HPL Electric & Power Limited (HPL) AI Stock Analysis

• Market Cap: ₹28.03B
• Dividend Yield: 0.24%
• Average Volume (3M): 13.15K
• Price to Earnings (P/E): 29.4
• Beta (1Y): 1.57
• Revenue Growth: 6.08%
• EPS Growth: 49.44%
• Country: IN
• Employees: 1,262
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 3.46
• Shares Outstanding: 64,300,490
• 10 Day Avg. Volume: 9,762
• 30 Day Avg. Volume: 13,152
• PEG Ratio: 0.25
• Price to Book (P/B): 2.99
• Price to Sales (P/S): 1.60
• P/FCF Ratio: 42.24
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: ₹492.00 ▲(18.94% Upside)

HPL Electric & Power Limited's overall stock score reflects strong financial performance and growth potential, tempered by mixed technical indicators and a high valuation. The company's robust revenue growth and improved profitability are significant strengths, while the current valuation and technical trends present potential risks.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding market presence and successful product adoption, enhancing long-term business sustainability.

Profit Margin Improvement

Improved profit margins reflect effective cost management and operational efficiency, contributing to long-term profitability and competitiveness.

Cash Flow Strength

Strong cash flow generation supports financial flexibility, enabling investment in growth opportunities and resilience against economic fluctuations.

Negative Factors

Leverage Levels

Moderate leverage levels indicate potential risk if not managed carefully, which could impact financial stability and limit growth capacity.

Valuation Concerns

High valuation relative to peers may limit future stock price appreciation and could signal market skepticism about sustained growth.

Dividend Yield

A low dividend yield may deter income-focused investors, potentially impacting stock demand and limiting shareholder returns.

HPL Electric & Power Limited Business Overview & Revenue Model

Company Description

HPL Electric & Power Limited (HPL) is a leading Indian manufacturer and supplier of electrical equipment, primarily catering to the power distribution and transmission sectors. The company specializes in a wide range of products including energy meters, switchgear, LED lighting solutions, and other electrical components. With a focus on innovation and quality, HPL serves utility companies, government projects, and industrial clients, thereby playing a crucial role in enhancing the efficiency and reliability of power distribution in India.

How the Company Makes Money

HPL Electric & Power Limited generates revenue through the sale of its extensive range of electrical products, including energy meters, switchgear, and lighting solutions. The company's revenue model is primarily driven by direct sales to utility companies and government contracts, which are significant contributors to its earnings. Additionally, HPL benefits from maintaining long-term relationships with various stakeholders in the energy sector, including partnerships with both public and private sector enterprises. The company also engages in research and development to innovate and expand its product line, thereby enhancing its market competitiveness and opening new revenue streams. Strategic collaborations and participation in infrastructure projects further bolster its financial performance.

HPL Electric & Power Limited Financial Statement Overview

Summary

HPL Electric & Power Limited demonstrates strong financial performance with robust revenue growth, improved profit margins, and solid cash flow generation. The company has shown effective cost management and operational efficiency, although there is room for improvement in leverage levels.

Income Statement

HPL Electric & Power Limited has shown robust revenue growth, with total revenue increasing from ₹8,750.9 million in 2021 to ₹17,051.2 million in 2025. The gross profit margin has improved over the years, reaching approximately 35.2% in 2025. The net profit margin has also risen, indicating enhanced profitability. The EBIT and EBITDA margins have improved significantly, demonstrating effective cost management and operational efficiency. The company's revenue growth rate from 2024 to 2025 was a strong 16.7%, showcasing an upward growth trajectory.

Balance Sheet

The balance sheet of HPL is stable, with a steady increase in stockholders' equity, reflecting shareholder confidence. The debt-to-equity ratio is relatively moderate, suggesting manageable leverage levels, though there is room for improvement. The equity ratio has been stable, indicating a solid base of equity financing. Return on Equity (ROE) has improved, driven by rising net income, which is a positive indicator of the company's ability to generate returns on shareholders' investments.

Cash Flow

HPL's cash flow position is strong, with consistent growth in operating cash flow over the years. The free cash flow has shown positive growth, indicating efficient capital management. The operating cash flow to net income ratio is healthy, suggesting the company's ability to convert profits into cash. Moreover, free cash flow to net income ratio is favorable, reflecting efficient cash generation relative to reported earnings.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.93B	17.05B	12.62B	14.61B	10.14B	8.75B
Gross Profit	6.03B	6.00B	4.20B	4.85B	3.60B	3.22B
EBITDA	2.62B	2.60B	1.60B	1.81B	1.29B	1.23B
Net Income	951.75M	937.69M	301.78M	435.64M	77.73M	99.64M
Balance Sheet
Total Assets	0.00	20.95B	17.01B	18.74B	16.38B	15.90B
Cash, Cash Equivalents and Short-Term Investments	612.82M	612.82M	330.54M	263.62M	390.80M	402.03M
Total Debt	0.00	6.39B	6.00B	6.27B	5.97B	5.88B
Total Liabilities	-9.17B	11.78B	9.05B	10.44B	8.72B	8.30B
Stockholders Equity	9.17B	9.15B	7.94B	8.28B	7.64B	7.58B
Cash Flow
Free Cash Flow	0.00	646.79M	592.64M	568.25M	560.78M	704.70M
Operating Cash Flow	0.00	1.38B	1.04B	1.00B	1.01B	845.60M
Investing Cash Flow	0.00	-701.26M	-398.19M	-393.65M	-413.09M	-81.42M
Financing Cash Flow	0.00	-657.24M	-737.91M	-723.13M	-580.34M	-705.97M

HPL Electric & Power Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 413.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:HPL, the sentiment is Negative. The current price of 413.65 is below the 20-day moving average (MA) of 438.55, below the 50-day MA of 448.78, and below the 200-day MA of 475.91, indicating a bearish trend. The MACD of -8.33 indicates Positive momentum. The RSI at 35.57 is Neutral, neither overbought nor oversold. The STOCH value of 10.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:HPL.

HPL Electric & Power Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RRKABEL	74 Outperform	₹160.88B	39.85	―	0.54%	17.36%	52.81%
BBL	73 Outperform	₹34.01B	23.13	―	1.21%	16.36%	21.58%
GENUSPOWER	68 Neutral	₹107.37B	24.70	―	0.78%	129.98%	215.49%
FINCABLES	66 Neutral	₹120.39B	19.43	―	1.07%	7.42%	-4.96%
HPL	65 Neutral	₹28.03B	29.45	―	0.24%	6.08%	49.44%
UNIVCABLES	65 Neutral	₹25.25B	21.64	―	0.42%	24.03%	51.58%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

HPL Electric & Power Limited Corporate Events

HPL Electric & Power Settles Trademark Dispute with Havells

HPL Electric & Power Limited has announced the signing of a Settlement Agreement with Havells India Limited, resolving all longstanding disputes and litigations concerning the use of the ‘HAVELLS’ trademark. This agreement, facilitated by mediation from the Delhi High Court, concludes legal proceedings in both the Delhi High Court and the Supreme Court of India, potentially stabilizing the company’s market position and reducing legal uncertainties for stakeholders.

HPL Electric & Power Releases Q1 Financial Call Recording

HPL Electric & Power Limited announced the availability of an audio recording from its recent investors and analysts conference call discussing the company’s unaudited financial results for the quarter ending June 30, 2025. This move reflects the company’s commitment to transparency and engagement with stakeholders, potentially impacting its market perception positively.