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Check Before You Invest : HVAX Technologies Ltd

BSE: 0 NSE: HVAX ISIN: INE0TO501019
  |   Sector:  Capital Goods & Industrial Consumables   |   Industry:  Engineering Consultancy

Snapshot

Q.1 Which industry/sub-sector does HVAX Technologies Ltd belong to?
HVAX Technologies Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Engineering Consultancy segment.
Q.2 Is HVAX Technologies Ltd a good quality company?
HVAX Technologies Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is HVAX Technologies Ltd undervalued or overvalued?
HVAX Technologies Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings 19.49 20.17
Price to Book 2.99 3.07
Price to Sales 1.64 1.72
EV to EBITDA 12.07 12.82
Q.4 Is HVAX Technologies Ltd a good buy now?
HVAX Technologies Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

Q.1 Gross Profit margin of HVAX Technologies Ltd?
HVAX Technologies Ltd Gross profit margin which is the profit after deduction of direct costs, is 12.6% for FY-2025, which is above its 5-year median of 10%, indicating increasing margins.

Q.2 Operating Profit Margin of HVAX Technologies Ltd?
HVAX Technologies Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 14.49% for FY-2025, which is above its 5-year median of 10.09% indicating increasing margins.

Q.3 Net Profit Margin of HVAX Technologies Ltd?
HVAX Technologies Ltd Net Profit Margin is 8.43% for FY-2025, is above its 5-year median of 6.13%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 12.6 10
Operating Profit Margin (%) 14.49 10.09
Net Profit Margin (%) 8.43 6.13

B: Does the business utilize capital efficiently?

Q.4 Return on Asset of HVAX Technologies Ltd?
HVAX Technologies Ltd Return on Asset is 11.95%, which is above its 5-year historical median of 10.08%, indicating improved asset utilization efficiency.

Q.5 Return on capital employed (ROCE) of HVAX Technologies Ltd?
HVAX Technologies Ltd Return on capital employed is 22.44% for FY-2025, which is below its 5-year historical median of 29.04%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.6 Return on Equity (ROE) of HVAX Technologies Ltd?
HVAX Technologies Ltd Return on equity is 21.45% for FY-2025, which is below its 5-year historical median of 35.63%, indicating the business is making worse use of its shareholders capital.

C: How much debt does the business have and is it at a sustainable level?

Q.7 Debt to Equity ratio of HVAX Technologies Ltd?
HVAX Technologies Ltd Debt-to-Equity ratio is 0.39, which is above the industry average of 0.06, indicating higher debt levels in the industry.

Q.8 Debt to cash flow from operations of HVAX Technologies Ltd?
HVAX Technologies Ltd Debt to cash flow from operations is -1.28, which is at a unhealthy level.

Ownership & governance

D: Promoter shareholding and pledge status of HVAX Technologies Ltd?

Q.1 Promoter shareholding and pledge status of HVAX Technologies Ltd?
Promoters hold 66.65% of the HVAX Technologies Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does HVAX Technologies Ltd performance compare with that of its Peers?

Q.1 Revenue growth of HVAX Technologies Ltd vs industry peers?
HVAX Technologies Ltd revenue CAGR is 0.00%, compared to the industry median CAGR of 0.00%, indicating stable growth and maintaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) - 0
Gross Profit Growth (%) 30.8 13.3
Operating Profit Growth (%) 46.2 23.2
Net Profit Growth (%) 22.2 15.7
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 1.42 0.8
ROE (%) 21.45 18.16
ROCE (%) 22.44 21.64
Cash Conversion Cycle (days) 154.26 96

Valuation & price assessment

Q.1 Stock return of HVAX Technologies Ltd over the last decade?
Over the last 1 year(s), the stock has delivered a CAGR of 33.62% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
- - - 33.6%
Q.2 Valuation ratios of HVAX Technologies Ltd vs historical?
The current P/E ratio of 19.49 is in line with than its historical median of 20.17, indicating that the stock is trading near its historical average valuation.
Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?
Valuation Ratios Current 5-year
Historic Median
5-year
Industry Median
Price to Earnings 19.49 20.17 22.43
Price to Book 2.99 3.07 3.06
Price to Sales 1.64 1.72 2.97
EV to EBITDA 12.07 12.82 13.21

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