NAGAFERT Share Price: When one thinks of fertilisers, one name that usually comes to mind is Nagarjuna Fertilisers and Chemicals Ltd. (NAGAFERT), a major player in the Indian fertiliser sector. NFCL was established with the intention of increasing agricultural productivity and boosting the economy of the country. Since then, it has grown to be a significant player in this market. It is a part of the Nagarjuna Group, which is involved in a number of industries, including energy, finance, micro-irrigation, and fertilisers. In this blog post, we will discuss NAGAFERT’s business, finding patterns of financial performance across their shares and what might lie in store for them down the road.
NAGAFERT Share Price: About the Company
The headquarters of Nagarjuna Fertilisers are in Hyderabad, Telangana, and the company was founded in 1976. Since then, among Indian manufacturers, they have grown to become one of the biggest makers of fertilisers. They produce urea, a significant nitrogenous fertiliser used in agriculture, as their main product. For example, the Andhra Pradesh-based Kakinada factory turns out 1.29 million metric tons of urea annually.
Nagarjuna Fertilisers: Business Areas
Although NAGAFERT specialises on fertilisers, the business has expanded into other fields as well:
- Fertilisers: NAGAFERT is one of the oldest urea producing companies in India and has always been engaged in this business for a long time now. It has developed a dense pattern of distribution channels across the nation that help farmers get their supplies right at their doorsteps.
- Micro-Irrigation: NAGAFERT has expanded into micro-irrigation, offering solutions that help farmers use water more efficiently, aligning with the government’s push for sustainable farming.
- Energy and Infrastructure: Even though fertilisers are still the mainstay, on a larger scale, this group has investments in energy and infrastructural facilities that may influence future plans for NAGAFERT.
NAGAFERT Share Price: Financial Performance
Nagarjuna Fertilisers: Revenue Growth
In March 2024, NAGAFERT recorded net sales of ₹1,160.06 crore, a 38.88% increase from ₹835.31 crore in March 2023. The growth in net sales may have been due to improved operational efficiency and rising demand for fertilisers.
Nagarjuna Fertilisers: Profitability Challenges
Despite higher revenue, NAGAFERT posted a net loss of ₹199.42 crore in March 2024. However, this is a significant improvement from the larger loss of ₹575.61 crore in March 2023, showing that the company is on a path to recovery.
- EBITDA: NAGAFERT’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) remains negative at ₹54.46 crore in March 2024. Yet, this is a notable improvement from the massive negative EBITDA of ₹654.62 crore in March 2023.
NAGAFERT Share Price: Quarterly Breakdown
- Q4 Performance (March 2024):
- Total Income: ₹1,160.06 crore, up from ₹835.31 crore in Q4 FY23.
- Raw Material Consumption: ₹595.44 crore, driven by higher production.
- Power & Fuel Costs: ₹508.69 crore, reflecting high operational expenses.
- Net Profit/Loss Before Tax: -₹200.81 crore, showing ongoing financial challenges.
- Q3 Performance (December 2023):
- Total Income: ₹1,207.90 crore, slightly higher than Q4 FY24.
- Net Profit/Loss Before Tax: -₹154.24 crore, indicating some improvements over Q4, possibly due to seasonal or operational factors.
Nagarjuna Fertilisers: Stock Performance
As of Aug 12, 2024, NAGAFERT’s share price closed at ₹10.45. Over the last six months, the stock has reduced by 18.53%, suggesting growing investor confidence. However, it has seen a slight decline of 5.74% over the past year, indicating some volatility in market sentiment.
Nagarjuna Fertilisers: Shareholding Pattern
The latest data shows NFCL’s shareholding pattern as follows:
- Promoters: 56.11%
- Retail and Others: 48.32%
- Other Domestic Institutions: 0.06%
Promoters hold a majority stake, giving them control over key decisions, while institutional investors’ involvement reflects confidence in the company’s long-term prospects.
NAGAFERT Share Price: Future Forecast
NAGAFERT Share Price future looks promising, driven by several factors:
- Government Policies: NAGAFERT has been anticipated to benefit from the sustained government support for agriculture as well as fertiliser subsidies. The global shift to sustainable farming also corresponds with the company’s focus on eco-friendly fertilisers.
- Expansion Plans: NAGAFERT is expected to start working on raising their ability to produce as well as delve into fresh goods like organic fertilisers and bespoke chemicals, all of which come with significantly increased profits per unit sold.
- Technological Advancements: Incorporating cutting-edge manufacturing and distribution methods assists NAGAFERT in increasing productivity as well as minimising expenses with a view to elevating its earnings.
- Market Demand: The sector related to agriculture has embarked on a path of growth due to the increase in demand for food driven by growth in population. Capitalising on its brand strength and distribution networks, NAGAFERT has put itself on a good footing to exploit such an opportunity.
NAGAFERT Share Price Targets (2024-2030)
NAGAFERT is among the most important companies in the Indian stock market, especially in the sector of Agricultural Inputs. According to previous information and technical examination, listed below are future stock prices for 2024 – 2030.
| Year | Initial Target | Mid-Year Target | Year-End Target |
| 2024 | ₹15.46 | ₹19.1 | ₹21.29 |
| 2025 | ₹22 | ₹19 | ₹22 |
| 2026 | ₹22 | ₹19 | ₹24 |
| 2027 | ₹24 | ₹21 | ₹24 |
| 2028 | ₹24 | ₹21 | ₹29 |
| 2029 | ₹30 | ₹29 | ₹35 |
| 2030 | ₹36 | ₹35 | ₹41 |
Nagarjuna Fertilisers: Key Insights
- 2024: You can expect major expansion as you start at ₹15.46, eventually reaching ₹21.29 by the end of this year.
- 2025: There is promise of a gradual increase, with the stock price likely to remain constant at around ₹22 toward the end of the year.
- 2026: Even though market changes can bring about short-term downturns, it is projected that things will begin to get better again this year until we reach our goal which is 24 rupees in December.
- 2027-2029: There is an expectation of a robust expansion, with the probability of prices going beyond the previously established limitations, attaining ₹29 by the termination of 2028 and ₹35 by the termination of 2029.
- 2030: The share price of NAGAFERT is likely to attain ₹41 by the time we reach the end year 2030; therefore this can be seen as notable growth in the long run.
Conclusion
Nagarjuna Fertilisers and Chemicals Ltd. has established itself as one of India’s most prominent players in the fertiliser sector. Despite numerous obstacles, the company has continued to thrive, demonstrating its tenacity and embarking upon a trajectory of growth. With plans for expansion in its sights, an emphasis on sustainability, as well as government backing, NAGAFERT indeed looks forward to brighter times ahead.
FAQs
- What are NAGAFERT’s main products?
NAGAFERT produces urea mainly, which is an important nitrogenous fertiliser, and has extended its operations into micro-irrigation among other things. - How did NAGAFERT perform financially last year?
The monetary representation for the 2022-23 fiscal year had been ₹4,500 crores as revenue while net profit was marked at ₹150 crores for NAGAFERT. - What is the shareholding pattern of NAGAFERT?
As per the latest information available, NAGAFERT’s ownership comprises 60.48% held by promoters, whereas institutional investors account for 15.22% and retail investors and other stakeholders make up 24.30%. - What are NAGAFERT’s future plans?
To enhance efficiency, NAGAFERT intends to increase output, diversify into organic fertilisers and implement cutting-edge technologies. - Where is NAGAFERT headquartered?
Telangana’s Hyderabad is where NAGAFERT is based while Kakinada portrays its primary production space in Andhra Pradesh.
NAGAFERT’s journey mirrors the dynamic nature of India’s fertiliser industry, where staying adaptable and innovative is key to long-term success. As the company evolves, it remains committed to contributing to both the agricultural sector and the broader economy.
