Prabha Energy Limited (PRABHA) AI Stock Analysis

Prabha Energy Limited

(NSE:PRABHA)

Select Model

Rating:58Neutral

Price Target:INR 181.00▼(-1.11% Downside)

Action:reiterated

Date:08/19/26

The overall score reflects a company with rapid top-line growth and a relatively solid capital structure but persistently loss-making operations and heavily negative operating and free cash flow, which meaningfully increase execution and liquidity risk. A strong recent price uptrend boosts the score, yet elevated momentum readings point to a stretched near-term setup, and the extremely high P/E with no dividend materially caps the rating by signalling a demanding valuation relative to its current financial profile.

Positive Factors

Revenue reboundThe sharp FY2026 revenue rebound indicates substantially higher business activity and improved top-line reach. If maintained, stronger revenue can provide operating scale and a broader base for future profitability, although the current earnings quality shows that growth has not yet translated into healthy core margins.

Negative Factors

Loss-making core operationsNegative gross profit and deeply loss-making EBITDA and EBIT show that the core business is not currently converting revenue into operating earnings. This weak margin foundation limits the durability of the reported profit, constrains internal reinvestment, and leaves performance vulnerable if revenue growth moderates.

Prabha Energy Limited (PRABHA) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 27.97B
Dividend Yield: ―
Average Volume (3M): 21.87K
Price to Earnings (P/E): 2150.8
Beta (1Y): 0.22
Revenue Growth: 61.20%
EPS Growth: ―
Country: India
Employees: 13
Sector: General
Sector Strength: 55
Industry: Oil & Gas Exploration & Production

Prabha Energy Limited Business Overview & Revenue Model

Company Description

Established in 2009 and based in Ahmedabad, India, Prabha Energy Ltd. is actively involved in the Indian energy market. The company's operations encompass the exploration, production, and trading of oil and natural gas, managing a diverse portfolio o...

Prabha Energy Limited Financial Statement Overview

Summary

Strong revenue growth and a reasonably capitalised balance sheet are positives, but core operations remain loss-making with negative EBIT/EBITDA and structurally weak margins, while operating and free cash flow are deeply negative and diverge sharply from reported net income, highlighting elevated execution and liquidity risk.

Income Statement

58Neutral

Balance Sheet

72Positive

Cash Flow

35Negative

Financial statement breakdown
Breakdown	TTM	Mar 2025	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	49.40M	39.46M	61.08M	27.27M	334.54M	0
Gross Profit	6.04M	14.34M	-2.90M	11.08M	55.31M	0
EBITDA	-20.46M	-14.27M	9.38M	-8.03M	49.92M	-375.00K
Net Income	-15.11M	-14.45M	5.69M	-9.46M	37.65M	-375.00K
Balance Sheet
Total Assets	6.56B	6.36B	6.89B	6.02B	5.92B	2.37B
Cash, Cash Equivalents and Short-Term Investments	287.84M	57.58M	273.01M	20.33M	23.90M	279.00K
Total Debt	1.47B	1.26B	1.63B	791.64M	108.16M	60.00M
Total Liabilities	2.21B	1.98B	2.55B	1.58B	1.47B	1.36B
Stockholders Equity	4.35B	4.38B	4.34B	4.44B	4.45B	1.02B
Cash Flow
Free Cash Flow	-373.35M	-505.77M	-475.14M	-686.32M	-62.68M	-71.81M
Operating Cash Flow	48.37M	-60.94M	-22.41M	-437.31M	114.73M	352.19M
Investing Cash Flow	-423.19M	-438.79M	-441.44M	-250.72M	-118.21M	-468.88M
Financing Cash Flow	375.29M	500.67M	468.82M	679.97M	10.97M	86.67M

Prabha Energy Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price183.03

Price Trends

50DMA215.83Negative

100DMA184.27Negative

200DMA172.07Positive

Market Momentum

MACD-9.99Positive

RSI36.54Neutral

STOCH23.72Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PRABHA, the sentiment is Negative. The current price of 183.03 is below the 20-day moving average (MA) of 202.41, below the 50-day MA of 215.83, and above the 200-day MA of 172.07, indicating a neutral trend. The MACD of -9.99 indicates Positive momentum. The RSI at 36.54 is Neutral, neither overbought nor oversold. The STOCH value of 23.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:PRABHA.

Prabha Energy Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:PRABHA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:UEL	62Neutral	INR 24.84B	383.53	―	―	-25.96%	215.87%
IN:RELTD	61Neutral	INR 26.78B	42.08	―	―	116.92%	253.43%
IN:PRABHA	58Neutral	INR 26.67B	2150.76	―	―	61.20%	―
IN:KPEL	57Neutral	INR 10.60B	5.95	―	0.43%	74.28%	47.73%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:DEEPINDS	54Neutral	INR 42.79B	20.97	―	0.37%	48.75%	―

* General Sector Average

Performance Comparison

IN:PRABHA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:PRABHA	Prabha Energy Limited	186.40	-23.59	-11.23%
IN:DEEPINDS	Deep Industries Limited	676.05	181.53	36.71%
IN:KPEL	K.P. Energy Ltd.	161.05	-296.76	-64.82%
IN:RELTD	Ravindra Energy Ltd.	138.85	-12.21	-8.08%
IN:UEL	Ujaas Energy Limited	189.30	63.25	50.18%

Prabha Energy Limited Corporate Events

Prabha Energy Converts 9.5 Million Partly Paid Rights Shares to Fully Paid Equity

Aug 25, 2026

Prabha Energy Limited has completed a key step in its ongoing rights issue process by converting a substantial block of partly paid-up equity shares into fully paid-up shares. Following reminders for payment of outstanding first call money along with...

Prabha Energy Says Recent Share Price Volatility Is Market-Driven

Aug 20, 2026

Prabha Energy Limited has responded to a query from the National Stock Exchange of India’s surveillance department regarding significant recent price and volume movements in its shares. The company stated that it has consistently disclosed all...

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 19, 2026

Prabha Energy Limited AI Stock Analysis