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Servotech Power Systems Ltd. (IN:SERVOTECH)
:SERVOTECH
India Market
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Servotech Power Systems Ltd. (SERVOTECH) AI Stock Analysis

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IN:SERVOTECH

Servotech Power Systems Ltd.

(SERVOTECH)

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Neutral 61 (OpenAI - 5.2)
Rating:61Neutral
Price Target:
₹105.00
▲(34.19% Upside)
Action:Reiterated
Date:06/04/26
The score is driven primarily by mixed financial quality: strong growth is tempered by materially weak operating/free cash flow and higher leverage. Technicals are supportive with a clear uptrend and positive momentum, but the overall score is held back by an expensive valuation (high P/E) despite the dividend yield.
Positive Factors
Revenue Growth
Multi-year top-line expansion indicates strong product-market fit and execution capability in institutional and enterprise channels. Durable revenue scale supports production leverage, broader customer relationships and higher win rates for project contracts, underpinning future growth if conversion stabilizes.
Negative Factors
Weak Cash Conversion
Repeated negative operating and free cash flow signal that reported profits are not converting into liquid resources. Over months this forces reliance on external financing, increases funding cost risk, and constrains reinvestment and working-capital flexibility critical for project delivery and margin stability.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth
Multi-year top-line expansion indicates strong product-market fit and execution capability in institutional and enterprise channels. Durable revenue scale supports production leverage, broader customer relationships and higher win rates for project contracts, underpinning future growth if conversion stabilizes.
Read all positive factors

Servotech Power Systems Ltd. (SERVOTECH) vs. iShares MSCI India ETF (INDA)

Servotech Power Systems Ltd. Business Overview & Revenue Model

Company Description
Servotech Power Systems Limited, an Indian enterprise, specializes in the production and distribution of solar energy solutions and LED lighting products. Its diverse portfolio encompasses a wide array of LED illumination options, such as tube lig...
How the Company Makes Money
SERVOTECH primarily makes money by selling manufactured power-systems hardware and related solutions to customers, with revenue largely recognized from product sales and project/order execution. Key revenue streams include: (1) power-conditioning ...

Servotech Power Systems Ltd. Financial Statement Overview

Summary
Strong multi-year revenue and net income growth, but durability is weakened by rising leverage (debt jump in 2026) and very weak cash conversion with negative operating cash flow and sharply negative free cash flow in 2026.
Income Statement
72
Positive
Balance Sheet
58
Neutral
Cash Flow
28
Negative
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue6.06B6.72B6.74B3.54B2.78B1.44B
Gross Profit1.01B1.12B889.85M568.54M481.44M185.69M
EBITDA472.16M672.18M579.38M223.93M190.94M89.69M
Net Income235.22M335.55M327.35M117.62M110.41M40.38M
Balance Sheet
Total Assets5.17B6.85B4.10B2.77B1.67B894.01M
Cash, Cash Equivalents and Short-Term Investments612.37M707.13M425.43M664.25M171.73M79.56M
Total Debt1.52B2.11B751.36M759.75M435.73M213.45M
Total Liabilities2.47B3.89B1.72B1.34B845.70M431.24M
Stockholders Equity2.69B2.88B2.37B1.42B820.91M462.70M
Cash Flow
Free Cash Flow-740.10M-1.17B-807.98M-253.76M-372.60M48.93M
Operating Cash Flow135.59M-140.70M-626.76M7.92M-242.77M75.06M
Investing Cash Flow-876.45M-1.14B-163.10M-259.80M-128.77M-24.02M
Financing Cash Flow927.79M1.56B478.36M753.89M454.51M-5.42M

Servotech Power Systems Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price78.25
Price Trends
50DMA
90.61
Positive
100DMA
81.46
Positive
200DMA
94.74
Positive
Market Momentum
MACD
3.16
Positive
RSI
55.93
Neutral
STOCH
25.02
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SERVOTECH, the sentiment is Positive. The current price of 78.25 is below the 20-day moving average (MA) of 98.03, below the 50-day MA of 90.61, and below the 200-day MA of 94.74, indicating a bullish trend. The MACD of 3.16 indicates Positive momentum. The RSI at 55.93 is Neutral, neither overbought nor oversold. The STOCH value of 25.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:SERVOTECH.

Servotech Power Systems Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
₹98.29B32.201.27%11.35%-6.15%
61
Neutral
₹23.05B69.490.06%-0.42%4.96%
61
Neutral
₹38.69B86.990.13%52.45%21.13%
60
Neutral
₹23.04B25.330.24%6.52%-2.94%
58
Neutral
₹31.39B26.161.27%19.57%-10.15%
55
Neutral
$13.29B17.4210.03%0.93%7.13%-12.93%
52
Neutral
₹19.74B-6.9732.75%-138.18%
* Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:SERVOTECH
Servotech Power Systems Ltd.
102.53
-44.66
-30.34%
IN:BBL
Bharat Bijlee Limited
2,776.85
-110.90
-3.84%
IN:EXICOM
Exicom Tele-Systems Ltd.
141.90
-41.73
-22.73%
IN:HIRECT
Hind Rectifiers Limited
1,125.75
469.41
71.52%
IN:HPL
HPL Electric & Power Limited
358.30
-186.38
-34.22%
IN:VOLTAMP
Voltamp Transformers Limited
9,715.60
971.69
11.11%

Servotech Power Systems Ltd. Corporate Events

Servotech Wins 1,415 kW Rooftop Solar Order from South Central Railway
May 6, 2026
Servotech Renewable Power System Limited has won a domestic contract from South Central Railway’s Vijayawada Division to execute a 1,415 kW grid-connected rooftop solar project. The mandate covers design, engineering, supply, installation, t...
Servotech Wins 1.4 MW Solar Rooftop Order from South Central Railway
May 6, 2026
Servotech Renewable Power System Ltd. has secured a 1,415 kW grid-connected rooftop solar project from the South Central Railway’s Vijayawada Division, reinforcing its role in public-sector renewable energy deployments. The contract covers d...
Servotech Publishes FY26 Audited Results Extracts in Newspapers
May 3, 2026
Servotech Renewable Power System Limited has reported that extracts of its audited standalone and consolidated financial results for the quarter and financial year ended 31 March 2026 have been published in national newspapers. The company has als...
Servotech Renewable Posts Record Q4 FY26 on Strong Shift to High-Margin Renewable, EV Segments
May 1, 2026
Servotech Renewable Power System Ltd., a leading Indian manufacturer of solar solutions, BESS, and EV chargers, has been sharpening its focus on higher-margin renewable and EV businesses while expanding manufacturing capacity. This strategic shift...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 04, 2026