Patil Automation

Is Patil Automation overvalued or undervalued?

As of September 17, 2025, Patil Automation is considered overvalued with a valuation grade of "expensive," reflected by its high PE ratio of 36.56, EV to EBITDA of 28.17, and Price to Book Value of 7.97, all exceeding industry averages and its peers like Larsen & Toubro.

As of 17 September 2025, the valuation grade for Patil Automation has moved from does not qualify to expensive. This indicates that the company is currently overvalued. Key ratios highlight this assessment, with a PE ratio of 36.56, an EV to EBITDA of 28.17, and a Price to Book Value of 7.97, all of which are significantly higher than industry norms.<BR><BR>In comparison to peers, Patil Automation's PE ratio exceeds that of Larsen & Toubro, which stands at 32.69, and its EV to EBITDA is also higher than Larsen & Toubro's 16.99. Other competitors like CG Power & Ind and Siemens are categorized as very expensive, with PE ratios of 124.33 and 62.04, respectively. Notably, Patil Automation's stock has underperformed against the Sensex over the past week and month, further reinforcing the notion of overvaluation.

How has been the historical performance of Patil Automation?

Patil Automation's historical performance shows strong growth, with net sales increasing to 118.05 crore in March 2025 from 115.28 crore in 2024, and profit after tax rising to 11.70 crore from 7.84 crore. Key metrics such as operating profit margin and earnings per share also improved significantly.

Answer:<BR>The historical performance of Patil Automation shows a positive trend in key financial metrics over the past year.<BR><BR>Breakdown:<BR>In the fiscal year ending March 2025, Patil Automation reported net sales of 118.05 crore, an increase from 115.28 crore in March 2024. The total operating income mirrored this growth, reaching 118.05 crore, while total expenditure remained relatively stable at 102.78 crore compared to 102.77 crore the previous year. Operating profit (PBDIT) rose to 19.26 crore from 15.95 crore, reflecting an improved operating profit margin of 12.94%, up from 10.85%. Profit before tax also increased to 15.18 crore from 11.22 crore, leading to a profit after tax of 11.70 crore, significantly higher than 7.84 crore in the prior year. The company's earnings per share improved to 7.3 from 5.19, and the PAT margin rose to 9.91% from 6.8%. On the balance sheet, total assets grew to 114.67 crore from 91.25 crore, with total liabilities also increasing to 114.67 crore from 91.25 crore. Cash flow from financing activities turned positive at 8 crore, contrasting with a negative 11 crore in the previous year, resulting in a net cash inflow of 3 crore, up from an outflow of 7 crore. Overall, Patil Automation demonstrated strong growth in revenue and profitability, alongside improved cash flow management.

Should I buy, sell or hold Patil Automation Ltd?

Why is Patil Automation Ltd falling/rising?

As of 07-Apr, Patil Automation Ltd's stock price is rising to 133.70, up 1.98%. However, despite recent gains, the stock has a year-to-date decline of 25.58% and poor long-term growth prospects, with decreasing investor participation.

As of 07-Apr, Patil Automation Ltd's stock price is rising, currently at 133.70, reflecting a change of 2.6 (1.98%) upward. This increase can be attributed to its recent performance, where the stock has outperformed its sector by 2%. Additionally, the stock has shown a significant weekly gain of 13.50%, which contrasts positively with the Sensex's increase of only 3.55% during the same period.<BR><BR>Despite this short-term rise, it is important to note that the stock has experienced a decline of 25.58% year-to-date, indicating underlying challenges. The company's management efficiency is highlighted by a high return on equity (ROE) of 23.11% and a low debt-to-equity ratio of 0.11, suggesting financial stability. However, the stock's long-term growth prospects appear poor, with net sales growing at an annual rate of only 2.40% over the last five years.<BR><BR>Moreover, there has been a notable decrease in investor participation, with delivery volume falling by 89.56% against the 5-day average, which could indicate waning interest despite the recent price increase. Overall, while the stock is currently rising, its long-term outlook remains uncertain due to slow sales growth and declining investor engagement.

Why is Patil Automation Ltd falling/rising?

As of 08-Apr, Patil Automation Ltd's stock price is rising to 143.00, reflecting a 6.96% increase. Despite strong short-term performance and efficient management, concerns about long-term growth and decreased investor participation may limit optimism.

As of 08-Apr, Patil Automation Ltd's stock price is rising, currently at 143.00, reflecting a change of 9.3 or 6.96% increase. This upward movement can be attributed to several factors. Firstly, the stock has outperformed its sector by 1.22%, indicating stronger performance relative to its peers. Additionally, the stock has shown a significant increase of 11.98% over the past week, which is notably higher than the Sensex's increase of 5.81% during the same period.<BR><BR>Despite this positive short-term performance, it is important to note that the stock has experienced a decline of 7.11% over the past month and a year-to-date drop of 20.40%. However, the company's management efficiency is highlighted by a high Return on Equity (ROE) of 23.11%, and it maintains a low Debt to Equity ratio of 0.11, which are generally favorable indicators for investors.<BR><BR>On the downside, there are concerns regarding the company's long-term growth, as net sales have only grown at an annual rate of 2.40% over the last five years. Furthermore, there has been a notable decrease in investor participation, with delivery volume falling by 46.19% against the five-day average. This decline in trading activity could suggest a lack of confidence among investors despite the recent price increase.<BR><BR>In summary, while Patil Automation Ltd's stock is currently rising due to strong short-term performance and efficient management, underlying concerns about long-term growth and reduced investor participation may temper this optimism.

Why is Patil Automation Ltd falling/rising?

As of 09-Apr, Patil Automation Ltd's stock price is rising to 155.00, reflecting an 8.39% increase. This rise is supported by strong short-term performance and solid financial metrics, despite a year-to-date decline and reduced investor participation.

As of 09-Apr, Patil Automation Ltd's stock price is rising, currently at 155.00, reflecting a change of 12.0 or 8.39%. This increase can be attributed to several factors. Notably, the stock has outperformed its sector by 9.57% today, indicating strong relative performance. Additionally, the stock's current price is higher than its 5-day, 20-day, and 50-day moving averages, suggesting positive short-term momentum.<BR><BR>Despite a year-to-date decline of 13.72% and a flat performance over the past month, the stock's recent rise may be influenced by its high management efficiency, evidenced by a return on equity (ROE) of 23.11%, and a low debt-to-equity ratio of 0.11 times, which indicates financial stability. Furthermore, the company has seen a significant profit increase of 49% over the past year, which could be positively impacting investor sentiment.<BR><BR>However, it is important to note that there has been a decline in investor participation, with delivery volume falling by 32.99% against the 5-day average. This could suggest that while the stock is currently rising, there may be underlying concerns regarding long-term growth, as net sales have only grown at an annual rate of 2.40% over the last five years. Overall, the combination of strong short-term performance and solid financial metrics appears to be driving the stock's rise at this time.

Which are the latest news on Patil Automation?