Check Before You Invest : Olectra Greentech Ltd

Snapshot

Q.1 Which industry/sub-sector does Olectra Greentech Ltd belong to?

Olectra Greentech Ltd belongs to the Automobiles sector, operating specifically within the Automobiles-Trucks/Lcv segment.

Q.2 Is Olectra Greentech Ltd a good quality company?

Olectra Greentech Ltd is a weak quality company, based on a inconsistent 10-year financial track record.

Q.3 Is Olectra Greentech Ltd undervalued or overvalued?

Olectra Greentech Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is Olectra Greentech Ltd a good buy now?

Olectra Greentech 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 Olectra Greentech Ltd?

Olectra Greentech Ltd revenue growth is 56.1% for FY-2025, which is above its 5-year CAGR of 55.14%, indicating faster growth.

Q.2 Return on capital employed (ROCE) of Olectra Greentech Ltd?

Olectra Greentech Ltd Return on capital employed is 20.45% for FY-2025, which is above its 5-year historical median of 13.3%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 13.5%, indicating value creation.

Q.3 Return on Asset of Olectra Greentech Ltd?

Olectra Greentech Ltd Return on Asset is 7.4%, which is above its 5-year historical median of 4.87%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Olectra Greentech Ltd?

Olectra Greentech Ltd Return on equity is 14.19% for FY-2025, which is above its 5-year historical median of 8.27%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of Olectra Greentech Ltd?

Olectra Greentech Ltd Cash conversion cycle is 50 days, below its 5-year historical median of 87 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	0.96	0.73
ROE	14.19	8.27
ROCE	20.45	13.3
Cash Conversion Cycle	50 days	87 days

Q.6 Gross Profit margin of Olectra Greentech Ltd?

Olectra Greentech Ltd Gross profit margin which is the profit after deduction of direct costs, is 12.3% for FY-2025, which is above its 5-year median of 11.7%, indicating increasing margins.

Q.7 Operating Profit Margin of Olectra Greentech Ltd?

Olectra Greentech Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 14.59% for FY-2025, which is in line with its 5-year median of 14.14% indicating stable margins.

Q.8 Net Profit Margin of Olectra Greentech Ltd?

Olectra Greentech Ltd Net Profit Margin is 7.73% for FY-2025, is above with its 5-year median of 6.13%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	12.3	11.7
Operating Profit Margin	14.59	14.14
Net Profit Margin	7.73	6.13

Q.9 Debt to Equity ratio of Olectra Greentech Ltd?

Olectra Greentech Ltd Debt-to-Equity ratio is 0.24, which is in line with the industry average of 0.24, indicating similar to debt levels in the industry.

Q.10 Debt to cash flow from operations of Olectra Greentech Ltd?

Olectra Greentech Ltd Debt to cash flow from operations is 1.81, which is at a moderate level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Olectra Greentech Ltd?

Promoters hold 50.02% of the Olectra Greentech Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Olectra Greentech Ltd vs industry peers?

Olectra Greentech Ltd revenue CAGR is 55.14%, compared to the industry median CAGR of 21.25%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	56.1	21.3
Gross Profit Growth	65.7	51.5
Operating Profit Growth	60.1	76.5
Net Profit Growth	76	66.2

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.96	1.03
ROE	14.19	7.83
ROCE	20.45	12.69
Cash Conversion Cycle (days)	49.62	53

Valuation & price assessment

Q.1 Stock return of Olectra Greentech Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 52.8% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	52.8%	47.5%	25%	9.3%

Q.3 Valuation ratios of Olectra Greentech Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 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	71.59	128.98	28.03
Price to Book	8.76	9.54	6.69
Price to Sales	4.84	6.86	1.51
EV to EBITDA	34.41	45.70	16.63

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