HB Stockholdings Ltd. (HBSL) AI Stock Analysis

• Market Cap: ₹355.03M
• Dividend Yield: 1.36%
• Average Volume (3M): 8.96K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.64
• Revenue Growth: -143.39%
• EPS Growth: -166.54%
• Country: IN
• Employees: 8
• Sector: Services
• Sector Strength: N/A
• Industry: Financial - Capital Markets
• EPS (TTM): -5.24
• Shares Outstanding: 7,137,665
• 10 Day Avg. Volume: 23,637
• 30 Day Avg. Volume: 8,963
• PEG Ratio: 0.03
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 6.28
• P/FCF Ratio: -10.54
• 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: 46 Neutral
• Price Target: ₹49.00 ▼(-32.03% Downside)
• Action: Reiterated Date: 02/26/26
• Date: Action: Reiterated 02/26/26

The score is held down primarily by weak financial performance (volatile results, latest loss, and negative operating/free cash flow) and bearish technical signals (price below key moving averages with negative MACD). A relatively stronger balance sheet and a modest dividend provide only partial support, while the negative P/E reflects loss-making conditions.

Positive Factors

Relatively Strong Balance Sheet

A high equity ratio and adequate cash provide a durable financial cushion that lowers insolvency risk and supports short-term operational funding. This foundation gives management flexibility to absorb volatility, pursue strategic options, and avoid immediate distress while restructuring operations.

Modest Dividend Support

Maintaining a modest dividend signals capital allocation discipline and supports a stable shareholder base. Over a multi-month horizon, a consistent payout can attract long-term investors, aligning incentives and providing a non-price source of returns without imposing large incremental cash demands.

Lean Operating Structure

A very small employee base implies low fixed overhead and faster decision cycles, helping preserve cash during revenue troughs. This lean structure can improve operating leverage recovery when revenues stabilize and enables management to pivot strategy with limited restructuring cost.

Negative Factors

Volatile and Declining Revenues

Sustained revenue volatility and recent declines undermine predictability of cash generation and reduce headroom for fixed costs. Over months, this limits reinvestment, weakens competitive positioning, and increases likelihood of margin pressure unless the company stabilizes top-line performance.

Negative Operating Cash Flow

Persistent negative operating and free cash flow forces reliance on financing to sustain operations, increasing interest and refinancing risk. If cash burn continues, the company may need recurring external capital, which can dilute shareholders or constrain strategic investments over the medium term.

Rising Leverage & Equity Decline

Increasing debt-to-equity and falling stockholders' equity reduce financial flexibility and raise solvency concerns. Higher leverage amplifies earnings volatility impact, tightens covenant exposure, and could force defensive measures if profitability does not recover within a few quarters.

HB Stockholdings Ltd. Business Overview & Revenue Model

Company Description

HB Stockholdings Limited, a non-banking financial company, engages in the investment and finance activities in India. It is involved in the investment, purchase, and sale of securities. The company was formerly known as HB Portfolio Leasing Limited and changed its name to HB Stockholdings Limited in February 1997. HB Stockholdings Limited was incorporated in 1985 and is based in Gurugram, India.

How the Company Makes Money

HB Stockholdings Ltd. Financial Statement Overview

Summary

Financials are mixed but skew weak: the income statement shows large volatility with a latest-period revenue decline and negative net income, and cash flows are negative in operating and free cash flow with reliance on external financing. The balance sheet is comparatively stronger with a high equity ratio and good cash, but rising debt-to-equity and a decline in stockholders’ equity add risk.

Income Statement

The income statement shows significant volatility. The company experienced large fluctuations in revenue and net income over recent years, with a substantial decline in revenue and a negative net income in the latest period. Gross profit margin has been inconsistent, and EBIT margin turned negative, reflecting operational challenges.

Balance Sheet

The balance sheet is relatively strong with a high equity ratio, indicating a solid financial foundation. However, the debt-to-equity ratio increased due to rising debt levels, posing a risk if earnings do not improve. The company maintains a good cash position, but the decline in stockholders' equity in the latest period is concerning.

Cash Flow

Cash flow analysis reveals negative operating and free cash flow in the latest periods, which is worrying. Despite adequate cash reserves, the inability to generate positive cash flow from operations could indicate potential liquidity issues if trends do not reverse. The cash flow from financing is positive, suggesting reliance on external financing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	-9.32M	84.72M	443.64M	55.35M	68.96M	29.11M
Gross Profit	-25.27M	75.94M	439.02M	46.81M	62.63M	25.14M
EBITDA	-150.94M	-92.37M	416.30M	-18.02M	159.28M	119.27M
Net Income	-157.22M	-120.14M	375.35M	-20.13M	151.86M	117.53M
Balance Sheet
Total Assets	1.08B	1.06B	1.10B	680.92M	706.95M	582.78M
Cash, Cash Equivalents and Short-Term Investments	37.01M	310.95M	235.24M	368.40M	424.93M	231.48M
Total Debt	123.49M	138.50M	11.70M	8.12M	538.56K	2.58M
Total Liabilities	158.59M	164.63M	64.39M	20.95M	19.25M	51.25M
Stockholders Equity	923.03M	900.04M	1.03B	659.98M	687.70M	531.52M
Cash Flow
Free Cash Flow	-116.45M	-50.52M	326.66M	-41.09M	-121.01M	53.63M
Operating Cash Flow	-116.38M	-50.44M	332.79M	-28.94M	-120.67M	53.70M
Investing Cash Flow	74.00M	-11.52M	-311.60M	-14.62M	152.25M	-42.56M
Financing Cash Flow	-25.50M	113.82M	-385.00K	7.18M	-2.17M	-2.17M

HB Stockholdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 72.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:HBSL, the sentiment is Negative. The current price of 72.09 is above the 20-day moving average (MA) of 56.75, above the 50-day MA of 63.33, and below the 200-day MA of 78.50, indicating a bearish trend. The MACD of -4.02 indicates Positive momentum. The RSI at 26.61 is Positive, neither overbought nor oversold. The STOCH value of 24.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:HBSL.

HB Stockholdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HYBRIDFIN	76 Outperform	₹472.16M	32.32	―	―	-5.50%	-12.14%
BLBLIMITED	74 Outperform	₹887.08M	2.17	―	―	-19.34%	14.87%
DBSTOCKBRO	60 Neutral	₹875.00M	24.54	―	―	-39.80%	-49.61%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
KHANDSE	48 Neutral	₹249.86M	-16.07	―	―	-12.64%	-390.34%
HBSL	46 Neutral	₹355.03M	-3.44	―	1.36%	-143.39%	-166.54%
21STCENMGM	45 Neutral	₹352.59M	-2.32	―	5.12%	―	―