According to reports from Moneycontrol, Prabhudas Lilladher has issued a 'BUY' rating on Fine Organic Industries with a target price of ₹5,117. The brokerage's research report dated February 14, 2026 recommends the stock at current valuations, valuing it at 30x December 2027 EPS. The recommendation comes as the company demonstrates strong operational performance despite facing some margin pressures.
As reported by Moneycontrol, Fine Organic Industries reported consolidated revenue of ₹5.5 billion in Q3FY26, representing an 8% year-on-year increase but a 7% quarter-on-quarter decline. The company's adj EBITDA margin declined by 100 basis points YoY and 430 basis points QoQ, primarily due to higher raw material prices. Domestic demand improved during the quarter, while export demand remained stable, with all manufacturing facilities operating at full capacity except the Patalganga food-grade plant.
According to the report, during Q2FY26, FINEORG incorporated a wholly owned U.S. subsidiary to establish a manufacturing facility aimed at strengthening supply chain efficiency. The company also acquired approximately 159.9 acres of land in June 2025. Additionally, FINEORG has received environmental clearance for its ₹7.5 billion greenfield project on SEZ land, with a few remaining approvals pending. The SEZ project is expected to deliver peak revenue potential of ₹26 billion, assuming an asset turnover of 3.5x, and should start contributing meaningfully to topline growth from FY28.
As reported by Moneycontrol, the upcoming SEZ facility and planned U.S. manufacturing plant are identified as key growth catalysts for the company. At current valuations, FINEORG trades at approximately 24x FY28E EPS. The brokerage maintains its positive outlook on the stock, citing the company's expansion initiatives and the expected contribution from the SEZ project to future revenue growth.
