SRF Ltd shares slipped over 2% in morning trade on July 25, 2025, after global brokerage Citi reiterated its ‘Sell’ rating on the stock, setting a target price of ₹2,725. As of 9:43 AM, the shares were trading 2.49% lower at Rs 3,072.10.
While SRF’s Q1 results surprised positively on the operating front—beating EBITDA estimates by 11%—Citi remains cautious. The brokerage pointed to underlying concerns in the company’s revenue trajectory and future growth outlook, particularly in the specialty chemicals segment.
Despite a 10% year-on-year growth, Q1 revenue declined 12% sequentially, signaling near-term softness. Citi highlighted that this trend may continue, citing risks such as pricing pressure from China and delays in commercialising key products, which could weigh on future earnings.
Citi also flagged concerns over margin sustainability, warning that investor sentiment could stay muted until there is more visibility on a rebound in SRF’s specialty chemical pipeline—an area closely watched for long-term growth.
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