Escorts Kubota Limited (ESCORTS) AI Stock Analysis

• Market Cap: ₹396.01B
• Dividend Yield: 0.77%
• Average Volume (3M): 6.16K
• Price to Earnings (P/E): 16.8
• Beta (1Y): 1.32
• Revenue Growth: 17.91%
• EPS Growth: 121.12%
• Country: IN
• Employees: 3,897
• Sector: Industrials
• Sector Strength: 83
• Industry: Agricultural - Machinery
• EPS (TTM): 26.50
• Shares Outstanding: 111,877,754
• 10 Day Avg. Volume: 6,878
• 30 Day Avg. Volume: 6,164
• 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: ₹3,627.40
• Price Target Upside: 1.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 72 Outperform
• Price Target: ₹3,763.00 ▲(5.26% Upside)

The stock score is primarily driven by strong financial performance, with consistent revenue growth and robust profitability. Technical analysis supports a positive short-term outlook. However, the moderate valuation and low dividend yield slightly dampen the overall attractiveness.

Escorts Kubota Limited Business Overview & Revenue Model

Company Description

Escorts Kubota Limited (ESCORTS) is a prominent engineering conglomerate in India, primarily engaged in the manufacturing of agricultural machinery, construction equipment, and railway equipment. The company is renowned for its wide range of tractors, used extensively in the agricultural sector, and offers innovative solutions in the construction and railway equipment sectors. ESCORTS continuously strives to enhance productivity and efficiency through its diverse product portfolio, catering to both domestic and international markets.

How the Company Makes Money

Escorts Kubota Limited generates its revenue through the sale of its agricultural, construction, and railway equipment. The agricultural machinery segment, especially tractors, forms the core of its revenue stream, capitalizing on the extensive demand in the agriculture sector. Additionally, the construction equipment segment contributes significantly to its earnings, driven by infrastructure development projects. The railway equipment division also provides a steady income stream by supplying technologically advanced equipment to the rail industry. Strategic partnerships, such as the collaboration with Kubota Corporation, enhance its product offerings and market reach, further bolstering its revenue growth.

Escorts Kubota Limited Financial Statement Overview

Summary

Escorts Kubota Limited demonstrates strong financial health with consistent revenue growth and profitability. The low leverage and high equity ratio enhance financial stability, while efficient operations boost cash flow generation. Nonetheless, attention is needed on the variability in free cash flow growth.

Income Statement

Escorts Kubota Limited has shown strong revenue growth with a compounded annual growth rate in total revenue from 2020 to 2025. The company has maintained healthy gross profit margins, and net profit margins have improved over time, indicating effective cost management and operational efficiency. The EBIT and EBITDA margins are robust, highlighting strong profitability and operational performance.

Balance Sheet

The company has a strong equity position with a low debt-to-equity ratio, suggesting low financial leverage and reduced risk. Return on Equity (ROE) has shown improvement, reflecting efficient use of equity capital. The equity ratio is high, indicating a stable financial structure, although reliance on equity over debt may limit potential leverage benefits.

Cash Flow

The operating cash flow to net income ratio signifies efficient cash generation from operations. However, the growth in free cash flow has been inconsistent, reflecting fluctuations in capital expenditures and cash from operations. Despite this, the company maintains a positive free cash flow position, providing flexibility for future investments.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2022	Dec 2021
Income Statement
Total Revenue	101.91B	102.44B	88.50B	70.83B	84.29B	68.82B
Gross Profit	28.39B	29.89B	26.48B	20.19B	23.06B	21.61B
EBITDA	15.43B	11.72B	15.59B	11.64B	10.00B	12.83B
Net Income	12.56B	12.65B	10.49B	7.36B	6.37B	8.71B
Balance Sheet
Total Assets	130.98B	130.98B	112.67B	91.08B	100.85B	68.78B
Cash, Cash Equivalents and Short-Term Investments	34.56B	34.56B	30.86B	46.84B	22.86B	28.26B
Total Debt	1.05B	1.05B	530.90M	519.50M	573.00M	606.10M
Total Liabilities	27.36B	27.36B	20.95B	15.12B	19.02B	18.53B
Stockholders Equity	103.67B	103.67B	91.76B	76.00B	81.87B	50.26B
Cash Flow
Free Cash Flow	0.00	7.80B	8.42B	-1.54B	51.20M	10.06B
Operating Cash Flow	0.00	10.03B	10.32B	322.80M	2.24B	11.31B
Investing Cash Flow	0.00	-1.94B	-9.28B	-18.57B	-617.70M	-21.94B
Financing Cash Flow	0.00	-7.02B	-766.80M	18.10B	-712.20M	10.03B

Escorts Kubota Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3574.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ESCORTS, the sentiment is Positive. The current price of 3574.9 is above the 20-day moving average (MA) of 3433.96, above the 50-day MA of 3359.18, and above the 200-day MA of 3317.38, indicating a bullish trend. The MACD of 53.27 indicates Negative momentum. The RSI at 62.57 is Neutral, neither overbought nor oversold. The STOCH value of 70.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ESCORTS.

Escorts Kubota Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZFCVINDIA	74 Outperform	₹274.37B	56.73		0.13%	1.74%	19.09%
THERMAX	73 Outperform	₹394.19B	55.53		0.43%	8.14%	-4.46%
ESCORTS	72 Outperform	₹396.01B	16.77		0.77%	17.91%	121.12%
SONACOMS	70 Outperform	₹283.13B	47.94		0.71%	5.20%	1.76%
SUNDRMFAST	68 Neutral	₹212.40B	38.93		0.71%	4.14%	1.81%
Sector *	65 Neutral	£2.65B	12.66	3.41%	3.25%	2.42%	-22.46%
TRITURBINE	60 Neutral	₹167.03B	48.88		0.62%	9.94%	18.47%

Escorts Kubota Limited Corporate Events

Escorts Kubota Announces Q2 Financials and Leadership Changes

Escorts Kubota Limited announced its unaudited financial results for the quarter ending June 30, 2025, during a board meeting. Key decisions included the resignation of Mr. Seiji Fukuoka as Deputy Managing Director and the appointment of Mr. Akira Kato as his successor. Additionally, the board approved the extinguishment of the Escorts Benefit Trust, impacting the company’s operational structure.