Birla Cable Limited (BIRLACABLE) AI Stock Analysis

• Market Cap: ₹4.26B
• Dividend Yield: 1.28%
• Average Volume (3M): 5.58K
• Price to Earnings (P/E): 56.1
• Beta (1Y): 1.44
• Revenue Growth: -2.60%
• EPS Growth: -31.97%
• Country: IN
• Employees: 313
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Communication Equipment
• EPS (TTM): 1.34
• Shares Outstanding: 30,000,000
• 10 Day Avg. Volume: 4,215
• 30 Day Avg. Volume: 5,578
• PEG Ratio: -1.25
• Price to Book (P/B): 1.88
• Price to Sales (P/S): 0.72
• P/FCF Ratio: 5.61
• 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: 57 Neutral
• Price Target: ₹160.00 ▲(17.91% Upside)
• Action: Reiterated Date: 02/10/26
• Date: Action: Reiterated 02/10/26

The score is held back most by expensive valuation (high P/E) and mixed financial performance (revenue decline and higher leverage), partly offset by strong cash flow improvement. Technicals show positive momentum but overbought signals and trading below the 200-day average add near-term risk.

Positive Factors

Operating cash flow strength

Improved operating and free cash flow indicates the company converts earnings into cash reliably. That cash generation supports capex, working capital and debt servicing, giving the business durable financial flexibility to fund investments or absorb commodity cost swings over the next several months.

Solid production margins

Relatively strong gross and EBIT margins point to manufacturing efficiency and some pricing power in cables. Sustained upstream cost control and operational leverage can preserve profitability through commodity cycles and support reinvestment or margin recovery over a multi-month horizon.

Established domestic distribution

A built-out domestic sales and distribution network gives recurring access to residential, commercial, industrial and infrastructure channels. This diversified route-to-market reduces customer concentration risk and underpins stable order flow and revenue resilience across project and retail cycles.

Negative Factors

Recent revenue decline

A decline in annual revenue signals weakening top-line momentum or market share loss. Persisting revenue contraction limits ability to leverage fixed costs, slows margin expansion and reduces funds available for strategic initiatives, making multi-month recovery dependent on demand or share gains.

Rising leverage

An increased debt-to-equity ratio raises financial risk by boosting interest obligations and reducing balance sheet flexibility. Higher leverage can constrain capital allocation, elevate refinancing risk if rates change, and pressure net margins and investment capacity over the medium term.

Declining net profit margin

A falling net margin despite decent gross and EBIT margins suggests growing non-operating costs, interest burden or inefficiencies. This erosion reduces retained earnings and financial cushions, making long-term earnings durability and dividend capacity more vulnerable if trends persist.

Birla Cable Limited Business Overview & Revenue Model

Company Description

Birla Cable Limited manufactures and sells cables in India. The company offers various types of optical fiber cables, copper telecommunication cables, structured copper cables, specialty cables, and allied accessories. It also exports its products. The company was formerly known as Birla Ericsson Optical Limited and changed its name to Birla Cable Limited in September 2016. The company was incorporated in 1992 and is based in Rewa, India.

How the Company Makes Money

Birla Cable Limited generates revenue primarily through the manufacturing and sale of its cable products. The company's key revenue streams include sales of optical fiber cables and copper cables used in telecommunications and broadband networks. Additionally, the company benefits from long-term contracts and partnerships with major telecommunications providers and infrastructure companies, ensuring a steady demand for its products. The company's strategic focus on technological advancements and quality assurance helps maintain its competitive edge and drives sales in both domestic and international markets.

Birla Cable Limited Financial Statement Overview

Summary

Mixed fundamentals: cash flow is a clear positive (stronger operating and free cash flow with good earnings-to-cash conversion), but income statement trends are pressured by declining revenue and weaker net margin, and the balance sheet shows rising leverage and lower ROE.

Income Statement

The income statement shows mixed results. The gross profit margin and EBIT margin are fairly strong, indicating efficiency in managing production costs and operating expenses. However, the net profit margin has shown a decline, possibly due to increased costs or decreased efficiency in other areas. Revenue declined in the most recent year, indicating potential market challenges or competitive pressures.

Balance Sheet

The balance sheet reflects moderate financial health. The debt-to-equity ratio has increased, suggesting higher leverage which can pose a risk if not managed properly. The equity ratio is decent, indicating a fair proportion of assets financed by equity. However, the return on equity has decreased, which may point to inefficiencies in generating profits from shareholders' investments.

Cash Flow

The cash flow statement is relatively strong, with significant improvement in free cash flow and operating cash flow in the latest period. This indicates effective cash management and potential for future investments. The free cash flow to net income ratio is robust, suggesting good conversion of earnings into cash.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	6.72B	6.62B	6.85B	7.92B	5.35B	3.26B
Gross Profit	1.17B	1.28B	501.43M	1.64B	1.03B	741.59M
EBITDA	361.76M	326.87M	554.45M	675.14M	461.54M	270.04M
Net Income	61.09M	48.91M	221.42M	329.40M	217.37M	82.02M
Balance Sheet
Total Assets	0.00	4.16B	4.58B	4.61B	3.46B	3.17B
Cash, Cash Equivalents and Short-Term Investments	148.14M	9.57M	4.26M	10.30M	5.26M	1.41M
Total Debt	0.00	1.11B	1.65B	1.29B	824.75M	709.14M
Total Liabilities	-2.53B	1.63B	2.07B	2.31B	1.59B	1.48B
Stockholders Equity	2.53B	2.53B	2.51B	2.29B	1.87B	1.68B
Cash Flow
Free Cash Flow	0.00	847.13M	-229.86M	-354.92M	-65.56M	-54.99M
Operating Cash Flow	0.00	1.12B	158.25M	-78.40M	25.09M	-11.33M
Investing Cash Flow	0.00	-380.47M	-316.72M	-221.13M	-53.70M	-30.15M
Financing Cash Flow	0.00	-736.85M	152.44M	304.57M	32.46M	-95.49M

Birla Cable Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 135.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:BIRLACABLE, the sentiment is Positive. The current price of 135.7 is below the 20-day moving average (MA) of 141.34, below the 50-day MA of 136.62, and below the 200-day MA of 157.98, indicating a neutral trend. The MACD of 1.48 indicates Positive momentum. The RSI at 59.20 is Neutral, neither overbought nor oversold. The STOCH value of 42.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:BIRLACABLE.

Birla Cable Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PARACABLES	70 Outperform	₹10.43B	17.98	―	―	38.39%	-27.69%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SMARTLINK	60 Neutral	₹1.19B	11.74	―	―	4.87%	35.38%
BIRLACABLE	57 Neutral	₹4.26B	56.12	―	1.28%	-2.60%	-31.97%
TNTELE	43 Neutral	₹426.66M	-2.55	―	―	―	―
AKSHOPTFBR	41 Neutral	₹743.53M	-3.38	―	―	-29.38%	73.60%