Avalon Technologies Limited (AVALON) AI Stock Analysis

• Market Cap: ₹56.22B
• Dividend Yield: N/A
• Average Volume (3M): 31.07K
• Price to Earnings (P/E): 69.8
• Beta (1Y): 1.00
• Revenue Growth: 46.95%
• EPS Growth: 326.06%
• Country: IN
• Employees: 830
• Sector: Technology
• Sector Strength: 83
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 2.15
• Shares Outstanding: 66,627,266
• 10 Day Avg. Volume: 16,485
• 30 Day Avg. Volume: 31,068
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹685.00
• Price Target Upside: -18.81% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

• Rating: 57 Neutral
• Price Target: ₹873.00 ▲(3.47% Upside)

Avalon Technologies' overall stock score is driven by strong financial performance, despite challenges in cash flow and liabilities. The technical analysis indicates bearish momentum, and a high P/E ratio suggests overvaluation. These factors collectively result in a moderate overall score.

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 exhibits strong revenue growth and improving profitability, supported by efficient operations and a healthy equity base. However, challenges in cash flow management and a need for further reduction in liabilities present areas for improvement.

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 2022	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.98B	10.98B	8.67B	8.39B	9.45B	6.90B
Gross Profit	3.41B	3.93B	3.15B	2.85B	1.37B	2.34B
EBITDA	1.32B	1.15B	767.57M	1.26B	1.20B	715.70M
Net Income	634.39M	634.39M	279.85M	681.64M	525.03M	230.82M
Balance Sheet
Total Assets	10.40B	10.40B	9.31B	5.88B	11.89B	5.12B
Cash, Cash Equivalents and Short-Term Investments	1.35B	1.35B	1.82B	80.14M	4.22B	313.38M
Total Debt	1.80B	1.80B	2.09B	3.18B	3.42B	3.16B
Total Liabilities	4.28B	4.28B	3.83B	5.01B	6.52B	4.84B
Stockholders Equity	6.12B	6.12B	5.47B	871.91M	5.37B	599.45M
Cash Flow
Free Cash Flow	0.00	-211.23M	-182.31M	-20.83M	-687.20M	-136.98M
Operating Cash Flow	0.00	250.56M	172.89M	138.59M	-414.24M	55.16M
Investing Cash Flow	0.00	537.98M	-1.46B	-165.69M	-272.96M	-262.62M
Financing Cash Flow	0.00	-522.84M	-2.51B	-208.36M	4.83B	279.64M

Avalon Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 843.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AVALON, the sentiment is Negative. The current price of 843.75 is below the 20-day moving average (MA) of 863.84, below the 50-day MA of 852.41, and above the 200-day MA of 820.07, indicating a neutral trend. The MACD of -0.85 indicates Positive momentum. The RSI at 46.52 is Neutral, neither overbought nor oversold. The STOCH value of 28.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	76 Outperform	₹78.19B	20.27		0.73%	13.04%	30.69%
SYRMA	67 Neutral	₹140.09B	66.79		0.21%	-3.83%	103.23%
NITIRAJ	63 Neutral	₹1.98B	32.50		0.78%	-10.98%	-35.27%
Sector *	61 Neutral	$35.62B	7.50	-10.94%	1.87%	8.86%	-10.27%
CYIENTDLM	60 Neutral	₹33.95B	52.24		―	24.95%	-2.24%
AVALON	57 Neutral	₹56.22B	69.79		―	46.95%	326.06%
CENTUM	53 Neutral	₹40.15B	584.38		0.22%	8.64%	―