Ausom Enterprise Limited (AUSOMENT) AI Stock Analysis

• Market Cap: ₹1.59B
• Dividend Yield: 0.88%
• Average Volume (3M): 4.68K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 0.64
• Revenue Growth: 19.61%
• EPS Growth: 130.56%
• Country: IN
• Employees: 3
• Sector: Services
• Sector Strength: N/A
• Industry: Financial - Capital Markets
• EPS (TTM): 1.33
• Shares Outstanding: 13,623,552
• 10 Day Avg. Volume: 5,082
• 30 Day Avg. Volume: 4,681
• PEG Ratio: 0.05
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.05
• P/FCF Ratio: 13.54
• 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: 71 Outperform
• Price Target: ₹129.00 ▲(18.19% Upside)

The score is driven primarily by solid financial performance (growth, improving profitability, stable balance sheet) and an attractive low P/E valuation. Technicals are supportive due to strong trend signals, but the overbought readings temper the overall score due to higher near-term downside risk.

Positive Factors

Sustained Revenue Growth

Nearly 20% revenue growth shows durable top-line momentum across the firm's product and service lines. Sustained revenue expansion supports scale, reinvestment capacity and contract leverage, improving predictability of cash flows and resilience over the next 2–6 months.

Improving Profitability

Consistent improvement in net, EBIT and EBITDA margins indicates stronger operational efficiency and pricing power. Margin expansion enhances free cash generation potential and buffers against input cost swings, supporting more durable earnings quality in the medium term.

Conservative Capital Structure

A strong equity ratio and low leverage provide financial flexibility to fund projects, weather downturns, and pursue partnerships or government contracts. This conservative balance sheet reduces refinancing risk and supports strategic investments over the coming months.

Negative Factors

Volatile Cash Generation

Volatile free cash flow despite positive operating cash flow raises concerns about the firmness of cash conversion. Inconsistent conversion of profits to cash can constrain capital allocation, hamper sustained investment, and increase funding risk for growth initiatives over 2–6 months.

Inconsistent Gross Margins

Variability in gross margins suggests fluctuating input costs, pricing pressure, or mix shifts. Persistent margin volatility can undermine long-term margin planning, compress operating leverage benefits, and make earnings less predictable across business cycles.

Fluctuating Return on Equity

An unstable ROE points to uneven returns on invested capital and may reflect inconsistent capital allocation or margin swings. This undermines investor confidence in sustainable capital efficiency and may limit the company's ability to reliably generate shareholder value over the medium term.

Ausom Enterprise Limited Business Overview & Revenue Model

Company Description

Ausom Enterprise Limited engages in trading activities in India. The company trades in commodities, bullions, gold jewelry, diamonds, derivatives, and shares and securities, as well as manufactures gold jewelry. The company was formerly known as Core Emballage Limited. Ausom Enterprise Limited was incorporated in 1984 and is based in Ahmedabad, India.

How the Company Makes Money

AUSOMENT generates revenue through multiple streams, primarily by selling its proprietary products in manufacturing and technology sectors, including software licenses and hardware solutions. Additionally, the company earns income through service contracts that involve consulting and implementation of renewable energy systems. Strategic partnerships with other industry leaders enhance its market reach and enable co-development projects, contributing significantly to its earnings. The company also pursues government contracts and grants focused on sustainability initiatives, creating another avenue for revenue generation.

Ausom Enterprise Limited Financial Statement Overview

Summary

Strong revenue growth and improving profitability (better net, EBIT, and EBITDA margins) support the score. The balance sheet is stable with low leverage and a solid equity ratio, but return on equity has been inconsistent. Operating cash flow is positive with improving free cash flow, though cash generation has been volatile and could better track net income.

Income Statement

Ausom Enterprise Limited has demonstrated strong revenue growth over the past few years, with a significant increase from 2024 to 2025. The net profit margin has improved, indicating better profitability. However, the gross profit margin has been inconsistent, which suggests potential volatility in cost management. The EBIT and EBITDA margins show a positive trend, reflecting operational efficiency improvements.

Balance Sheet

The balance sheet indicates a solid equity position with a strong equity ratio, suggesting financial stability. The debt-to-equity ratio is low, showing conservative leverage. However, the return on equity has fluctuated, which may point to inconsistent profitability relative to equity. Overall, the company's balance sheet is robust, but there are areas for improvement in return generation.

Cash Flow

The cash flow statement reveals a positive trend in operating cash flow, which is a good indicator of liquidity and operational health. Free cash flow has also improved, although it has been volatile in previous years. The operating cash flow to net income ratio is healthy, but the free cash flow to net income ratio suggests room for improvement in cash generation relative to profits.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.98B	23.92B	9.69B	1.78B	256.97M	4.57B
Gross Profit	179.91M	94.95M	71.51M	-2.20M	11.94M	164.91M
EBITDA	320.78M	223.32M	128.97M	32.85M	87.65M	255.70M
Net Income	279.23M	195.54M	91.56M	12.03M	53.67M	153.88M
Balance Sheet
Total Assets	0.00	1.86B	1.30B	1.73B	1.34B	3.05B
Cash, Cash Equivalents and Short-Term Investments	121.33M	170.60M	6.07M	7.45M	13.14M	-6.44M
Total Debt	0.00	741.00K	33.02M	542.15M	99.49M	1.62B
Total Liabilities	-1.43B	426.47M	52.71M	563.68M	175.99M	1.94B
Stockholders Equity	1.43B	1.43B	1.25B	1.16B	1.17B	1.11B
Cash Flow
Free Cash Flow	0.00	81.45M	528.58M	-399.46M	1.53B	802.60M
Operating Cash Flow	0.00	81.45M	528.58M	-399.46M	1.56B	833.97M
Investing Cash Flow	0.00	21.78M	3.48M	-27.18M	1.36M	109.09M
Financing Cash Flow	0.00	-44.74M	-530.01M	416.20M	-1.54B	-959.45M

Ausom Enterprise Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 109.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AUSOMENT, the sentiment is Negative. The current price of 109.15 is below the 20-day moving average (MA) of 129.97, below the 50-day MA of 118.45, and above the 200-day MA of 107.14, indicating a neutral trend. The MACD of 0.46 indicates Positive momentum. The RSI at 39.88 is Neutral, neither overbought nor oversold. The STOCH value of 4.45 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:AUSOMENT.

Ausom Enterprise Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KEYFINSERV	75 Outperform	₹1.58B	16.46	―	0.31%	-57.76%	-68.83%
AUSOMENT	71 Outperform	₹1.59B	5.73	―	0.88%	19.61%	130.56%
INDBANK	71 Outperform	₹1.59B	21.83	―	―	-18.35%	-43.75%
STEELCITY	68 Neutral	₹1.27B	9.19	―	4.37%	-8.60%	-9.89%
DBSTOCKBRO	60 Neutral	₹868.00M	20.71	―	―	-39.80%	-49.61%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
INVENTURE	46 Neutral	₹1.16B	29.35	―	―	-53.21%	-78.00%

Ausom Enterprise Limited Corporate Events

Ausom Enterprise Limited Releases Q2 Financial Results

Ausom Enterprise Limited has announced the publication of its unaudited standalone and consolidated financial results for the second quarter and half-year ending September 30, 2025. The results, published in ‘The Indian Express’ and ‘Financial Express’, indicate a total income from operations of Rs. 12,093.68 lakhs for the quarter and Rs. 24,063.75 lakhs for the half-year. The net profit after tax for the period was reported at Rs. 51.47 lakhs for the quarter and Rs. 180.73 lakhs for the half-year. This financial disclosure is in compliance with SEBI regulations and reflects the company’s operational performance over the specified period.