Mahindra EPC Irrigation Limited (MAHEPC) AI Stock Analysis

• Market Cap: ₹3.91B
• Dividend Yield: N/A
• Average Volume (3M): 6.85K
• Price to Earnings (P/E): 27.9
• Beta (1Y): 1.13
• Revenue Growth: 17.09%
• EPS Growth: N/A
• Country: IN
• Employees: 329
• Sector: Services
• Sector Strength: N/A
• Industry: Agricultural - Machinery
• EPS (TTM): 0.15
• Shares Outstanding: 27,942,469
• 10 Day Avg. Volume: 4,639
• 30 Day Avg. Volume: 6,854
• PEG Ratio: 0.14
• Price to Book (P/B): 1.93
• Price to Sales (P/S): 1.22
• P/FCF Ratio: -52.53
• 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: 53 Neutral
• Price Target: ₹130.00 ▲(0.50% Upside)

The overall stock score of 53 reflects a combination of solid financial health with low leverage and strong gross profit margins, but is offset by declining profitability and negative cash flow trends. Technical indicators suggest a bearish market sentiment, with the stock trading below key moving averages and oversold conditions. The valuation is moderate, but the lack of a dividend yield reduces its appeal to certain investors.

Positive Factors

Strong Gross Profit Margins

A strong gross profit margin suggests effective cost control and pricing power, which can support long-term profitability and competitive positioning.

Stable Balance Sheet

Low financial leverage reduces risk and enhances financial stability, providing the company with flexibility to invest in growth opportunities.

Revenue Growth

Consistent revenue growth indicates expanding market presence and product demand, supporting long-term business sustainability.

Negative Factors

Declining Profitability Margins

Reduced operational efficiency and declining profitability margins can hinder the company's ability to generate sustainable profits over time.

Negative Cash Flow Trends

Negative cash flow trends can strain liquidity and limit the company's capacity to invest in growth or weather economic downturns.

Low Return on Equity

A low ROE indicates limited profitability on shareholders' equity, which can affect investor confidence and long-term capital growth.

Mahindra EPC Irrigation Limited Business Overview & Revenue Model

Company Description

Mahindra EPC Irrigation Limited (MAHEPC) is a leading player in the agricultural irrigation sector, specializing in providing comprehensive irrigation solutions to enhance agricultural productivity. The company operates primarily in the areas of drip and sprinkler irrigation systems, water management solutions, and related agricultural services. With a commitment to sustainable farming practices, MAHEPC aims to improve water efficiency and crop yield for farmers, thereby contributing to the agricultural sector's growth in India and other markets.

How the Company Makes Money

MAHEPC generates revenue primarily through the sale of its irrigation systems, including drip and sprinkler irrigation technologies. The company has established a diverse revenue model that includes direct sales to farmers, distribution through agricultural retailers, and partnerships with government agencies and NGOs for large-scale irrigation projects. Key revenue streams also include maintenance services, installation, and consultancy related to irrigation management. Strategic partnerships with agricultural organizations and participation in government initiatives to promote irrigation efficiency further enhance its earnings potential.

Mahindra EPC Irrigation Limited Financial Statement Overview

Summary

Mahindra EPC Irrigation Limited demonstrates solid gross profit margins and a stable balance sheet with low leverage. However, challenges persist with declining profitability margins and negative cash flow trends. The company needs to focus on improving operational efficiency and cash flow management to enhance financial performance.

Income Statement

The company's revenue has shown moderate growth over the past year but remains below its peak levels from prior years. Gross profit margin is strong at 54%, indicating effective cost management. However, net profit margin is low at 2.6% due to declining EBIT and EBITDA margins, indicating reduced operational efficiency.

Balance Sheet

The balance sheet is relatively healthy with a low debt-to-equity ratio of 0.15, suggesting low financial leverage and risk. The equity ratio is robust at 59%, reflecting a strong capital position. Return on Equity (ROE) is modest at 4.2%, indicating limited profitability on shareholders' equity.

Cash Flow

Cash flow analysis reveals negative free cash flow growth, a concerning trend. The operating cash flow to net income ratio is -0.61, indicating operational cash outflows exceeding net income. However, the company has improved its cash position since the previous year.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.90B	2.73B	2.62B	2.10B	2.12B	2.54B
Gross Profit	1.49B	1.47B	1.22B	384.50M	779.64M	1.20B
EBITDA	214.90M	163.50M	84.20M	-106.30M	-50.03M	292.59M
Net Income	108.20M	72.10M	16.70M	-123.10M	-79.07M	189.62M
Balance Sheet
Total Assets	0.00	2.92B	2.57B	2.53B	2.80B	2.68B
Cash, Cash Equivalents and Short-Term Investments	16.90M	16.90M	30.10M	81.20M	400.00K	44.38M
Total Debt	0.00	254.00M	159.00M	151.50M	251.91M	264.00K
Total Liabilities	-1.73B	1.19B	918.10M	897.70M	1.04B	815.10M
Stockholders Equity	1.73B	1.73B	1.65B	1.63B	1.75B	1.86B
Cash Flow
Free Cash Flow	0.00	-63.50M	-9.00M	168.50M	-239.49M	96.23M
Operating Cash Flow	0.00	-43.90M	15.80M	190.30M	-231.31M	110.07M
Investing Cash Flow	0.00	-15.30M	-16.70M	-24.00M	-9.63M	-10.56M
Financing Cash Flow	0.00	74.10M	-41.30M	-122.50M	197.14M	-166.38M

Mahindra EPC Irrigation Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 129.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MAHEPC, the sentiment is Negative. The current price of 129.35 is below the 20-day moving average (MA) of 133.52, below the 50-day MA of 141.69, and below the 200-day MA of 140.17, indicating a bearish trend. The MACD of -3.90 indicates Negative momentum. The RSI at 36.53 is Neutral, neither overbought nor oversold. The STOCH value of 38.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MAHEPC.

Mahindra EPC Irrigation Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASPINWALL	63 Neutral	₹2.05B	31.05	―	2.66%	9.72%	-57.95%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
MAHEPC	53 Neutral	₹3.91B	27.91	―	―	17.09%	―
SADBHIN	44 Neutral	₹1.32B	-3.13	―	―	4.63%	67.17%
IL&FSENGG	37 Underperform	₹3.89B	―	―	―	-6.13%	98.35%

Mahindra EPC Irrigation Limited Corporate Events

Mahindra EPC Irrigation Releases Financial Results for Q2 2025

Mahindra EPC Irrigation Limited has announced the publication of its unaudited standalone and consolidated financial results for the quarter and half-year ending September 30, 2025. These results were published in prominent newspapers such as Business Standard, Navshakti, and Free Press Journal. This disclosure aligns with the company’s compliance obligations under SEBI regulations, ensuring transparency and informed decision-making for stakeholders.