Welspun Enterprises Ltd. (WELENT) AI Stock Analysis

• Market Cap: ₹70.62B
• Dividend Yield: 0.59%
• Average Volume (3M): 32.40K
• Price to Earnings (P/E): 20.2
• Beta (1Y): 1.54
• Revenue Growth: 9.11%
• EPS Growth: 16.30%
• Country: IN
• Employees: 30,000
• Sector: Services
• Sector Strength: N/A
• Industry: Engineering & Construction
• EPS (TTM): 6.61
• Shares Outstanding: 138,413,800
• 10 Day Avg. Volume: 31,266
• 30 Day Avg. Volume: 32,398
• PEG Ratio: 2.01
• Price to Book (P/B): 2.50
• Price to Sales (P/S): 1.77
• P/FCF Ratio: -19.51
• 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: 70 Outperform
• Price Target: ₹627.00 ▲(22.89% Upside)

Welspun Enterprises Ltd. benefits from strong technical momentum and solid revenue growth, but faces challenges with cash flow management and a high P/E ratio, which could indicate overvaluation. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Revenue Growth

Strong revenue growth indicates an expanding market presence and effective business strategies, supporting long-term financial health.

Business Model Diversification

Diversification across multiple sectors reduces risk and enhances resilience against industry-specific downturns, supporting stability.

Efficient Core Operations

Efficient operations with healthy margins indicate strong management and operational effectiveness, supporting profitability.

Negative Factors

Cash Flow Management

Negative free cash flow growth highlights liquidity issues, potentially impacting the company's ability to invest and grow sustainably.

Profit Margin Decline

Declining profit margins suggest rising costs or inefficiencies, which could pressure future profitability if not addressed.

Balance Sheet Leverage

Increased liabilities and decreased equity ratio may limit financial flexibility, posing risks to long-term financial stability.

Welspun Enterprises Ltd. Business Overview & Revenue Model

Company Description

Welspun Enterprises Limited engages in the engineering, procurement, and construction of infrastructure development projects in India. It operates in two segments, Infrastructure, and Oil and Gas. The company develops and operates roads, water, and urban infrastructure, as well as operates and maintains projects for the transportation sector. It is also involved in the oil and gas exploration activities. The company was formerly known as Welspun Projects Limited and changed its name to Welspun Enterprises Limited in May 2015. Welspun Enterprises Limited was founded in 1976 and is based in Mumbai, India.

How the Company Makes Money

Welspun Enterprises Ltd. generates revenue through multiple streams, including the sale of its textile products, such as bed linens, towels, and related home textile goods. The company also earns income from its infrastructure projects, which may involve contracts for construction and development in various sectors, including roads, water supply, and urban development. Additionally, WELENT benefits from partnerships and joint ventures in the oil and gas industry, where it provides specialized services and products. The company's focus on innovation and sustainability further enhances its market position, allowing it to capture more customers and increase profitability.

Welspun Enterprises Ltd. Financial Statement Overview

Summary

Welspun Enterprises Ltd. demonstrates strong revenue growth and efficient operations, but faces challenges with profitability margins and cash flow management. While the balance sheet shows moderate leverage, attention to cash flow stability and margin improvements are necessary for continued financial health.

Income Statement

Welspun Enterprises Ltd. has shown strong revenue growth, particularly in the last year with a 24.8% increase. The gross profit margin is healthy at 22.8%. However, the net profit margin has decreased to 9.0% from the previous year's 10.3%, indicating rising costs or challenges in cost management. The EBIT and EBITDA margins are satisfactory, suggesting efficient core operations.

Balance Sheet

The company maintains a solid equity base with a debt-to-equity ratio of 0.59, indicating moderate leverage. However, the equity ratio has decreased over time, now at 41.9%, pointing towards increased liabilities. Return on equity is reasonable at 12.7%, reflecting decent profitability relative to equity.

Cash Flow

Cash flow management appears challenging with negative free cash flow growth, and an operating cash flow to net income ratio of -0.85. Although the company has managed financing inflows effectively, negative free cash flow and operating cash flow highlight liquidity concerns and potential cash management issues.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	35.22B	35.84B	28.72B	27.58B	13.36B	15.29B
Gross Profit	10.00B	8.16B	9.21B	6.43B	4.19B	3.94B
EBITDA	6.88B	5.22B	6.16B	8.74B	2.07B	3.13B
Net Income	3.15B	3.23B	2.95B	7.23B	1.25B	1.29B
Balance Sheet
Total Assets	0.00	60.58B	49.49B	51.06B	58.95B	47.88B
Cash, Cash Equivalents and Short-Term Investments	11.07B	11.07B	7.34B	17.81B	3.49B	3.62B
Total Debt	0.00	14.99B	7.62B	7.64B	25.26B	22.37B
Total Liabilities	-27.09B	33.49B	24.59B	27.44B	41.01B	31.03B
Stockholders Equity	27.09B	25.40B	23.23B	23.56B	17.91B	16.84B
Cash Flow
Free Cash Flow	0.00	-3.25B	-4.15B	-2.68B	-1.49B	-7.39B
Operating Cash Flow	0.00	-2.73B	-3.44B	-1.12B	2.87B	87.40M
Investing Cash Flow	0.00	-166.30M	-638.70M	12.89B	-4.87B	-9.18B
Financing Cash Flow	0.00	5.36B	-4.86B	-2.04B	1.25B	7.53B

Welspun Enterprises Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 510.20
• 50DMA: Negative
• 100DMA: Negative
• 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:WELENT, the sentiment is Negative. The current price of 510.2 is below the 20-day moving average (MA) of 517.66, below the 50-day MA of 536.51, and above the 200-day MA of 503.96, indicating a neutral trend. The MACD of -8.71 indicates Positive momentum. The RSI at 41.65 is Neutral, neither overbought nor oversold. The STOCH value of 28.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:WELENT.

Welspun Enterprises Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WELENT	70 Outperform	₹70.62B	20.17	―	0.59%	9.11%	16.30%
AHLUCONT	68 Neutral	₹65.34B	24.88	―	0.06%	5.56%	-22.59%
JKIL	67 Neutral	₹42.15B	10.32	―	0.72%	13.96%	12.91%
PNCINFRA	57 Neutral	₹65.02B	8.09	―	0.24%	-30.54%	-35.13%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
QUESS	55 Neutral	₹31.16B	35.56	―	4.80%	-16.43%	-75.38%
SAMMAANCAP	52 Neutral	₹120.68B	8.98	―	―	-4.78%	―

Welspun Enterprises Ltd. Corporate Events

Welspun Enterprises Releases Earnings Call Transcript

Welspun Enterprises Limited has announced the availability of the transcript for its recent earnings call, which discussed the company’s unaudited financial results for the quarter and half-year ending September 30, 2025. This update is part of the company’s compliance with SEBI Listing Regulations, ensuring transparency and accessibility of financial information for stakeholders.

Welspun Enterprises Schedules EGM to Discuss Convertible Warrants Issuance

Welspun Enterprises Limited has announced an Extraordinary General Meeting (EGM) scheduled for November 7, 2025, to be conducted via video conferencing. The meeting will address the issuance of convertible warrants on a preferential basis, which could impact the company’s capital structure and shareholder composition.

Welspun Enterprises Eyes Fundraising and Secures Key Infrastructure Projects

Welspun Enterprises Ltd. announced that its Board of Directors will consider a proposal for raising funds through convertible equity warrants. Additionally, the company disclosed its status as the lowest bidder for two significant projects in Maharashtra: a 6-lane highway corridor and a water treatment plant. These projects, valued at approximately Rs. 7,300 Crore and Rs. 3,145 Crore respectively, highlight Welspun’s strategic focus on infrastructure development and its potential impact on the company’s growth and market positioning.