3 Fundamentally Strong Fertilizer Stocks in India
- August 21, 2026
- Posted by: Ankit Jaiswal
- Category: Market
Fertilizers stocks. Coromandel International Ltd CMP Rs 2038.93 | PE 33.83 | ROE 15.58%. Chambal Fertilisers and Chemicals Ltd PE 9.03. Gujarat State Fertilizers and Chemicals Ltd PE 9.30.
Quick Answer
Three fertilizer stocks in India are Coromandel International Ltd (MCap Rs 60,148 Cr, PE 33.83, ROE 15.58%), Chambal Fertilisers and Chemicals Ltd (MCap Rs 17,402 Cr, PE 9.03, ROE 18.77%), and Gujarat State Fertilizers and Chemicals Ltd (MCap Rs 6,447 Cr, PE 9.30, ROE 5.48%). Each covers a distinct sub-segment of the fertilizers sector. Verify all data at nseindia.com before investing.
Identifying the right fertilizer stocks in India requires looking beyond short-term price movements to balance sheet strength, earnings quality and sector positioning. Track the Nifty 500 index alongside individual stock analysis for a complete view of fertilizers sector momentum.
This article covers three fertilizer stocks in India with key financial metrics sourced from publicly available exchange disclosures. Verify every data point at nseindia.com or bseindia.com before making any investment decision.
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What Are Fertilizers Stocks in India?
Fertilizer stocks in India are shares of companies that manufacture nitrogen, phosphate and potash fertilizers along with specialty crop nutrition and crop protection products. India is the world’s second-largest fertilizer consumer, and domestic production is supplemented by imports. The sector operates under government regulation on pricing and subsidy disbursement, making policy a key investment variable.
Budget 2026-27 Impact on Fertilizers Stocks in India
The Union Budget 2026-27 shaped the investment environment for fertilizer stocks in India through these sector-relevant provisions:
- Fertilizer subsidy rationalisation affects urea and P&K fertilizer profitability for manufacturers.
- Soil health card scheme creates precision fertilizer demand and specialty nutrients growth.
- PM Pranam scheme incentivises states to reduce chemical fertilizer usage, promoting nano-fertilizers.
- Nano urea and nano DAP products approved by government provide new revenue streams.
- Natural gas price moderation supports cost competitiveness for gas-based urea manufacturers.
3 Fundamentally Strong Fertilizers Stocks in India: Key Data
| Company | CMP (Rs) | MCap (Rs Cr) | PE | PB | ROE | EPS TTM (Rs) | Div. Yield |
|---|---|---|---|---|---|---|---|
| Coromandel International Ltd (NSE: COROMANDEL) | Rs 2038.93 | 60,148 | 33.83 | 4.79 | 15.58% | 60.27 | 0.10% |
| Chambal Fertilisers and Chemicals Ltd (NSE: CHAMBLFERT) | Rs 434.52 | 17,402 | 9.03 | 1.67 | 18.77% | 48.12 | 2.53% |
| Gujarat State Fertilizers and Chemicals Ltd (NSE: GSFC) | Rs 161.73 | 6,447 | 9.30 | 0.53 | 5.48% | 17.39 | 3.09% |
Verify all figures at nseindia.com before investing.
1. Coromandel International Ltd (NSE: COROMANDEL)
Coromandel International Ltd, founded in 1961 and headquartered in Hyderabad, is one of three fertilizer stocks in India covered here. It trades at Rs 2038.93 with MCap Rs 60,148 Cr, PE 33.83 (industry avg 23.77), ROE 15.58%, EPS TTM Rs 60.27, BV Rs 425.67 and dividend yield 0.10%.
The debt-to-equity is 0.12 and price-to-book 4.79. Verify all data at nseindia.com or bseindia.com before investing in this or any other stock.
2. Chambal Fertilisers and Chemicals Ltd (NSE: CHAMBLFERT)
Chambal Fertilisers and Chemicals Ltd, founded in 1985 and headquartered in Kota, is one of three fertilizer stocks in India covered here. It trades at Rs 434.52 with MCap Rs 17,402 Cr, PE 9.03 (industry avg 23.77), ROE 18.77%, EPS TTM Rs 48.12, BV Rs 259.78 and dividend yield 2.53%.
The debt-to-equity is 0.10 and price-to-book 1.67. Verify all data at nseindia.com or bseindia.com before investing in this or any other stock.
Compare Fertilizers Stocks by PE, ROE and Dividend Yield on the Univest Screener
3. Gujarat State Fertilizers and Chemicals Ltd (NSE: GSFC)
Gujarat State Fertilizers and Chemicals Ltd, founded in 1962 and headquartered in Vadodara, is one of three fertilizer stocks in India covered here. It trades at Rs 161.73 with MCap Rs 6,447 Cr, PE 9.30 (industry avg 23.77), ROE 5.48%, EPS TTM Rs 17.39, BV Rs 307.83 and dividend yield 3.09%.
The debt-to-equity is 0.00 and price-to-book 0.53. Verify all data at nseindia.com or bseindia.com before investing in this or any other stock.
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Benefits of Investing in Fundamentally Strong Fertilizers Stocks
- Earnings consistency: fertilizer stocks in India with strong PE, ROE and EPS metrics have historically delivered more predictable earnings growth than low-quality sector peers.
- Lower downside risk: Fundamentally strong fertilizer stocks in India with manageable debt and positive free cash flow tend to recover faster from market corrections.
- Dividend income potential: Several fertilizer stocks in India with strong fundamentals maintain consistent dividend track records alongside capital appreciation potential.
- Index inclusion benefits: Large-cap fertilizer stocks in India in major indices receive mandatory passive flows from index funds and ETFs.
- Regulatory moat: Established fertilizer stocks in India with proven governance records typically have easier access to capital markets.
Risks of Investing in Fertilizers Stocks
- Sector cyclicality: Fertilizers stocks can face multi-quarter earnings pressure during economic downturns or policy headwinds.
- Valuation compression: High-PE fertilizer stocks in India can de-rate sharply when earnings disappoint or when sector sentiment turns.
- Competition and disruption: Technology shifts and competitive dynamics can erode market share or pricing power of fertilizer stocks in India.
- Regulatory changes: Policy shifts in taxation, duties or sector regulation can affect profitability of fertilizer stocks in India with limited advance warning.
- Global linkages: Commodity prices, exchange rates and global demand shifts affect export-linked fertilizer stocks in India earnings significantly.
How to Choose Fundamentally Strong Fertilizers Stocks
- Screen PE ratios against the industry average; any premium PE among fertilizer stocks in India requires earnings growth justification
- Target ROE consistently above 12% for at least three consecutive years to confirm durable profitability
- Check debt-to-equity below 1 for most fertilizer stocks in India; financial sector fertilizer stocks in India will naturally carry higher leverage
- Verify dividend payment consistency as a management confidence signal in forward free cash flow
- Review latest quarterly results to confirm fundamentals are trending in the right direction
Conclusion
Coromandel International Ltd, Chambal Fertilisers and Chemicals Ltd and Gujarat State Fertilizers and Chemicals Ltd are three fertilizer stocks in India covering distinct angles of the fertilizers sector. Coromandel International Ltd trades at Rs 2038.93 with PE 33.83 and ROE 15.58%; Chambal Fertilisers and Chemicals Ltd at Rs 434.52 with PE 9.03; and Gujarat State Fertilizers and Chemicals Ltd at Rs 161.73 with PE 9.30. Each stock carries distinct risks. This article is for educational purposes only. Consult a SEBI-registered financial advisor before investing in fertilizer stocks in India or any other security.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
FAQs
Is Coromandel International a good fertilizer stock?
Ans. Coromandel International is India’s second-largest phosphate fertilizer company with strong market positions in South India. Unlike pure-play fertilizer companies, it also has a crop protection chemicals business that provides revenue diversification. Its PE of 33.83 reflects the growth premium of its diversified agri-inputs model.
How does the fertilizer subsidy policy affect fertilizer stocks?
Ans. The government sets maximum retail prices (MRP) for urea and regulates P&K fertilizers through the nutrient-based subsidy scheme. When global input costs rise, the government adjusts subsidies to maintain farmer affordability. Delay in subsidy receipts creates working capital pressure for fertilizer companies.
What does Chambal Fertilizers produce?
Ans. Chambal Fertilizers is a leading urea producer using natural gas as feedstock. It also has a crop protection and specialty nutrients business. Its PE of 9.03 and dividend yield of 2.53% make it attractive to income-oriented investors looking for exposure to the fertilizer sector.
