RR Kabel Ltd. (RRKABEL) AI Stock Analysis

• Market Cap: ₹168.10B
• Dividend Yield: 0.49%
• Average Volume (3M): 18.74K
• Price to Earnings (P/E): 34.7
• Beta (1Y): 1.01
• Revenue Growth: 17.36%
• EPS Growth: 52.81%
• Country: IN
• Employees: 3,109
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Electrical Equipment & Parts
• EPS (TTM): 10.50
• Shares Outstanding: 113,101,060
• 10 Day Avg. Volume: 39,160
• 30 Day Avg. Volume: 18,739
• PEG Ratio: 9.38
• Price to Book (P/B): 4.90
• Price to Sales (P/S): 1.38
• P/FCF Ratio: 82.80
• 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: ₹1,530.00
• Price Target Upside: -0.44% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 44.22
• Revenue Forecast (FY): ₹94.50B

• Rating: 74 Outperform
• Price Target: ₹1,750.00 ▲(13.87% Upside)
• Action: Reiterated Date: 10/28/25
• Date: Action: Reiterated 10/28/25

RR Kabel Ltd. scores well due to its strong financial performance and positive technical indicators. However, the high P/E ratio suggests the stock may be overvalued, which slightly offsets the positive aspects. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth Momentum

Sustained double-digit top-line growth indicates the company is expanding market share and product adoption across trade, project and consumer channels. Durable revenue momentum supports scale benefits, reinvestment capacity and resilience to isolated demand swings over the next 2–6 months.

Healthy Balance Sheet & Low Leverage

Very low leverage and a strong equity ratio give the company financial flexibility to fund capex, absorb cyclical downturns or pursue strategic investments without straining interest coverage. A mid‑teens ROE shows effective use of equity capital, supporting sustainable returns.

Operating Cash Generation Quality

Operating cash flow exceeds reported earnings, indicating earnings quality and the business's ability to convert profits into cash for working capital and operations. This cash generation underpins durable operational funding even if free cash flow growth lags temporarily.

Negative Factors

Weak Free Cash Flow Trend

Negative free cash flow growth suggests the company is not consistently increasing cash available after investment, which can constrain dividend increases, deleveraging or strategic spending. Persistent FCF weakness would pressure capital allocation over the medium term.

Thin Net Margins

Modest net and operating margins leave limited buffer against rising costs or competitive pricing pressure. In a capital- and commodity-sensitive industry, sustaining profitability requires continuous product mix improvement, cost control, or higher-value offerings to improve long-term ROIC.

Commodity Price Exposure

Significant exposure to copper and aluminum price swings creates structural margin volatility. Without explicit hedging or long-term supply agreements in the pack, raw-material cycles can materially affect realizations and planning for capex and working capital over coming months.

RR Kabel Ltd. Business Overview & Revenue Model

Company Description

R R Kabel Limited manufactures, sells wires and cables, and fast-moving electrical goods (FMEG) in India. The company provides house wires, industrial wires, power cables, and special cables. It also offers FMEG products, including fans, lighting, switches, switchgears , water heaters, and other appliances. The company's products are used in residential, commercial, industrial, and infrastructure sectors. R R Kabel Limited was formerly known as Ram Ratna Agro-Plast Limited and changed its name to R R Kabel Limited in November 2000. The company was incorporated in 1995 and is based in Vadodara, India. R R Kabel Limited operates as a subsidiary of Ram Ratna Wires Limited.

How the Company Makes Money

RR Kabel generates revenue primarily through the sale of its various cable and wire products. The company’s revenue model is centered on producing high-quality electrical and telecommunications cables that cater to a diverse clientele, including industries like power generation, construction, and telecommunications. Key revenue streams include direct sales to large businesses and construction companies, as well as distribution through a network of dealers and retailers. Additionally, RR Kabel may engage in strategic partnerships with other companies to enhance its product offerings and expand market reach, contributing to its overall earnings. The company's emphasis on quality and compliance with international standards also helps in securing contracts and maintaining customer loyalty, further bolstering its financial performance.

RR Kabel Ltd. Financial Statement Overview

Summary

RR Kabel Ltd. demonstrates strong financial performance with consistent revenue growth and healthy profitability margins. The balance sheet is stable with low leverage and strong equity, although cash flow generation shows some variability.

Income Statement

RR Kabel Ltd. has demonstrated strong revenue growth over the years, with a notable increase of 15.52% in the most recent year. The Gross Profit Margin of 17.89% and Net Profit Margin of 4.09% highlight healthy profitability levels. While the EBIT Margin of 5.45% and EBITDA Margin of 7.07% indicate efficient operations, there's room for improvement in enhancing operating efficiencies.

Balance Sheet

The company's financial structure is solid with a Debt-to-Equity Ratio of 0.13, showing low leverage and prudent financial management. Return on Equity is strong at 14.47%, reflecting effective utilization of shareholder funds. The Equity Ratio stands at 61.21%, indicating a stable capital structure with a significant proportion of assets financed by equity.

Cash Flow

RR Kabel Ltd. shows a cautious yet positive cash flow trend. The Free Cash Flow Growth Rate is negative, indicating a decline in free cash flow. However, the Operating Cash Flow to Net Income Ratio of 1.59 is robust, and the Free Cash Flow to Net Income Ratio of 0.41 suggests that the company generates a healthy level of free cash flow relative to its net income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	78.69B	76.18B	65.95B	55.99B	43.86B	27.24B
Gross Profit	13.17B	13.63B	12.24B	9.99B	7.08B	5.62B
EBITDA	5.80B	5.39B	5.24B	3.57B	3.53B	2.54B
Net Income	3.37B	3.12B	2.98B	1.90B	2.14B	1.35B
Balance Sheet
Total Assets	0.00	35.17B	28.69B	26.34B	20.51B	17.15B
Cash, Cash Equivalents and Short-Term Investments	2.68B	2.68B	3.17B	3.69B	2.20B	2.05B
Total Debt	0.00	2.90B	3.60B	5.80B	5.33B	5.07B
Total Liabilities	-21.53B	13.64B	10.41B	12.14B	8.00B	6.68B
Stockholders Equity	21.53B	21.53B	18.28B	14.20B	12.50B	10.47B
Cash Flow
Free Cash Flow	0.00	1.27B	1.49B	3.45B	299.45M	-1.18B
Operating Cash Flow	0.00	4.94B	3.39B	4.54B	981.70M	-710.57M
Investing Cash Flow	0.00	-1.69B	-835.14M	-3.33B	-626.55M	-58.80M
Financing Cash Flow	0.00	-1.91B	-2.05B	-1.02B	-316.11M	741.25M

RR Kabel Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1536.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RRKABEL, the sentiment is Positive. The current price of 1536.8 is above the 20-day moving average (MA) of 1461.35, above the 50-day MA of 1457.20, and above the 200-day MA of 1354.87, indicating a bullish trend. The MACD of 23.37 indicates Negative momentum. The RSI at 54.11 is Neutral, neither overbought nor oversold. The STOCH value of 72.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:RRKABEL.

RR Kabel Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RRKABEL	74 Outperform	₹168.10B	34.73	―	0.49%	17.36%	52.81%
PGHL	73 Outperform	₹80.83B	30.50	―	3.28%	3.01%	22.98%
SURYAROSNI	63 Neutral	₹48.24B	18.80	―	2.03%	0.31%	1.98%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
ORIENTELEC	60 Neutral	₹38.81B	36.16	―	0.82%	6.63%	42.16%
BAJAJELEC	59 Neutral	₹41.72B	-40.37	―	0.62%	0.80%	-4.31%
WHIRLPOOL	56 Neutral	₹115.95B	107.65	―	0.53%	4.14%	16.19%

RR Kabel Ltd. Corporate Events

RR Kabel strengthens leadership with appointment of new CHRO

RR Kabel Ltd. has appointed Kamaljeet Kaur as Chief Human Resource Officer, designated as Senior Management Personnel, effective 9 March 2026, following approval by the board on the Nomination and Remuneration Committee’s recommendation. The move strengthens the company’s leadership bench as it scales operations, bringing in a seasoned HR executive with more than 22 years’ experience across automobiles, infrastructure, FMCG and renewable energy, and prior CHRO roles at Gensol and Sterlite Power, which is expected to support organizational transformation and talent development.

Kaur holds a BA in Economics and a postgraduate diploma in management with a specialization in human resources, and has led strategic HR, industrial relations, and digital HR initiatives in previous roles. Her appointment signals a focus on leadership capability, high-performance culture and structured HR processes at RR Kabel, with potential implications for employee engagement, change management and overall operational effectiveness as the company pursues growth in the competitive electricals sector.

R R Kabel Files Q3 FY26 Earnings Call Transcript with Stock Exchanges

R R Kabel Limited has submitted to the stock exchanges the official transcript of its earnings conference call held on 2 February 2026, discussing financial results for the quarter and nine months ended 31 December 2025. The filing, made in compliance with SEBI disclosure regulations, reinforces the company’s focus on transparency and timely communication with investors and other stakeholders by providing detailed access to management’s commentary on its recent financial performance.

RR Kabel Board Clears Q3 FY26 Results and Bolsters Senior Leadership Team

RR Kabel Ltd. has announced that its board has approved the unaudited standalone and consolidated financial results for the quarter and nine months ended 31 December 2025, fulfilling its regulatory disclosure obligations to the stock exchanges. Alongside the results, the board undertook a significant strengthening of its senior leadership, re-designating Vivek CM as Chief Sales Officer for the FMEG business and appointing Manjari Modi as Senior Vice President – Centre of Excellence and Manish Balodi as Vice President – Business Transformation for the Wires and Cables division, moves that signal a strategic focus on boosting sales capabilities, operational excellence and transformation within its core and high-growth business segments.

RR Kabel Delivers Record Nine-Month Revenue and Profit on Strong Wires & Cables Demand

RR Kabel Ltd reported its highest-ever third-quarter and nine-month performance for the period ended 31 December 2025, with revenue from operations in Q3 FY26 rising 42.3% year-on-year to Rs 2,535.9 crore and operating EBITDA surging 86% to Rs 206.4 crore, lifting EBITDA margins by 191 basis points to 8.1%. Profit after tax for the quarter grew 72.4% year-on-year to Rs 118.2 crore, while for the nine months revenue increased 25.1% to Rs 6,758.2 crore and PAT jumped 77.7% to Rs 324.3 crore, driven largely by strong demand in the Wires & Cables segment across domestic and export markets, improved operating efficiencies, and disciplined cost management; the FMEG business showed steady performance and reduced losses, reinforcing management’s view that the company is well positioned to sustain growth momentum and create long-term value for stakeholders.

R R Kabel Sets Feb. 2 Earnings Call for Q3 and Nine-Month FY26 Results

R R Kabel Ltd. has scheduled an earnings conference call to discuss its unaudited standalone and consolidated financial results for the third quarter and nine months ended 31 December 2025. The call, to be held on 2 February 2026 with senior management including the managing director and chief operating officer, signals the company’s ongoing engagement with investors and analysts and provides a platform for detailed commentary on recent financial performance and business trends, which could shape market perceptions of its outlook.

R R Kabel Allots 11,856 Shares Under 2020 ESOP, Marginally Expands Equity Base

R R Kabel Limited has allotted 11,856 equity shares of face value ₹5 each to eligible employees who exercised their vested options under the RR Kabel Employee Stock Option Plan 2020, following approval by the Finance and Allotment Committee on 16 January 2026. This issuance increases the company’s paid-up equity share capital marginally from ₹56.54 crore to ₹56.55 crore, with the total number of issued shares rising to 11,31,01,057, reflecting ongoing use of equity-linked incentives to reward staff while slightly diluting existing shareholdings.