Orient Electric Ltd. (ORIENTELEC) AI Stock Analysis

• Market Cap: ₹38.44B
• Dividend Yield: 0.82%
• Average Volume (3M): 9.29K
• Price to Earnings (P/E): 44.3
• Beta (1Y): 0.98
• Revenue Growth: 6.63%
• EPS Growth: 42.16%
• Country: IN
• Employees: 1,352
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 1.20
• Shares Outstanding: 213,365,900
• 10 Day Avg. Volume: 3,900
• 30 Day Avg. Volume: 9,291
• PEG Ratio: 5.15
• Price to Book (P/B): 6.47
• Price to Sales (P/S): 1.45
• P/FCF Ratio: 139.31
• 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: 60 Neutral
• Price Target: ₹168.00 ▼(-3.86% Downside)

Orient Electric Ltd. demonstrates strong financial performance with revenue growth and a solid balance sheet, but faces challenges in profitability and cash flow generation. Technical indicators suggest a bearish trend, and the stock appears overvalued with a low dividend yield. These factors contribute to a moderate overall stock score.

Positive Factors

Balance sheet strength

Very low leverage and a stable equity ratio provide structural financial resilience. This balance sheet strength gives the company durable flexibility to fund growth, absorb demand shocks, pursue M&A or invest in product R&D without stressing creditors or equity holders.

Revenue growth with gross margin expansion

Sustained revenue growth paired with a materially higher gross margin indicates enduring operational improvements—better sourcing, pricing or product mix. These trends support lasting competitiveness by strengthening core profitability before operating costs.

Positive free cash flow

Turning FCF positive signals disciplined capex and the ability to generate cash after investment. Over months this enables reinvestment, debt repayment or strategic initiatives without reliance on external financing, improving long-term financial self-sufficiency.

Negative Factors

Compressed net profit margin

A very low net margin despite revenue gains highlights persistent cost or non-operating pressures that erode the bottom line. Structurally weak net conversion limits retained earnings, restricts reinvestment capacity and weakens long-term shareholder returns.

Declining operating cash flow

A multi-hundred-million decline in OCF points to working-capital stress or weaker cash quality of earnings. Sustained declines reduce internal funding for growth and dividends, forcing reliance on financing or asset sales and constraining strategic flexibility.

Modest return on equity

An ROE around 12% suggests only moderate efficiency in converting equity into profitable growth. Over time this may limit shareholder value creation unless management materially improves margins, capital allocation or achieves higher returns from new investments.

Orient Electric Ltd. Business Overview & Revenue Model

Company Description

Orient Electric Limited manufactures, purchases, and sells electrical consumer durables, and lighting and switchgear products in India. The company operates in two segments, Electrical Consumer Durables, and Lighting and Switchgear. It offers ceiling, portable, airflow, wall, lifestyle, stand, table, exhaust, and multi-utility fans, as well as related components and accessories; and home appliances, such as air coolers, room and water heaters, oil filled radiators, heat convectors, dry irons, mixer grinders, juicer mixer grinders, wet grinders, electric kettles and rice cookers, induction cooktops, electric choppers and toasters, and electric hand mixers; and health appliances. The company also provides lighting products comprising LED bulbs and luminaires, LED lamps and tubes, professional lighting products, CFLs, fluorescent tube lights, incandescent lamps, and conventional fittings; and switchgears, including miniature and residual current circuit breakers, distribution boards, isolators, and modular switches and plates, as well as wiring accessories. Orient Electric Limited also exports its products to approximately 26 countries. The company sells its products through a sales/distribution network, as well as online. It also franchises smart shops. Orient Electric Limited was incorporated in 2016 and is headquartered in New Delhi, India.

How the Company Makes Money

Orient Electric generates revenue through multiple key streams, primarily from the sale of its core products such as ceiling fans, lighting solutions, and home appliances. The company operates a diversified business model that includes direct sales to consumers, distribution through retail channels, and partnerships with various dealers and distributors across India. Additionally, Orient Electric benefits from significant export opportunities, reaching international markets with its product offerings. The company's earnings are also bolstered by its focus on innovation and brand development, which enhances customer loyalty and drives repeat purchases. Strategic partnerships with suppliers and a commitment to quality further contribute to its revenue stability.

Orient Electric Ltd. Financial Statement Overview

Summary

Orient Electric Ltd. shows strong revenue growth and operational efficiency improvements, with a robust balance sheet and low leverage. However, profitability margins are under pressure, and cash flow from operations has decreased, indicating challenges in cost management.

Income Statement

Orient Electric Ltd. demonstrated strong revenue growth with a 11.6% increase in 2025 compared to 2024. The gross profit margin improved significantly to 32.1%, reflecting enhanced operational efficiency. However, the net profit margin decreased to 2.7% in 2025, indicating challenges in controlling costs or increased expenses. The company's EBIT margin improved sharply, suggesting better core operational performance.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.12 in 2025, indicating limited leverage and financial stability. The equity ratio is stable at 44.7%, reflecting a solid financial foundation. Return on Equity (ROE) was modest at 12%, suggesting steady profitability from shareholder's equity.

Cash Flow

Operating cash flow decreased to 875.5 million in 2025, down from 1,182.6 million in 2024, indicating potential challenges in generating cash from operations. However, free cash flow turned positive at 322.6 million, showcasing improved capital expenditure management. The operating cash flow to net income ratio remains favorable, supporting liquidity.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	31.08B	30.94B	28.12B	25.29B	24.48B	19.99B
Gross Profit	8.97B	9.94B	8.09B	7.05B	4.21B	5.72B
EBITDA	2.16B	2.04B	1.75B	1.74B	2.34B	2.22B
Net Income	863.90M	832.10M	752.70M	758.50M	1.27B	1.20B
Balance Sheet
Total Assets	0.00	15.55B	14.51B	12.65B	11.87B	11.62B
Cash, Cash Equivalents and Short-Term Investments	681.40M	688.70M	1.03B	1.66B	1.50B	2.57B
Total Debt	0.00	864.30M	1.12B	972.50M	675.40M	614.10M
Total Liabilities	-6.94B	8.60B	8.12B	6.80B	6.46B	7.07B
Stockholders Equity	6.94B	6.94B	6.39B	5.85B	5.41B	4.56B
Cash Flow
Free Cash Flow	0.00	322.60M	-566.20M	758.80M	-312.90M	3.91B
Operating Cash Flow	0.00	875.50M	1.18B	1.90B	113.70M	4.27B
Investing Cash Flow	0.00	-290.00M	-1.71B	-1.10B	782.00M	-1.51B
Financing Cash Flow	0.00	-719.60M	-456.90M	-661.30M	-796.50M	-1.44B

Orient Electric Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 174.75
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ORIENTELEC, the sentiment is Positive. The current price of 174.75 is above the 20-day moving average (MA) of 170.77, below the 50-day MA of 176.71, and below the 200-day MA of 205.94, indicating a neutral trend. The MACD of 0.06 indicates Negative momentum. The RSI at 57.28 is Neutral, neither overbought nor oversold. The STOCH value of 80.09 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ORIENTELEC.

Orient Electric Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PGIL	66 Neutral	₹71.87B	26.97	―	0.77%	24.93%	20.57%
IFBIND	63 Neutral	₹45.43B	37.94	―	―	12.08%	28.97%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
ORIENTELEC	60 Neutral	₹38.44B	44.27	―	0.82%	6.63%	42.16%
BAJAJELEC	57 Neutral	₹47.73B	46.24	―	0.62%	0.80%	-4.31%

Orient Electric Ltd. Corporate Events

Orient Electric Closes Trading Window Ahead of December-Quarter Results

Orient Electric Limited has announced that its trading window for designated persons and their immediate relatives will be closed from January 1, 2026 until 48 hours after the declaration of its unaudited financial results for the quarter and nine months ended December 31, 2025, in line with SEBI’s Prohibition of Insider Trading Regulations and the company’s internal code of conduct. This move, regularly implemented around result announcements, is aimed at preventing insider trading and underscores the company’s adherence to regulatory compliance and corporate governance standards, with details also being made available on its website.