Vishnu Chemicals Detail
As per the Company website it is in the business of manufacturing, marketing and the export of Chromium chemicals and other specialty chemicals. It has an annual capacity of producing over 70,000 MT of Basic Chromium Sulphate, 70,000 MT of Sodium Dichromate, 1000 MT of Chromic Acid, 1000 MT of Potassium Dichromate, 1200 MT of Sodium Saccharine and 400 MT of Vitamin K3.
It exports the products to more than 35 countries across the globe. It is also a leading player in Chromium chemicals in India. The Company has production units in Bhilai, Visakhapatnam, Hyderabad and Shrikalahasti.
The products have wide applications across various industries, including: pharmaceutical, fine chemical, leather tanning, pigments, dyes, chrome plating, metallurgy, animal feeds, artificial sweeteners, adhesives, ceramics.
Apart from manufacturing these products it also performs services like Custom synthesis, Contract Research and Contract manufacturing for Clients in US and Europe.
I have shared long term price performance chart of the Company below.As per Dow theory of technical analysis price performance over a period of time reflects Company state.
Vishnu Chemicals Stock Performance
The stock has not given any return whatsoever if you look at the starting and end position of the above long term price chart. There was brief period of performance where investors made good money. From year 2014 to 2016 it gave stellar returns as the stock crossed 400 and traded near 500 mark.
Recent couple of years were not good after the stellar run and it is now trading well below 200. Note the stock got listed at 130 in year 2007 and at this point of time it is trading at same level. The dividend yield of the Stock is good and this is one positive for the Investors.
Vishnu Chemicals My Opinion
Vishnu Chemicals is a Chemicals Company. I like the dedicated focus of the Company on Chromium compounds. It is mainly creating Chrome compounds and Barium compounds. The dedicated focus help the Company excel in the area of operation.
The best part is these Compounds target different industries like Barium compounds target Glass industry (Special Glass manufacturing) whereas Chromium compounds are used in Electroplating and Explosives.
Growth of any Business to Business Company depends on growth and demand of Components it creates in various industries. The more these components are required in different industries because of growth in those industries or new opportunities being visible they will help Vishnu Chemicals.
I still does not see niche application of these Compounds but you need to closely monitor Chemical companies. Many a times you will see some or other chemicals will have some niche application and company manufacturing them will get immensely benefited.
I am invested in Chemicals Company and for now I am not increasing my exposure. I will not be tracking this Company as I am already invested in Companies in this sector.
In case you are interested then you can track the company by adding it to your stock watch list. That way you can keep close eye on the Company.