Universal Cables Limited (UNIVCABLES) AI Stock Analysis

• Market Cap: ₹21.22B
• Dividend Yield: 0.45%
• Average Volume (3M): 3.22K
• Price to Earnings (P/E): 28.3
• Beta (1Y): 1.83
• Revenue Growth: 24.03%
• EPS Growth: 51.58%
• Country: IN
• Employees: 864
• Sector: Services
• Sector Strength: N/A
• Industry: Electrical Equipment & Parts
• EPS (TTM): 7.84
• Shares Outstanding: 34,695,380
• 10 Day Avg. Volume: 1,985
• 30 Day Avg. Volume: 3,217
• PEG Ratio: -1.11
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 137.95
• 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: 62 Neutral
• Price Target: ₹780.00 ▼(-15.91% Downside)
• Action: Reiterated Date: 01/24/26
• Date: Action: Reiterated 01/24/26

The score is supported by strong revenue growth and a generally stable balance sheet, but is held back by very weak technical momentum (price below key moving averages with negative MACD and oversold RSI/Stoch) and a low dividend yield despite a reasonable P/E.

Positive Factors

Strong Revenue Growth

A >20% year-over-year revenue increase reflects durable demand and expanding market penetration. Sustained top-line growth over multiple periods provides scale benefits, supports investment in capacity and R&D, and underpins long-term improvement in operating leverage.

Solid Gross Margin

A gross margin near 25% indicates the company retains meaningful value after direct costs, suggesting pricing power or cost discipline in core manufacturing. This structural margin buffer helps absorb cost inflation and supports sustained operating profitability if SG&A and other costs are controlled.

Manageable Leverage and Equity Coverage

A sub-0.5 debt-to-equity ratio and >50% equity coverage point to a stable capital structure with financial flexibility. This durable balance-sheet strength lowers refinancing risk, supports investment or cyclical downturns, and preserves access to credit on reasonable terms.

Negative Factors

Compressed Net Margin

Net margin compression to under 4% despite solid gross margins signals rising operating expenses, financing costs, or one-off charges reducing retained earnings. Persistently low net profitability limits free cash available for reinvestment, dividends, or deleveraging over the medium term.

Volatile Free Cash Flow

Intermittent FCF undermines predictable funding for capex, debt reduction, and shareholder returns. Even with a 2025 recovery, volatility in cash conversion increases execution risk for long-term projects and weakens the company's ability to consistently self-fund growth or absorb shocks.

Increasing Total Debt

A rising debt trend, even from a moderate base, raises interest and refinancing exposure, especially with thin net margins and variable cash flow. Without clear deleveraging or cash-flow improvement, incremental debt could constrain strategic flexibility and increase financial vulnerability.

Universal Cables Limited Business Overview & Revenue Model

Company Description

Universal Cables Limited manufactures and sells electrical and other cables, capacitors, wires and conductors, and other products under the UNISTAR brand name in India and internationally. It offers XLPE cables, such as extra high voltage, medium voltage, low voltage, and aeriel bunched cables for use in power transmission and distribution, railways, fertilizers, petrochemical plants, submarine and under waterpower transmission, steel plants, power station wiring, chemical plants, underwater wiring, mines for power distribution, and control and instrumentation circuits. The company also provides PVC power and control cables for use in power distribution, control system, utility network, railway signaling installations, switching stations, textile mills, chemical plants, machine shops, etc.; PVC insulated winding wires and flat motor leads; elastomeric cables for trailing, ship wiring, and defense applications; and mining cables for landline, LHD and SDL machines, drills, coal cutters, stacker-reclaimers, and earth moving equipment. In addition, it offers silicon rubber cables for high-temperature locations; special power and control cables for oil rigs, traction motors, and brush gear connectors, as well as tap changers for EMU's, AC coaches, and wind energy generators; and fire survival type elastomeric cables for circuit integrity during fire hazards. Further, the company provides capacitors, including high and low-voltage capacitors, harmonic filters, surge protection/special duty capacitors, and automatic power factor correction panels. Additionally, it offers engineering services for various needs, such as turnkey contracts, system study, energy audit, harmonic analysis, and testing and commissioning of HT/LT capacitor banks and their associated equipment; and handling and installation services. The company was incorporated in 1945 and is based in New Delhi, India.

How the Company Makes Money

Universal Cables Limited generates revenue through the sale of its core products, which include electrical cables, conductors, and specialized cable solutions tailored to meet industry-specific needs. The company has established key revenue streams from both domestic and international markets, catering to large-scale projects in power and telecommunications sectors. Additionally, UNIVCABLES engages in partnerships with various utility companies and contractors, ensuring a steady demand for its products. The company's focus on quality and adherence to industry standards enhances its competitive edge, contributing to sustained earnings from repeat customers and long-term contracts.

Universal Cables Limited Financial Statement Overview

Summary

Strong revenue growth (+20.31% from 2024 to 2025) and a solid gross margin (~24.75%) support results, but the net margin has fallen to 3.68% and cash flow remains volatile despite free cash flow turning positive in 2025. Balance sheet leverage is manageable (debt-to-equity 0.48) with good equity coverage (51.84%).

Income Statement

Universal Cables Limited shows strong revenue growth with a 20.31% increase from 2024 to 2025. The company maintains a solid gross profit margin at approximately 24.75% for 2025. However, the net profit margin has decreased to 3.68% due to lower net income, indicating some challenges in maintaining profitability.

Balance Sheet

The balance sheet is stable with a debt-to-equity ratio of 0.48, suggesting a manageable level of debt. The equity ratio stands at 51.84%, indicating good asset coverage by equity. However, there is a slight increase in total debt, which could be a potential risk if not managed properly.

Cash Flow

The company has shown improvement in free cash flow, turning positive in 2025 after a negative free cash flow in 2024. The operating cash flow to net income ratio is 1.96, reflecting efficient cash generation relative to net income. However, the free cash flow growth rate is volatile, showing potential cash flow management challenges.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	26.96B	24.31B	20.21B	22.02B	18.14B	12.81B
Gross Profit	6.71B	6.01B	5.42B	4.93B	2.07B	1.44B
EBITDA	2.97B	2.02B	1.84B	2.59B	1.41B	1.03B
Net Income	1.46B	893.85M	1.08B	1.18B	749.26M	672.26M
Balance Sheet
Total Assets	39.33B	34.19B	33.20B	28.10B	27.58B	23.51B
Cash, Cash Equivalents and Short-Term Investments	344.50M	77.28M	39.56M	34.98M	19.05M	66.21M
Total Debt	10.14B	8.49B	7.71B	6.57B	6.94B	6.09B
Total Liabilities	20.61B	16.47B	15.45B	13.14B	14.63B	12.15B
Stockholders Equity	18.71B	17.72B	17.75B	14.97B	12.95B	11.36B
Cash Flow
Free Cash Flow	-1.06B	125.56M	-276.93M	1.15B	-321.66M	640.35M
Operating Cash Flow	-36.97M	1.76B	330.64M	1.43B	-117.78M	897.33M
Investing Cash Flow	-923.08M	-1.41B	-498.78M	-152.42M	-70.03M	-160.19M
Financing Cash Flow	946.57M	-311.70M	181.01M	-1.27B	161.72M	-719.16M

Universal Cables Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 927.55
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:UNIVCABLES, the sentiment is Negative. The current price of 927.55 is above the 20-day moving average (MA) of 675.30, above the 50-day MA of 741.20, and above the 200-day MA of 750.30, indicating a bearish trend. The MACD of -26.37 indicates Positive momentum. The RSI at 33.79 is Neutral, neither overbought nor oversold. The STOCH value of 11.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:UNIVCABLES.

Universal Cables Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CORDSCABLE	76 Outperform	₹1.95B	12.24	―	0.52%	26.59%	42.18%
PARACABLES	70 Outperform	₹9.71B	40.47	―	―	38.39%	-27.69%
UNIVCABLES	62 Neutral	₹21.22B	28.34	―	0.45%	24.03%	51.58%
DYCL	61 Neutral	₹13.15B	18.05	―	0.07%	28.58%	54.67%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Universal Cables Limited Corporate Events

Universal Cables Limited Announces Senior Management Resignation

Universal Cables Limited has announced the resignation of Mr. Hemant Shravan Talele, who served as Vice-President of Capacitor Production, effective from November 29, 2025. This change in senior management could impact the company’s operations, particularly in the capacitor production segment, and stakeholders may need to consider the implications of this leadership transition.

Universal Cables Limited Enhances Disclosure Protocols

Universal Cables Limited has announced the authorization of key managerial personnel to determine the materiality of events or information and their disclosure to stock exchanges, in line with SEBI regulations. This move ensures that the company adheres to regulatory requirements and maintains transparency with stakeholders, potentially enhancing its operational efficiency and industry reputation.