Websol Energy System Limited (WEBELSOLAR) AI Stock Analysis

• Market Cap: ₹34.40B
• Dividend Yield: N/A
• Average Volume (3M): 23.01K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 1.43
• Revenue Growth: 152.12%
• EPS Growth: N/A
• Country: IN
• Employees: 190
• Sector: Energy
• Sector Strength: 52
• Industry: Solar
• EPS (TTM): 1.54
• Shares Outstanding: 422,063,480
• 10 Day Avg. Volume: 34,135
• 30 Day Avg. Volume: 23,006
• PEG Ratio: -0.16
• Price to Book (P/B): 19.29
• Price to Sales (P/S): 9.32
• P/FCF Ratio: 43.12
• 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: 61 Neutral
• Price Target: ₹86.00 ▼(-8.51% Downside)

The score is supported primarily by improved financial performance (better margins, profitability, and stronger operating/free cash flow). This is tempered by weak technicals (price below all key moving averages and negative MACD) and only moderate valuation support (P/E ~19.5 with no dividend yield data).

Positive Factors

Revenue Growth

Sustained ~92% revenue growth indicates strong structural demand for the company's PV cells/modules and successful market penetration. Durable top-line expansion supports scale benefits, capacity utilization, and reinvestment for further growth across the solar value chain.

Margin Improvement

Material improvement in gross and net margins reflects lasting cost management and operational efficiency in manufacturing. Higher margins increase resilience to cyclical pricing and allow the company to retain more cash from sales, supporting reinvestment and return on equity improvements.

Cash Generation

Positive operating and free cash flow signal durable cash conversion from core manufacturing operations. This strengthens liquidity, funds capex or capacity expansion internally, and reduces dependence on external financing, improving long-term financial flexibility.

Negative Factors

Rising Liabilities

Although equity and debt metrics are favorable, rising liabilities can pressure liquidity and working capital. If sustained, higher liabilities may constrain investment, increase short-term funding needs, and elevate refinancing or counterparty risks despite improved profitability.

Investing Cash Flow Volatility

Irregular investing cash flows suggest uneven capital deployment or timing of asset purchases. This can make sustaining positive free cash flow and planning capacity expansion harder, introducing execution risk for long-term growth and potentially increasing future financing needs.

Supply / Manufacturing Execution Risk

Business is concentrated in PV cell/module manufacturing, so persistent performance depends on procuring inputs and operating lines efficiently. Supply-chain disruption, input-cost inflation, or production downtime would structurally impair margins and delivery capability over the medium term.

Websol Energy System Limited Business Overview & Revenue Model

Company Description

Websol Energy System Limited manufactures and sells photovoltaic (PV) crystalline solar cells and related modules in India. Its modules are used in various sectors, such as solar PV power plants, remote communication, and rural electrification. The company was formerly known as Websol Energy Systems Ltd. and changed its name to Websol Energy System Limited in October 2011. Websol Energy System Limited was incorporated in 1990 and is based in Falta, India.

How the Company Makes Money

WEBELSOLAR generates revenue through several key streams. Primarily, the company earns money by selling solar PV modules and systems, which are installed in both residential and commercial properties. Additionally, WEBELSOLAR offers installation services, maintenance, and after-sales support, creating a recurring revenue model. The company may also engage in power purchase agreements (PPAs), allowing customers to purchase electricity generated from their solar installations. Significant partnerships with construction firms, energy providers, and governmental energy initiatives further enhance WEBELSOLAR's market reach and revenue potential.

Websol Energy System Limited Financial Statement Overview

Summary

Strong improvement in profitability and margins with substantial revenue growth; operating and free cash flow have turned positive. Balance sheet is generally stable with a favorable debt-to-equity and improving ROE, but rising liabilities and investing cash flow fluctuations add risk.

Income Statement

Websol Energy System Limited has shown remarkable improvement in its income statement metrics. The gross profit margin has significantly increased, indicating effective cost management. The net profit margin has turned positive, reflecting improved profitability. Revenue growth is substantial, demonstrating strong market demand and operational efficiency. EBIT and EBITDA margins have also improved, showcasing enhanced operational performance.

Balance Sheet

The balance sheet presents a strong equity base with a favorable debt-to-equity ratio, indicating sound financial leverage. Return on Equity has improved, suggesting better returns on shareholder investments. The equity ratio is solid, reflecting a stable capital structure. However, increasing liabilities need to be monitored to ensure financial stability.

Cash Flow

The cash flow statement reveals a positive trend in operating cash flow, indicating strong cash generation from operations. The free cash flow has turned positive, reflecting effective capital management. The operating cash flow to net income ratio is healthy, indicating efficient conversion of earnings into cash. However, fluctuations in investing activities pose potential risks.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.83B	5.75B	258.59M	172.20M	2.13B	1.54B
Gross Profit	4.32B	3.57B	-304.07M	30.00M	443.04M	244.02M
EBITDA	3.15B	2.53B	-1.12B	-123.86M	321.26M	893.38M
Net Income	1.99B	1.55B	-1.21B	-236.70M	96.70M	493.88M
Balance Sheet
Total Assets	0.00	5.14B	3.53B	2.67B	2.86B	2.84B
Cash, Cash Equivalents and Short-Term Investments	869.20M	869.20M	9.28M	855.00K	37.70M	16.55M
Total Debt	0.00	1.53B	1.84B	280.01M	364.75M	352.10M
Total Liabilities	-2.78B	2.36B	2.45B	757.80M	943.10M	918.48M
Stockholders Equity	2.78B	2.78B	1.08B	1.91B	1.92B	1.92B
Cash Flow
Free Cash Flow	0.00	1.24B	-1.89B	-141.80M	-39.37M	334.52M
Operating Cash Flow	0.00	1.67B	349.40M	-84.20M	-29.61M	339.42M
Investing Cash Flow	0.00	-859.10M	-2.23B	-57.60M	-9.75M	19.52M
Financing Cash Flow	0.00	-345.50M	1.89B	104.90M	60.51M	-347.58M

Websol Energy System Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 94.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:WEBELSOLAR, the sentiment is Negative. The current price of 94 is above the 20-day moving average (MA) of 82.02, above the 50-day MA of 90.47, and below the 200-day MA of 120.79, indicating a bearish trend. The MACD of -3.08 indicates Negative momentum. The RSI at 45.70 is Neutral, neither overbought nor oversold. The STOCH value of 73.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:WEBELSOLAR.

Websol Energy System Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TDPOWERSYS	69 Neutral	₹114.34B	52.06	―	0.23%	40.14%	53.51%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
WEBELSOLAR	61 Neutral	₹34.40B	15.17	―	―	152.12%	―
INDOSOLAR	50 Neutral	₹18.29B	7.48	―	―	2412.32%	―
BORORENEW	46 Neutral	₹69.35B	-99.31	―	―	7.68%	-114.23%
SWSOLAR	43 Neutral	₹43.24B	-11.12	―	―	112.24%	-474.43%

Websol Energy System Limited Corporate Events

Websol Energy Posts Strong Q3, Secures 4 GW Solar Project in Andhra Pradesh

Websol Energy System Limited reported a strong set of unaudited results for the quarter and nine months ended 31 December 2025, with nine-month revenue from operations rising 61% year-on-year to ₹648 crore, EBITDA increasing to ₹282 crore with a 43.6% margin, and profit after tax advancing to ₹179 crore, translating into earnings per share of ₹4.2. Quarterly revenue surged 77.2% year-on-year to ₹261 crore and PAT climbed to ₹65 crore, supported by a robust order book of ₹1,150 crore, a Crisil BBB+/Stable credit rating underpinned by efficient operations and a healthy risk profile, ongoing ramp-up of a newly commissioned 600 MW cell line, and approval from the Andhra Pradesh government for a 4 GW integrated cell and module project with land allotment and tailored incentives, positioning the company for further scale and reinforcing its standing in India’s solar manufacturing ecosystem.

Websol Energy Unveils Q3 FY26 Earnings Presentation for Investors

Websol Energy System Limited has released an earnings presentation covering its unaudited financial results for the third quarter and nine months ended 31 December 2025, and submitted the document to both the National Stock Exchange of India and BSE for investor information. The move underscores the company’s ongoing engagement with capital markets and provides stakeholders with updated financial performance data for Q3 FY26, contributing to transparency and informed decision-making among shareholders and potential investors.

Websol Energy Schedules Q3 and 9M FY26 Earnings Call on 30 January

Websol Energy System Limited has announced that it will host an earnings conference call for investors and analysts on Friday, 30 January 2026, at 4:00 pm IST to discuss its unaudited financial results for the third quarter and nine months ended 31 December 2025. The call, to be led by the managing director and senior members of the management team, underscores the company’s efforts to maintain transparent communication with capital markets and provide stakeholders with an update on its financial performance and operational progress in the solar manufacturing business.

Websol Wins Andhra Pradesh Nod for 4 GW Solar Cell and Module Plant

Websol Energy System Limited has received approval from the Government of Andhra Pradesh for a greenfield 4 GW solar cell and 4 GW solar module manufacturing plant at MPSEZ, Naidupeta in Tirupati district, strengthening its presence in India’s solar manufacturing landscape. The state government has extended an incentive package that includes land allotment support, subsidies on fixed capital investment, power tariff reimbursement, electricity duty and stamp duty exemptions, as well as reduced industrial water charges, while Websol also plans to set up a 100 MW captive solar power plant to supply renewable energy to the facility and reduce operating costs, positioning the company to contribute more meaningfully to India’s renewable energy and Atmanirbhar Bharat goals.

Websol Energy Gets CRISIL BBB+/Stable Rating on ₹150 Crore Credit Facilities

Websol Energy System Limited has announced that CRISIL Ratings has assigned a BBB+/Stable rating to its credit facilities, covering a Rs 15 crore cash credit line and a Rs 135 crore term loan. The rating underscores a moderate degree of creditworthiness and stability, which may support the company’s funding plans and strengthen its position in the solar energy sector by potentially improving access to bank finance and investor confidence.

Websol Energy Wins Major Tax Appeal, Rs 73 Crore Demand Set Aside

Websol Energy System Limited has disclosed that the Commissioner of Income Tax (Appeals), Kolkata has ruled in its favour regarding a significant tax dispute for the assessment year 2017-18. The original assessment order had included additions of Rs 184.99 crore under Section 115JB of the Income-tax Act and disallowed expenses of Rs 1.51 crore under normal provisions, resulting in a tax demand of Rs 73.04 crore, which the company had treated as a contingent liability. Following Websol’s appeal, the appellate authority has now set aside this demand, meaning the Rs 73.04 crore will no longer be payable, removing a major contingent liability from the company’s books and potentially strengthening its financial position and clarity for shareholders and other stakeholders.

Websol Energy Partners with Linton to Boost Solar Manufacturing in India

Websol Energy System Limited has signed a Memorandum of Understanding with Linton to explore the manufacturing of photovoltaic ingots and wafers in India. This partnership aims to drive backward integration in the solar value chain, contributing to India’s energy security and sustainability goals. By acquiring equipment and technical expertise from Linton, Websol seeks to strengthen its position in the solar industry and capture new opportunities in the rapidly evolving market.

Websol Energy System Limited Updates Venue for Upcoming Non-Deal Roadshow

Websol Energy System Limited announced an update regarding its upcoming Non-Deal Roadshow, which is now organized by Churchgate Partners at Sofitel BKC, Mumbai, instead of the previously planned Trident BKC, Mumbai, due to unforeseen circumstances. The event’s schedule remains unchanged, and this roadshow is part of the company’s efforts to engage with investors and analysts, potentially impacting its market visibility and investor relations.

Websol Energy Releases Q2FY26 Financial Results

Websol Energy System Limited has released an investor presentation detailing its unaudited financial results for the quarter and half-year ending September 30, 2025. This announcement provides stakeholders with insights into the company’s financial performance, which could influence its market positioning and investor confidence.

Websol Energy Reports Strong H1 FY26 Results and Capacity Expansion Plans

Websol Energy System Limited reported a significant increase in its financial performance for the first half of FY26, with a 51.7% year-over-year rise in revenue to Rs. 387 crore and a 45.4% EBITDA margin. The company also announced the commencement of production of an additional 600 MW Mono PERC solar cell line, expanding its capacity to 1,200 MW, and plans further capacity additions to reach a total of 4 GW by 2028.