Fertilizer Stocks with High ROCE

The table below shows the fertilizer stocks with high ROCE based on the Highest Market Capitalization.

What are the Fertilizer Stocks with High ROCE?

Fertilizer stocks are shares of companies that produce and distribute agricultural fertilizers, essential for enhancing soil fertility and crop yields. High ROCE in fertilizer stocks signifies efficient capital use, indicating robust profitability and strong financial performance, making them attractive to investors seeking stable returns and growth potential.

Features Of Fertilizer Stocks with High ROCE

The features of fertilizer stocks with high ROCE reflect their strong financial performance and efficient capital utilization. Companies with high ROCE in the fertilizer sector often exhibit robust operational efficiency, leading to superior returns on their invested capital.

1. Efficient Capital Utilization: High ROCE companies effectively allocate and use their capital to maximize returns, ensuring productive investment in growth and operations.

2. Strong Profit Margins: These stocks generally show high-profit margins due to effective cost management and optimized production processes.

3. Robust Operational Efficiency: They maintain high levels of efficiency in their operations, resulting in better cost control and increased profitability.

4. Stable Revenue Streams: High ROCE stocks often benefit from stable and predictable revenue streams, reducing financial volatility.

5. High Return on Investment: They deliver substantial returns on invested capital, enhancing shareholder value and attracting long-term investors.

Best Fertilizer Stocks with High ROCE

The table below shows the best fertilizer stocks with high ROCE based on the highest day Volume.

Top Fertilizer Stocks with High ROCE in India

The table below shows the top fertilizer stocks with high ROCE in India based on 1-Year Return. 

Factors To Consider When Investing In Fertilizer Stocks with High ROCE

The factors to consider when investing in fertilizer stocks with high ROCE include evaluating the company’s capital efficiency and operational performance. Companies with high ROCE effectively use their capital to generate substantial returns, which is crucial for investment decisions.

1. Financial Health: Assess the company’s overall financial stability, including debt levels and liquidity, to ensure it can sustain high ROCE levels.

2. Market Position: Examine the company’s competitive edge and market share in the fertilizer industry, as strong positioning supports high ROCE.

3. Cost Management: Evaluate the effectiveness of the company’s cost control measures, which directly impact profitability and return on capital.

4. Revenue Stability: Consider the stability and growth potential of the company’s revenue streams, as consistent income supports sustained high ROCE.

5. Growth Potential: Analyze the company’s potential for expansion and innovation, which can enhance future capital returns and maintain high ROCE levels.

How To Invest In Fertilizer Stocks with High ROCE?

To invest in fertilizer stocks with high ROCE, research companies with strong financials and consistent growth. Evaluate their market position, management quality, and sustainability practices. Diversify your portfolio to manage risks. Consider opening an account with Alice Blue for a seamless investing experience, offering tools and insights to enhance your investment strategy.

Advantages Of Investing In Fertilizer Stocks with High ROCE

The primary advantage of investing in fertilizer stocks with high ROCE is their efficient capital utilization, leading to better profitability and the potential for superior long-term returns.

1. Strong Financial Health: Companies with high ROCE often have robust financials, reflecting effective management and a stable business model that supports sustained growth.

2. Competitive Advantage: High ROCE indicates a company’s ability to maintain a competitive edge, attracting investors seeking stability and reliable returns in volatile markets.

3. Growth Potential: Fertilizer companies with high ROCE can reinvest earnings into expansion and innovation, driving future growth and increasing shareholder value.

4. Efficient Operations: High ROCE suggests efficient use of resources, maximizing output, and minimizing waste, which can lead to higher profitability and market resilience.

5. Attractive Valuation: These stocks often appeal to value investors, as high ROCE can indicate undervalued companies with the potential for significant capital appreciation.

Risks Of Investing In Fertilizer Stocks with High ROCE

The main risk of investing in fertilizer stocks with high ROCE is the potential volatility due to factors like fluctuating commodity prices and regulatory changes impacting profitability.

1. Market Volatility: Fertilizer stocks are sensitive to commodity price swings, affecting revenue stability and leading to unpredictable financial performance.

2. Regulatory Challenges: Changes in environmental regulations can increase operational costs, impacting profitability and forcing companies to adapt quickly to new standards.

3. Global Economic Factors: Economic downturns can reduce demand for agricultural products, directly affecting fertilizer sales and company revenues.

4. Supply Chain Disruptions: Dependence on global supply chains makes these companies vulnerable to geopolitical tensions and logistical issues, potentially disrupting operations.

5. Competition: Intense competition within the industry can pressure margins, forcing companies to continually innovate and invest in technology to stay ahead.

Introduction to Fertilizer Stocks with High ROCE

Fertilisers And Chemicals Travancore Ltd

The Market Cap of Fertilisers And Chemicals Travancore Ltd is Rs. 65,215.15 crore. The stock’s monthly return is -0.01%. Its one-year return is 115.88%. The stock is 17.17% away from its 52-week high.

The Fertilizers and Chemicals Travancore Limited is involved in the production of fertilizers and chemicals. It operates in two segments: Fertilizer and Petrochemical. 

The fertilizer segment produces ammonium phosphate, ammonium sulphate, mixtures, and muriate of potash (MOP). The petrochemical segment focuses on caprolactam. The company offers a variety of products including complex fertilizers, straight fertilizers, organic fertilizers, bio-fertilizers, imported fertilizers, and bagged gypsum.  

Coromandel International Ltd

The Market Cap of Coromandel International Ltd is Rs. 47,904.94 crores. The stock’s monthly return is 6.49%. Its one-year return is 63.84%. The stock is 3.92% away from its 52-week high.

Coromandel International Limited is involved in the manufacturing and trading of agricultural inputs, which include fertilizers, crop protection products, specialty nutrients, and organic compost. The company is divided into segments, namely Nutrient and other allied businesses, and Crop Protection. 

Its range of products and services encompasses fertilizers (nitrogen, phosphate, calcium, potassium), crop protection items (insecticides, fungicides, herbicides, plant growth regulators, bio-products), specialty nutrients, and organic fertilizers sourced from natural materials like city waste (organic portion only), sugarcane molasses, oil cakes, and gypsum. 

Bayer Cropscience Ltd

The market cap of Bayer Cropscience Ltd is Rs. 29,776.61 crores. The stock’s monthly return is 3.27%. Its one-year return is 50.62%. The stock is 5.35% away from its 52-week high.

Bayer CropScience Limited, based in India, specializes in manufacturing, selling, and distributing a range of agrochemical products including insecticides, fungicides, herbicides, and corn seeds. 

The company operates within the Agri-Care sector and provides crop solutions for various types of crops, including cotton, fruits, millet, mustard, pulses, rice, soybeans, sugar cane, vegetables, and wheat. Bayer CropScience operates through three main business areas: Crop Protection, Seeds & Traits, and Digital Farming.  

Chambal Fertilisers and Chemicals Ltd

The Market Cap of Chambal Fertilizers and Chemicals Ltd is Rs. 19,531.80 crores. The stock’s monthly return is -3.62%. Its one-year return is 76.82%. The stock is 15.92% away from its 52-week high.

Chambal Fertilizers and Chemicals Limited, based in India, operates three urea production plants in Gadepan, Kota district, Rajasthan. 

The company also markets a variety of fertilizers and agri-inputs, including di-ammonium phosphate (DAP), muriate of potash (MOP), ammonium phosphate sulphate (APS), various nitrogen, phosphorus, and potassium (NPK) fertilizers, sulfur, micronutrients, and agrochemicals. Its crop protection products encompass insecticides, fungicides, and herbicides. 

Deepak Fertilizers and Petrochemicals Corp Ltd

The Market Cap of Deepak Fertilizers and Petrochemicals Corp Ltd is Rs. 10703.07 crore. The stock’s monthly return is 25.73%. Its one-year return is 53.46%. The stock is 2.28% away from its 52-week high.

Deepak Fertilizers and Petrochemicals Corporation Limited is primarily focused on the production, trade, and distribution of bulk chemicals, as well as value-added real estate ventures. 

The company is structured into three main segments: Chemicals, Bulk Fertilizers, and Realty. Within the Chemicals segment, it provides a wide range of products including ammonia, methanol, nitric acid, carbon dioxide, and various specialty chemicals. 

Dhanuka Agritech Ltd

The Market Cap of Dhanuka Agritech Ltd is Rs. 7708.21 crores. The stock’s monthly return is 0.97%. Its one-year return is 119.27%. The stock is 7.78% away from its 52-week high.

Dhanuka Agritech Limited, an agrochemical company based in India, specializes in manufacturing pesticides for Indian farmers. Their product range includes herbicides, fungicides, insecticides, and plant growth regulators. 

The company’s distribution network spans approximately 6,500 distributors and 80,000 retailers. They operate manufacturing units in Sanand (Gujarat), Keshwana (Rajasthan), and Udhampur (J&K). Dhanuka Agritech Limited also has subsidiary companies, namely Dhanuka Agri-solutions Private Limited and Dhanuka Chemicals Private Limited.

Paradeep Phosphates Ltd

The Market Cap of Paradeep Phosphates Ltd is Rs. 6844.96 crores. The stock’s monthly return is 1.95%. Its one-year return is 31.68%. The stock is 13.72% away from its 52-week high.

Paradeep Phosphates Ltd. is an Indian company that specializes in the manufacture of phosphatic fertilizers. The company is involved in the production, distribution, trading, and sales of a wide range of complex fertilizers, including Diammonium Phosphate (DAP), various grades of nitrogen, phosphorus, and potassium (NPK), Zypmite, Phospho-gypsum, Sulphuric Acid, Ammonia, and Phosphoric Acid. 

Additionally, the company trades and sells Muriate of Potash (MOP), Ammonia, City Compost, and Phosphorus Pentoxide (P2O5-HSS). Its fertilizer products are sold under the brand names Jai Kisaan Navratna and Navratna. Paradeep Phosphates Ltd.’s fertilizer plant is situated in Goa.

Rallis India Ltd

The Market Cap of Rallis India Ltd is Rs. 6,588.61 crore. The stock’s monthly return is 7.32%. Its one-year return is 57.22%. The stock is 4.35% away from its 52-week high.

Rallis India Limited is an Indian company primarily specializing in the manufacturing and marketing of agricultural inputs. The company is involved in the production, distribution, sales, and marketing of various crop protection products and field crops. 

Their range of agri-inputs includes crop protection products, plant growth nutrients, organic compost, and seed processing, offered under the Rallis Samrudh Krishi (RSK) initiative. Rallis India’s business operations cover domestic crop protection, international trade, contract manufacturing, seed processing, plant growth nutrients, and agricultural services. 

Bharat Rasayan Ltd

The Market Cap of Bharat Rasayan Ltd is Rs 4469.59 crore. The stock’s monthly return is -10.13%. Its one-year return is 16.87%. The stock is 19.70% away from its 52-week high.

Bharat Rasayan Limited, an India-based company, specializes in the production of technical-grade pesticides, formulations, and intermediates. The company offers a wide range of products, including insecticides like Zeta Cypermethrin, Alphacypermethrin, Bifenthrin, and Acetamiprid, herbicides such as Chlorimuron Ethyl and Clodinafop Propargyl, fungicides like Myclobutanil and Tebuconazole, and various intermediates. 

The company operates manufacturing plants in Rohtak, Haryana, and Bharuch, Gujarat. The Haryana plant has an annual capacity of 4,260 metric tons and facilities for bulk packaging of formulations.

India Pesticides Ltd

The Market Cap of India Pesticides Ltd is Rs. 2,445.50 crores. The stock’s monthly return is -7.81%. Its one-year return is -3.52%. The stock is 100.41% away from its 52-week high.

India Pesticides Limited, an agrochemical company based in India, is involved in the manufacturing, selling, and distribution of insecticides, fungicides, herbicides, and various other agrochemical products.

The company also produces herbicide and fungicide technical and active pharmaceutical ingredients (APIs). Its range of technical products includes herbicides, fungicides, insecticides, and intermediates, while its formulations include a variety of products such as IPL Dollar, IPL Vardan, IPL Vecto, IPL Trim WG, IPL-Sodhit DS, and more. 

Top Fertilizer Stocks with High ROCE – FAQs

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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.