Linc Limited (LINC) AI Stock Analysis

• Market Cap: ₹6.28B
• Dividend Yield: 1.35%
• Average Volume (3M): 3.00K
• Price to Earnings (P/E): 23.8
• Beta (1Y): 1.38
• Revenue Growth: 3.76%
• EPS Growth: <0.01%
• Country: IN
• Employees: 1,063
• Sector: Services
• Sector Strength: N/A
• Industry: Business Equipment & Supplies
• EPS (TTM): 1.14
• Shares Outstanding: 59,489,162
• 10 Day Avg. Volume: 4,589
• 30 Day Avg. Volume: 3,003
• PEG Ratio: 1.44
• Price to Book (P/B): 2.64
• Price to Sales (P/S): 1.14
• P/FCF Ratio: 15.52
• 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: 73 Outperform
• Price Target: ₹113.00 ▼(-5.83% Downside)
• Action: Reiterated Date: 10/30/25
• Date: Action: Reiterated 10/30/25

Linc Limited's strong financial performance is the most significant factor driving its overall score, reflecting robust revenue growth, profitability, and cash flow management. The technical analysis indicates a stable outlook with mild upward trends, while the valuation suggests the stock may be overvalued, which slightly offsets the positive financial performance. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Strong cash generation

Operating cash flow 1.50x net income and free cash flow 1.05x indicate durable cash generation. This strengthens the company's ability to fund capex, service obligations, and pursue organic growth or small M&A without stressing liquidity over the next several months.

Conservative balance sheet

High equity ratio and very low leverage provide financial flexibility and resiliency. Conservative financing reduces bankruptcy and refinancing risk, enabling continued investment or opportunistic actions while preserving capital structure over a 2–6 month horizon.

Healthy margins and profitability

Robust gross and operating margins demonstrate effective cost control and pricing power in its segment. Sustained margin profiles support durable profitability, free cash flow conversion and the capacity to absorb input cost volatility over the medium term.

Negative Factors

Declining EPS

Negative EPS growth indicates earnings pressure despite solid cash flows. If EPS contraction persists it can reduce internally generated capital for reinvestment, weaken per-share metrics, and constrain strategic flexibility across the next few quarters.

Modest revenue growth

Revenue growth near 5.5% is modest and may limit scale benefits. Without accelerating top-line expansion, margin improvements offer constrained earnings leverage, potentially slowing market-share gains and investment capacity over a 2–6 month timeframe.

Asset utilization weakness

Explicit mention of room to improve asset utilization suggests suboptimal capital efficiency. Poor asset turns can cap returns on invested capital and reduce ROE improvement unless management addresses working capital or capacity deployment in the medium term.

Linc Limited Business Overview & Revenue Model

Company Description

Linc Limited manufactures and markets writing instruments and stationery products in India and internationally. The company offers gel, ball, roller, retractable ball, and fountain pens; markers/hi-lighters; stationery, including pencils, geometry boxes, printed pencils, erasers, mechanical pencils, and files and folders; and disinfectants under the Linc brand. It also imports and distributes stationery products. The company was formerly known as Linc Pen & Plastics Limited and changed its name to Linc Limited in October 2021. Linc Limited was founded in 1976 and is headquartered in Kolkata, India.

How the Company Makes Money

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Linc Limited Financial Statement Overview

Summary

Linc Limited exhibits a strong financial performance across all verticals. The income statement reflects impressive revenue and profit growth, supported by effective cost management. The balance sheet is stable with low leverage and high equity, indicating financial health and stability. The cash flow statement shows strong cash generation and prudent capital management. Overall, Linc Limited is well-positioned for continued growth and financial success, with a solid foundation in revenue generation, profitability, and cash flow management.

Income Statement

Linc Limited has demonstrated robust revenue growth, with a significant increase from 2024 to 2025. The gross profit margin remains strong at approximately 39.6% for 2025, indicating effective cost management. The net profit margin improved to 7.0%, reflecting enhanced profitability. EBIT and EBITDA margins also show positive trends, with EBIT margin at 25.0% and EBITDA margin at 11.8% in 2025. Overall, the income statement reflects a healthy financial performance with strong growth and profitability.

Balance Sheet

The balance sheet of Linc Limited shows a solid equity position, with an equity ratio of 68.8% in 2025, indicating financial stability. The debt-to-equity ratio is low at 0.11, suggesting prudent leverage management. Return on equity is 16.2%, showcasing efficient use of equity to generate profits. The company's asset base has grown, supporting its expansion and operational needs. Overall, the balance sheet is strong, with low leverage and high equity, though there is room for improvement in asset utilization.

Cash Flow

Linc Limited's cash flow statement indicates strong operational cash generation, with an operating cash flow to net income ratio of 1.50 in 2025. Free cash flow has grown significantly, with a free cash flow to net income ratio of 1.05, highlighting effective cash management. The company has maintained positive free cash flow growth, which supports its investment and financing activities. Overall, the cash flow position is robust, with healthy cash generation and prudent capital expenditure management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.50B	5.43B	5.04B	4.82B	3.51B	2.54B
Gross Profit	1.91B	2.15B	1.98B	1.92B	1.14B	805.44M
EBITDA	660.35M	643.98M	636.82M	648.39M	244.07M	116.27M
Net Income	366.61M	380.44M	342.07M	373.97M	81.33M	392.00K
Balance Sheet
Total Assets	0.00	3.41B	3.10B	2.37B	2.02B	2.00B
Cash, Cash Equivalents and Short-Term Investments	311.35M	311.35M	145.60M	127.85M	2.11M	1.44M
Total Debt	0.00	265.65M	259.26M	9.70M	34.60M	92.14M
Total Liabilities	-2.36B	1.05B	1.04B	602.35M	587.63M	657.51M
Stockholders Equity	2.36B	2.35B	2.04B	1.77B	1.43B	1.35B
Cash Flow
Free Cash Flow	0.00	399.43M	95.55M	183.50M	62.01M	431.04M
Operating Cash Flow	0.00	569.30M	380.09M	433.76M	204.43M	472.31M
Investing Cash Flow	0.00	-350.90M	-204.39M	-290.33M	-140.70M	-40.22M
Financing Cash Flow	0.00	-113.53M	-106.13M	-68.36M	-64.24M	-431.95M

Linc Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 120.00
• 50DMA: Negative
• 100DMA: Negative
• 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:LINC, the sentiment is Negative. The current price of 120 is above the 20-day moving average (MA) of 108.44, above the 50-day MA of 110.43, and below the 200-day MA of 125.72, indicating a bearish trend. The MACD of -2.05 indicates Positive momentum. The RSI at 45.69 is Neutral, neither overbought nor oversold. The STOCH value of 32.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:LINC.

Linc Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LINC	73 Outperform	₹6.28B	23.84	―	1.35%	3.76%	<0.01%
RITCO	62 Neutral	₹6.16B	18.26	―	―	34.34%	2.00%
SPECIALITY	56 Neutral	₹4.97B	15.98	―	0.87%	6.66%	-21.40%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
JITFINFRA	47 Neutral	₹8.68B	-140.00	―	―	-15.85%	-148.91%
SICALLOG	39 Underperform	₹13.62B	3.00	―	―	76.34%	94.50%