Should I buy Chambal Fertilisers stock in India in 2025?

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At HelloSafe, our expert has been tracking the performance of Chambal Fertilisers for over three years. Every month, lakhs of users in India trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Chambal Fertilisers.

What is Chambal Fertilisers?

How much is the Chambal Fertilisers stock?

The price of Chambal Fertilisers stock is stable this week. The current price stands at ₹563.30, down 0.33% in the last 24 hours, with a one-week change of +1.05%. Chambal Fertilisers holds a strong market capitalization at ₹22,642.86 crore, supported by a robust three-month average daily volume of about 1,218,000 shares. The P/E Ratio is at 13.73, the dividend yield ranges from 1.42% to 1.77%, and the stock’s beta is 0.65, reflecting moderate volatility. Solid financials and growth initiatives create a promising outlook for investors focused on the Indian agri-chemical sector.

Our full analysis of the Chambal Fertilisers stock

After a comprehensive review of Chambal Fertilisers’s recent financial results and its three-year stock performance, we have synthesised multiple sources—including financial metrics, technical indicators, peer analysis, and market dynamics—using our proprietary analytical frameworks. This approach enables us to identify patterns and value drivers that underpin the investment thesis for this sector leader. So, why might Chambal Fertilisers stock once again become a strategic entry point into the Indian agri-chemical sector in 2025?

Recent performance and market context

Chambal Fertilisers, listed on both the NSE and BSE, has maintained impressive resilience amid market volatility. The current share price stands at ₹563.30 (as of 4 July 2025), with a week-on-week gain of 1.05% and a 12-month advance of 9.08%. The last quarter’s results were particularly strong—net profit soared by 34.7% year-over-year despite a temporary revenue decline, exceeding analyst expectations. Positive management changes, including the appointments of Narinder Goyal and Vivek Misra to key operating roles, reinforce confidence in the company’s growth trajectory. From a macroeconomic perspective, the Indian fertiliser sector continues to enjoy favourable government policies, with rising demand for agricultural productivity supporting both volumes and margins. This environment, coupled with Chambal Fertilisers’s established leadership, has led to an uptick in both institutional and retail investor interest, creating fertile ground for outperformance.

Technical analysis

Technical signals for Chambal Fertilisers suggest that the stock may be building a base ahead of a renewed uptrend. The daily RSI at approximately 40 points to neither overbought nor oversold conditions, signaling technical stability and the potential for momentum accumulation. While the recent MACD reading is negative, indicating near-term caution, moving averages offer a more bullish undercurrent: the 200-day moving average sits at ₹545.08, below the current price, signaling continued long-term upside. Nearby support zones around ₹556.93 and ₹554.33 have consistently held, providing a solid floor for accumulation, while short-term resistance at ₹566.38 represents the next hurdle for a potential breakout. With price momentum stabilizing and volume remaining robust at an average of 1,218,000 shares daily, the technical posture looks conducive for both tactical and positional entries, particularly for investors seeking to capitalise on cyclical sector opportunities.

Fundamental analysis

Chambal Fertilisers presents a compelling case from a fundamental perspective. The company reported revenue of ₹2,448.73 crores in the latest quarter, maintaining strong operating leverage and delivering a net profit of ₹130.36 crores. With an annualised five-year revenue growth CAGR of 6.40% and profit CAGR of 8%, Chambal Fertilisers demonstrates consistent expansion supported by efficient capital allocation and a robust operational model. Notably, the company manages a strong return profile, with ROCE at 27.9% and ROE at 20.6%, underscoring quality management and strategic execution. Valuation metrics remain attractive: the stock’s P/E stands at 13.73, noticeably below sector peers given the market’s broader re-rating, while price-to-book at 2.59 and a dividend yield ranging from 1.42% to 1.77% provide further support. Structural strengths include vertical integration across three urea production plants (total capacity: 3.4 million tonnes), a dominant 13% share of India’s total urea output, and a well-established international JV (for phosphoric acid production in Morocco) reinforcing supply chain security. Chambal Fertilisers continues to invest in high-impact innovation, product diversification (including complex fertilisers and crop protection chemicals), and sustainability initiatives, strengthening its leadership and competitive moat.

Volume and liquidity

One of the standout features of Chambal Fertilisers is its high liquidity and resilient trading profile. Average daily trading volume exceeds 1.2 million shares, ensuring seamless entry and exit for institutional and retail investors alike. With a free float supported by strong promoter backing (holding 60.4%) and significant participation by foreign institutional investors (20.18%), Chambal Fertilisers enjoys a dynamic valuation environment with minimal risk of forced volatility. The well-balanced ownership structure supports price discovery and allows the market to quickly digest new information. This liquidity profile not only underpins investor confidence but also creates attractive conditions for both strategic and tactical allocation.

Catalysts and positive outlook

• The launch of a new technical ammonium nitrate plant at Gadepan is set to enhance revenue streams and operational leverage.
• The company’s sector position is further solidified by its 13% share in India’s urea market, offering scale advantages and bargaining power.
• Diversification into crop protection chemicals and specialty nutrients helps mitigate cyclical risk and aligns the firm with shifting demand patterns in Indian agriculture.
• Continued investment in ESG (Environmental, Social, Governance) initiatives, including sustainability certifications and supply chain traceability, positions Chambal Fertilisers to benefit from both regulatory tailwinds and buyer preferences.
• The Indian government’s ongoing support for the fertiliser industry, through attractive subsidies and strategic policy interventions, creates a uniquely supportive environment for long-term growth.
• Recent management appointments indicate organisational depth and renewed strategic focus, setting the stage for further operational improvements and innovation.

Investment strategies

For short-term investors and tactical traders, the current price consolidation above key support levels presents an attractive entry point, particularly as the next earnings release or catalyst approaches. Those with a medium-term outlook can seize the opportunity to accumulate shares ahead of plant expansions and product launches, aligning with anticipated sector tailwinds and policy boosts. Long-term investors should appreciate the company’s enduring competitive advantages—market leadership, vertical integration, reliable cash flows, and exposure to India’s agricultural transformation. Scaling into positions on dips or near support, while steadily compounding through dividend reinvestment, may yield outsized returns in line with Chambal Fertilisers’s growth profile. Timing entries at or slightly above support zones, while remaining attentive to quarterly earnings and project updates, is a practical approach to harness both fundamental and technical strength. The balance sheet’s virtual lack of debt and prudent capital management only reinforce the attractiveness of holding through potential market cycles.

Is it the right time to buy Chambal Fertilisers?

Chambal Fertilisers embodies many of the attributes sought by discerning investors: sector leadership, strong cash generation, prudent management, and ongoing innovation. The recent surge in profits, resilient revenue base, and robust dividend policy together make a strong case for renewed interest at current valuations. With a moderate P/E ratio and visible expansion catalysts, the stock seems to represent an excellent opportunity for investors looking to participate in India’s agricultural growth story while benefiting from industry-leading fundamentals. As the agri-chemical sector moves into a new phase of demand-driven expansion, Chambal Fertilisers appears poised to deliver attractive returns and justify its position as a core holding in diversified Indian equity portfolios.

How to buy Chambal Fertilisers stock?

Buying Chambal Fertilisers stock online is both secure and straightforward when you choose a regulated broker in India. Investors can either opt for the classic spot buying method, owning the shares directly, or leverage Contracts for Difference (CFDs) for more flexibility and short-term exposure. Understanding the differences between these approaches helps match your strategy to your goals. You’ll find a detailed broker comparison further down the page to help you get started.

Spot buying

Spot buying means purchasing Chambal Fertilisers shares outright and holding them in your demat account, giving you direct ownership and voting rights. Brokers in India usually charge a flat commission per order, often ranging from ₹20 to ₹50.

Gain scenario

If the Chambal Fertilisers share price is ₹563.30 and you invest $1,000 (about ₹83,000), you can buy around 147 shares with a $1,000 stake, including a brokerage fee of around $5.

If the share price rises by 10%, your shares are now worth $1,100.

Result: +$100 gross gain, i.e. +10% on your investment.

Trading via CFD

CFD trading allows you to speculate on the price movement of Chambal Fertilisers shares without owning them physically. With CFDs, you pay the spread (the difference between buy and sell price) and may incur overnight financing costs when holding leveraged positions beyond one day.

CFD Gain Scenario with Leverage

You open a CFD position on Chambal Fertilisers shares, with 5x leverage.

This gives you a market exposure of $5,000.

Gain scenario:

If the stock rises by 8%, your position gains 8% × 5 = 40%.

Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Before investing, always compare the fees, trading conditions, and additional services offered by different brokers, as these factors can impact your long-term returns. Remember—the right choice, whether spot buying or CFDs, depends on your individual investment goals and risk tolerance. See our broker comparator below to make an informed start.

7 tips for buying Chambal Fertilisers stock

The latest news about Chambal Fertilisers

Chambal Fertilisers’ latest quarterly net profit jumped by 34.7%, significantly outperforming market expectations. For Q4 FY25 ended March 2025, the company reported a net profit of ₹130.36 crore, reflecting strong margin management despite a 7.35% decline in revenue, and secure operational efficiency in a regulated sector.

Strategic leadership appointments strengthen Chambal Fertilisers’ operational and commercial capabilities. On 1st July 2025, the company appointed Mr. Narinder Goyal as Director of Manufacturing Operations, reinforcing management depth. Recent additions signal focus on growth, innovation, and disciplined manufacturing expansion within India.

Analysts maintain a positive price target for Chambal Fertilisers, with a consensus upside of over 12%. According to recent data, the average analyst target is ₹634, reflecting moderate optimism based on resilient fundamentals and strategic expansion initiatives. The stock remains a recommended “Buy” by 50% of experts in the Indian market.

Ongoing expansion with a new technical ammonium nitrate facility consolidates Chambal Fertilisers as a market leader. The company is constructing a state-of-the-art plant at Gadepan, which is expected to reinforce its scale and market presence. This investment supports its diversified product offering and addresses increasing demand for high-quality fertilizers in India.

The company preserves a solid, nearly debt-free financial structure, backing growth and innovation. Chambal Fertilisers reports robust financial metrics, including a strong capital structure with more than 60% promoter holding and minimal debt, which enhances its capacity to fund expansion and withstand sector volatility.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.