Navin Flourine hits new high
Navin Fluorine International is currently among the top five gainers on the BSE, rising 5.30% to Rs. 8,004.10. The stock touched a fresh 52-week high of Rs. 8,239.20 in the opening bell session, against its previous close of Rs. 7,601.35. Market depth was almost evenly matched, with sell quantity at 7,100 against buy quantity of 6,942, suggesting some profit booking after the sharp move.
Trigger
- Strong Q1 FY27 performance.
- Sales rose 44% YoY and 11% QoQ to Rs. 1,045.1 crore,
- Operating EBITDA jumped 73% YoY to Rs. 357.1 crore.
- Operating EBITDA margin expanded sharply to 34.2%, up 566 bps YoY
- Operating PBT doubled, rising 101% YoY to Rs. 283.3 crore.
- Revenue growth was broad-based - HPP up 33% YoY, Specialty up 48%, and CDMO up 82%.
Another key sentiment driver is the company’s fluorochemicals expansion pipeline. The pricing environment for HFC remains constructive, interest for contractual offtakes in new capacities is rising, the AHF facility has started operations and is being ramped up, while additional HFC capacity equivalent to up to 15,000 MTPA of R32 is on track for commissioning in Q3 FY27.
Adding to the momentum is the DRDO agreement for indigenous manufacturing of Sodium Borohydride Chemical in bulk, a critical defence material.
The only caution is valuation, with the stock already trading at a rich PE, so after today’s new high, the market may now watch execution of the HFC ramp-up and sustainability of margins.