Nelco Limited (NELCO) AI Stock Analysis

• Market Cap: ₹12.81B
• Dividend Yield: 0.13%
• Average Volume (3M): 13.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.83
• Revenue Growth: -7.50%
• EPS Growth: -79.50%
• Country: IN
• Employees: 94
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): -0.52
• Shares Outstanding: 22,818,400
• 10 Day Avg. Volume: 6,725
• 30 Day Avg. Volume: 13,809
• PEG Ratio: -3.58
• Price to Book (P/B): 15.92
• Price to Sales (P/S): 6.68
• P/FCF Ratio: 658.92
• 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: 53 Neutral
• Price Target: ₹513.00 ▼(-29.68% Downside)
• Action: Reiterated Date: 01/24/26
• Date: Action: Reiterated 01/24/26

The score is held back mainly by very weak technicals (price below all key moving averages, negative MACD, very low RSI/Stochastic). Financial performance is mixed—strong gross margins but weaker net margins, higher leverage, and declining operating cash flow. Valuation is also a drawback due to a negative P/E and minimal dividend yield.

Positive Factors

Recurring service-led revenue model

A service-led, recurring-fee model provides predictable, contractable revenue and stronger customer stickiness given installed VSATs and managed services. That steadier revenue base supports durable cash flows, planning for network upkeep and long-term customer relationships.

Negative Factors

Rising leverage / higher debt-to-equity

A rising debt-to-equity trend reduces financial flexibility and raises fixed interest costs. With leverage increasing, the company faces greater refinancing and solvency risk if revenues weaken, constraining capital allocation for network investments or strategic initiatives over the next several quarters.

Nelco Limited Business Overview & Revenue Model

Company Description

Nelco Limited provides systems and solutions in the areas of very small aperture terminals (VSAT) connectivity, and integrated security and surveillance in India. It offers VSAT satellite communication services for renewable energy, enterprise, ma...

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Nelco Limited provides systems and solutions in the areas of very small aperture terminals (VSAT) connectivity, and integrated security and surveillance in India. It offers VSAT satellite communication services for renewable energy, enterprise, ma...

How the Company Makes Money

NELCO makes money primarily by providing satellite-based connectivity and managed communication/network services to business and institutional customers. Its revenue model is largely service-led and typically includes (1) recurring service fees fo...

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NELCO makes money primarily by providing satellite-based connectivity and managed communication/network services to business and institutional customers. Its revenue model is largely service-led and typically includes (1) recurring service fees fo...

Nelco Limited Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.97B	3.05B	3.20B	3.13B	2.60B	2.26B
Gross Profit	2.27B	2.21B	2.32B	2.63B	1.56B	1.41B
EBITDA	402.20M	477.70M	621.30M	672.00M	553.20M	477.10M
Net Income	42.90M	95.30M	236.70M	198.50M	160.80M	123.60M
Balance Sheet
Total Assets	3.09B	2.87B	2.82B	2.62B	2.63B	2.46B
Cash, Cash Equivalents and Short-Term Investments	303.10M	180.20M	217.90M	161.60M	156.50M	91.60M
Total Debt	719.20M	525.10M	568.70M	631.00M	814.80M	896.20M
Total Liabilities	1.81B	1.60B	1.58B	1.58B	1.74B	1.70B
Stockholders Equity	1.29B	1.28B	1.24B	1.05B	890.50M	757.80M
Cash Flow
Free Cash Flow	20.60M	30.90M	256.60M	329.90M	314.50M	446.60M
Operating Cash Flow	111.30M	196.60M	419.70M	580.80M	494.30M	539.60M
Investing Cash Flow	-85.80M	-165.40M	-192.20M	-249.30M	-160.80M	-75.60M
Financing Cash Flow	130.30M	-110.60M	-200.40M	-326.40M	-196.00M	-470.30M

Nelco Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 729.55
• 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:NELCO, the sentiment is Negative. The current price of 729.55 is above the 20-day moving average (MA) of 576.42, above the 50-day MA of 614.84, and below the 200-day MA of 797.04, indicating a bearish trend. The MACD of -23.05 indicates Positive momentum. The RSI at 44.45 is Neutral, neither overbought nor oversold. The STOCH value of 36.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:NELCO.

Nelco Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BCG	64 Neutral	₹18.06B	1.71	―	―	―	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
KERNEX	54 Neutral	₹16.01B	84.78	―	―	155.87%	―
SASKEN	54 Neutral	₹17.98B	74.37	―	1.83%	77.13%	-39.91%
NELCO	53 Neutral	₹12.81B	-349.69	―	0.13%	-7.50%	-79.50%
RAMCOSYS	53 Neutral	₹13.79B	163.07	―	―	20.41%	―
NIITLTD	51 Neutral	₹7.86B	78.58	―	1.07%	12.25%	-28.69%

Nelco Limited Corporate Events