Pennar Industries Limited (PENIND) AI Stock Analysis

• Market Cap: ₹29.26B
• Dividend Yield: N/A
• Average Volume (3M): 59.09K
• Price to Earnings (P/E): 25.2
• Beta (1Y): 1.49
• Revenue Growth: 3.07%
• EPS Growth: 21.34%
• Country: IN
• Employees: 2,679
• Sector: Industrials
• Sector Strength: 84
• Industry: Industrial - Machinery
• EPS (TTM): 2.00
• Shares Outstanding: 134,946,230
• 10 Day Avg. Volume: 69,524
• 30 Day Avg. Volume: 59,091
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹228.00
• Price Target Upside: 3.28% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: ₹228.00 ▲(3.28% Upside)

The overall stock score for Pennar Industries Limited is driven by strong financial performance, characterized by revenue growth and improving profitability. However, technical indicators suggest a bearish trend, and the valuation is moderate with no dividend yield. The absence of earnings call data and corporate events means these factors do not influence the score.

Pennar Industries Limited Business Overview & Revenue Model

Company Description

Pennar Industries Limited (PENIND) is a leading engineering organization in India, specializing in the production and supply of a diverse range of industrial products. The company operates across multiple sectors, including automotive, infrastructure, energy, and railways, offering core products such as precision-engineered components, pre-engineered building systems, and environmental and engineering services. Pennar Industries is renowned for its integrated manufacturing capabilities, which enable it to deliver high-quality solutions tailored to the specific needs of its clients.

How the Company Makes Money

Pennar Industries Limited generates revenue through a diversified business model that encompasses multiple key revenue streams. The primary sources include the sale of precision-engineered products to sectors such as automotive and railways, where it supplies components critical to vehicle and infrastructure manufacturing. The company also earns significant income from its pre-engineered building systems, which cater to the construction and infrastructure industries by providing cost-effective and durable building solutions. Additionally, Pennar Industries offers environmental and engineering services, further contributing to its revenue. Strategic partnerships with leading companies across various sectors enhance its market reach and drive sales, while continuous innovation and an emphasis on quality and customer satisfaction bolster its competitive position.

Pennar Industries Limited Financial Statement Overview

Summary

Pennar Industries Limited exhibits strong revenue growth and improving profitability, supported by a robust balance sheet with moderate leverage. While cash flow generation is improving, further strengthening is necessary to ensure long-term sustainability.

Income Statement

Pennar Industries Limited shows strong revenue growth with a 3.06% increase over the last year and consistent gross profit margins around 28%. The net profit margin improved to 3.7%, indicating better cost management. However, EBIT margin slightly decreased to 7.5%, suggesting some operational challenges. Overall, the company demonstrates good revenue growth and profitability.

Balance Sheet

The company's debt-to-equity ratio stands at 0.81, indicating a moderate level of leverage, which is manageable. The return on equity has improved to 11.9%, showing better utilization of equity. The equity ratio is stable at 33.8%, reflecting a solid capital structure. While leverage is moderate, the balance sheet is stable and supports growth.

Cash Flow

Free cash flow turned positive, growing significantly from the previous year's negative value, indicating improved cash management. However, the operating cash flow to net income ratio decreased, showing some pressure on operating cash generation. Overall, cash flow improvements are positive but still require careful management to sustain growth.

Breakdown	Mar 2025	Mar 2024	Mar 2022	Mar 2023	Mar 2021
Income Statement
Total Revenue	32.27B	31.31B	22.16B	28.95B	14.77B
Gross Profit	9.05B	8.16B	6.43B	10.93B	3.96B
EBITDA	3.47B	2.62B	1.88B	2.55B	1.31B
Net Income	1.19B	983.40M	418.30M	754.20M	25.40M
Balance Sheet
Total Assets	29.54B	26.40B	21.41B	23.18B	18.93B
Cash, Cash Equivalents and Short-Term Investments	1.91B	1.28B	835.20M	2.54B	686.60M
Total Debt	8.12B	7.85B	6.45B	6.85B	6.17B
Total Liabilities	19.55B	17.63B	14.05B	15.39B	11.96B
Stockholders Equity	9.98B	8.77B	7.35B	7.78B	6.96B
Cash Flow
Free Cash Flow	218.90M	-218.90M	1.37B	1.73B	-960.40M
Operating Cash Flow	1.48B	2.25B	1.95B	2.44B	-427.60M
Investing Cash Flow	-1.10B	-2.57B	-984.60M	-279.70M	-61.00M
Financing Cash Flow	124.20M	-223.00M	-922.30M	-1.13B	433.70M

Pennar Industries Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 220.75
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PENIND, the sentiment is Neutral. The current price of 220.75 is below the 20-day moving average (MA) of 237.25, below the 50-day MA of 234.74, and above the 200-day MA of 199.21, indicating a neutral trend. The MACD of -3.90 indicates Positive momentum. The RSI at 44.04 is Neutral, neither overbought nor oversold. The STOCH value of 12.43 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:PENIND.

Pennar Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JASH	71 Outperform	₹32.11B	39.14		0.16%	32.20%	11.50%
Sector *	66 Neutral	£2.67B	13.00	3.30%	3.25%	2.35%	-22.12%
BBL	66 Neutral	₹31.58B	22.95		1.25%	10.30%	5.81%
PRECWIRE	61 Neutral	₹30.53B	32.18		0.67%	20.80%	20.82%
PENIND	60 Neutral	₹29.26B	25.24		―	3.07%	21.34%
JTEKTINDIA	60 Neutral	₹34.69B	43.20		0.56%	6.85%	-28.21%
HPL	54 Neutral	₹37.56B	40.06		0.17%	10.26%	77.41%