ABB India Limited (ABB) AI Stock Analysis

• Market Cap: ₹1.18T
• Dividend Yield: 0.83%
• Average Volume (3M): 10.92K
• Price to Earnings (P/E): 67.0
• Beta (1Y): 1.54
• Revenue Growth: 12.35%
• EPS Growth: 4.87%
• Country: IN
• Employees: 3,625
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 19.30
• Shares Outstanding: 211,908,370
• 10 Day Avg. Volume: 12,255
• 30 Day Avg. Volume: 10,922
• PEG Ratio: 1.56
• Price to Book (P/B): 20.70
• Price to Sales (P/S): 12.12
• P/FCF Ratio: 131.04
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ₹5,996.00 ▲(14.81% Upside)

The score is driven primarily by strong financial performance (growth, profitability, low leverage, and solid free cash flow). Technicals remain supportive with the stock trading above major moving averages, but mixed momentum signals temper near-term conviction. Valuation is the main constraint due to a high P/E and modest dividend yield.

Positive Factors

Sustained revenue and margin growth

Consistent top-line expansion and improving margins indicate durable demand and growing pricing or efficiency advantages. Over months this supports reinvestment in products, services and execution capacity, increasing resilience versus peers and enabling steady earnings growth.

Strong balance sheet and ROE

A conservative leverage profile and solid equity foundation reduce financial risk and preserve strategic optionality. High ROE shows effective capital deployment, enabling funding of projects or M&A without heavy external financing, strengthening long-term competitive positioning.

Consistent free cash flow generation

Reliable free cash flow supports dividends, lifecycle services expansion and capex for automation projects. Strong cash conversion lowers reliance on external funding, allowing steady reinvestment in growth initiatives and cushioning the business through cyclicality.

Negative Factors

Modest EPS growth

EPS growth (~4.9%) lags revenue expansion, suggesting limited near-term profitability leverage or higher non-operating costs. Slower earnings per share progression can constrain shareholder returns and reduce flexibility to raise dividends or fund large strategic investments.

Cyclical dependence on capex cycles

Heavy exposure to industrial and infrastructure capex means order books and revenue are lumpy and tied to macro investment rhythms. This structural cyclicality creates durable variability in utilization and cash flow timing, complicating capacity planning despite strong fundamentals.

Low dividend yield

A modest dividend yield limits income-oriented investor appeal and suggests capital retention for reinvestment or growth instead of shareholder payouts. Over time this can reduce total return for yield-focused holders and places greater emphasis on share-price appreciation.

ABB India Limited Business Overview & Revenue Model

Company Description

ABB India Limited develops and sells products and system solutions to utilities, industries, channel partners, and original equipment manufacturers in India and internationally. The company operates through Motion, Robotics and Discrete Automation, Electrification, and Process Automation segments. The Motion segment produces and provides motors, generators, and drives that provide power, motion, and control for a range of automation applications; and offers solutions and related services. The Robotics and Discrete Automation segment provides value-added solutions in robotics, machine, and factory automation. The Electrification segment offers a range of digital and connected solutions for low- and medium-voltage applications, including EV infrastructure, solar inverters, modular substations, distribution automation, power protection, wiring accessories, switchgear, enclosures, cabling, sensing, and control products. The Process Automation segment provides products, systems, and services, such as turnkey engineering, control systems, measurement products, life cycle services, outsourced maintenance, and industry specific products for the optimization of the productivity of industrial processes in oil and gas, power, chemicals and pharmaceuticals, pulp and paper, metals and minerals, marine, and turbocharging industries. The company was formerly known as ABB Limited and changed its name to ABB India Limited in June 2013. ABB India Limited was incorporated in 1949 and is based in Bengaluru, India. ABB India Limited is a subsidiary of ABB Asea Brown Boveri Ltd.

How the Company Makes Money

ABB India Limited generates revenue through multiple streams, primarily by selling products and providing services across its core sectors. Key revenue streams include the manufacturing and distribution of electrical equipment such as switchgear, transformers, and wiring accessories, as well as automation solutions that enhance industrial processes. The company also earns income from service contracts, maintenance, and upgrades for its installed systems. Additionally, ABB India engages in strategic partnerships and collaborations with other companies and government entities, which can lead to large-scale projects and contracts that significantly contribute to its earnings. The increasing demand for automation and digitalization solutions in various industries further bolsters ABB's revenue potential, allowing it to tap into emerging markets and technological advancements.

ABB India Limited Financial Statement Overview

Summary

Strong fundamentals supported by high Income Statement (87) on sustained revenue growth and improved margins, solid Balance Sheet (82) with low leverage and strong ROE, and healthy Cash Flow (80) with consistent free cash flow and strong cash conversion.

Income Statement

ABB India Limited has shown strong revenue growth with a consistent upward trend in total revenue over the years. The gross profit margin is robust, indicating efficiency in production and pricing. Net profit margin has improved significantly, reflecting effective cost management. EBIT and EBITDA margins are healthy, highlighting strong operational performance. Overall, the income statement reflects a positive trajectory in financial performance, with sustained growth and profitability.

Balance Sheet

The company's balance sheet demonstrates financial stability, with a solid equity ratio indicating a strong equity foundation. The debt-to-equity ratio is low, signifying minimal reliance on debt financing and reduced financial risk. Return on equity is impressive, showcasing effective use of shareholder funds to generate profits. The balance sheet is well-positioned, with a strong equity base and controlled liabilities, supporting long-term financial health.

Cash Flow

ABB India Limited exhibits a healthy cash flow position, with consistent free cash flow generation. The operating cash flow to net income ratio is favorable, indicating efficient cash management and strong cash conversion. The free cash flow to net income ratio is robust, supporting dividend payments and reinvestment opportunities. Free cash flow growth is strong, demonstrating the company's ability to generate cash to fund operations and growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	125.00B	120.88B	103.67B	84.98B	68.64B	57.57B
Gross Profit	46.50B	45.83B	34.15B	26.79B	20.26B	17.03B
EBITDA	25.64B	26.58B	17.91B	14.79B	8.36B	4.35B
Net Income	17.95B	18.72B	12.42B	10.16B	5.20B	2.19B
Balance Sheet
Total Assets	128.00B	123.91B	110.01B	93.18B	80.73B	75.91B
Cash, Cash Equivalents and Short-Term Investments	52.62B	56.04B	48.15B	36.40B	26.85B	22.04B
Total Debt	732.20M	518.80M	489.80M	330.90M	366.60M	582.40M
Total Liabilities	56.05B	53.16B	50.57B	43.79B	40.28B	39.84B
Stockholders Equity	71.94B	70.75B	59.45B	49.39B	40.45B	36.06B
Cash Flow
Free Cash Flow	0.00	11.18B	11.68B	5.74B	4.77B	1.97B
Operating Cash Flow	0.00	13.32B	13.51B	7.42B	6.49B	3.18B
Investing Cash Flow	0.00	-5.03B	-33.52B	18.26B	-20.08B	4.42B
Financing Cash Flow	0.00	-7.70B	-2.69B	-1.40B	-1.27B	-1.52B

ABB India Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5222.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ABB, the sentiment is Positive. The current price of 5222.45 is above the 20-day moving average (MA) of 4988.76, above the 50-day MA of 5097.31, and below the 200-day MA of 5373.62, indicating a bullish trend. The MACD of 13.69 indicates Negative momentum. The RSI at 71.96 is Negative, neither overbought nor oversold. The STOCH value of 93.80 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ABB.

ABB India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HONAUT	74 Outperform	₹296.13B	57.38	―	0.32%	13.28%	-2.20%
CUMMINSIND	72 Outperform	₹1.14T	49.23	―	1.14%	20.23%	18.69%
ABB	69 Neutral	₹1.18T	67.00	―	0.83%	12.35%	4.87%
SCHAEFFLER	69 Neutral	₹566.69B	53.20	―	0.73%	14.14%	16.91%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BHEL	58 Neutral	₹915.26B	112.41	―	0.18%	13.30%	137.07%
THERMAX	58 Neutral	₹343.40B	54.68	―	0.48%	3.37%	-19.95%

ABB India Limited Corporate Events

ABB India Wins Major Propulsion Order for Mumbai Metro Expansion

ABB India has secured a major order from Titagarh Rail Systems to supply integrated propulsion equipment and Train Control and Management System (TCMS) software for 40 six‑car trainsets serving Mumbai Metro’s upcoming Lines 5 and 6, key corridors designed to improve connectivity, cut travel times and ease congestion across the city’s extended suburbs. The contract, which marks ABB’s entry into India’s 25 kV AC metro segment, will be fulfilled largely through its Bengaluru and Vadodara facilities and local engineering teams, reinforcing its role as a preferred provider of energy‑efficient, low‑emission rail technologies and deepening its footprint in India’s urban transport build‑out, with implications for stronger positioning in future metro tenders and a broader push toward sustainable mobility solutions.

ABB India Clears Rs 1,568-Crore Transfer of Robotics Business to New Subsidiary

ABB India Limited has approved a restructuring of its robotics operations in line with the global ABB group’s previously announced spin-off and divestment of its robotics business to SoftBank Group. The company has incorporated a wholly owned subsidiary, ABB Robotics India Private Limited (INRBT), and its board has cleared the sale of ABB India’s shareholding in INRBT to ABB Robotics Schweiz AG for Rs 1 lakh plus related expenses, followed by the transfer of ABB India’s robotics business to INRBT on a slump sale basis for at least Rs 1,568.2 crore, subject to shareholder approval via a postal ballot for the material related-party transaction. This move realigns the ownership of the Indian robotics business with ABB’s global robotics structure and the planned divestment, potentially reshaping ABB India’s portfolio mix and revenue composition while clarifying the corporate positioning of its robotics operations within the wider ABB and SoftBank ecosystem.

ABB India Forecloses MOTR Division Head’s Contract, Installs Interim Leadership

ABB India Limited has announced a change in senior management, foreclosing the fixed-term employment contract of Mr. Moonish Ghuge, who was serving as Local Division President – MOTR and classified as senior managerial personnel under SEBI Listing Regulations, with his duties ending immediately on 19 January 2026. To maintain leadership continuity in the MOTR division, the company has appointed Mr. Roger Buchmann, currently Global Product Line Manager for traction packages, as the ad-interim head of the MOTR division effective the same date, signalling an internal stopgap arrangement while ABB India searches for a permanent successor, a move that aims to ensure operational stability in a key business unit and regulatory compliance in its market disclosures.

ABB India Ships First Locally Made Wind Power Converter After Gamesa Electric Acquisition

ABB India has dispatched its first locally manufactured wind power converter from its Nelamangala facility in Bengaluru following the acquisition of Gamesa Electric’s power electronics business in December 2025, marking a key step in integrating proven wind energy conversion technologies into its portfolio. The milestone underlines ABB’s commitment to accelerating the energy transition through advanced, India-made wind, solar, and battery energy storage solutions, reinforcing both its own position in the renewable energy value chain and India’s role as a global renewable manufacturing hub as the country targets a sharp expansion in wind capacity by 2030.

ABB India Limited Announces Board Meeting and Trading Window Closure

ABB India Limited has announced a scheduled Board of Directors meeting on February 19, 2026, to approve the audited financial results for the fourth quarter and the financial year ending December 31, 2025. The meeting will also consider recommending a dividend on equity shares and address matters related to the upcoming Annual General Meeting. Additionally, the company has implemented a trading window closure from December 15, 2025, to February 21, 2026, in compliance with insider trading regulations, affecting directors and designated employees.

ABB India Receives ESG Rating of 76 for FY 2025

ABB India Limited announced that it has received an ESG rating of ’76’ for the fiscal year 2025 from NSE Sustainability Ratings & Analytics Ltd. This rating was independently prepared based on publicly available information, without direct engagement from ABB India. The rating reflects the company’s commitment to environmental, social, and governance standards, potentially impacting its industry positioning and stakeholder perceptions positively.

ABB India Unveils Advanced Machinery Drive for Enhanced Automation

ABB India has launched the ACS380-E drive, a next-generation machinery drive designed to enhance automation-centric machine building with advanced connectivity, cybersecurity, and ease of commissioning. This launch aligns with India’s manufacturing shift towards digitalization and smart-factory upgrades, supporting industries such as textile, cable and wire, and plastics in meeting evolving regulatory standards and improving efficiency.

ABB India Unveils Advanced ACS380-E Machinery Drive

ABB India Limited has launched the ACS380-E, a next-generation machinery drive designed for high performance, connectivity, and cybersecurity. This product supports the digitalization and smart-factory upgrades in India’s manufacturing sector, offering advanced connectivity and easy commissioning. It is engineered for various industrial applications, helping machine builders meet evolving regulatory standards and improve operational efficiency.