Nibe Ltd. (NIBE) AI Stock Analysis

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Nibe Ltd.

(NSE:NIBE)

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Rating:46Neutral

Price Target:INR 1,119.00▼(-11.19% Downside)

Action:reiterated

Date:10/15/26

The score is driven primarily by deteriorating profitability and severely negative cash flow. Technical conditions are mixed, and the high dividend yield provides support, but the negative P/E and weak earnings quality remain significant risks.

Positive Factors

Moderate, stable leverageStable, moderate leverage gives NIBE a comparatively manageable capital structure while it works through weaker profitability. Lower balance-sheet strain can preserve access to financing and leave more flexibility for operations, investment, and recovery efforts over the next several quarters.

Negative Factors

Severe margin compressionThe sharp decline in gross and net margins indicates materially weaker earnings quality and reduced operating resilience. Unless pricing, costs, or product mix improve, even modest revenue pressure can have an outsized effect on profit, limiting reinvestment capacity and shareholder returns.

Nibe Ltd. (NIBE) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 19.54B
Dividend Yield: 0.10%
Average Volume (3M): 7,730
Price to Earnings (P/E): -221.9
Beta (1Y): 1.12
Revenue Growth: 10.75%
EPS Growth: -48.75%
Country: India
Employees: 265
Sector: General
Sector Strength: 55
Industry: Aerospace & Defense

Nibe Ltd. Business Overview & Revenue Model

Company Description

Nibe Limited is an integrated manufacturer fabricating critical parts for the defence sector, including precision weapons, protective vehicles, and surveillance communication equipment. The company's business is also diversified into the E-Vehicles s...

How the Company Makes Money

NIBE makes money primarily by manufacturing and selling hardware products within its three main business segments, with revenue recognized largely from product sales to distributors, installers, OEM customers, and retailers (channel mix varies by seg...

Nibe Ltd. Financial Statement Overview

Summary

Strong revenue growth is offset by materially weaker margins, lower net income, and sharply negative operating and free cash flow. Moderate leverage provides some support, but overall financial quality is under pressure.

Income Statement

42Neutral

Balance Sheet

66Positive

Cash Flow

24Negative

Financial statement breakdown
Breakdown	TTM	Mar 2025	Mar 2024
Income Statement
Total Revenue	1.13B	4.74B	5.07B
Gross Profit	314.63M	382.50M	960.16M
EBITDA	193.23M	486.79M	637.89M
Net Income	76.43M	56.32M	267.29M
Balance Sheet
Total Assets	4.42B	6.53B	4.42B
Cash, Cash Equivalents and Short-Term Investments	189.64M	477.81M	189.64M
Total Debt	772.79M	1.20B	772.79M
Total Liabilities	1.97B	2.97B	1.97B
Stockholders Equity	2.32B	3.48B	2.32B
Cash Flow
Free Cash Flow	-100.14M	-1.37B	-451.50M
Operating Cash Flow	491.42M	-246.40M	250.33M
Investing Cash Flow	-515.96M	-794.58M	-597.59M
Financing Cash Flow	40.13M	1.42B	296.86M

Nibe Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price1259.95

Price Trends

50DMA1248.38Positive

100DMA1378.52Negative

200DMA1251.00Positive

Market Momentum

MACD-8.83Negative

RSI55.02Neutral

STOCH87.36Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:NIBE, the sentiment is Positive. The current price of 1259.95 is above the 20-day moving average (MA) of 1199.41, above the 50-day MA of 1248.38, and above the 200-day MA of 1251.00, indicating a bullish trend. The MACD of -8.83 indicates Negative momentum. The RSI at 55.02 is Neutral, neither overbought nor oversold. The STOCH value of 87.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:NIBE.

Nibe Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:NIBE against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:BLUESTARCO	56Neutral	INR 326.93B	61.07	―	0.53%	8.79%	-2.20%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:KRN	55Neutral	INR 67.07B	57.07	―	―	77.18%	88.95%
IN:THERMAX	53Neutral	INR 330.90B	53.17	―	0.72%	8.66%	-0.92%
IN:KSB	51Neutral	INR 113.71B	100.42	―	0.67%	7.98%	-9.14%
IN:NIBE	46Neutral	INR 19.53B	-221.94	―	0.10%	10.75%	-48.75%
IN:VOLTAS	46Neutral	INR 375.92B	80.19	―	0.35%	7.89%	-14.67%

* General Sector Average

Performance Comparison

IN:NIBE and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:NIBE	Nibe Ltd.	1259.95	152.50	13.77%
IN:BLUESTARCO	Blue Star Limited	1590.00	-188.72	-10.61%
IN:KRN	Krn Heat Exchanger and Refrigeration Limited	1024.60	212.15	26.11%
IN:KSB	KSB Ltd.	653.35	-95.80	-12.79%
IN:THERMAX	Thermax Limited.	2777.05	-225.57	-7.51%
IN:VOLTAS	Voltas Limited	1136.10	-233.79	-17.07%

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: Oct 15, 2026

Nibe Ltd. AI Stock Analysis