SOLARINDSSolar Industries India Limited Forensic Risk Analysis

Explosives
Risk ClassStable
Market Cap₹1,26,451 Cr
Primary DriverEarnings Quality
Flagium AI Risk Score
Stable structural profile. Financial profile appears resilient.
5 / 100
+5 QoQ
Early Deterioration
Sentinel Insight

Financial profile remains stable for now. Weakness is detected in profitability and earnings quality. No immediate concerns are visible. Risk is increasing at a faster pace.

0.0th %ile (Sector)Accel: +1 Qtrs
Updated2026-06-02
Market View
₹18,386▲1.01%
PeriodQ4 FY26

Score Waterfall
Absolute contribution points of each forensic pillar to the final risk score. Derived from: Sector Baseline + Active Penalties - Mitigation Buffers.

Earnings Quality
+7.2 pts
Stability Adjustment
-2.0 pts
Final Composite Risk5 / 100

Investment Risk Thesis

Historical Trend

Current risk score has risen from 4 → 5 over 13 quarters.

Expected Direction
⚠ Watch
Primary Deterioration Drivers
  • Inventory Stress
  • Industrial Margin Stress
  • Operating Leverage Stress
What to Watch Next Quarter
  • Operating cash flow
  • Operating profit margins
  • Inventory turnover

Active Risk Objects (6)

CriticalHigh
Cash Conversion Deficit
📊 Earnings QualityAnnualActive for 1 Years
More Detail
Impact Weight6/15
MomentumDecaying
Last SignalFY2024
SOLARINDS: OCF below Net Profit in 2/3 recent years.

"Cash conversion has normalized in the latest period. Operational cash flow is back in sync."

Industrial Margin Stress
📊 Earnings QualityAnnualActive for 2 Years
More Detail
Impact Weight12/15
MomentumAccelerating
Last SignalQ4 FY2026
SOLARINDS: Raw material costs consumed an additional 3.7% of revenue YoY.

"Early signs of margin erosion. Input costs are beginning to eat into core profits."

Inventory Stress
📊 Earnings QualityAnnualActive for 1 Years
More Detail
Impact Weight15/15
MomentumAccelerating
Last SignalQ2 FY2026
Inventory growth (33.3%) significantly outpaced revenue growth (20.9%).

"Slight build-up in inventory detected. Monitor for slowing sales momentum."

Operating Leverage Stress
📊 Earnings QualityAnnualActive for 1 Years
More Detail
Impact Weight10/15
MomentumAccelerating
Last SignalQ2 FY2026
Expenses are consistently growing faster than revenues, creating operational pressure.

"Debt levels are creeping up. Monitor for signs of excessive borrowing for non-core activities."

Working Capital Expansion
💧 Liquidity & CoverageAnnualActive for 1 Years
More Detail
Impact Weight10/15
MomentumDecaying
Last SignalQ4 FY2024
Working capital expansion detected: Receivable days increased by 22.0%.

"Working capital pressure is receding. Cash previously locked in operations is being released."

Capex Efficiency Stress
📊 Earnings QualityAnnualActive for 1 Years
More Detail
Impact Weight8/15
MomentumDecaying
Last SignalQ2 FY2024
Aggressive Capex (15.1%) amidst slow revenue growth (-13.7%).

"Earnings quality is stabilizing. The reliance on non-operational items is receding."

Risk Trajectory
Historical 12-quarter risk trend (Q-11 to Q0) followed by a 2-quarter predictive funnel (Q+1, Q+2).
Loading Chart
Resilience Matrix
Diagnostic benchmarking comparing structural sensitivity and risk buffers against sector medians.
MetricValuevs SectorSignal
Volatility (σ)3.255.44✅ RESILIENT
Sensitivity (ε_s)11.00✅ RESILIENT
Escalation Prob.5%5%✅ NEUTRAL
Safety Buffer+61.0+60.0✅ RESILIENT
Forensic Benchmark Context: Explosives (n=3 peers)

Correlation Analysis
Visualizing the relationship between stock price movement and structural risk objects.

Loading Chart
Share Price
Risk Score (0-100)
Market Performance
₹18,386(+1.01%)
1M Divergence+16.82%
1 Week-0.5%
1 Month+19.09%
6 Months+42.08%
1 Year+12.91%
2 Year+96.47%
3 Year+387.63%
Sector Average (1M)+2.27%
Sentinel Forensic Assessment
ALGORITHMIC RISK PROFILE • NON-ADVISORY

The structural architecture is currently robust. Capital resilience buffers in earnings quality remain well-maintained against forensic benchmarks. Systematic scans of operational margins and profitability metrics confirm the absence of material structural stress. Strategic vigilance is advised as structural decay is accelerating.

SOLARINDS • MARKET STRUCTURE

Stage 1 — Accumulation

The company is in a foundational phase. Risk metrics are stabilizing as the company builds a base for potential future fundamental improvement.

Stage Transition Prob.84%
Trend QualityDeveloping
Phase Progression
Phase Progression Score85%
Readiness LabelHigh (Phase Transition Imminent)
Probability of Advancing84%
CoinTree Momentum
Composite Z-Score+1.1011σ
Strong positive momentum leadership
Universe Rank
A cross-sectional rank of this stock's composite momentum score compared to all other tracked equities in the universe. A rank of #1 of 1035 means it has the strongest overall price momentum in the market.
#212 of 2716
Top 7.81% in momentum strength
Timeframe Sparklines
1W-0.5%
1M+19.1%
6M+42.1%
Weinstein Indicators
150 DMA₹14,007.08
200 DMA₹14,066.97
150 DMA Slope+3.2862%Rising
Relative Strength+48.64%Leading
Relative Turnover (RTR)1.4789
ParticipationHealthy

PEER COMPARISON

Ranked comparison against sector peers

Risk profile is broadly in line with the Sector Mean (6).
SOLARINDSSolar Industries India Limited
5 Risk
Sector %ile0th
Delta+5
Active Flags6
Accel+1
Earnings Quality

Stable

GOCLCORPGOCLCORP
15 Risk
Sector %ile100th
Delta+2
Active Flags19
Accel+3
Competitive Position

Stable

* Peer comparison is based on risk signals, not valuation or returns.

Risk Profiles

Solvency
10100th %ile
VS Sector Median (8.5)
Governance
10100th %ile
VS Sector Median (8.5)
Earnings Quality
5.252th %ile
VS Sector Median (8.5)
Balance Sheet Stress
10100th %ile
VS Sector Median (8.5)
Competitive Position
10100th %ile
VS Sector Median (8.5)
Growth Sustainability
10100th %ile
VS Sector Median (8.5)

Deterioration Timeline

2026

Industrial Margin Stress

2026

Operating Leverage Stress

2026

Inventory Stress

2024

Industrial Margin Stress

2024

Working Capital Expansion

2024

Capex Efficiency Stress

2024

Cash Conversion Deficit

Key Financials (INR Cr)

PeriodRevenueNet ProfitOCFDebt
FY20269,9661,7376211,468
FY20257,6111,2882,468940
FY20246,1148751,4061,105
FY20236,9548116561,169