Salasar Techno Engineering Ltd. (SALASAR) AI Stock Analysis

• Market Cap: ₹15.56B
• Dividend Yield: N/A
• Average Volume (3M): 2.85M
• Price to Earnings (P/E): 50.2
• Beta (1Y): 0.82
• Revenue Growth: 27.20%
• EPS Growth: -45.92%
• Country: IN
• Employees: 1,312
• Sector: Services
• Sector Strength: N/A
• Industry: Steel
• EPS (TTM): 0.09
• Shares Outstanding: 1,726,770,300
• 10 Day Avg. Volume: 650,665
• 30 Day Avg. Volume: 2,854,826
• PEG Ratio: -1.27
• Price to Book (P/B): 2.10
• Price to Sales (P/S): 1.14
• P/FCF Ratio: -27.48
• 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: 69 Neutral
• Price Target: ₹12.00 ▲(33.04% Upside)

Salasar Techno Engineering Ltd. has a strong technical outlook with bullish momentum, which is the most significant factor in its score. However, financial performance concerns, particularly in net income and cash flow management, and a high P/E ratio indicating overvaluation, weigh down the overall score.

Positive Factors

Revenue Growth

Salasar's strong revenue growth indicates robust demand for its engineering services, enhancing its market position and supporting long-term expansion.

Solid Equity Position

A solid equity position with prudent leverage management provides financial stability and flexibility for future investments and growth opportunities.

Market Diversification

Diversification across multiple sectors reduces dependency on a single market, mitigating risks and enhancing resilience against sector-specific downturns.

Negative Factors

Declining Net Income

A decline in net income suggests challenges in cost management or increased expenses, potentially impacting profitability and long-term financial health.

Inconsistent Cash Flow

Inconsistent cash flow and negative free cash flow highlight operational challenges, which could strain liquidity and hinder the company's ability to fund growth initiatives.

Margin Pressure

Pressure on margins indicates potential cost control issues or pricing pressures, which could affect long-term profitability and competitive positioning.

Salasar Techno Engineering Ltd. Business Overview & Revenue Model

Company Description

Salasar Techno Engineering Ltd. (SALASAR) is a leading engineering and construction company based in India, specializing in providing high-quality solutions for infrastructure development. The company operates across various sectors, including energy, telecommunications, and industrial infrastructure. SALASAR's core products and services encompass the design, manufacture, and installation of transmission towers, telecom towers, and related infrastructure, catering to both domestic and international markets.

How the Company Makes Money

Salasar Techno Engineering Ltd. primarily generates revenue through the execution of engineering and construction projects, with a focus on the supply and installation of transmission and telecom towers. The company’s revenue model is built around securing contracts from government and private sector clients, which include utility companies and telecom operators. Key revenue streams include the sale of fabricated steel structures, project management services, and ongoing maintenance contracts. The company also benefits from significant partnerships with major players in the energy and telecommunications sectors, enhancing its market presence and enabling it to secure large-scale projects that contribute to its overall earnings.

Salasar Techno Engineering Ltd. Financial Statement Overview

Summary

Salasar Techno Engineering Ltd. shows strong revenue growth and a solid equity position, indicative of good market performance and financial management. However, declining net income and erratic cash flow trends highlight areas needing attention, particularly in cost management and operational efficiency.

Income Statement

Salasar Techno Engineering Ltd. has shown strong revenue growth over the years with a notable increase from INR 5,813 million in 2021 to INR 14,474 million in 2025. Despite a dip in EBIT and EBITDA margins in 2025 compared to previous years, the company maintains good overall profitability with a consistent gross profit margin. However, the significant drop in net income in 2025 indicates challenges in managing costs or increased financial expenses.

Balance Sheet

The company's balance sheet reveals a solid equity base with a debt-to-equity ratio of 0.40 in 2025, showcasing prudent financial management in terms of leverage. The equity ratio has strengthened over the years, reflecting an increase in stockholder equity relative to total assets. However, the increase in total debt and liabilities in 2025 points to a potential risk if not managed carefully.

Cash Flow

Cash flow analysis shows inconsistency, with negative free cash flow in most years, including a significant negative free cash flow of INR 599 million in 2025. Despite this, the company has managed financing cash flows effectively. The operating cash flow to net income ratio is concerning, indicating operational challenges affecting cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	14.40B	14.47B	12.07B	10.05B	7.19B	5.97B
Gross Profit	2.20B	1.81B	1.69B	1.88B	1.29B	822.36M
EBITDA	1.15B	1.11B	1.21B	935.67M	711.59M	671.29M
Net Income	248.76M	191.05M	529.33M	401.71M	314.45M	296.47M
Balance Sheet
Total Assets	0.00	17.25B	11.51B	9.14B	6.83B	5.53B
Cash, Cash Equivalents and Short-Term Investments	53.06M	528.78M	26.71M	4.78M	3.31M	106.14M
Total Debt	0.00	3.17B	3.50B	2.73B	2.49B	1.98B
Total Liabilities	-7.86B	9.39B	7.00B	5.13B	4.00B	3.00B
Stockholders Equity	7.86B	7.86B	4.50B	4.01B	2.82B	2.53B
Cash Flow
Free Cash Flow	-725.95M	-599.39M	-40.55M	-696.44M	-252.31M	-340.63M
Operating Cash Flow	-670.36M	-476.78M	516.56M	-1.65M	14.92M	-71.27M
Investing Cash Flow	-1.63B	-475.00K	-796.14M	-699.50M	-272.92M	-235.42M
Financing Cash Flow	2.29B	484.59M	301.32M	702.65M	256.53M	304.38M

Salasar Techno Engineering Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 9.02
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SALASAR, the sentiment is Neutral. The current price of 9.02 is below the 20-day moving average (MA) of 9.23, below the 50-day MA of 9.61, and above the 200-day MA of 8.72, indicating a neutral trend. The MACD of -0.20 indicates Positive momentum. The RSI at 38.48 is Neutral, neither overbought nor oversold. The STOCH value of 36.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:SALASAR.

Salasar Techno Engineering Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
YATRA	69 Neutral	₹27.97B	50.71	―	―	82.79%	208.75%
SALASAR	69 Neutral	₹15.56B	50.17	―	―	27.20%	-45.92%
VASCONEQ	61 Neutral	₹10.81B	7.52	―	―	3.46%	159.96%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
SPMLINFRA	54 Neutral	₹13.03B	27.55	―	―	-35.16%	115.70%
VERANDA	38 Underperform	₹18.28B	-11.96	―	―	6.02%	2.68%

Salasar Techno Engineering Ltd. Corporate Events

Salasar Techno Engineering Secures INR 695 Crore Contracts from RVNL

Salasar Techno Engineering Ltd. has secured two significant contracts worth INR 695.18 Crores from Rail Vikas Nigam Limited. These contracts involve service support, procurement management, and erection work for distribution infrastructure in Himachal Pradesh, under the Revamped Reforms-based and Results-linked Distribution Sector Schemes. This development is expected to enhance the company’s market position by expanding its involvement in infrastructure projects, potentially leading to increased revenue and strengthening its foothold in the engineering sector.

Salasar Techno Engineering Converts Warrants to Equity Shares, Boosting Capital

Salasar Techno Engineering Limited, a company involved in engineering and infrastructure, has announced the conversion of 21,180,000 fully-convertible warrants into an equal number of equity shares. This conversion, approved by the company’s Finance Committee, increases the company’s issued and paid-up capital to Rs. 174,79,50,290. The new shares will rank equally with existing shares, and the conversion is part of a preferential allotment to promoters, enhancing the company’s equity base and potentially strengthening its financial position.

Salasar Techno Engineering’s Credit Rating Revised to Stable

Salasar Techno Engineering Ltd. announced a revision in its credit ratings by Infomerics Valuation and Ratings Ltd. The company’s long-term bank facilities have been rated ‘IVR A/Stable’, while the short-term facilities have been affirmed at ‘IVR A1’. This revision reflects a stable outlook for the company’s financial health, removing the previous rating watch with developing implications. The updated ratings suggest a positive impact on the company’s operational credibility and may enhance its attractiveness to investors and stakeholders.