Berger Paints India Ltd.
NSE: BERGEPAINTBerger Paints India Ltd.: A 30-second snapshot
Berger Paints India (BERGEPAINT) trades at ₹533.45 with a trailing PE of 55.22 and forward PE of 42.01, the lowest PE among its 6 disclosed Consumer Goods peers. The company reported 38% PAT growth and record margins in Q4 FY26, with 5-year earnings CAGR of 27.7% on revenue CAGR of 6.1%, though debt-to-equity of 9.165 remains elevated for a paint company and the stock is flat over 12 months despite the recent 16.35% 3-month recovery.
P/E
55.2
Forward P/E
42.0
ROE
+17.2%
Debt / Equity
9.16
Profit Margin
+9.4%
Div. Yield
+0.7%
5Y ROE > 15%
4/5
5Y FCF > 0
3/5
Quality
63/100
News
6 headlines · 3 positive · 1 negative
BERGEPAINT: Q4 saw record margins, strong volume growth, and positive outlook amid stable competition - TradingView
TradingView
BERGEPAINT: Q4 FY26 delivered record margins and 38% PAT growth, with strong segment momentum and robust cash - TradingView
TradingView
Berger Paints clears FY26 results, dividend and extends CEO tenure - TipRanks
TipRanks
Berger Paints India Ltd stock (INE463A01038): Analysts flag expensive valuation and cautious outlook - AD HOC NEWS
AD HOC NEWS
BERGEPAINT.NS Earnings Recap: Revenue Beat, EPS Miss - Meyka
Meyka
Recent context
- ·Q4 FY26 results disclosed on May 12, 2026 showed 38% PAT growth, record operating margins, and strong volume momentum; the board also extended CEO tenure and approved a dividend (yield: 0.71%).
- ·Mean analyst rating of 2.5 across 22 analysts (1–5 scale, lower = more constructive), reflecting a spread of views that straddles the mid-point of the scale.
- ·The stock has gained 16.35% over 3 months from a base of approximately ₹458, crossing back above the 200-DMA (₹510.63) and the 50-DMA (₹452.23); nearest support levels are at ₹518.10 and ₹505.00.
Strengths
- +Lowest trailing PE (55.22) and highest quality score (51) among the 6 disclosed Consumer Goods peers including ASIANPAINT (23), TITAN (34), DMART (37), ETERNAL (41), and TRENT (49).
- +5-year earnings CAGR of 27.7% significantly outpaces 5-year revenue CAGR of 6.1%, indicating meaningful margin expansion over the period; Q4 FY26 delivered record margins per company disclosures.
- +Price is currently above both the 50-DMA (₹452.23) and 200-DMA (₹510.63), with a 16.35% gain over the past 3 months recovering much of the earlier drawdown.
- +Debt trend is classified as falling, and the board extended the CEO tenure in FY26 results disclosures, suggesting operational continuity at the leadership level.
Weaknesses
- −Debt-to-equity of 9.165 is substantially elevated for a consumer goods paint business; while falling, the absolute leverage level is well above typical FMCG peers and reduces financial flexibility.
- −FCF positive in only 3 of available years and ROE above 15% in only 4 of available years, suggesting the high earnings growth has not been consistently accompanied by durable free-cash generation.
- −RSI at 71.12 is in overbought territory; the 16.35% surge over 3 months follows a period where the stock was down 1.08% over 12 months, raising the question of whether the recovery is fundamental or technical in nature.
- −One news article from AD HOC NEWS dated May 9, 2026 explicitly flags expensive valuation and a cautious analyst outlook, and Q4 results showed a revenue beat but EPS miss per Meyka coverage.
Open questions
- ?Does the 27.7% 5-year earnings CAGR alongside only 6.1% revenue CAGR reflect a durable structural improvement in margin, or does it incorporate one-time cost tailwinds that may not repeat?
- ?How does Berger Paints plan to reduce D/E of 9.165 given ongoing capital requirements, and what is the trajectory implied by the falling debt trend?
- ?Given that RSI is at 71.12 and the stock is up 16.35% over 3 months but flat over 12 months, what drove the re-rating and whether the earnings beat is sufficient to sustain the level?
- ?The analyst rating of 2.5 across 22 analysts sits at the mid-point of the 1–5 scale — what are the key divergence points between the more constructive and more cautious analysts in current coverage?
Peer comparison: Consumer Goods
Ranks 1 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| BERGEPAINT | Berger Paints India Ltd.You're viewing | 55.2 | +17.2% | 51 |
| Industry avg | across 5 peers | 79.5 | +19.6% | 37 |
| TRENT | Trent Ltd. | 84.7 | +27.1% | 49 |
| ETERNAL | Eternal Ltd. | — | +1.2% | 41 |
| DMART | Avenue Supermarts Ltd. | 95.2 | +12.9% | 37 |
| TITAN | Titan Company Ltd. | 73.0 | +37.1% | 34 |
| ASIANPAINT | Asian Paints Ltd. | 64.9 | — | 23 |
Technical state
Current price
₹533.45
SMA 50
₹452.23
SMA 200
₹510.63
RSI (14)
71.1 (overbought)
From 52w high
-11.2%
1Y return
-1.1%
3M return
+16.4%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Risk flags
- highDebt-to-equity of 9.165 is substantially elevated for a Consumer Goods paint company; the debt trend is falling but absolute leverage remains well above typical FMCG/consumer-goods norms, limiting balance-sheet headroom in a downturn.
- mediumFCF positive in only 3 of the available years and ROE above 15% in only 4 years, indicating that high earnings growth (27.7% 5y CAGR) has not consistently translated into either sustained free-cash generation or above-threshold returns on equity.
- mediumRSI of 71.12 is in overbought territory following a 16.35% 3-month price surge; the stock remains down 1.08% over 12 months and 11.23% below its 52-week high, so near-term momentum sits against a weak annual return backdrop.
- lowNews coverage totals 6 articles (below threshold for high reliability); one article explicitly flags expensive valuation and a cautious analyst outlook despite an otherwise positive earnings quarter.
Cross-section contradictions
- Q4 FY26 reportedly delivered 38% PAT growth and record margins, yet the stock is down 1.08% over 12 months — a divergence between reported earnings momentum and the share price trend over the same period.
- Trailing PE of 55.22 sits at the lowest among the 6 disclosed Consumer Goods peers (DMART 95.23, TRENT 84.74, TITAN 72.99, ASIANPAINT 64.93), yet sell-side analysts are flagging expensive valuation — the absolute multiple is high but the peer-relative framing complicates that assessment.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 17 May 2026 · rotates through NIFTY 500 every ~5 days