Solar Industries share price movement
Share price of Solar Industries India hit a new high of ₹22,187.85 surging 3 per cent on the BSE in Monday’s intra-day deals in an otherwise weak market.
In the past month, the stock price of the explosives company outperformed the market by soaring 21 per cent, compared to a 2.9 per cent decline in the BSE Sensex. It zoomed 84 per cent from its March 2026 low of ₹12,036 on the BSE.
At 10:04 AM, the stock was trading 2.8 per cent higher at ₹22,080.05, against a 0.38 per cent fall in the BSE Sensex. A combined 113,000 equity shares changed hands on the NSE and BSE.
Solar Industries’ market cap tops ₹2 trillion
Solar Industries’ market capitalisation (market cap) hit ₹2 trillion for the first time on Monday after a sharp run-up in the company’s stock price. The company’s market cap stood at ₹200,020 crore (₹2.0 trillion), the BSE data shows.
Solar Industries stands at the 45th position in the overall market cap ranking, data shows. At the beginning of the calendar year 2026, the company stood at 90th rank, according to Capitaline Plus database.
Solar Industries surpassed Trent, TVS Motor Company, DLF, InterGlobe Aviation (IndiGo), Britannia Industries, Canara Bank, Punjab National Bank, Ambuja Cements, Torrent Pharmaceuticals, Adani Energy Solutions and 35 other companies in market cap ranking.
Solar Industries likely to acquire big global firm in South Africa
According to media reports, Solar Industries is likely to acquire a big global firm in South Africa.
Solar Industries said the company evaluates various strategic opportunities in the ordinary course for growth and expansion of its business.
At this stage, there is no material event/ information that require disclosure under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
“With respect to the statements made in the news article, these are speculative in nature and are not specific in its details. The company does not deal with anything speculative and as and when any opportunity reaches a definitive stage, appropriate announcements would be made, in compliance with the obligations under SEBI LODR Regulations and our agreements with the stock exchanges,” Solar Industries clarified.
Solar Industries – ICRA’s rating rationale
Solar Industries along with its subsidiaries manufactures bulk explosives, packaged explosives and initiating systems, which find application in the mining, infrastructure and construction industries. The Group forayed into the defence sector in 2010 and diversified into manufacturing of propellants for missiles and rockets, warheads and warhead explosives.
The Solar Group has a defence order book of more than ₹21,000 crore as on March 31, 2026, including a ₹6,084-crore order for the supply of Pinaka rockets. The Group is also expanding its footprint in defence exports with a sizeable order book to be executed over the next few years. The strong order book position provides revenue visibility for the near to medium term.
The Group has a strong operational profile with an extensive manufacturing footprint across India and backward integration to manufacture emulsifiers, detonators shells, PETN (pentaerythritol tetranitrate), TNT (trinitrotoluene) and RDX (research department explosive). This has helped improve the operating margins over the years.
The Group has also set up bulk explosive manufacturing facilities in the vicinity of mining regions for efficient logistics and timely supply of orders. In the defence segment, the Group has been developing products jointly with various government bodies. The ongoing development of new products is expected to strengthen its portfolio and support incremental orders, ICRA said.
On September 4, 2026, ICRA reaffirmed the ratings on the commercial paper of Solar Industries.
The rating favourably factors in a healthy revenue growth of 30 per cent in the financial year 2025-26 (FY26) at ₹9,837.7 crore and the growth momentum is expected to sustain in FY27, driven by a strong defence order book and visibility on the offtake by Coal India Limited and its subsidiaries, Singareni Collieries Company Limited (SCCL).
The company’s operating profit margin (OPM) improved to around 26 per cent in FY25 and FY26, supported by the rising share of defence and export orders/international revenues which have higher margins. ICRA expects the margins to remain healthy in the range of 22-25 per cent, going forward.
In the April to June 2026 quarter (Q1FY27), around 37 per cent of revenue was from international business, 37 per cent from defence, and 26 per cent from industrial explosives (bulk and cartridge) and others.
ICICI Securities view on Solar Industries
Beyond defence, Solar is benefiting from a favourable tailwind in global explosives & high-energy materials industry, with shortages of these key materials supporting higher realisations across both domestic and international markets.
With the overall order book at ₹21,350 crore (~1.9x trailing twelve month revenue), international expansion and domestic explosives recovery, Solar has multiple growth engines beyond defence, supporting sustained revenue growth and healthy 27–28 per cent EBITDA margins.
The brokerage firm has increased its earnings estimates for FY27-28E to factor in strong execution across all segments.
Analysts estimate revenue & profit after tax to grow at 30 per cent & 32 per cent compound annual growth rate (CAGR) respectively over FY26-28E. ICICI Securities maintains a BUY on Solar Industries with a target price of ₹23,200 (based on 70x P/E on FY28E EPS). Disclaimer: Views and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers’ discretion is advised.
