Adani Energy Solutions Limited
Adani Energy Solutions Limited Fundamental Analysis
Adani Energy Solutions Limited (ADANIENSOL.BO) shows weak financial fundamentals with a PE ratio of 54.18, profit margin of 8.47%, and ROE of 9.95%. The company generates $265.2B in annual revenue with strong year-over-year growth of 43.11%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 43.5/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ADANIENSOL.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakADANIENSOL.BO struggles to generate sufficient returns from assets.
Valuation Score
ModerateADANIENSOL.BO shows balanced valuation metrics.
Growth Score
ModerateADANIENSOL.BO shows steady but slowing expansion.
Financial Health Score
ModerateADANIENSOL.BO shows balanced financial health with some risks.
Profitability Score
WeakADANIENSOL.BO struggles to sustain strong margins.
Key Financial Metrics
Is ADANIENSOL.BO Expensive or Cheap?
P/E Ratio
ADANIENSOL.BO trades at 54.18 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ADANIENSOL.BO's PEG of -41.33 indicates potential undervaluation.
Price to Book
The market values Adani Energy Solutions Limited at 5.20 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 9.06 times EBITDA. This is generally considered low.
How Well Does ADANIENSOL.BO Make Money?
Net Profit Margin
For every $100 in sales, Adani Energy Solutions Limited keeps $8.47 as profit after all expenses.
Operating Margin
Core operations generate 32.88 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.95 in profit for every $100 of shareholder equity.
ROA
Adani Energy Solutions Limited generates $2.72 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Adani Energy Solutions Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Adani Energy Solutions Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
ADANIENSOL.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
54.18
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-41.33
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.20
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.59
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.95
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.33
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How ADANIENSOL.BO Stacks Against Its Sector Peers
| Metric | ADANIENSOL.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 54.18 | 19.51 | Worse (Expensive) |
| ROE | 9.95% | 940.00% | Weak |
| Net Margin | 8.47% | 9081.00% | Weak |
| Debt/Equity | 1.95 | 1.73 | Neutral |
| Current Ratio | 1.33 | 1.48 | Neutral |
| ROA | 2.72% | -169.00% (disorted) | Weak |
ADANIENSOL.BO outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Adani Energy Solutions Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
105.27%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
40.88%
Industry Style: Defensive, Dividend, Income
High GrowthFCF CAGR
57.67%
Industry Style: Defensive, Dividend, Income
High Growth