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EXIDEIND - Fundamental Analysis: Financial Health & Valuation

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Rating: 3.6

Last Updated Time : 25 May 26, 12:02 am

Fundamental Rating: 3.6

Stock Code EXIDEIND Market Cap 28,879 Cr. Current Price 340 ₹ High / Low 431 ₹
Stock P/E 25.8 Book Value 173 ₹ Dividend Yield 0.59 % ROCE 10.3 %
ROE 7.68 % Face Value 1.00 ₹ DMA 50 338 ₹ DMA 200 354 ₹
Chg in FII Hold -0.61 % Chg in DII Hold 0.42 % PAT Qtr 312 Cr. PAT Prev Qtr 264 Cr.
RSI 47.4 MACD 2.37 Volume 14,12,617 Avg Vol 1Wk 18,94,329
Low price 287 ₹ High price 431 ₹ PEG Ratio 2.96 Debt to equity 0.03
52w Index 36.8 % Qtr Profit Var 22.7 % EPS 13.1 ₹ Industry PE 27.0

📊 Financials: EXIDEIND shows moderate fundamentals. Quarterly PAT improved to 312 Cr from 264 Cr, reflecting earnings growth. ROCE at 10.3% and ROE at 7.68% are relatively weak compared to industry leaders. EPS stands at 13.1 ₹, indicating modest profitability. Debt-to-equity is very low at 0.03, suggesting a strong balance sheet and stable cash flows.

💰 Valuation: The stock trades at a P/E of 25.8, slightly below the industry average of 27.0, suggesting fair valuation. Book value is 173 ₹, with current price at 340 ₹, implying a P/B ratio of ~2.0. PEG ratio of 2.96 indicates valuation is stretched relative to growth. Intrinsic value appears close to current levels, suggesting limited upside unless profitability improves.

🔋 Business Model & Health: EXIDEIND operates in batteries and energy storage solutions, with strong brand recognition and wide distribution. Competitive advantage lies in scale, legacy presence, and diversification into new energy solutions. Overall health is stable, supported by low debt and consistent demand, though return metrics remain modest.

📈 Entry Zone: RSI at 47.4 indicates neutral momentum. Support is near 287 ₹, resistance at 431 ₹. Entry around 300–320 ₹ offers a favorable long-term opportunity. Long-term holding is attractive given industry demand, but investors should monitor profitability and growth consistency.


Positive

  • 🔋 [Market Leadership](ca://s?q=EXIDEIND_market_leadership): Strong brand in batteries and energy storage.
  • 📈 [Earnings Growth](ca://s?q=EXIDEIND_earnings_growth): PAT rose to 312 Cr from 264 Cr.
  • 💸 [Low Debt](ca://s?q=EXIDEIND_debt_levels): Debt-to-equity ratio of 0.03 ensures financial stability.

Limitation

  • 📉 [Return Metrics](ca://s?q=EXIDEIND_return_metrics): ROCE (10.3%) and ROE (7.68%) are modest.
  • ⚠️ [Valuation Stretch](ca://s?q=EXIDEIND_growth_valuation): PEG ratio of 2.96 suggests stretched valuation relative to growth.
  • 📊 [FII Outflow](ca://s?q=EXIDEIND_FII_outflow): Foreign investors reduced holdings by -0.61%.

Company Negative News

  • 📉 [FII Reduction](ca://s?q=EXIDEIND_FII_reduction): Decline in foreign institutional holdings.
  • 📊 [Weak Returns](ca://s?q=EXIDEIND_weak_returns): ROCE and ROE below industry averages.

Company Positive News

  • 📈 [DII Support](ca://s?q=EXIDEIND_DII_support): Domestic institutions increased holdings by 0.42%.
  • 💹 [Profit Growth](ca://s?q=EXIDEIND_profit_growth): PAT improved quarter-on-quarter.

Industry

  • 🔋 [Energy Demand](ca://s?q=Indian_energy_storage_growth): Sector expanding with rising demand for batteries and EV solutions.
  • 📊 [Industry PE](ca://s?q=Battery_industry_PE): Sector average P/E is 27.0, close to EXIDEIND’s valuation.

Conclusion

✅ EXIDEIND demonstrates stable fundamentals, profitability, and minimal debt, making it a fundamentally sound investment. While valuations are fair, return metrics remain modest. Entry around 300–320 ₹ is favorable, and long-term holding is recommended given the company’s strong brand, industry demand, and diversification into energy solutions.

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