Hind Rectifiers Limited (HIRECT) AI Stock Analysis

• Market Cap: ₹32.77B
• Dividend Yield: 0.11%
• Average Volume (3M): 18.31K
• Price to Earnings (P/E): 76.3
• Beta (1Y): 0.77
• Revenue Growth: 32.24%
• EPS Growth: 144.50%
• Country: IN
• Employees: 425
• Sector: Industrials
• Sector Strength: 84
• Industry: Electrical Equipment & Parts
• EPS (TTM): 7.44
• Shares Outstanding: 17,162,676
• 10 Day Avg. Volume: 41,241
• 30 Day Avg. Volume: 18,313
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹2,047.00
• Price Target Upside: 7.43% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: ₹2,047.00 ▲(7.43% Upside)

Hind Rectifiers Limited exhibits strong financial performance, driven by robust revenue growth and profitability. However, the technical analysis suggests overbought conditions, and the high P/E ratio indicates a potential overvaluation. Investors should monitor cash flow closely and be cautious of the stock's current valuation.

Hind Rectifiers Limited Business Overview & Revenue Model

Company Description

Hind Rectifiers Limited (HIRECT) is a prominent player in the electrical and electronic engineering sector, specializing in the design, development, and manufacturing of power semiconductor devices, power electronics, and railway transportation equipment. Established in 1958, the company serves a diverse range of industries including railways, power, automotive, industrial, and telecommunications, providing innovative solutions and products such as rectifiers, transformers, inverters, converters, and various power equipment.

How the Company Makes Money

Hind Rectifiers Limited generates revenue primarily through the sale of its extensive range of electrical and electronic components and systems. Key revenue streams include contracts and sales to industries such as railways, where they supply critical components for locomotives and train systems, and the power sector, where they provide equipment for power control and distribution. The company also leverages its expertise in semiconductor devices and power electronics to serve the automotive and industrial sectors. Additionally, strategic partnerships and collaborations with other technology and engineering firms enhance its market reach and product offerings, contributing to its earnings. HIRECT's ability to innovate and provide customized solutions to meet specific industry requirements further strengthens its revenue model.

Hind Rectifiers Limited Financial Statement Overview

Summary

Hind Rectifiers Limited demonstrates strong financial health with significant revenue growth and improved profitability. The balance sheet shows moderate leverage, and while cash flow generation is strong, the decline in free cash flow due to increased capital expenditures warrants close monitoring.

Income Statement

Hind Rectifiers Limited has demonstrated strong revenue growth with a 26.7% increase in revenue from 2024 to 2025. The gross profit margin is healthy at 27.0%, and the net profit margin improved significantly to 5.7% in 2025 from 2.4% in 2024. The EBIT and EBITDA margins are also strong at 17.4% and 10.5%, respectively, indicating efficient operations and cost management. Overall, the income statement shows robust growth and profitability trends.

Balance Sheet

The company's debt-to-equity ratio stands at 1.03, reflecting moderate leverage. Return on Equity (ROE) improved to 23.2% in 2025, showcasing effective use of equity financing. The equity ratio is at 38.3%, indicating a balanced capital structure. While the company maintains an adequate equity position, the debt level should be monitored to avoid financial strain.

Cash Flow

Hind Rectifiers Limited has achieved a 34.0% decline in free cash flow from 2024 to 2025, primarily due to increased capital expenditure. The operating cash flow to net income ratio is 0.96, suggesting strong cash generation relative to net income. However, the free cash flow to net income ratio decreased to 0.35, indicating potential constraints on cash available for expansion and debt servicing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.55B	6.55B	5.17B	3.59B	3.72B	3.05B
Gross Profit	1.43B	1.77B	1.31B	795.31M	828.28M	687.00M
EBITDA	709.54M	686.98M	385.32M	49.51M	225.34M	203.70M
Net Income	371.13M	371.13M	125.10M	-63.63M	77.98M	53.31M
Balance Sheet
Total Assets	4.17B	4.17B	3.31B	2.92B	2.46B	2.41B
Cash, Cash Equivalents and Short-Term Investments	2.93M	11.34M	34.60M	81.50M	36.22M	49.88M
Total Debt	1.64B	1.64B	1.35B	1.05B	749.90M	837.57M
Total Liabilities	2.57B	2.57B	2.06B	1.81B	1.39B	1.41B
Stockholders Equity	1.60B	1.60B	1.25B	1.12B	1.07B	997.71M
Cash Flow
Free Cash Flow	0.00	129.09M	195.65M	-212.40M	161.91M	98.36M
Operating Cash Flow	0.00	356.25M	338.98M	81.84M	362.66M	231.21M
Investing Cash Flow	0.00	-253.06M	-194.73M	-293.02M	-206.03M	-83.81M
Financing Cash Flow	0.00	-107.38M	-142.64M	211.68M	-159.45M	-161.46M

Hind Rectifiers Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1905.35
• 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:HIRECT, the sentiment is Positive. The current price of 1905.35 is above the 20-day moving average (MA) of 1638.54, above the 50-day MA of 1434.76, and above the 200-day MA of 1199.01, indicating a bullish trend. The MACD of 159.31 indicates Negative momentum. The RSI at 69.58 is Neutral, neither overbought nor oversold. The STOCH value of 55.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:HIRECT.

Hind Rectifiers Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VOLTAMP	75 Outperform	₹80.73B	24.80		1.25%	12.05%	-3.13%
GENUSPOWER	64 Neutral	₹111.39B	25.64		0.17%	119.77%	228.09%
TARIL	64 Neutral	₹152.39B	58.28		0.04%	52.40%	221.33%
Sector *	63 Neutral	$10.83B	16.63	7.96%	2.06%	2.20%	-16.67%
INDOTECH	60 Neutral	₹18.34B	28.72		―	21.48%	36.32%
HIRECT	60 Neutral	₹32.77B	76.28		0.11%	32.24%	144.50%
AARTECH	―	₹2.06B	―		0.39%	―	―

Hind Rectifiers Limited Corporate Events

Hind Rectifiers Announces Postal Ballot Notice Publication

Hind Rectifiers Limited has announced the publication of a notice regarding a Postal Ballot in the Business Standard and Mumbai Lakshadeep newspapers. This announcement is part of the company’s compliance and communication efforts with stakeholders, ensuring transparency and engagement in its corporate governance processes.