Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Electrical Equipment & Parts

Amara Raja Energy & Mobility Limited, together with its subsidiaries, manufactures and sells lead-acid storage batteries for industrial and automotive applications in India and internationally. It operates through two segments, Lead Acid Batteries and Allied Products; and Others. The company provides new energy business related products; installation, commissioning, and maintenance services; and industrial chargers, integrated power systems, electric vehicle chargers for 2W and 3W applications, and other energy management devices. In addition, it develops, manufactures, and sells energy storage products, solutions, and technologies related to lithium cells, advanced cell chemistries, battery packs, and components. The company sells its batteries under the Amaron, PowerZone, Power Stack, AmaronVolt, and Quanta brands. It exports its products to various countries in the Indian Ocean Rim. The company supplies its batteries to various customer groups, such as telecom, railways, solar, motive, power control, international operations, defence, and UPS; and automobile original equipment manufacturers, replacement markets, and private label customers. The company was formerly known as Amara Raja Batteries Limited and changed its name to Amara Raja Energy & Mobility Limited in September 2023. Amara Raja Energy & Mobility Limited was incorporated in 1985 and is based in Hyderabad, India.

Revenue projections:

Revenue projections for ARE&M
Revenue projections for ARE&M

The projected decline in Amara Raja Energy & Mobility Limited's revenues compared to last year is expected to make investors cautious. A drop in revenue often has a direct negative effect on the company's bottom line, signaling potential challenges that could undermine investor confidence and reduce overall profitability.

Financial Ratios:

currentRatio 1.83600
forwardPE 15.64838
debtToEquity 3.53000
earningsGrowth -0.38100
revenueGrowth 0.05200
grossMargins 0.32436
operatingMargins 0.06431
trailingEps 51.57000
forwardEps 0.00000

ARE&M's current ratio of 1.836 highlights the company's solid liquidity, indicating that it can easily service its short-term debt. ARE&M's ample cash reserves and current assets ensure that the company is well-positioned to meet its immediate financial liabilities.
Amara Raja Energy & Mobility Limited's Forward PE is in a favorable range, meaning its stock price compares well with its earnings and isn't overpriced. This leaves room for growth, making it a compelling opportunity for investors looking to benefit from potential future gains.
ARE&M's low earnings and revenue growth suggest shrinking profits. This negative trend could indicate that the company is struggling to maintain its financial performance and may face challenges ahead.
ARE&M's negative gross and operating margins indicate that the company is unable to generate profit from its core business activities. This suggests financial strain and could be a sign of deeper cost management issues.

Price projections:

Price projections for ARE&M
Price projections for ARE&M

Over time, ARE&M's price projections have steadily declined, reflecting reduced confidence in the company's future performance. The downward revisions suggest analysts are becoming more conservative in their assessments.

Recommendation changes over time:

Recommendations trend for ARE&M
Recommendations trend for ARE&M


A recent buy bias from analysts toward ARE&M may inspire confidence in investors, who could view the stock as a promising investment. This positive sentiment suggests that ARE&M might be an appealing option for those looking to grow their wealth through stock market investments.