Bayer Cropscience Ltd.
ISIN: INE462A01022 • Market Cap: ₹18,284 Cr
The 5-Pillar Quality Audit for Bayer Cropscience Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (16.0%), Return on Capital Employed (14.4%), and equity compounding (23.2%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.00 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (-4.2%) and 3Y PAT CAGR (19.1%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 24.98 vs PEG of 2.40 and Dividend Yield of 3.7%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 71.4%, backed by 15.6% institutional ownership.
Key Fundamental Strengths
Robust Equity Compounding (ROE: 23.2%)
Shareholder equity compounds at a healthy 23.2%, exceeding average Indian equity benchmarks.
Fortress Balance Sheet (D/E: 0.00)
The company operates virtually debt-free, shielding net margins from interest rate cycles and monetary tightening.
High-Velocity Profit Compounding (3Y PAT CAGR: 19.1%)
Net earnings have compounded at 19.1% annualized, demonstrating operating leverage.
Areas to Watch & Potential Risks
Topline Stagnation (3Y Sales CAGR: -4.2%)
Revenue growth has slowed below inflation rates, indicating cyclical demand slowdown or saturated core markets.
Sectoral & Macro Headwinds (Chemicals)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Chemicals space.
Quantitative Strategy Eligibility
Checking BAYERCROP against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Fails 10%+ revenue growth or 15%+ minimum capital return benchmark over historical periods.
Quality Factor Screener (High RoIC + Low Debt)
Qualifies for Indian Quality Indices with overall score of 75/100 and clean gearing.
GARP / Value-Growth Blend
Provides balanced valuation margin with strong profitability scores.
Chemicals Sector Peer Comparison
Compare BAYERCROP directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Bayer Cropscience Ltd. (BAYERCROP)Current | 75/100 | ₹18,284 Cr | 24.98 | 14.4% | 0.00 | — |
| Solar Industries India Ltd. (SOLARINDS) | 80/100 | ₹1.79 Lakh Cr | 89.97 | 30.2% | 0.23 | View |
| Pidilite Industries Ltd. (PIDILITIND) | 75/100 | ₹1.68 Lakh Cr | 63.40 | 28.7% | 0.01 | View |
| SRF Ltd. (SRF) | 73/100 | ₹76,329 Cr | 35.31 | 15.2% | 0.36 | View |
| Coromandel International Ltd. (COROMANDEL) | 72/100 | ₹60,148 Cr | 32.83 | 21.6% | 0.07 | View |
| Linde India Ltd. (LINDEINDIA) | 61/100 | ₹57,146 Cr | 104.59 | 12.2% | 0.00 | View |
Frequently Asked Questions: Bayer Cropscience Ltd.
Q:What is the 5-Pillar Fundamental Score for Bayer Cropscience Ltd. (BAYERCROP)?
Bayer Cropscience Ltd. has a RupeeTools Fundamental Score of 75/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (76/100), Financial Health (83/100), Growth (54/100), Valuation (78/100), and Ownership Quality (82/100).
Q:Is BAYERCROP fundamentally strong for long-term investment?
Yes, BAYERCROP exhibits solid fundamental strength with a 75/100 score, driven by a return on equity of 23.2% and a debt-to-equity ratio of 0.00.
Q:Does BAYERCROP pass the Coffee Can Investing filter?
No. BAYERCROP does not currently meet the strict 15% ROCE and 10% sustained topline compounding threshold mandated by the Coffee Can investing framework.
Q:How does BAYERCROP compare against other Chemicals peers?
Within India's Chemicals sector, BAYERCROP trades at a P/E of 24.98 and generates an ROCE of 14.4%. Compare its 5-Pillar score of 75/100 against top sector peers like Solar Industries India Ltd. (80/100), Pidilite Industries Ltd. (75/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.