SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : HPL Electric & Power Ltd

BSE: 540136 NSE: HPL ISIN: INE495S01016
  |   Sector:  Capital Goods & Industrial Consumables   |   Industry:  Electric Equipment

Snapshot

Q.1 Which industry/sub-sector does HPL Electric & Power Ltd belong to?
HPL Electric & Power Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Electric Equipment segment.
Q.2 Is HPL Electric & Power Ltd a good quality company?
HPL Electric & Power Ltd is a average quality company, based on a somewhat consistent 10 year financial track record.
Q.3 Is HPL Electric & Power Ltd undervalued or overvalued?
HPL Electric & Power Ltd appears Somewhat overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is HPL Electric & Power Ltd a good buy now?
HPL Electric & Power Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of HPL Electric & Power Ltd?
HPL Electric & Power Ltd revenue growth is 18.5% for FY-2025 , which is above its 5 year CAGR of 12.7% , indicating faster growth.
Q.2 Gross Profit margin of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Gross profit margin which is the profit after deduction of direct costs, is 9.3% for FY-2025 , which is above its 5 year median of 6.4% , indicating increasing margins.
Q.3 Operating Profit Margin of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 14.1% for FY-2025 , which is above its 5 year median of 12.8% indicating increasing margins.
Q.4 Net Profit Margin of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Net Profit Margin is 5.15% for FY-2025 , is above with its 5 year median of 2.28%, indicating increasing margins.
Current Level Historic Median
Gross Profit Margin 9.3 6.4
Operating Profit Margin 14.1 12.8
Net Profit Margin 5.15 2.28
Q.5 Return on Asset of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Return on Asset is 4.52%, which is above its 5 year historical median of 1.75%, indicating improved asset utilization efficiency.
Q.6 Return on Equity (ROE) of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Return on equity is 10.09% for FY-2025 , which is above its historical median of 3.59%, indicating the business is making better use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Return on capital employed is 13.88% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Cash conversion cycle is 191 days, below its historical median of 223 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.88 0.76
ROE 10.09 3.59
ROCE 13.88 8.56
Cash Conversion Cycle 191 days 223 days
Q.9 Debt to Equity ratio of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Debt-to-Equity ratio is 0.68 , which is above with the industry average of 0.34 , indicating higher debt levels in the industry.
Q.10 Debt to cash flow from operations of HPL Electric & Power Ltd?
HPL Electric & Power Ltd Debt to cash flow from operations is 4.69 , which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of HPL Electric & Power Ltd?
Promoters hold 72.66% of the HPL Electric & Power Ltd, with 2.42% of their stake pledged, indicating low pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of HPL Electric & Power Ltd vs industry peers?
HPL Electric & Power Ltd revenue CAGR is 12.73% , compared to the industry median CAGR of 13.21% , indicating slower growth and losing its market share.
Profit Metrics
Current Level Industry Median
Revenue 1,684.4 143.5
Gross Profit 156.6 14
Operating Profit 237 13
Net Profit 87 8
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.88 1.05
ROE 10.09 9.8
ROCE 13.88 13.56
Cash Conversion Cycle (days) 190.6 102

Valuation & price assessment

Q.1 Stock return of HPL Electric & Power Ltd over the last decade?
Over the last 5 year(s), the stock has delivered a CAGR of 48.57% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price - 48.6% 59.9% -19.7%
Q.3 Valuation ratios of HPL Electric & Power Ltd vs historical?
The current P/E is higher that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 25.48 0.00 50.19
Price to Book 2.33 0.33 3.60
Price to Sales 1.2 0.33 2.68
EV to EBITDA 11 7.87 19.22

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×