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    HP Adhesives Limited

    Mumbai-headquartered manufacturer of adhesives and sealants (solvent cement, silicone sealants, PVA/contact adhesives, ball valves & tapes) sold via a pan-India distributor network and exported to 18 countries.

    Chemicals
    Commodities

    Overview

    Price

    Market Cap

    ₹306 Cr

    Sector

    Chemicals

    Commodities

    Rank

    Performance

    Financials

    Income Statement

    Financial Trajectories

    11
    Quarterly

    Balance Sheet

    Balance Sheet

    ₹ Cr · Annual
    Line itemFY20FY21FY22FY23FY24FY25FY26FY26
    LiabilitiesEquity Capital1313181818181818
    Reserves-110119130151166170169
    Borrowings36431993824
    Other Liabilities1935402826364140
    Total Liabilities5790195185198228232232
    AssetsFixed Assets1119263952737172
    CWIP17181716455
    Investments000018253522
    Other Assets4564152129111126120132
    Total Assets5790195185198228232232

    Cash Flow

    Cash Flow

    ₹ Cr · Annual
    Line itemFY20FY21FY22FY23FY24FY25FY26
    ActivitiesCash from Operating111-10-522107
    Cash from Investing-5-16-678-15-9-2
    Cash from Financing4586-12-62-8
    SummaryCapital Expenditure
    Free Cash Flow-4-5-26-215-4-6
    FCF Margin

    Valuation

    Assumptions

    Current — HPAL
    Price
    ₹36
    EPS (TTM)
    ₹0.75
    PE (TTM)
    48.4
    Profit growth
    -14.1%

    The Earnings Per Share over the last 12 months.

    %

    Your assumption of the company's expected yearly EPS growth (e.g., 6 for 6%).

    Pre-filled with the lower of median (40.6×) and current (48.4×) PE — the conservative anchor.

    %

    The annualized return you aim to achieve. We solve for the price that delivers it, then compare to today's price.

    Valuation

    Current price
    ₹36
    vs
    Fair value · 15% return
    ₹5
    85%Overvalued

    At -14.1% growth and a 41× exit, ₹36 only delivers your return if you pay ₹5. The price is currently baking in 21% growth.

    EPS grows -14.1%/yr for 5 years, then fades to 6% over 2, exits at 41×.

    YearGrowthEPS (₹)
    FY27-14.1%0.64
    FY28-14.1%0.55
    FY29-14.1%0.48
    FY30-14.1%0.41
    FY31-14.1%0.35
    FY32-4.0% ·fade0.34
    FY336.0% ·fade0.36

    Methodology: we discount normalized net profit as a proxy for owner earnings (an earnings-power approximation — not full free cash flow). Terminal growth is capped at 6% (≈ nominal GDP) regardless of the required return. This is an analytical tool, not investment advice.

    Learn to analyse HP Adhesives Limited

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