South West Pinnacle Exploration Ltd. (SOUTHWEST) AI Stock Analysis

• Market Cap: ₹5.83B
• Dividend Yield: 0.38%
• Average Volume (3M): 367.73K
• Price to Earnings (P/E): 22.6
• Beta (1Y): 1.35
• Revenue Growth: 56.33%
• EPS Growth: 160.76%
• Country: IN
• Employees: 602
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 2.80
• Shares Outstanding: 29,830,011
• 10 Day Avg. Volume: 285,405
• 30 Day Avg. Volume: 367,733
• PEG Ratio: 0.19
• Price to Book (P/B): 1.75
• Price to Sales (P/S): 1.66
• P/FCF Ratio: 12.22
• 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: 71 Outperform
• Price Target: ₹248.00 ▲(26.83% Upside)

South West Pinnacle Exploration Ltd. has a strong financial foundation with robust revenue growth and improving cash flow metrics. The technical analysis indicates strong momentum, but caution is advised due to overbought signals. The valuation suggests the stock may be overvalued, which could limit upside potential.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding market share and effective service delivery, enhancing long-term business sustainability.

Cash Flow Improvement

Improving cash flow supports capital expenditures and reduces financing needs, strengthening financial stability and growth capacity.

Profitability Metrics

Improved profitability metrics indicate efficient cost management and operational efficiency, supporting long-term financial health.

Negative Factors

Debt Levels

High debt levels can strain financial resources and limit flexibility, posing a risk to long-term financial stability if not managed.

Valuation Concerns

Perceived overvaluation may limit stock price appreciation, affecting investor sentiment and capital raising capabilities.

Dividend Yield

A low dividend yield provides limited income for investors, potentially reducing attractiveness to income-focused shareholders.

South West Pinnacle Exploration Ltd. Business Overview & Revenue Model

Company Description

South West Pinnacle Exploration Limited provides drilling, exploration, and allied services to coal, ferrous, nonferrous, and atomic and base metal mining; and water and unconventional energy industries in India. It offers coal and mineral exploration services, such as wireline core drilling, reverse circulation drilling, large diameter drilling, directional drilling; and coal bed methane exploration and production drilling services. The company also provides aquifer mapping services for hydro-geological companies; geological and geophysical, workover rig, and 2D/3D seismic exploration services; and integrated exploration services, including geophysical logging, surface geophysical, and topographic surveys, as well as geological field consultancy and allied services. It owns 35 operational rigs. South West Pinnacle Exploration Limited was incorporated in 2006 and is based in Gurugram, India.

How the Company Makes Money

South West Pinnacle Exploration Ltd. generates revenue primarily through contracts for exploration and drilling services. Key revenue streams include fees for geological surveying, drilling operations, and consulting services provided to mining and energy companies. The company may also earn income from joint ventures and partnerships with other firms in the mining sector, allowing for shared investments in exploration projects. Furthermore, revenue can be bolstered by securing long-term contracts with clients, which provide stable cash flow and enhance the company’s ability to scale operations efficiently.

South West Pinnacle Exploration Ltd. Financial Statement Overview

Summary

South West Pinnacle Exploration Ltd. demonstrates a solid financial performance with strong revenue growth and improving profitability metrics. The balance sheet is robust, with effective debt management and favorable equity returns. Cash flow metrics are on an upward trajectory, enhancing the company's financial stability. Continued focus on optimizing margins and managing leverage will be essential for sustaining growth and mitigating potential risks.

Income Statement

South West Pinnacle Exploration Ltd. has shown strong revenue growth over the years, particularly noticeable in the most recent year with a substantial increase. The gross profit margin has remained robust, indicating effective cost management. Net profit margin improvements reflect enhanced profitability, although there is room for further optimization. EBIT and EBITDA margins have been stable, showing consistent operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with a positive equity ratio, suggesting a strong financial position. The debt-to-equity ratio has been improving, indicating effective leverage management. Return on equity has been favorable, reflecting good returns for shareholders. However, the total debt level, while decreasing, still represents a potential area of risk if not managed carefully.

Cash Flow

Cash flow from operations has shown consistent improvement, supporting ongoing capital expenditures and reducing financing needs. The free cash flow has turned positive recently, indicating better cash management. The ratios of operating and free cash flow to net income suggest efficient cash conversion, although further enhancement could bolster financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.90B	1.80B	1.33B	1.24B	1.18B	1.04B
Gross Profit	724.98M	793.62M	429.30M	625.42M	893.95M	787.65M
EBITDA	341.40M	334.97M	277.21M	241.34M	273.49M	264.46M
Net Income	169.60M	164.26M	82.70M	89.71M	109.21M	102.21M
Balance Sheet
Total Assets	0.00	2.76B	2.35B	1.98B	1.89B	1.79B
Cash, Cash Equivalents and Short-Term Investments	410.14M	410.14M	6.09M	3.20M	29.69M	5.35M
Total Debt	0.00	646.76M	926.64M	645.15M	510.22M	495.88M
Total Liabilities	-1.71B	1.05B	1.13B	840.13M	842.84M	843.95M
Stockholders Equity	1.71B	1.71B	1.21B	1.14B	1.05B	941.65M
Cash Flow
Free Cash Flow	0.00	244.56M	-158.74M	-108.77M	10.43M	92.95M
Operating Cash Flow	0.00	266.69M	186.79M	35.04M	96.64M	165.08M
Investing Cash Flow	0.00	-42.69M	-378.31M	-135.38M	-30.86M	-55.92M
Financing Cash Flow	0.00	-35.68M	194.41M	73.85M	-41.44M	-110.59M

South West Pinnacle Exploration Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 195.53
• 50DMA: Positive
• 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:SOUTHWEST, the sentiment is Positive. The current price of 195.53 is below the 20-day moving average (MA) of 198.59, above the 50-day MA of 168.77, and above the 200-day MA of 141.55, indicating a neutral trend. The MACD of 6.70 indicates Positive momentum. The RSI at 53.27 is Neutral, neither overbought nor oversold. The STOCH value of 17.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:SOUTHWEST.

South West Pinnacle Exploration Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SOUTHWEST	71 Outperform	₹5.83B	22.57	―	0.38%	56.33%	160.76%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
SELAN	65 Neutral	₹13.87B	11.81	―	―	0.34%	-12.23%
UNIDT	65 Neutral	₹4.26B	27.93	―	0.86%	-15.39%	8.75%
OILCOUNTUB	45 Neutral	₹3.37B	-8.28	―	―	70.45%	35.56%
ABAN	39 Underperform	₹1.78B	-0.16	―	―	-5.08%	-7.53%

South West Pinnacle Exploration Ltd. Corporate Events

South West Pinnacle Gains Accreditation for Coal Block Exploration in Jharkhand

South West Pinnacle Exploration Ltd. has been accredited as a prospecting agency to explore its own coal block in Jharkhand, India. This accreditation, granted by the Ministry of Coal, allows the company to commence exploration and development activities, which is expected to accelerate the coal block’s development and production. The recognition enhances the company’s credibility and positions it competitively in the industry, potentially leading to lucrative contracts and revenue growth.

South West Pinnacle Gains Accreditation for Coal Block Exploration in Jharkhand

South West Pinnacle Exploration Ltd has been accredited by the Ministry of Coal, Government of India, as a prospecting agency for its coal block in Jharkhand. This accreditation allows the company to commence exploration activities, enhancing flexibility, competition, and technological advancement in coal exploration, while supporting India’s energy security and the Atmanirbhar Bharat initiative.

South West Pinnacle Exploration Ltd Announces Financial Results

South West Pinnacle Exploration Ltd has submitted a newspaper advertisement to the National Stock Exchange of India and the Bombay Stock Exchange, detailing its unaudited financial results for the quarter and half-year ending September 30, 2025. This announcement is in compliance with SEBI regulations and aims to keep stakeholders informed about the company’s financial performance, potentially impacting investor confidence and market positioning.

South West Pinnacle Announces Investor Meeting

South West Pinnacle Exploration Ltd has announced an upcoming virtual group meeting with investors and analysts on October 30, 2025, hosted by Valorem Advisors. The meeting will focus on discussing the company’s ordinary course of business, with no unpublished price-sensitive information to be shared. This interaction is part of the company’s ongoing efforts to maintain transparency and engage with stakeholders.

South West Pinnacle Secures ₹16.93 Crores in New Coal Exploration Contracts

South West Pinnacle Exploration Ltd has announced the receipt of two significant work orders for coal exploration services, valued at approximately ₹16.93 Crores. The first contract, worth ₹15.26 Crores, is with JSW Energy (Utkal) Limited for services in Odisha, expected to be completed within the current financial year, enhancing the company’s revenue. The second contract, valued at ₹1.67 Crores, is with Central Mine Planning and Design Institute Ltd. for services in Madhya Pradesh and Chhattisgarh, further solidifying SWPE’s position in the coal exploration sector.