares lost as much as 12% on account of turbulence in the international markets. While the stocks did manage to recover marginally over the course of the month, they still lost those gains eventually to descend back to their previous levels at Rs.60. This bearish behaviour was seen in the month of March as well, with the National Fertilizer share price losing 10% to dip below the Rs.55 mark.
3. The shares did recover marginally in April and went past the Rs.57 mark. However, the drop was seen once again - this time in the month of May. The shares dipped below the psychologically important mark of Rs.50. Through most of June and July, the stock price of National Fertilizers Limited varied from Rs.43 - Rs.53.
4. Things didn't change considerably in the month of August. The shares retained their bearings at levels close to Rs.45. It wasn't until late September that the stocks took a sharp dive of global conditions and a falling rupee. The fall of this scrip was in line with that of SENSEX and NIFTY 50.
5. In early October, the shares hit their 52-week low at Rs.32.55 on the NSE. Through most of the month, the shares didn't move past the Rs.38 mark.

National Fertilizers Limited Stock Trends in 2016 and 2017

1. 2016 started on an uneventful note for the investors. For the first quarter of the calendar year, the shares were traded at levels close to Rs.28. While the scrip was volatile, it didn't incur any sharp losses and maintained its heading above the Rs.25 mark.
2. It wasn't until the month of April that the stock price of National Fertilizers Limited rose. The stocks moved up by close to 20% to cross the psychologically important mark of Rs.30. By the end of May, the same was past the Rs.33 mark. Through most of June and July, the scrip was seen varying at levels from Rs.33 - Rs.36.
3. For most of August and September, the share price remained flat at levels close to Rs.33. There were no significant gains or losses in this period as the shares continued to be traded without exhibiting a great deal of volatility. In September, the company announced a final dividend of 12.1%.
4. In October, the National Fertilizers shares displayed a similar trend. The scrip stayed close to the Rs.35 mark. It wasn't until demonetisation that the shares lost close to 15% to go below the psychologically important level of Rs.30. Nonetheless, the stocks managed to recover over the remainder of the year and the scrip ended 2016 at Rs.35.20 on the NSE.
5. 2017 proved to be a remarkable year for the National Fertilizers Limited share price. The scrip commenced the year trading at Rs.35.50 on the NSE. The stocks incurred a meteoric rise in the month of January, gaining as much as 50% to cross the Rs.50 mark. The stocks managed to find momentum at those levels and continued to soar through the month of February as well.
6. In February, the shares gained another 40% to cross the Rs.75 mark. This rise was followed by an attempt by the shares to stabilise at levels close to Rs.70. Consequently, through most of March, the scrip remained close to the Rs.70 mark. Following this small dive, the prices started to rise once again - this time, it took place through the months of April and May.
7. By mid-May, the National Fertilizers shares had crossed the psychologically important mark of Rs.85. However, this peaking was followed by a gradual decline in the shares over the course of the second half of the year. By late June, the shares had descended back to their previous levels at Rs.70. The same, by August, had dropped close to the Rs.65 mark. This shares did attempt to recover in the month of July, only to shed those gains eventually.
8. In September, the company announced a final dividend of 8.5%. By this time, the National Fertilizers shares were being traded at levels close to Rs.63. Things didn't change much through the months of October and November as the stocks maintained their bearings at levels close to Rs.62. The share price rose slightly in December to end the year at Rs.73.55 on the NSE.

Should You Invest in National Fertilizers Limited Stocks?

1. National Fertilizers Limited is a fertiliser and industrial chemicals manufacturer based in India. It is owned by the Government of India and is the second largest producer of urea in the country. It is also a Mini Ratna company.
2. For the quarter ended on June 30, 2018, the company reported its sales to be worth Rs.2,168.9 crore while making a net profit of Rs.41.2 crore. In comparison to the same period of the previous financial year, the two metrics have improved YoY by a little over 10% and 60% respectively.
3. The company displayed a similar performance even for the year ended on March 31, 2018. Its net sales were worth Rs.9,024.6 crore in contrast to Rs.7,687.9 crore reported for the previous financial year. As for the profitability, it increased marginally from Rs.207 crore to Rs.210.9 crore, YoY.
4. Despite a sound financial performance, the company has high levels of debts. Its debt-equity ratio, as on March 31, 2018, was reported to be at 1.54 - a significant improvement over the ratio of 1.86 reported for the previous fiscal year.
5. In comparison to its peers, the company has performed fairly well in terms of sales turnover and net profit. Additionally, the company's P/E ratio as calculated in June was close to 10.7 while the industry average has varied between 15-18 in that period. This implies that the stock may be undervalued although, additional factors will have to be considered such as industry outlook, growth, future prospects, et cetera. Before investing in this stock, it is recommended that you research thoroughly.

Company Information

National Fertilizers Limited is an industrial chemicals and fertilisers company owned by the Government of India. It falls under the administrative control of Ministry of Chemicals and Fertilizers. It primarily manufacturers urea along with neem-coated urea, bio-fertilisers, and industrial chemicals like ammonium nitrate, anhydrous ammonia, sodium nitrate, et cetera. National Fertilizers Limited is also a Mini Ratna company and currently operatives three plants in Bhatinda, Panipat, and Nangal, and two plants in Vijaipur.

History of the Company

National Fertilizers Limited was incorporated on August 23, 1974, with its head office in New Delhi. The company started its operations by manufacturing chemicals and by-products to meet the industry demand. It initially operated two plants in Bhatinda and Panipat. In 1978, National Fertilizers Limited acquired the ownership and operations of Nangal plant from the Food Corporation of India. In 1984, the company forayed into fertilisers by establishing a plant in Vijaipur and subsequently, it increased its capacity. The company went public in 2001 with listings on the NSE and BSE.

Management of the Company

Mr. Manoj Mishra - Chairman and Managing Director

Mr. Manoj Mishra presently serves as the Chairman and Managing Director of National Fertilizers Limited. He is significantly experienced when it comes to working with Public Sector Undertakings and has been a part of the same industry for more than 30 years. Before joining National Fertilizers Limited, he worked with State Trading Corporation as Director of Finance. Prior to that, he was associated with Krishak Bharati Co-Operative Limited for more than 20 years. Additionally, he has held high-level management roles with various reputed organisations like Rashtriya Chemicals & Fertilizers Limited, Ramagundam Fertilizers & Chemicals Limited, and Talcher Fertilizers Limited. He is a fellow member of the Institute of Cost Accountants of India.

Mr. Rajiv Kumar Chandiok - Director (Finance)

Mr. Rajiv Kumar Chandiok presently serves as the Director of Finance of National Fertilizers Limited. Additionally, he serves as the Whole Time Director and Chief Financial Officer of the organisation.

Mr. Virendra Nath Datt - Director of Marketing

Mr. Virendra Nath Datt is the Director of Marketing of National Fertilizers Limited - a position he has held since October 2018. In addition to his present responsibilities, he is associated with Gas Authority of India Limited in the capacity of Executive Director of Corporate Strategy, Planning & Advocacy. Mr. Datt started his career with Oil and Natural Gas Corporation in 1985 and worked with them for 10 years before making a switch to GAIL. He has held an important role in formulating several initiatives launched by the government in the fields of city gas distribution, gas swapping guidelines, et cetera. He was also a Non-Executive Director of Mahanagar Gas Limited.

National Fertilizers Limited Listings in NSE, BSE, and Stock Market Indices

The equity shares of National Fertilizers Limited are available to the general public for trading. The shares are listed on the National Stock Exchange of India Limited and the Bombay Stock Exchange. The respective codes for the same have been listed below:

1. NSE Code: NFLEQ
2. BSE Code: 523630
3. Sector: Fertilisers
4. ISIN: INE870D01012

Coming to the stock market indices, the company forms the following:

1. Nifty 500
2. Nifty Full Smallcap 100
3. Nifty Smallcap 250
4. S&P Basic Materials
5. S&P BSE SmallCap
6. Nifty MidSmallcap 400
7. S&P BSE AllCap

Registered Office

National Fertilizers Limited

Scope Complex

Core - III,

7, Institutional Area

Lodhi Road

New Delhi - 110003

Contact number: +91-11-24360066

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DISCLAIMER:

The contents of this post/blog does not constitute financial or other professional advice nor does it imply in any manner a principal-agent relationship, and is not a professional advice on a specific financial matter.