DINESH

Powerica Ltd

Latest CMP 550
Today's Change ▼ -3.99%
52-Week High / Low 662 | 390
Price Date: 14-Aug-2026
Recommendation Buy
Target Price 671
Expected Upside 10.5%
Forecast Horizon 2 Years
Historical CAGR Not Available
1,000 Invested
Today's Value
Investment Period < 5 Years

Stock Snapshot

Post Results Return
-0.4%
Neutral Market Reaction
1-Year Target Price
623
2-Year Target Price
671
52-Week High / Low
662 / 390
20-Day Return
-3.0%
Market Cap (Cr.)
6,960
Current PE
26.2
P/BV Ratio
2.4
Dividend Yield
Industry PE
66.7

Price Performance

Basis of our Recommendation

Powerica Limited's recent performance underscores a robust outlook, driven by strong execution and a positive demand trajectory, particularly in the data center and renewable energy sectors. Management's guidance for double-digit revenue growth in FY27, supported by a solid order book and strategic initiatives in emission control and hybrid energy solutions, reflects confidence in the company's competitive positioning. However, near-term headwinds, including geopolitical uncertainties and supply chain pressures, may challenge margins and operational execution. Vista's financial outlook anticipates stable revenue growth, albeit with margin pressures, as the company navigates these challenges while capitalizing on long-term structural trends in electrification and renewable integration. The industrial machinery sector's favorable macro conditions, including improving manufacturing activity and stable inflation, further bolster Powerica's growth prospects. Over the next 12-24 months, key opportunities lie in expanding the DG set business and enhancing the wind power portfolio, while watchpoints include geopolitical risks and regulatory transitions affecting demand dynamics

👍 Why We Like This Stock

  • Management targets double-digit revenue growth in FY27, driven by strong demand from the data center industry and a solid order book
  • Strategic initiatives in emission control and hybrid energy solutions position Powerica to capitalize on evolving market trends
  • The company's diversified portfolio and ongoing investments in renewable energy projects enhance its long-term growth potential

Things To Watch Out For

  • Near-term headwinds from geopolitical uncertainties and rising energy prices may pressure margins and operational execution
  • Supply chain challenges and land acquisition issues in the wind sector could hinder project timelines and growth
  • Potential demand volatility due to regulatory transitions in the DG market poses execution risks for Powerica

Key Parameters

Balance Sheet Strength
Conservatively Financed
Market Share
Stable
Industry Outlook
Weakening
Analyst View
Strong Buy
Dividend History
No Dividend History
FII Holdings
Stable

Financial Snapshot

Actuals Forecast
FY24 FY25 FY26 FY27 FY28
Revenue (Cr.) 2,210 2,653 3,012 3,349 3,659
Profit Before Tax (Cr.) 254 239 287 395 421
PBT Margin 11.5% 9.0% 952.9% 11.8% 11.5%
Net Profit (Cr.) 206 143 277 296 304
Earnings Per Share 16.3 11.3 21.1 22.6 24.1

Analyst Recommendations

Broker Recommendation Target Price Date
Moneycontrol ▲ Overweight 01-Jun-2026
Consensus Recommendation ▲ Strong Buy
Consensus Target
Coverage 1 Analysts
Analysts' Viewpoint
Powerica's established position in the genset market and its expansion into renewable energy projects are key drivers of its growth potential. Analysts highlight the company's effective cost management as a significant factor supporting its positive market outlook. While specific future catalysts and negative signals are not detailed, the overall sentiment remains optimistic due to these strategic business strengths.

Company Overview

Show Company Profile

Powerica Limited manufactures, supplies, installs, and services diesel generator sets and provides engineering, procurement, and construction services for renewable energy projects. The company manufactures and assembles products such as control panels, customized synchronizing panels, base frames, fuel tanks, acoustic enclosures, room acoustic materials, and auxiliary systems for diesel generator sets. It offers diesel generator sets with various capacities, including containerized options for rental and construction applications, and provides services such as pre-purchase consultancy, design engineering, supply, installation, testing, commissioning, after-sales servicing, maintenance contracts, and spare parts sales. The company leases, operates, and maintains medium speed large generator sets and develops, operates, and maintains wind and solar power projects, acting as an EPC developer for independent power producer customers. It provides technical infrastructure and supervision for wind farm operations to support uptime and generation efficiency. The company serves clients in the construction and rental industries, independent power producers, businesses requiring power solutions across sectors, and organizations involved in renewable energy projects or emissions compliance. The company was founded in 1984 and is based in Mumbai, India.