Overall Fundamental outlook

Business Operations:

Sector: Consumer Cyclical
Industry: Furnishings, Fixtures & Appliances

Voltas Limited operates as an air conditioning and engineering solution provider primarily in India, the Middle East, Africa, and internationally. It operates through three segments: Unitary Cooling Products for Comfort and Commercial Use; Electro-Mechanical Projects and Services; and Engineering Products and Services. The company manufactures, sells, and services cooling appliances and cold storage products, such as air conditioners, air coolers, freezers, visi coolers, water coolers and dispensers, variable refrigerant flow, and chillers, as well as washing machines, microwave, and dishwashers. It also undertakes electro-mechanical projects, including electrical; heating, ventilation, and air conditioning projects; and plumbing, firefighting, extra low voltage, and specialized activities. In addition, the company provides facilities maintenance and hard services, such as operations and maintenance contracts in various sectors, AMCs, retrofits and energy management, etc. Further, it engages in the provision of water treatment solutions for industrial and domestic sewage segments, as well as last mile connectivity of water under various government schemes; sale of capital machinery for textile industry; sale of spares and accessories for textile equipment; and sale of mining and construction equipment. Additionally, the company offers operations and maintenance services for mining and construction industry; sells mining and construction equipment; manufactures ducts and duct accessories; and undertakes engineering, procurement, and construction projects. It also engages in the drilling, irrigation, and landscaping activities; and construction of water treatment plants. Voltas Limited was incorporated in 1954 and is headquartered in Mumbai, India.

Revenue projections:

Revenue projections for VOLTAS
Revenue projections for VOLTAS

Investors are expected to be cautious with VOLTAS, as its revenues are projected to fall compared to last year. A decline in revenue often results in a negative impact on profitability, prompting concerns about the company's financial stability and making investors more conservative in their approach.

Financial Ratios:

currentRatio 1.478000
forwardPE 37.240368
debtToEquity 13.638000
earningsGrowth 1.068000
revenueGrowth 0.134000
grossMargins 0.223750
operatingMargins 0.077500
trailingEps 25.420000
forwardEps 33.850000

With a current ratio 1.478, VOLTAS demonstrates the ability to service its short-term debt without difficulty. The company's strong cash reserves and current assets ensure that it can meet its liabilities, reflecting financial stability and healthy liquidity.
VOLTAS's low Debt-to-Equity ratio signals the company is not over-leveraged, meaning it has a conservative approach to debt. This reduces financial risk and indicates a stable financial foundation, providing flexibility and security, which can appeal to investors seeking lower-risk investments.
With earnings and revenue growth in positive territory, Voltas Limited is projected to expand its business. This strong financial performance suggests the company will continue to grow, as increased profitability and sales drive future success.
VOLTAS's forward EPS surpassing its trailing EPS signals projected growth in profitability, with the company expected to perform better this year. This forecast suggests that VOLTAS's earnings will improve compared to the previous financial year, highlighting optimism in its financial outlook.

Price projections:

Price projections for VOLTAS
Price projections for VOLTAS

The price of VOLTAS has regularly been close to the lower end of projections, suggesting that it might be struggling to meet market expectations. This trend raises questions about the company's future performance.

Recommendation changes over time:

Recommendations trend for VOLTAS
Recommendations trend for VOLTAS


Analysts have shown a buy bias for VOLTAS, marking it as a favorable investment option. This could inspire investors to see VOLTAS as a strong place to park their money, given the positive outlook and growth potential associated with the stock in recent evaluations.