ABB India Limited (ABB) AI Stock Analysis

• Market Cap: ₹1.11T
• Dividend Yield: 0.84%
• Average Volume (3M): 10.92K
• Price to Earnings (P/E): 61.9
• Beta (1Y): 1.50
• 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: ₹5,396.67
• Price Target Upside: 5.04% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: ₹5,658.00 ▲(10.12% Upside)

The overall stock score of 67 reflects strong financial performance, characterized by robust revenue growth and balance sheet stability. However, the technical analysis indicates neutral momentum, and the valuation suggests the stock is overvalued, which tempers the overall score.

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

ABB India Limited presents a compelling financial profile characterized by strong revenue growth, profitability, and balance sheet stability. The income statement highlights efficient operations and robust margins, while the balance sheet reflects a solid financial structure with low leverage. Cash flow metrics underscore effective cash management and the capacity to sustain operations and growth.

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: Neutral
• Last Price: 5137.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ABB, the sentiment is Neutral. The current price of 5137.85 is above the 20-day moving average (MA) of 5119.68, below the 50-day MA of 5187.14, and below the 200-day MA of 5427.10, indicating a neutral trend. The MACD of -41.54 indicates Negative momentum. The RSI at 51.83 is Neutral, neither overbought nor oversold. The STOCH value of 71.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:ABB.

ABB India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CUMMINSIND	74 Outperform	₹1.20T	55.89	―	1.18%	20.23%	18.69%
HONAUT	74 Outperform	₹325.09B	63.53	―	0.30%	13.28%	-2.20%
SCHAEFFLER	69 Neutral	₹642.21B	60.29	―	0.69%	14.14%	16.91%
THERMAX	68 Neutral	₹388.38B	54.72	―	0.48%	3.37%	-19.95%
ABB	67 Neutral	₹1.11T	61.85	―	0.84%	12.35%	4.87%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BHEL	58 Neutral	₹930.41B	166.58	―	0.18%	13.30%	137.07%

ABB India Limited Corporate Events

ABB to Divest Robotics Division to SoftBank for $5.375 Billion

ABB has announced the divestment of its Robotics division to SoftBank Group for $5.375 billion, opting not to pursue a spin-off as initially planned. This strategic move is expected to create immediate value for shareholders and aligns with ABB’s capital allocation principles. The transaction, subject to regulatory approvals, is anticipated to close by mid-to-late 2026. The divestment will allow ABB to focus on its core strengths in electrification and automation while leveraging SoftBank’s expertise in AI and next-generation computing to enhance the Robotics division’s market position.

ABB India Limited Releases Q2 2025 Financial Results

ABB India Limited announced its unaudited financial results for the second quarter and half-year ending June 30, 2025. The results, approved by the Board of Directors, were reviewed by B S R & Co. LLP, the statutory auditors, and comply with the Indian Accounting Standard and SEBI regulations. This financial disclosure is crucial for stakeholders as it provides insights into the company’s financial health and operational performance.

ABB India to Establish Wholly Owned Subsidiary for Robotics Business

ABB India Limited’s Board of Directors has approved the incorporation of a wholly owned subsidiary to potentially house its Robotics business as a separate legal entity. This strategic move aligns with the ABB Group’s global plan to spin off its Robotics division, although no final decision on divestment has been made, pending further evaluations and regulatory approvals.