Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Electrical Equipment & Parts

Amara Raja Energy & Mobility Limited, together with its subsidiaries, manufactures and sells lead-acid storage batteries for industrial and automotive applications in India and internationally. It operates through two segments, Lead Acid Batteries and Allied Products; and Others. The company provides new energy business related products; installation, commissioning, and maintenance services; and industrial chargers, integrated power systems, electric vehicle chargers for 2W and 3W applications, and other energy management devices. In addition, it develops, manufactures, and sells energy storage products, solutions, and technologies related to lithium cells, advanced cell chemistries, battery packs, and components. The company sells its batteries under the Amaron, PowerZone, Power Stack, AmaronVolt, and Quanta brands. It exports its products to various countries in the Indian Ocean Rim. The company supplies its batteries to various customer groups, such as telecom, railways, solar, motive, power control, international operations, defence, and UPS; and automobile original equipment manufacturers, replacement markets, and private label customers. The company was formerly known as Amara Raja Batteries Limited and changed its name to Amara Raja Energy & Mobility Limited in September 2023. Amara Raja Energy & Mobility Limited was incorporated in 1985 and is based in Hyderabad, India.

Revenue projections:

Revenue projections for ARE&M
Revenue projections for ARE&M

Amara Raja Energy & Mobility Limited's revenue projections indicate a decrease from the prior year, which may make investors hesitant. A revenue decline could harm the company's bottom line, prompting investors to be more careful, as lower earnings often signal potential issues with profitability and future performance.

Financial Ratios:

currentRatio 1.641000
forwardPE 15.019666
debtToEquity 5.015000
earningsGrowth 0.945000
revenueGrowth 0.155000
grossMargins 0.321330
operatingMargins 0.064400
trailingEps 48.930000
forwardEps 57.667730

Amara Raja Energy & Mobility Limited's current ratio being 1.641 shows it has more than enough assets to cover its short-term debts. The company's liquidity position is strong, with ample cash reserves available to meet its immediate financial obligations without strain.
ARE&M's Forward PE ratio is favorable, meaning the stock price aligns well with earnings and isn't overvalued. This allows room for growth, making it an attractive investment for those seeking potential upside while ensuring the stock is not overpriced.
ARE&M's positive earnings and revenue growth suggest the company is on a path to business expansion. This upward trend signals strong financial health, indicating that ARE&M is well-positioned for sustained growth in both profits and revenue.
ARE&M'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 ARE&M's earnings will improve compared to the previous financial year, highlighting optimism in its financial outlook.

Price projections:

Price projections for ARE&M
Price projections for ARE&M

Throughout its recent performance, ARE&M's price has been consistently close to the lower range of projected values. This suggests that the company may face challenges in achieving higher valuations in the eyes of investors.

Recommendation changes over time:

Recommendations trend for ARE&M
Recommendations trend for ARE&M


Analysts have recently shown a sell bias for Amara Raja Energy & Mobility Limited, signaling a need for caution. Investors should not rely solely on this sentiment but instead consider a variety of market indicators to make more informed decisions about the stock's future prospects and potential risks.