Power Mech Projects Ltd. (POWERMECH) AI Stock Analysis

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Power Mech Projects Ltd.

(NSE:POWERMECH)

Select Model

Rating:71Outperform

Price Target:INR 2,390.00▲(10.49% Upside)

Action:reiterated

Date:09/13/26

Robust financial performance with strong growth and balance sheet improvements is the primary driver, tempered by short-term bearish technical signals.

Positive Factors

Revenue Scale and GrowthThe substantial multi-year increase in revenue demonstrates that Power Mech has expanded its project execution platform and customer activity over time. Continued top-line growth provides a durable base for operating leverage, supports reinvestment in capabilities, and strengthens its position in infrastructure markets.

Negative Factors

Weak Cash ConversionReported earnings are not consistently translating into cash, with FY2026 free cash flow representing only about 22% of net income. For an EPC business, this can constrain self-funded growth, increase reliance on working-capital management, and make financial performance more volatile across project cycles.

Power Mech Projects Ltd. (POWERMECH) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 68.39B
Dividend Yield: 0.07%
Average Volume (3M): 3,616
Price to Earnings (P/E): 17.5
Beta (1Y): 1.53
Revenue Growth: 15.79%
EPS Growth: 22.69%
Country: India
Employees: 9,964
Sector: General
Sector Strength: 55
Industry: Engineering & Construction

Power Mech Projects Ltd. Business Overview & Revenue Model

Company Description

Power Mech Projects Limited operates both domestically in India and internationally, offering a broad spectrum of services across the power generation and broader infrastructure sectors. Its primary focus includes the installation, rigorous testing,...

Power Mech Projects Ltd. Financial Statement Overview

Summary

Strong revenue growth from 18.8B to 60.6B and improving profitability, with a solid balance sheet showing reduced debt-to-equity, though cash flows exhibit some volatility.

Income Statement

85Very Positive

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	63.92B	60.62B	52.34B	42.07B	36.01B	27.10B
Gross Profit	16.08B	15.81B	13.54B	12.02B	9.89B	7.43B
EBITDA	7.42B	7.48B	6.04B	4.98B	4.20B	3.03B
Net Income	3.91B	3.64B	3.26B	2.48B	2.09B	1.39B
Balance Sheet
Total Assets	0	55.89B	46.15B	35.68B	30.54B	25.97B
Cash, Cash Equivalents and Short-Term Investments	4.93B	4.93B	5.93B	524.00M	448.60M	759.40M
Total Debt	0	6.64B	7.35B	3.96B	4.77B	5.31B
Total Liabilities	-25.89B	30.00B	24.32B	17.28B	17.78B	15.51B
Stockholders Equity	25.89B	25.18B	21.60B	18.38B	12.75B	10.43B
Cash Flow
Free Cash Flow	-1.59B	943.40M	-1.62B	1.12B	1.29B	1.31B
Operating Cash Flow	3.94B	4.30B	2.70M	2.05B	1.82B	1.75B
Investing Cash Flow	-3.49B	-2.27B	-1.93B	-3.73B	-909.89M	-517.60M
Financing Cash Flow	-1.34B	-1.89B	2.32B	1.76B	-1.20B	-631.50M

Power Mech Projects Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price2163.15

Price Trends

50DMA2390.88Negative

100DMA2511.61Negative

200DMA2368.34Negative

Market Momentum

MACD-71.27Positive

RSI34.88Neutral

STOCH32.49Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:POWERMECH, the sentiment is Negative. The current price of 2163.15 is below the 20-day moving average (MA) of 2329.96, below the 50-day MA of 2390.88, and below the 200-day MA of 2368.34, indicating a bearish trend. The MACD of -71.27 indicates Positive momentum. The RSI at 34.88 is Neutral, neither overbought nor oversold. The STOCH value of 32.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:POWERMECH.

Power Mech Projects Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:POWERMECH against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:KPIL	78Outperform	INR 228.07B	20.10	―	0.82%	14.56%	58.06%
IN:POWERMECH	71Outperform	INR 68.39B	17.48	―	0.07%	15.79%	22.69%
IN:GVPIL	67Neutral	INR 38.11B	14.02	―	1.24%	18.73%	―
IN:TECHNOE	58Neutral	INR 96.55B	22.38	―	0.84%	38.72%	-6.77%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:KEC	46Neutral	INR 87.75B	15.85	―	1.67%	5.14%	-9.35%
IN:BGRENERGY	40Underperform	INR 20.35B	-1.63	―	―	-38.23%	-10.95%

* General Sector Average

Performance Comparison

IN:POWERMECH and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:POWERMECH	Power Mech Projects Ltd.	2163.15	-332.96	-13.34%
IN:BGRENERGY	BGR Energy Systems Limited	282.00	-148.80	-34.54%
IN:GVPIL	GE Power India Ltd.	566.85	263.89	87.10%
IN:KEC	KEC International Ltd.	329.65	-472.86	-58.92%
IN:KPIL	Kalpataru Projects International Limited	1335.50	71.39	5.65%
IN:TECHNOE	Techno Electric & Engineering Company Limited	830.15	-500.52	-37.61%

Power Mech Projects Ltd. Corporate Events

Power Mech Wins ₹327 Crore O&M Deal From Vedanta Aluminium

Oct 19, 2026

Power Mech Projects Limited has secured a ₹327.35 crore operations and maintenance contract from Vedanta Aluminium Metal Limited for a coal-fired co-generation power plant in Odisha. The four-year mandate covers end-to-end O&M of 130 MW of...

Power Mech Projects Publishes AGM Notice and E-Voting Details in Newspapers

Aug 26, 2026

Power Mech Projects Limited has notified the stock exchanges that it has published newspaper notices regarding its 27th Annual General Meeting, along with details on the record date and arrangements for e-voting. The notices appeared in Financial Exp...

Power Mech Projects Files Q1 FY27 Earnings Call Transcript with Exchanges

Aug 17, 2026

Power Mech Projects Limited has submitted to the stock exchanges the official transcript of its August 10, 2026 earnings conference call with investors and analysts. The call discussed the company’s financial and operational performance for the...

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: Sep 13, 2026

Power Mech Projects Ltd. AI Stock Analysis

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