WPIL Ltd
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
WPIL Ltd's management has expressed a cautiously optimistic outlook, supported by a robust international order book and stable performance in its core product business. Despite facing temporary headwinds in the domestic project division due to liquidity issues and regulatory challenges, management anticipates a rebound in revenue as these issues are resolved, particularly with the rollout of the Jal Jeevan Mission Phase 2. Vista's financial outlook reflects an expectation of accelerating revenue growth beyond historical trends, with stable profit margins. The company's strategic focus on international diversification, particularly in high-margin markets like South Africa, is expected to enhance its competitive position and drive long-term growth. However, potential margin compression from rising costs and geopolitical uncertainties remain watchpoints. Overall, WPIL is well-positioned to capitalize on structural tailwinds in the water and wastewater sector, with a target price of INR 581.36, indicating an expected upside of approximately 32.63%. Over the next 12-24 months, key opportunities include the successful execution of international projects and increased domestic project momentum, while headwinds may arise from supply chain disruptions and regulatory changes
Why We Like This Stock
- Strong international order book and diversification strategy are expected to drive revenue growth
- Management's focus on high-margin projects in South Africa and the rollout of Jal Jeevan Mission Phase 2 will enhance profitability
- Stable margins and a robust balance sheet position WPIL favorably for future investments
Things To Watch Out For
- Domestic project division faces near-term challenges due to liquidity issues and regulatory hurdles
- Potential margin compression from rising costs could impact profitability
- Geopolitical uncertainties may delay demand and project execution timelines
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 1,664 | 1,807 | 1,855 | 2,206 | 2,466 |
| Profit Before Tax (Cr.) | 270 | 266 | 288 | 357 | 395 |
| PBT Margin | 16.2% | 14.7% | 15.5% | 16.2% | 16.0% |
| Net Profit (Cr.) | 682 | 203 | 207 | 255 | 225 |
| Earnings Per Share | 48.4 | 21.3 | 16.9 | 20.8 | 23.1 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Emkay Global | ▲ Buy | 650 | 20-May-2026 |
Company Overview
Show Company Profile
WPIL Limited, together with its subsidiaries, designs, develops, manufactures, erects, commissions, and services pumps and pumping systems in India and internationally. It offers mixed and axial flow, as well as turbine; split case, multistage, end suction, and non clog; deepwell, drainage, sewage, and dewatering; concrete and metallic volutes, as well as pump turbine; vertical, horizontal, and system packages fire fighting solutions; and floating, gate, and axial flow submersible pumps. The company's products are used in water, irrigation, municipal, and energy applications. It exports its products. The company was incorporated in 1952 and is based in Kolkata, India.