Agrochemical Multibagger Stock Hits All-Time High: Insecticides (India) Jumps 7% on Strong Q1 Earnings; Angel One Recommends Buy-on-Dip Strategy

Insecticides (India) has become a multibagger stock, with its share price more than doubling in the past year. Recently, the stock has seen a strong rally, driven by high trading volumes. On Monday, Insecticides’ share price jumped nearly 7%, reaching a record high of ₹965.35 per share, following strong Q1FY25 results. During the same session, the stock’s intraday low was ₹922.75 per share.

Equity Technical and Derivative Analyst Rajesh Bhosale from Angel One advises investors to consider buying the stock on dips, especially after this sharp rise. He suggests ₹900 as a support level and ₹1,050 as a resistance level.

Q1 Financial Performance

In the first quarter of FY25, Insecticides (India) reported a 68.18% increase in consolidated net profit, reaching ₹49.01 crore. This is a significant rise from the ₹29.14 crore profit recorded in the same quarter of the previous fiscal year.

The company’s total income grew slightly, from ₹643.84 crore last year to ₹659.20 crore this year. Additionally, the company announced an interim dividend of ₹2 per equity share, with a face value of ₹10.

EBITDA

Managing Director Rajesh Aggarwal highlighted that the company’s focus on premium products has driven profitability. The EBITDA margin improved by 380 basis points year-on-year, reaching 10.9%. Profit After Tax also saw a 68% increase. Aggarwal expressed optimism for FY25, noting consistent demand across all regions and stable input costs. The company plans to launch one new product in Q1FY25 and is preparing to introduce more innovative products.

In other news, the company’s Board of Directors has approved the dissolution of “IIL Overseas DMCC,” a wholly-owned subsidiary in Dubai, UAE, according to a regulatory filing.

Insecticides is a leading company in crop protection and feeding in India, offering over 20 technology products and more than 125 formulation products. The company is well-known among farmers for its “Tractor Brand” and operates modern manufacturing plants in Rajasthan, Jammu & Kashmir, and Gujarat.