KSH International Limited

Industrials — Electrical Equipment & Parts · NSE

₹939.00−₹20.40 (−2.13%)

DalalBaazaar Score

56 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

Driven by negative free cash flow, small-cap size, which brings sharper price swings.

In simple words: Strong business and financial position, with both sales and profits growing well. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:00 pm

Understanding the Business

Company site ↗

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

What does this company do?

KSH International Limited manufactures magnet winding wires in India.

IndustryElectrical Equipment & Parts

SectorIndustrials

Employees226

Annual revenue₹2,904 Cr

How does it make money?

Turns over ₹2,904 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹7 left at the operating level before interest, tax and depreciation. Each of its 226 employees supports ₹12.85 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹12.85 Cr

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?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 22.2%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 13.6% against a peer median of 17.1% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE17.1%

What is the outlook?

1 analysts covering the stock expect revenue to grow about 22.8% and earnings to grow about 38.4% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+22.8%

Est. earnings growth+38.4%

Analysts1

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +200% while net margin moved +38% 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+200%

Margin effect+38%

DalalBaazaar Score

56/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Small Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

64/ 100

Average

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

Valuation

57/ 100

Fair

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

47.7x

1.0Y Median

51.6x

12 monthly readings · mean 56.2x · range 34.5x–86.1x

Sector Median

88.8x

median of 3 sector peers

🟡Currently trading close to its 1.0y median of 51.6x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 46% below the peer median of 88.8x.

vs. its own history

Fair

51.6x median over 12 months · -7%

vs. sector peers

Cheap

88.8x median of 3 peers · -46%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

31.3x

PEG

0.79

What's Good / What's Bad

🟢 What's Going Well2

High return on capital employed
ROCE of 22.2% is the mark of a business that converts capital into profit efficiently.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

4 items require attention · 4 high

🔴Debt has risen sharplyFinancial
Total debt is up 148% over 3 years, from ₹129 Cr to ₹321 Cr.
🔴Free cash flow negative for 3 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🔴Inventory building faster than salesFinancial
Inventory up 288% against revenue up 200% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 22.2% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Cheaper than its peers
It trades 46% 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?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Small 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.
Several serious flags at once
4 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

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

1Revenue growth stays above 33% a year✓ 44.2% CAGR
Latest reported year was 108.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 5%✓ 7.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹228 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 19%✓ 22.2%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 12 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
✓ Analyst consensus isn't majority-sell
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

5 good · 3 neutral · 3 weak

Market Cap

₹6,362 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

47.7x

Expensive

Expensive — verify against sector peers

P/B Ratio

7.87x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹19.67

Profitable

Profitable on a per-share basis

ROE

13.6%

Moderate

Moderate capital efficiency

ROCE

22.2%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.40x

Low

Conservative leverage

Revenue Growth (YoY)

108.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

55.9%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹228 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

P/E (Forward)

26.6x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

5.7%

Average

Average margins

Net Margin

3.5%

Average

Average bottom-line conversion

Current Ratio

1.86

Comfortable

Healthy short-term liquidity

52W Range Position

70%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

1020.1 / 1017.8

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

36.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹968 Cr	₹1,283 Cr	₹1,805 Cr	₹2,904 Cr	+44.2%
EBITDA	₹57 Cr	₹77 Cr	₹131 Cr	₹211 Cr	+55.1%
EBITDA Margin	5.9%	6.0%	7.3%	7.3%	—
PAT (Net Profit)	₹27 Cr	₹37 Cr	₹68 Cr	₹110 Cr	+60.5%
EPS	₹3.93	₹5.51	₹10.03	₹18.37	+67.2%
ROE	13.7%	16.2%	22.8%	13.6%	—
ROCE	22.4%	24.3%	27.6%	22.2%	—
Total Debt	₹129 Cr	₹214 Cr	₹366 Cr	₹321 Cr	+35.4%
Free Cash Flow	₹40 Cr	-₹62 Cr	-₹130 Cr	-₹228 Cr	—

🟢 Revenue has grown at 44.2% a year over 3 years.

🟢 EBITDA has grown at 55.1% a year over 3 years.

🟢 EBITDA Margin has risen from 5.9% to 7.3% over 3 years (+1.4 pts).

🟢 PAT (Net Profit) has grown at 60.5% a year over 3 years.

🟢 EPS has grown at 67.2% a year over 3 years.

🟡 ROE has held roughly flat at 13.6% over 3 years.

🟡 ROCE has held roughly flat at 22.2% over 3 years.

🔴 Total Debt has grown at 35.4% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹40 Cr to -₹228 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,323 Cr

Total Liabilities

₹514 Cr

Cash & Equivalents

₹72 Cr

Operating Cash Flow

-₹65 Cr

Capex

-₹163 Cr

Shareholding (proxy)

Institutional Holding

12.4%

Insider Holding

74.6%

Analyst Consensus

Recommendations

1 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹1,060

+12.9% vs CMP

Target Range

₹1,060 – ₹1,060

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 mixed5 general

KSH INTERNATIONAL LIMITED Share Price - Live NSE: KSHINTL Stock Price & Chart

Upstox, 16 Oct

KSH International Ltd Peer Comparison – Compare with Others

Value Research, 30 Aug

GMP Alert! ICICI Prudential AMC IPO vs KSH International IPO: Subscription, GMP Trend, Listing Gains & Outlook

Goodreturns, 16 Oct

KSH International vs Nifty 50: Share Price Performance Compared

Univest, 01 Oct

Compare with

Equitymaster, 16 Oct

Ksh International Schedules Analyst And Investor Meeting For September 4 At 4 PM

Sahi, 31 AugAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Watch Items

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

DalalBaazaar Thesis

StrongGrowth

MiddlingBusiness Quality · Financial Health

WeakProfitability · Valuation · 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. 4 high-severity red flags sit above this conclusion and should be read first.

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑