Karma Energy Limited (KARMAENG) AI Stock Analysis

Karma Energy Limited

(NSE:KARMAENG)

Select Model

Rating:54Neutral

Price Target:INR 33.00▲(0.92% Upside)

Action:reiterated

Date:08/29/26

Mixed financial performance leads the score, supported by balance sheet strength but limited by revenue volatility and margin pressure; neutral technical signals and high valuation metrics add further constraints.

Positive Factors

De-risked balance sheetLower debt and a large, stable equity base improve Karma Energy’s financial flexibility and reduce balance-sheet pressure. This supports the company’s ability to fund operations, manage weaker periods, and pursue power-sector opportunities without relying excessively on additional borrowing.

Negative Factors

Volatile revenue performanceSharp revenue swings make the company’s operating scale difficult to forecast and reduce confidence in the durability of recent recovery. Persistent volatility can complicate capacity planning, investment decisions, and the conversion of improved revenue into consistent shareholder returns.

Karma Energy Limited (KARMAENG) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 393.26M
Dividend Yield: ―
Average Volume (3M): 3,697
Price to Earnings (P/E): 43.2
Beta (1Y): 0.87
Revenue Growth: 5.75%
EPS Growth: -28.47%
Country: India
Employees: 33
Sector: General
Sector Strength: 55
Industry: Renewable Utilities

Karma Energy Limited Business Overview & Revenue Model

Company Description

Karma Energy Ltd. engages in the business of generation of power from renewable energy sources. It focuses on wind and small hydel projects. The company was founded on March 15, 2007 and is headquartered in Mumbai, India.

Karma Energy Limited Financial Statement Overview

Summary

Mixed results with strong balance sheet from major debt reduction and equity growth to 408 million, offset by volatile revenue, negative gross profit in 2026, and inconsistent profitability.

Income Statement

35Negative

Balance Sheet

80Positive

Cash Flow

65Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	99.04M	97.58M	87.03M	123.52M	128.08M	275.35M
Gross Profit	2.55M	-17.78M	55.35M	82.95M	82.09M	26.69M
EBITDA	1.34M	-28.64M	36.07M	30.32M	131.76M	62.38M
Net Income	8.82M	10.49M	15.60M	1.24M	58.90M	-21.26M
Balance Sheet
Total Assets	0	470.63M	519.99M	500.44M	554.68M	634.04M
Cash, Cash Equivalents and Short-Term Investments	1.06M	1.06M	5.77M	907.00K	2.95M	110.02M
Total Debt	0	15.26M	19.48M	10.79M	62.84M	188.03M
Total Liabilities	-408.25M	62.38M	120.19M	116.02M	169.95M	331.91M
Stockholders Equity	408.25M	408.25M	399.79M	384.43M	384.73M	302.13M
Cash Flow
Free Cash Flow	10.47M	20.25M	3.19M	35.24M	49.62M	-10.95M
Operating Cash Flow	11.24M	36.31M	16.60M	44.31M	49.62M	-10.90M
Investing Cash Flow	-11.28M	-36.00M	-18.93M	6.87M	85.45M	501.83M
Financing Cash Flow	-2.97M	-5.03M	7.20M	-53.22M	-134.91M	-493.89M

Karma Energy Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price32.70

Price Trends

50DMA36.79Negative

100DMA38.38Negative

200DMA41.34Negative

Market Momentum

MACD-1.23Negative

RSI41.45Neutral

STOCH27.93Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KARMAENG, the sentiment is Negative. The current price of 32.70 is below the 20-day moving average (MA) of 34.27, below the 50-day MA of 36.79, and below the 200-day MA of 41.34, indicating a bearish trend. The MACD of -1.23 indicates Negative momentum. The RSI at 41.45 is Neutral, neither overbought nor oversold. The STOCH value of 27.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KARMAENG.

Karma Energy Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:KARMAENG against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:KPIGREEN	65Neutral	INR 54.82B	11.96	―	0.31%	40.01%	27.57%
IN:ADANIGREEN	64Neutral	INR 2.13T	114.93	―	―	20.93%	-8.88%
IN:INOXGREEN	57Neutral	INR 42.78B	32.43	―	―	16.08%	202.61%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:KARMAENG	54Neutral	INR 378.34M	43.17	―	―	5.75%	-28.47%
IN:ACMESOLAR	50Neutral	INR 286.21B	34.60	―	0.09%	53.70%	47.08%
IN:INDOWIND	37Underperform	INR 1.27B	159.40	―	―	-1.42%	-63.44%

* General Sector Average

Performance Comparison

IN:KARMAENG and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:KARMAENG	Karma Energy Limited	32.70	-23.29	-41.60%
IN:ACMESOLAR	ACME Solar Holdings Ltd.	404.90	132.54	48.66%
IN:ADANIGREEN	Adani Green Energy Limited	1295.35	190.25	17.22%
IN:INDOWIND	Indowind Energy Limited	7.88	-7.47	-48.66%
IN:INOXGREEN	Inox Green Energy Services Ltd.	101.95	-169.42	-62.43%
IN:KPIGREEN	KPI Green Energy Limited	277.35	-260.23	-48.41%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 29, 2026

Karma Energy Limited AI Stock Analysis