Happy Forgings

Why is Happy Forgings Ltd falling/rising?

As of 16-Jun, Happy Forgings Ltd's stock price is 1,336.50, reflecting a decline of 1.51%. Despite strong year-to-date and annual performance, recent underperformance against benchmarks and sector, along with short-term weaknesses, have contributed to the stock's falling price.

As of 16-Jun, Happy Forgings Ltd's stock price is falling, currently at 1,336.50, which reflects a decrease of 20.45 or 1.51%. This decline is evident in the stock's performance over the past week and month, where it has underperformed the benchmark Sensex, showing a drop of 1.84% over the last week compared to a gain of 3.91% for the Sensex, and a 3.57% decline over the past month against a 2.09% increase in the benchmark.<BR><BR>Despite the recent drop, the stock has shown strong performance year-to-date with a gain of 16.44% and a significant increase of 35.77% over the past year, indicating that it has outperformed the broader market, which has seen negative returns. The company has also reported positive financial results in the last three consecutive quarters, with net sales reaching a high of Rs 423.84 crore and a strong debt to equity ratio of 0.01 times, which are positive indicators for its financial health.<BR><BR>However, the stock's current performance today indicates it has underperformed its sector by 0.91%. Additionally, while the stock is trading above its 100-day and 200-day moving averages, it is below its 5-day, 20-day, and 50-day moving averages, suggesting a short-term weakness. The increase in investor participation, with a delivery volume rise of 179.69% against the 5-day average, may not be sufficient to counterbalance the recent price decline. Overall, the combination of recent underperformance against the benchmark and sector, along with the current market conditions, contributes to the stock's falling price.

Which are the latest news on Happy Forgings?

What does Happy Forgings do?

Happy Forgings Ltd, a small-cap company founded in 1979, operates in the castings and forgings industry, reporting net sales of 424 Cr and a net profit of 84 Cr for the quarter ending March 2026. Key metrics include a P/E ratio of 42.00 and a market cap of INR 12,741 Cr.

Overview:<BR>Happy Forgings Ltd operates in the castings and forgings industry and is categorized as a small-cap company.<BR><BR>History:<BR>Happy Forgings Limited was incorporated as 'Happy Forgings Private Limited' in 1979 in Jalandhar, Punjab. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>Net Sales: 424 Cr (Quarterly Results - Mar 2026) <BR>Net Profit: 84 Cr (Quarterly Results - Mar 2026) <BR>Market Cap: INR 12,741 Cr (Small Cap)<BR><BR>Key Metrics:<BR>P/E: 42.00 <BR>Industry P/E: 36 <BR>Dividend Yield: 0.22% <BR>Debt-Equity: 0.02 <BR>Return on Equity: 14.17% <BR>Price to Book: 6.02 <BR><BR>Contact Details:<BR>Registrar Address: Not available. <BR>Phone: N/A <BR>Email: N/A <BR>Website: N/A

How big is Happy Forgings?

As of 10th June, Happy Forgings Ltd has a market capitalization of 12,741.00 Cr, with recent net sales of 1,546.34 Cr and net profit of 301.63 Cr over the last four quarters.

As of 10th June, <BR><BR>Market Cap: Happy Forgings Ltd has a market capitalization of 12,741.00 Cr, categorizing it as a Small Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 1,546.34 Cr, while the sum of Net Profit for the same period is 301.63 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period for the balance sheet is March 2025. Shareholder's Funds stand at 1,849.55 Cr, and Total Assets are valued at 2,215.22 Cr.

Who are in the management team of Happy Forgings?

The management team of Happy Forgings includes key members such as Paritosh Kumar and Ashish Garg as Managing Directors, along with Directors Satish Sekhri, Suman Garg, Narinder Juneja Singh, Vikas Giya, Nitin Aggarwal, Suresh Chander Garg, and Megha Garg, and Company Secretary Depesh Kumar. They are responsible for the company's governance and strategic direction.

The management team of Happy Forgings includes the following individuals:<BR><BR>1. **Satish Sekhri** - Director<BR>2. **Suman Garg** - Whole-time Director<BR>3. **Paritosh Kumar** - Managing Director<BR>4. **Narinder Juneja Singh** - Director<BR>5. **Vikas Giya** - Director<BR>6. **Ashish Garg** - Managing Director<BR>7. **Nitin Aggarwal** - Director<BR>8. **Prakash Bagla** - Nominee<BR>9. **Suresh Chander Garg** - Director<BR>10. **Megha Garg** - Whole-time Director<BR>11. **Depesh Kumar** - Company Secretary<BR><BR>This team plays a crucial role in the governance and strategic direction of the company.

Who are the peers of the Happy Forgings?

Happy Forgings' peers include AIA Engineering, Balu Forge, Steelcast, and others, with Happy Forgings showing the highest 1-year return at 40.69%. Management risk is average for Happy Forgings, while growth and capital structure vary among peers.

Peers: The peers of Happy Forgings are AIA Engineering, Balu Forge, Steelcast, Amic Forging, Nelcast, Synergy Green, Inv.& Prec.Cast., Magna Electrocas, ANB Metal, and Tirupati Forge.<BR><BR>Quality Snapshot: Excellent management risk is observed at AIA Engineering, Steelcast, and Magna Electrocas, while Average management risk is found at Happy Forgings, Balu Forge, Amic Forging, Nelcast, Synergy Green, Inv.& Prec.Cast., ANB Metal, and Tirupati Forge. Below Average growth is noted for AIA Engineering, Happy Forgings, and Synergy Green, while Excellent growth is seen at Balu Forge and ANB Metal, with Good growth at Steelcast, Amic Forging, and Magna Electrocas, and the rest showing Average or Below Average growth. Excellent capital structure is present in AIA Engineering, Happy Forgings, Balu Forge, Steelcast, Amic Forging, and Magna Electrocas, while Below Average capital structure is noted for Nelcast and Inv.& Prec.Cast., with the rest having Good or Average capital structure.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Happy Forgings at 40.69%, while Balu Forge has the lowest at -43.23%. Happy Forgings' return is significantly higher than all its peers. Additionally, Balu Forge and Synergy Green have negative six-month returns.

Are Happy Forgings Ltd latest results good or bad?

Happy Forgings Ltd's Q4 FY26 results are strong, with a 23.55% increase in net profit and a 20.42% rise in revenue, alongside an all-time high operating margin of 31.46%. However, the high P/E ratio of 48 times raises concerns about sustainability, suggesting investors should be cautious.

Happy Forgings Ltd's latest results for Q4 FY26 can be considered good overall. The company reported a net profit of ₹83.56 crore, which is a 23.55% increase year-on-year. Revenue also saw a significant rise, reaching ₹423.84 crore, marking a 20.42% year-on-year growth. Notably, the operating margin expanded to an all-time high of 31.46%, reflecting strong operational efficiency and effective cost management.<BR><BR>Despite these positive indicators, there are some concerns regarding the company's valuation. The P/E ratio stands at 48 times, which is a 37% premium compared to the industry average. This high valuation raises questions about the sustainability of the recent growth momentum, especially given that the company's five-year sales growth rate has been modest at 5.80% annually.<BR><BR>In summary, while the quarterly results demonstrate strong operational performance and profitability, the elevated valuation multiples suggest that investors should approach with caution and consider the potential for future growth challenges.

Should I buy, sell or hold Happy Forgings Ltd?

Is Happy Forgings technically bullish or bearish?

As of December 2, 2025, Happy Forgings shows a bullish technical trend, supported by strong indicators like a bullish MACD, Bollinger Bands, and moving averages.

As of 2 December 2025, the technical trend for Happy Forgings has changed from mildly bullish to bullish. The weekly MACD is bullish, and both the weekly and monthly Bollinger Bands are bullish, indicating strong upward momentum. Daily moving averages also confirm a bullish stance. The KST is bullish on a weekly basis, while the Dow Theory and OBV both show mildly bullish signals on both weekly and monthly time frames. Overall, the current technical stance is bullish with strong indicators supporting this outlook.

How has been the historical performance of Happy Forgings?

Happy Forgings has shown consistent growth over the past three years, with net sales increasing from 1,196.53 Cr in Mar'23 to 1,408.89 Cr in Mar'25, and profit after tax rising from 208.70 Cr to 267.44 Cr. The company has improved its operating profit margin to 28.87% and eliminated long-term debt, reflecting strong overall financial performance.

Answer:<BR>The historical performance of Happy Forgings shows a consistent growth trend in key financial metrics over the past three years.<BR><BR>Breakdown:<BR>Happy Forgings has demonstrated a steady increase in net sales, rising from 1,196.53 Cr in Mar'23 to 1,408.89 Cr in Mar'25. The total operating income has mirrored this growth, reaching 1,408.89 Cr in Mar'25, up from 1,196.53 Cr in Mar'23. The company's operating profit (PBDIT) also increased significantly, from 346.68 Cr in Mar'23 to 444.14 Cr in Mar'25, reflecting an operating profit margin of 28.87% in the latest year. Profit before tax has risen from 280.03 Cr in Mar'23 to 359.55 Cr in Mar'25, with profit after tax following suit, increasing from 208.70 Cr to 267.44 Cr during the same period. The earnings per share (EPS) have improved from 23.32 in Mar'23 to 28.38 in Mar'25. On the balance sheet, total assets have expanded from 1,326.16 Cr in Mar'23 to 2,215.22 Cr in Mar'25, while total liabilities have also increased, but the company has eliminated long-term borrowings, reducing total debt to 0.00 Cr by Mar'25. Cash flow from operating activities has shown a positive trend, increasing from 80.00 Cr in Mar'22 to 292.00 Cr in Mar'25, contributing to a net cash inflow of 12.00 Cr in the latest year. Overall, Happy Forgings has exhibited strong financial performance and growth across multiple dimensions.

Who are the top shareholders of the Happy Forgings?

The top shareholders of Happy Forgings include promoter Paritosh Kumar with 40.35%, mutual funds with 11.52%, foreign institutional investors at 2.17%, and SBI Small Cap Fund as the largest public shareholder at 5.41%. Individual investors hold 1.98% of the shares.

The top shareholders of Happy Forgings include the promoters, who hold a majority stake in the company. The promoter with the highest holding is Paritosh Kumar, owning 40.35% of the shares. Additionally, mutual funds collectively hold 11.52% through 11 different schemes, while foreign institutional investors (FIIs) have a smaller stake of 2.17% across 39 FIIs. The highest public shareholder is SBI Small Cap Fund, which holds 5.41%. Individual investors account for 1.98% of the holdings.

Is Happy Forgings overvalued or undervalued?

As of January 12, 2025, Happy Forgings is considered very expensive and overvalued due to high valuation ratios, including a PE ratio of 33.99, an EV to EBITDA ratio of 22.37, and a PEG ratio of 3.39, which exceed those of its peers and coincide with a 1-year stock performance of -16.27% compared to the Sensex's 7.53%.

As of 12 January 2025, the valuation grade for Happy Forgings has moved from does not qualify to very expensive. The company is currently deemed overvalued based on its high valuation ratios, including a PE ratio of 33.99, an EV to EBITDA ratio of 22.37, and a PEG ratio of 3.39. These figures indicate that the stock is trading at a premium compared to its earnings growth potential.<BR><BR>In comparison to its peers, Happy Forgings has a significantly higher PE ratio than Samvardhana Motherson International Ltd., which stands at 29.14, and a higher EV to EBITDA ratio than Endurance Technologies Ltd., which is at 21.97. This suggests that investors are paying more for each unit of earnings in Happy Forgings relative to these competitors. Additionally, the company's recent stock performance has underperformed the Sensex, with a 1-year return of -16.27% compared to the Sensex's 7.53%, reinforcing the notion that the stock may be overvalued.

When is the next results date for Happy Forgings?

No Upcoming Board Meetings

Has Happy Forgings declared dividend?

Yes, Happy Forgings Ltd has declared a 200% dividend, with an ex-date of July 22, 2024. However, the company has experienced negative price returns over the last year and no dividend returns in previous years.

Happy Forgings Ltd has declared a 200% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 200%<BR>- Ex-date: 22 Jul 24<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -12.36%, the dividend return was 0%, resulting in a total return of -12.36%.<BR><BR>Over the past year, the price return was -17.83%, with a dividend return of 0%, leading to a total return of -17.83%.<BR><BR>For the 2-year period, the price return was 0%, the dividend return was 0%, resulting in a total return of 0.0%.<BR><BR>In the 3-year period, the price return was 0%, the dividend return was 0%, leading to a total return of 0.0%.<BR><BR>For the 4-year period, the price return was 0%, the dividend return was 0%, resulting in a total return of 0.0%.<BR><BR>In the 5-year period, the price return was 0%, the dividend return was 0%, leading to a total return of 0.0%.<BR><BR>Overall, Happy Forgings has declared a significant dividend, but the total returns over various periods indicate a negative trend in price returns, with no dividend returns in the past years, reflecting a challenging performance.