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Power Mech Projects Limited (POWERMECH) Fair Value & Analysis

Industrials · IN · Market cap ₹86.6B

PM Power Mech Projects Limited POWERMECH · NSE
Price₹2,452
Fair Value₹2,418
Upside-1.4%
Quality44/100
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Expensive Growth
Thin margins · 6.0% net margin
Low debt · generates free cash flow
Mixed vs. peers (8/14)
Moderate moat 52/100
Evidence: High Range ₹1,383 – ₹3,022 Share as image

Fair value as of: Aug 13, 2026

From 26 valuation models · updated 4 days ago

Share price −4.0% over the past month.

Below-average quality, currently priced close to our fair value.

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What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • A fairly wide model range (₹1,383 to ₹3,022) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹3,504 ₹281.79 Fair Value ₹2,418 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹281.79 – ₹3,504 · fair‑value band ₹1,383 – ₹3,022 · the ₹2,452 price screens above the ₹2,418 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Power Mech Projects Limited (POWERMECH) currently trades at ₹2,452, while our model-based Fair Value estimate is ₹2,418, implying the stock looks roughly 1.4% fairly valued today. The Quality Score stands at 44/100 (below-average quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Power Mech Projects Limited generated revenue of ₹60.6B at a net margin of 6.0%. Revenue grew 13.9% year over year. It earns a return on equity of 17.3%. Net debt stands at ₹1.7B. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹1,383 (bear case) to ₹3,022 (bull case); at ₹2,452, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 28% below its 52-week high and 43% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -34% fair-value upside, at -1%, POWERMECH screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF ₹547.52 ₹1,000 ₹1,772 80
Residual Income ₹785.09 ₹1,068 ₹3,631 76
Rev-Margin DCF ₹1,571 ₹3,176 ₹5,480 74
All 26 models by family
DCF Models
FCF DCF ₹562.44 ₹911.92 ₹1,829 38
Owner Earnings ₹603.09 ₹1,143 ₹2,215 31
5Y Revenue Exit ₹1,571 ₹3,251 ₹5,844 39
5Y EBITDA Exit ₹1,727 ₹3,602 ₹6,277 41
5Y P/E Exit ₹1,483 ₹3,085 ₹5,106 38
10Y Revenue Exit ₹1,187 ₹2,750 ₹5,355 36
10Y EBITDA Exit ₹1,365 ₹3,025 ₹6,016 37
10Y P/E Exit ₹1,196 ₹2,594 ₹4,935 35
Earnings-Based
Graham-Dodd ₹782.84 ₹4,897 ₹6,838 54
Lynch FV ₹1,410 ₹2,015 ₹2,619 50
PEG = 1.0 ₹1,410 ₹2,015 ₹2,619 46
EPV ₹1,580 ₹1,824 ₹2,036 59
Dividend Discount
Gordon GGM ₹11.47 ₹23.85 ₹37.84 70
DDM Multi-Stage ₹11.47 ₹20.11 ₹25.03 61
Multiples
P/E Multiple ₹1,813 ₹2,418 ₹3,022 63
P/S Multiple ₹1,468 ₹1,957 ₹2,446 58
P/B Multiple ₹1,468 ₹1,957 ₹2,446 55
EV/EBIT ₹2,663 ₹3,510 ₹4,357 53
EV/EBITDA ₹2,295 ₹3,019 ₹3,743 54
EV/Revenue ₹1,935 ₹2,712 ₹3,490 43
Asset-Based
NCAV (Graham) ₹398.28 ₹533.69 ₹796.55 50
Growth DCF
Growth DCF ₹547.52 ₹1,000 ₹1,772 80
Rev-Margin DCF ₹1,571 ₹3,176 ₹5,480 74
Economic Profit
Residual Income ₹785.09 ₹1,068 ₹3,631 76
ROIC Compounder ₹1,898 ₹2,666 ₹3,736 72
Growth Earnings
Growth-Adj P/E ₹2,014 ₹2,877 ₹3,740 68

Widest divergence: Growth Earnings (₹2,877) versus Dividend Discount (₹20.11). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) ₹60.6B
Revenue growth (YoY) +13.9%
Net margin 6.0%
Return on equity 17.3%
Free cash flow ₹943M FY2026
P/E ratio 21.3
More key figures
Operating margin 9.7%
EPS (TTM) ₹115.22
Dividend yield 0.1%
EPS growth (YoY) +21.6%
Net debt ₹1.7B FY2026

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 44/100

Of which business quality 45 · Market factors (momentum, volatility) 46

Profitability 54
Margins and returns on capital today
Quality Growth 50
Are margins and returns improving?
Cashflow 26
Earnings quality: real cash, not paper profit
Fin. Strength 65
Balance sheet, leverage, solvency risk
Investment 27
Disciplined investing over empire-building
Low Volatility 71
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 26
Distance to the 52-week high (market factor)
Net Issuance 40
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Power Mech Projects Limited, together with its subsidiaries, provides services in power and infrastructure sectors in India and internationally.

Full company description

Power Mech Projects Limited, together with its subsidiaries, provides services in power and infrastructure sectors in India and internationally. The company engages in the erection, testing, and commissioning of boilers, turbines, and generators; balance of plant (BOP), civil works and operation and maintenance (O&M); and overhauling and renovation of thermal power plants, as well as undertakes projects in the power, hydro, railway, roads and highways, irrigation, nuclear, refinery, petrochemical, oil and gas, and steel sectors. It also provides electrical transmission and distribution; industrial construction and services for power and non-power industries; and mine development operations, as well as deals in renewable energy, such as solar parks, onshore wind, battery energy storage systems, pumped storage projects, and green hydrogen and its derivatives. In addition, the company engages in the infrastructure development, and advisory and consulting business; exploring, design and engineering, developing, operating, and working on mines; recycling of wastes generated; mining sand; mining and quarrying of river bed minerals; and installation and repair of electric power and transformer plants, as well as the constructs sewage and water treatment plants. Further, it engages in the excavation of earth and rock; separation of the ore from the waste rock; stacking and handling the waste material; monitoring environmental aspects; and provision of supporting services comprising repair shops, labs, residential quarters, warehouses, and offices, as well as software development and support services. Additionally, it manufactures components for high-capacity pumps, spare parts for hydro and thermal power plant components, components for railway electrification, and facilities and processes, as well as re-blades turbines. The company was incorporated in 1999 and is based in Hyderabad, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Power Mech Projects Limited reported revenue of ₹60.6B in FY2026 versus ₹27.1B in FY2022, a compound +22.3%/yr. Reported net income was ₹3.6B in FY2026, compounding +27.2%/yr from FY2022.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹60.6B
Latest YoY
+15.8%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+19.0%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+26.3%
Avg. growth/yr (15Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+18.2%
Revenue +22.3%/yr
FY22 ₹27.1B
FY23 ₹36.0B
FY24 ₹42.1B
FY25 ₹52.3B
FY26 ₹60.6B
Net income +27.2%/yr
FY22 ₹1.4B
FY23 ₹2.1B
FY24 ₹2.5B
FY25 ₹3.3B
FY26 ₹3.6B
Character of growth · EPS growth decomposed (2015-2026) +7.6 % p.a.
Revenue per share +5.8 pp

of which total revenue +16.0 pp · buybacks/dilution −10.2 pp

EBIT margin +2.3 pp
Tax rate +0.6 pp
Residual (interest, one-offs) −1.0 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Power Mech Projects Limited Fair Value". https://www.fairvalue-calculator.com/stock/POWERMECH

Peer Group

Engineering & Construction · 838 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 44 · Below median
Fair Value upside −1% · Above median
Return on equity (TTM) 17% · Top 25%
Return on assets 8% · Top 25%
Net margin (TTM) 6% · Above median
Operating margin (TTM) 10% · Above median
Revenue growth 14% · Above median
Dividend yield (TTM) 0.1% · Bottom 25%
Debt / equity 0.04× · Lower than median

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 21.3× · Pricier than median
P/B 3.44× · Pricier than 75% of peers
P/S (TTM) 1.43× · Pricier than 75% of peers
P/FCF 1.0× · Cheaper than median
EV/EBITDA 11.8× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 31 · sector 15
FUTURE 70 · sector 14
PAST 69 · sector 26
HEALTH 98 · sector 94
DIVIDEND 1 · sector 43

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹4,020 ₹1,994 -50%
Samsung C&T Corporation 028260 357,500 KRW 261,411 KRW -27%
Hyundai Engineering & Construction Co 000720 113,700 KRW 61,453 KRW -46%
Samsung E&A Co 028050 49,300 KRW 43,624 KRW -12%
Rail Vikas Nigam Limited RVNL ₹228.50 ₹48.92 -79%
Daewoo Engineering & Construction Co 047040 18,400 KRW 6,507 KRW -65%
KEPCO Engineering & Construction Company 052690 99,800 KRW 19,346 KRW -81%
GS Engineering & Construction Corporation 006360 35,200 KRW 23,135 KRW -34%
DL E&C Co 375500 73,500 KRW 148,433 KRW +102%
KEPCO Plant Service & Engineering Co 051600 46,350 KRW 43,924 KRW -5%

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Frequently asked questions

Is Power Mech Projects Limited (POWERMECH) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹2,418 versus a price of ₹2,452, about −1% (fairly valued).
What is the fair value of POWERMECH?
Our model-based fair value for Power Mech Projects Limited is ₹2,418 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹2,452.
What is the quality score of POWERMECH?
Power Mech Projects Limited has a Quality Score of 44/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Power Mech Projects Limited (POWERMECH)?
Power Mech Projects Limited reported trailing-twelve-month revenue of about ₹60.6B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of POWERMECH?
The net profit margin of Power Mech Projects Limited is about 6.0%, meaning it keeps roughly 6.0% of revenue as net income. Based on the latest reported figures.
Does Power Mech Projects Limited pay a dividend?
Power Mech Projects Limited currently shows a dividend yield of about 0.05% relative to its recent price (as of Aug 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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