Servotech Power Systems LtdNSE:SERVOTECH
Current view Q1 2027
Assembles solar inverters, panels and EV chargers. No earning trigger visible and management is not consistent. The story has rotated EV to solar to battery storage, operating cash flow has been negative four years running, borrowings tripled to ₹198 cr, and foreign holding has gone from 8.9% to 0.05%.
Latest exchange filings last 5 · 5 after Q1 2027
- 3 Sep ’26AGM notice and annual report dispatched; 22nd AGM on 25 September 2026 via VC/OAVM. ↗
- 2 Sep ’2622nd AGM on 25 Sept 2026 via VC/OAVM; proposes MD/WTD reappointments, 800 Cr borrowing limit, 500 Cr RPT. ↗
- 31 Aug ’26Servotech announces AGM on 25 September 2026 via VC/OAVM and remote e-voting. ↗
- 27 Aug ’26AGM book closure from 19–25 Sept 2026; record date 18 Sept 2026 for final dividend, if approved. ↗
- 27 Aug ’26Board fixed 22nd AGM on 25 Sep 2026, record date 18 Sep, approved ₹800 crore borrowing limit and MD reappointment. ↗
Exchange filings, with the company's own one-line summary, read off the same page as the figures. Screener publishes only the most recent few, so this is the last 5 — not everything filed since your note, and a quiet-looking list is not proof of a quiet quarter. A filing is marked new when it is dated after the end of the quarter your note covers. Not scored, and not a judgement — a routine repayment notice and a takeover sit in the same list.
AI concall report · Q1 2027
The full earnings-call read behind this view — what management promised, what they delivered, and the earning trigger.
Growth Q1 2027
| Metric | This year vs lastYoY · vs Q1 2026 | vs the quarter beforeQoQ, sequential · vs Q4 2026 | 3-year yearly average3Y CAGR · compounded | 5-year yearly average5Y CAGR · compounded |
|---|---|---|---|---|
| Sales | ▲ +57.8% | −0.7% | +34.2% | +50.5% |
| Operating profit | ▲ +96.3% | −9.3% | +52.5% | +63.9% |
| EPS | ▲ +78.3% | −24.1% | +42.0% | +97.2% |
| PAT | ▲ +77.1% | −28.1% | — | — |
Tinted rows drive the Tier. Tier = the weaker of YoY Sales and YoY PAT growth. Here the weaker is Sales at +57.8%, which is ≥ 20% → Tier 1.
QoQ is sequential, not a trend. For most Indian companies the March quarter is seasonally the largest, so a June-quarter fall against it is a calendar effect. Only the YoY column feeds the Tier.
Multibagger potential
Average59/100
Cheap, and growing fast. Profit per share grew 42% a year, while the price-tag on its earnings actually got smaller. That gap — real growth nobody has paid up for — is exactly what this score looks for.
₹72 → ₹145 needs the P/E at 30× — it is 44× today, and has ranged 8.3× to 353× over the last 5 years. The rest would come from earnings growing as they have.
What you pay for its profitlog scale · 5-year range
Tripling needs 46× — inside its 5-year range, under the 89× median.
Target capped at 42× — its 94× five-year average came from near-zero earnings.
At ₹70 the price-tag on its earnings reaches the 42× it is being projected toward — the point where being cheap against that yardstick is used up.
De-rating while below every EMA — value-trap risk, not a coiled spring.
How this is calculated
This is arithmetic, not a forecast — Return = ΔEPS × ΔMultiple. It says what would have to be true, not how likely it is, and "earnings keep growing at this rate for three more years" is the assumption doing the most work. This is a small-cap at ₹1,654 cr, so the odds of a re-rate are not fighting its own size.
Why the target is capped at 42×. This company averaged 94× over five years, but a multiple that high comes from near-zero earnings rather than from what buyers chose to pay — projecting a return to it would price in the collapse, not the recovery. 42× is what a 42% grower supports.
Growth rate used: 42.0% — the weakest of EPS / Sales / Op-profit from 3-year EPS CAGR. Latest quarter reads 60%.
How it compares with its rivals Consumer Electronics · 6 of 60 listed
These are the industry's largest names rather than companies of its own size, so the columns are worth reading straight across — a ranking against them would only be restating the size gap.
| Company | Price | P/E | Size | ROCE | Profitlast qtr | Saleslast qtr |
|---|---|---|---|---|---|---|
| Servotech Renew | ₹73 | 43.8× | ₹1,639 Cr | 12.8% | +74.6% | +57.8% |
| Apar Inds. | ₹18,324 | 63.7× | ₹76,727 Cr | 31.8% | +77.8% | +29.1% |
| Waaree Energies | ₹2,531 | 18.1× | ₹72,807 Cr | 38.5% | +14.1% | +79.2% |
| Premier Energies | ₹898 | 24.6× | ₹40,769 Cr | 32.7% | +50.5% | +35.3% |
| Emmvee Photovol. | ₹329 | 17.8× | ₹22,754 Cr | 44.8% | +102.6% | +51.3% |
| Diamond Power | ₹375 | 120.9× | ₹22,422 Cr | 24.2% | +197.8% | +133.0% |
Screener's own peer group, from the request already made for the industry P/E. It serves the industry's largest names by market cap, not companies of a similar size, so treat this as context rather than a like-for-like table; this company is always shown. On a phone the price, size and sales columns are dropped rather than pushed off the edge. Not part of the score.
Business quality to Jun 2026
| Are the margins widening? | broadly flat | operating margin 9% → 9% over 3 years |
|---|---|---|
| Did the profit turn into cash? | very little of it arrived as cash | -3% last year, -33% over three · free cash flow −₹105 cr, positive in 1 of 5 years |
| Is the growth borrowed? | borrowed about as much as it owns | ₹211 cr — 0.73× its own equity (was 0.33×) |
| Is it being collected? | customers are taking longer to pay | 119 days to collect, up 40 in a year · cash cycle 61 days |
| Who has been buying? | the promoters have held steady | promoters 58.6%, 60.6% → 58.6% over 2.8 years · FIIs 0.1% (−2.9) · shareholders 34,332 → 1,95,902 |
| What does it earn on its capital? | earns a fair return on its capital | ROCE 12.8% · ROE 12.8% |
Fetched from the filings, not typed — and deliberately not part of the score. These are the questions the score cannot ask: it reads growth, price and trend, so a company can score well while its profit never becomes cash. Weigh these beside the note, not against the number.
Screener's own checklist not mine, not the score
In its favour
- Company is expected to give good quarter
- Company has delivered good profit growth of 98.5% CAGR over last 5 years
Against it
- Stock is trading at 5.65 times its book value
- Company has a low return on equity of 13.8% over last 3 years.
- Debtor days have increased from 95.8 to 119 days.
Generated by screener.in from a fixed checklist — not written by me and not an input to the score. It is here as a second machine opinion to weigh against the note; where it disagrees with the view above, the note is the considered one.