Avalon Technologies Limited (AVALON) AI Stock Analysis

• Market Cap: ₹83.63B
• Dividend Yield: N/A
• Average Volume (3M): 49.47K
• Price to Earnings (P/E): 101.5
• Beta (1Y): 0.93
• Revenue Growth: 46.95%
• EPS Growth: 326.05%
• Country: IN
• Employees: 830
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 2.10
• Shares Outstanding: 66,713,940
• 10 Day Avg. Volume: 89,428
• 30 Day Avg. Volume: 49,472
• PEG Ratio: 0.65
• Price to Book (P/B): 8.42
• Price to Sales (P/S): 4.69
• P/FCF Ratio: -243.91
• 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: ₹955.50
• Price Target Upside: -22.16% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 61 Neutral
• Price Target: ₹1,322.00 ▲(7.69% Upside)

Avalon Technologies' overall stock score is driven by strong financial performance and bullish technical indicators. However, the high P/E ratio suggests potential overvaluation, which is a significant risk factor. The absence of dividend yield further impacts the valuation negatively.

Avalon Technologies Limited Business Overview & Revenue Model

Company Description

Avalon Technologies Limited (AVALON) is a technology-driven company specializing in providing advanced electronic manufacturing services. The company operates in various sectors, including telecommunications, healthcare, automotive, and industrial automation. Avalon Technologies offers a comprehensive suite of services such as product design, prototyping, testing, and full-scale manufacturing, catering to the needs of its diverse clientele.

How the Company Makes Money

Avalon Technologies Limited generates revenue primarily through its electronic manufacturing services. The company serves as an outsourced partner for businesses seeking to develop and produce electronic components and products. Key revenue streams include design and prototyping fees, manufacturing services, and testing and quality assurance services. Avalon also benefits from long-term contracts with major clients in sectors like telecommunications and healthcare, which provide a stable and recurring income. Additionally, strategic partnerships with technology firms enhance its service offerings and contribute to its earnings by expanding its customer base and market reach.

Avalon Technologies Limited Financial Statement Overview

Summary

Avalon Technologies shows strong revenue growth and improving profitability with efficient operations. However, challenges in cash flow management and high liabilities indicate areas for improvement. The overall financial stability is on a positive trajectory.

Income Statement

Avalon Technologies has demonstrated consistent revenue growth with a notable increase of 26.6% in the most recent year. The company's gross profit margin stands at a robust 35.8%, while the net profit margin improved to 5.8%, indicating enhanced profitability. EBIT and EBITDA margins have shown positive trends, reflecting efficient cost management. Overall, the income statement highlights strong growth and improving profitability.

Balance Sheet

The balance sheet shows a healthy equity position with a significant increase in stockholders' equity. The debt-to-equity ratio has improved, indicating a more balanced capital structure. However, liabilities remain relatively high, and the equity ratio of 58.8% suggests moderate leverage. Overall, the financial stability is improving, but further reduction in liabilities would strengthen the balance sheet.

Cash Flow

Operating cash flow has been positive, but free cash flow remains negative, indicating challenges in covering capital expenditures. The operating cash flow to net income ratio suggests operational cash generation is not fully translating into free cash flow. Improvements in cash flow management are needed to enhance liquidity and financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.22B	10.98B	8.67B	9.45B	8.39B	6.90B
Gross Profit	4.41B	3.93B	871.00M	1.37B	2.85B	2.34B
EBITDA	1.55B	1.15B	767.57M	1.13B	1.26B	715.70M
Net Income	799.60M	634.39M	279.85M	525.03M	632.08M	230.82M
Balance Sheet
Total Assets	0.00	10.40B	9.31B	11.89B	5.88B	5.12B
Cash, Cash Equivalents and Short-Term Investments	1.35B	1.35B	1.82B	4.22B	101.39M	335.25M
Total Debt	0.00	1.80B	2.09B	3.42B	3.18B	3.16B
Total Liabilities	-6.12B	4.28B	3.83B	6.52B	5.01B	4.84B
Stockholders Equity	6.12B	6.12B	5.47B	5.37B	887.84M	599.45M
Cash Flow
Free Cash Flow	0.00	-211.23M	-182.31M	-687.20M	-20.83M	-136.98M
Operating Cash Flow	0.00	250.56M	172.89M	-414.24M	138.59M	55.16M
Investing Cash Flow	0.00	537.98M	-1.46B	-254.08M	-165.69M	-262.62M
Financing Cash Flow	0.00	-522.84M	-2.51B	4.52B	-208.36M	279.64M

Avalon Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1227.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AVALON, the sentiment is Positive. The current price of 1227.55 is above the 20-day moving average (MA) of 1034.12, above the 50-day MA of 936.24, and above the 200-day MA of 841.13, indicating a bullish trend. The MACD of 75.74 indicates Negative momentum. The RSI at 81.60 is Negative, neither overbought nor oversold. The STOCH value of 78.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:AVALON.

Avalon Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MASTEK	70 Outperform	₹67.76B	17.04	―	1.60%	13.04%	30.69%
SYRMA	67 Neutral	₹163.96B	75.72	―	0.18%	-3.83%	103.32%
NITIRAJ	66 Neutral	₹2.07B	33.61	―	0.74%	-10.98%	-35.27%
CYIENTDLM	63 Neutral	₹35.54B	55.21	―	―	24.95%	-2.24%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
AVALON	61 Neutral	₹83.63B	101.54	―	―	46.95%	326.05%
CENTUM	53 Neutral	₹38.24B	546.37	―	0.23%	8.64%	―