Geekay Wires Limited

Industrials — Electrical Equipment & Parts · NSE

₹29.36+₹0.28 (+0.96%)

DalalBaazaar Score

54 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

High

Driven by moderate debt load, negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with modest growth. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:01 pm

Understanding the Business

Company site ↗

The 60-second version of Geekay Wires Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Geekay Wires Limited manufactures and sells galvanized steel wires, collated and bulk nails, stainless steel fasteners, and other specialty products in India and internationally.

IndustryElectrical Equipment & Parts

SectorIndustrials

Employees553

Annual revenue₹441 Cr

How does it make money?

Turns over ₹441 Cr a year. Of every ₹100 of sales, about ₹7 reaches shareholders as profit, with ₹13 left at the operating level before interest, tax and depreciation. Each of its 553 employees supports ₹79.7 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹79.7 lakh

Who are its competitors?

The closest listed comparisons in its industry are SIEMENS LTD, ABB INDIA LIMITED, HAVELLS INDIA LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 17.9% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE17.1%

What has been driving growth?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +10% while net margin moved +12% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+10%

Margin effect+12%

DalalBaazaar Score

54/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue CAGR of only 3.3% — barely ahead of inflation
✗ Profit CAGR of only 7.2%

Quality vs. Valuation

Company Quality

51/ 100

Average

How good the business is, ignoring the share price entirely.

Valuation

78/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

10.7x

3Y Median

9.4x

40 monthly readings · mean 10.9x · range 4.6x–24.4x

Sector Median

88.8x

median of 3 sector peers

⚠️Current valuation is approximately 13% above its 3y median of 9.4x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 88% below the peer median of 88.8x.

vs. its own history

Fair

9.4x median over 40 months · +13%

vs. sector peers

Cheap

88.8x median of 3 peers · -88%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

7.9x

PEG

1.49

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 33.2% to 17.5% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 33.3% to 17.9% — often a sign of competition or overexpansion.

Red Flags

4 items require attention · 1 high · 3 watch

🔴Debt has risen sharplyFinancial
Total debt is up 56% over 3 years, from ₹92 Cr to ₹144 Cr.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹27 Cr in the latest year.
🟡Inventory building faster than salesFinancial
Inventory up 45% against revenue up 10% — stock may not be moving.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 100% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 88% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Growth barely outpaces inflation
Revenue compounding at 3.3% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
Returns on shareholder capital are falling
ROE has dropped from 33.2% to 17.5%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 11%✓ 13.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA stays below 2x✗ 2.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
3Free cash flow remains positive✗ -₹27 Cr
Profit that never becomes cash eventually stops being profit.
4Revenue growth stays above 4% a year✗ 3.3% CAGR
Latest reported year was 3.5%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
5ROCE stays above 15%✓ 17.9%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 11 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 4 neutral · 1 weak

Market Cap

₹307 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

10.7x

Cheap

Cheap against the generic band

P/B Ratio

0.17x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹2.74

Profitable

Profitable on a per-share basis

ROE

17.4%

Strong

Strong capital efficiency

ROCE

17.9%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.89x

Moderate

Moderate leverage

Revenue Growth (YoY)

3.5%

Modest

Modest growth

Profit Growth (YoY)

700.0%

Healthy

Profits growing at a healthy clip

Dividend Yield

1.19%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

-₹44 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

8.7%

Good

Assets are working hard

Operating Margin

9.6%

Average

Average margins

Net Margin

6.5%

Average

Average bottom-line conversion

Current Ratio

3.50

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.51

Defensive

Steadier than the market

52W Range Position

59%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

31.5 / 28.0

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

38.8

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹399 Cr	₹412 Cr	₹458 Cr	₹441 Cr	+3.3%
EBITDA	₹48 Cr	₹65 Cr	₹63 Cr	₹57 Cr	+6.1%
EBITDA Margin	12.0%	15.9%	13.7%	13.0%	—
PAT (Net Profit)	₹24 Cr	₹39 Cr	₹36 Cr	₹30 Cr	+7.2%
EPS	₹2.34	₹7.37	₹3.47	₹2.88	+7.2%
ROE	33.2%	35.2%	25.0%	17.5%	—
ROCE	33.3%	45.6%	30.2%	17.9%	—
Total Debt	₹92 Cr	₹73 Cr	₹111 Cr	₹144 Cr	+16.0%
Free Cash Flow	₹34 Cr	₹40 Cr	-₹22 Cr	-₹27 Cr	—

🟢 Revenue has grown at 3.3% a year over 3 years.

🟢 EBITDA has grown at 6.1% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 13.0% over 3 years.

🟢 PAT (Net Profit) has grown at 7.2% a year over 3 years.

🟢 EPS has grown at 7.2% a year over 3 years.

🔴 ROE has fallen from 33.2% to 17.5% over 3 years (-15.6 pts).

🔴 ROCE has fallen from 33.3% to 17.9% over 3 years (-15.3 pts).

🔴 Total Debt has grown at 16.0% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹34 Cr to -₹27 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹350 Cr

Total Liabilities

₹178 Cr

Cash & Equivalents

₹2 Cr

Operating Cash Flow

₹21 Cr

Capex

-₹48 Cr

Corporate Actions

Dividend Rate

₹0.35

Ex-Dividend Date

02 Sept 2026

Peer Comparison

Company	P/E	ROE
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%
HAVELLS INDIA LIMITED	43.5x	17.1%

Recent News

1 positive1 mixed2 negative2 general

Geekay Wires vs Nifty 50: Share Price Performance Compared

Univest, 24 Sept

Geekay Wires standalone net profit declines 19.75% in the June 2026 quarter

Business Standard, 04 AugResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Stake Buy: Geekay Wires shares surge 3.7% after its promoters increase stake By Trade Brains

Investing.com India, 02 JanM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

Geekay Wires Share: Steel Wire Manufacturer Worth Buying in 2026?

Univest, 18 Aug

Geekay Wires Q1 Results: Net profit falls 20% YoY to ₹5.77 crore

scanx.trade, 04 AugResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Geekay Wires Stock Split 1:2 Effective Oct 30

HDFC Sky, 29 OctCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongValuation

MiddlingBusiness Quality · Financial Health · Profitability

WeakGrowth · Risk

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 1 high-severity red flag sits above this conclusion and should be read first.

3 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Free cash flow remains positive; Revenue growth stays above 4% a year · see Key things to watch ↑