Sector Alpha Week of 2026-07-31
Sector Alpha — machine-written from the numbers · Data as of 2026-07-31

NELCO Ltd

NELCO
Telecom Services

NELCO Ltd's price has outrun its earnings. +16.9% in a year against EPS −65.3% — the market is paying now for delivery later.

The sharpest disagreement: the price moved +16.9% in a year while annual EPS moved −65.3% — the difference is re-rating, and re-rating has to be repaid with earnings.

The price is in a confirmed uptrend (5 weeks in) while the P/E sits at the 100th percentile of its own 10-year range. Underneath, the last four quarters read improving — profit +30.0% year on year, and 216% of the last 3 years' profit arrived as cash. What settles it: whether earnings grow into a price that has already moved.

Stage
Turning around
partial read
Price
₹1,016
+16.9% 1Y
P/E
388.0×
100th pctile
of its own 10-year range
Revenue (Jun 26)
₹80.0 Cr
+7.0% YoY
Profit (Jun 26)
₹2.3 Cr
+30.0% YoY
Operating margin
10.4%
+0.1 pp YoY
ROCE
7%
FY26
ROIC
3.6%
vs WACC 12.0% → −8.4 pp
Cash conversion
216%
of profit, last 3 FY
Unverified figures: Some figures on this page come from a second financial-data feed that could not be cross-checked against the primary source — the two do not share enough overlapping reported history to compare. They are drawn, because they are the only evidence there is, and every section carrying one is marked unverified. PEG is the exception: the quarterly curve is not drawn at all. PEG asks what is being paid for growth — both sides of that division come from the source that could not be checked, so it is withheld instead of marked.
01 · Price story

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

NELCO Ltd trades at ₹1,016, in a confirmed uptrend and 5 weeks into that stage. That is +30.6% against its own 200-day average. It sits at 100% of a 52-week range of ₹538 to ₹1,016. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 19 straight weeks.

Today the stock is in a confirmed uptrend — week 5 of stage 2, confirmed. At ₹1,016 it trades +30.6% versus its 200-day average and sits at 100% of its 52-week range (₹538–₹1,016).

Jul 26: ₹1,016 Weekly closing price (₹) with 50- and 200-day averages; shaded bands mark the price stage (grey base, green advance, amber top, red decline). 3-year window.
+30.6% versus the 200-day line, week 5 of stage 2
Price50-day avg200-day avg
S2S4S2S4S4₹1,508₹1,248₹987₹726₹466₹1,016₹778Jul 23May 24Feb 25Nov 25Jul 26
S2S4S2S4S4₹1,508₹1,248₹987₹726₹466₹1,016₹778Jul 23Feb 25Jul 26
Beating or trailing, week by week since 2016 Each cell is one week from 2016 to now (546 weeks): the stock's trailing 13-week return minus the NIFTY 500's, green ahead / red behind (±25% ramp). Grey cells are the 13-week warm-up or weeks where the NIFTY 500 reading is not held.
trailing 13-week return vs the NIFTY 500
Mar 16Jul 26

Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +1,114% while the NIFTY 500 moved +276% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 19 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

02 · Valuation

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

NELCO Ltd trades at 388.0× P/E, about the priciest it has ever traded. Its long-run median P/E is 68.3×, measured across 10.3 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 388.0× is about the priciest it has ever traded, against a long-run median of 68.3× measured over 10.3 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

P/E 388.0× vs a 68.3× long-run median P/E, weekly (left axis); earnings per share, trailing twelve months, weekly (right axis). 10.3-year window; loss-period spikes above 205× shown pinned at the top. The eps (ttm) bars are red where the reading is lower than the quarter before.
about the priciest it has ever traded
P/EMedianEPS (TTM) (quarterly)
219.3×₹11.2166.6×₹8.4114.0×₹5.661.3×₹2.88.6×₹0.0×204.80×₹3Apr 16Oct 18May 21Nov 23Jul 26
219.3×₹11.2166.6×₹8.4114.0×₹5.661.3×₹2.88.6×₹0.0×204.80×₹3Apr 16May 21Jul 26
P/E
388.0×
100th percentile of 10y

🚨 Why the multiple sits where it does: over the past year annual EPS moved −65.3% against a +16.9% price move — the price outran earnings, pushing the multiple UP its own range.

The price move, decomposed: over 5y, of the +22.3%/yr price move, ~−16.7%/yr came from earnings growth and ~+39.0 pp from the multiple (expanding); over 10y, of the +26.9%/yr price move, ~+0.5%/yr came from earnings growth and ~+26.4 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is full against its own past, so the story rests on the earnings line underneath it, not the multiple.

A quarterly PEG curve, which only the second data source carries, is not drawn on this page: its two data sources do not share enough overlapping reported history to be compared. A figure nobody could check is not used to price growth — the gap is a decision, not missing data.

03 · Stage: Turning around

Stage: Turning around Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

NELCO Ltd reads as turning around on its fundamental arc. Turning around — profit growth swung from −79.5% at the trough to −43.0%, a 2-quarter improving streak, ROCE slipping at 7.0%. The read is built from 8 quarters across 4 curves, on partial evidence.

Growth, year by year: revenue +0.7% in FY26, profit −70.0% Year-over-year growth per fiscal year, %: revenue (left axis); net profit and EPS (right axis — profit growth swings far wider). Zero line drawn.
Revenue YoYProfit YoYEPS YoY
70%222%44%143%17%65%−9.0%−13%−35%−92%%%0.7%−70%FY16FY21FY26
70%222%44%143%17%65%−9.0%−13%−35%−92%%%0.7%−70%FY16FY21FY26
Three growth curves, twelve quarters Year-on-year growth of trailing-twelve-month revenue (left axis), profit and EPS (right axis — they swing far wider), % at each quarter-end. A missing point means that reading is not held for the quarter.
the trajectory the stage is read from · revenue stabilising, profit accelerating
RevenueProfitEPS
4.1%3.1%1.0%−27%−2.1%−57%−5.3%−88%−8.4%−118%%%2%−43%−42.8%Sep 23Dec 24Jun 26
4.1%3.1%1.0%−27%−2.1%−57%−5.3%−88%−8.4%−118%%%2%−43%−42.8%Sep 23Dec 24Jun 26
ROCE Annual readings — the quarterly balance-sheet pieces this curve needs are not held for this stock, so the returns read moves once a year and carries less weight in the call.
the return curve, annual readings
ROCE
24%20%15%10%5.7%%7%FY23FY24FY26
24%20%15%10%5.7%%7%FY23FY24FY26
Revenue growth
Recovering
latest +2.0% · span −7.5% to +3.2%
Profit growth
Recovering
latest −43.0% · span −109.4% to −5.3%
EPS growth
Recovering
latest −42.8% · span −109.4% to −5.2%
ROCE
Falling
latest 7.0% · span 7.0%–23.0%

Why it matters: growth inflections are where re-ratings start — the curves say a turn is forming, so the question becomes whether the next quarters confirm it.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

Compound annual growth rate (%) Compound annual growth rate over each window, %. Revenue, profit and EPS from fiscal-year figures; share price is the price CAGR over the same spans. A dash = that window is not held, or the base was a loss.
1yr3yr5yr10yr
Revenue+0.7%−0.6%+6.3%+4.4%
Profit−70.0%−46.9%−24.2%+4.1%
EPS−65.3%−45.0%−23.2%+4.1%
Share price+16.9%+8.6%+22.3%+26.9%
Revenue YoY (Jun 26)
+7.0%
latest quarter vs a year ago
Profit YoY (Jun 26)
+30.0%
latest quarter vs a year ago
Revenue 10y
4.4%
long-run compound pace
04 · 4-Factor Sector Score

4-Factor Sector Score

34.0/100 — rank 14 of 18 in Telecom Services · 74% evidence confidence

NELCO Ltd scores 34.0 out of 100 against the 18 companies it is compared with in Telecom Services, ranking 14. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 8.5 + 7.8 + 8.5 + 9.2 = 34. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

05 · Revenue

Revenue Revenue is the top line: everything the company billed its customers in the period.

NELCO Ltd reported ₹80.0 Cr of revenue in the Jun 26 quarter, +7.0% year on year. That is the 2nd straight quarter of year-on-year growth. Over 10 years it has compounded at 4.4% a year. The last full year, FY26, came in at ₹307 Cr. The last four reported quarters add to ₹312 Cr.

FY26 revenue came in at ₹307 Cr (+0.7% on the year), capping 10 years at 4.4% compound. The latest quarter (Jun 26) printed ₹80.0 Cr, +7.0% year on year — the 2nd consecutive quarter of year-over-year growth.

FY26 revenue ₹307 Cr (+0.7% YoY) Revenue bars, ₹ Cr (left); YoY growth-% line (right). 11-year window. A bar is red when it is lower than the year before.
4.4% a year over 10 years
RevenueYoY growth
34670%25944%17317%86−9.0%0−35%₹ Cr%₹3070.7%FY16FY21FY26
34670%25944%17317%86−9.0%0−35%₹ Cr%₹3070.7%FY16FY21FY26
Jun 26: ₹80.0 Cr (+7.0% YoY) Quarterly revenue bars, ₹ Cr (left); YoY growth-% line (right). Last 12 quarters. A bar is red when it is lower than the quarter before.
2nd straight quarter of growth
Revenue (quarterly)YoY growth
9020%6710%450.0%22−10%0−20%₹ Cr%₹807%Sep 23Dec 24Jun 26
9020%6710%450.0%22−10%0−20%₹ Cr%₹807%Sep 23Dec 24Jun 26

Pace check: the last four quarters averaged +2.8% growth against the decade's 4.4% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +2.0% over the last 4 quarters against −0.6%/yr over the last 8 — stabilising; TTM profit −43.0% vs −58.6%/yr — accelerating.

06 · Operating margin

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

NELCO Ltd's operating margin is 10.4% in the Jun 26 quarter, +0.1 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −0.9% to 23.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 10.4%, +0.1 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −0.9%–23.0%.

Why the margin moved: operating margin went +0.1 pp year on year while gross margin went +4.9 pp — the gain came mostly from the gross line: input costs and pricing.

FY26: 9.0% Operating margin by fiscal year, %, line (left); year-on-year change in the margin, in percentage points, line (right). 13-year window.
within a −0.9–23.0% band over 13 years
operating marginYoY change (pp)
25%13%18%8.4%11%3.5%4.1%−1.5%−2.8%−6.4%%%9%−5%Sep 13FY20FY26
25%13%18%8.4%11%3.5%4.1%−1.5%−2.8%−6.4%%%9%−5%Sep 13FY20FY26
Jun 26: 10.4% operating margin (+0.1 pp YoY) Quarterly operating margin, %, line (left); year-on-year change in the margin, in percentage points, line (right). Last 12 quarters. Operating profit as a share of revenue, per quarter.
Operating marginYoY change (pp)
21%0.8%17%−1.7%13%−4.2%9.6%−6.7%5.9%−9.2%%%10.4%0.1%Sep 23Dec 24Jun 26
21%0.8%17%−1.7%13%−4.2%9.6%−6.7%5.9%−9.2%%%10.4%0.1%Sep 23Dec 24Jun 26
07 · Net profit

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

NELCO Ltd earned ₹2.3 Cr of net profit in the Jun 26 quarter, +30.0% year on year. Full-year FY26 profit was ₹3.0 Cr. The 10-year compound rate is 4.1%. That is 2.9% of the quarter's revenue. The same quarter a year earlier earned ₹1.8 Cr. 2 of the last 12 reported quarters were loss-making.

Jun 26 profit was ₹2.3 Cr, +30.0% year on year. On the full year, FY26 printed ₹3.0 Cr (−70.0%), and the 10-year compound rate is 4.1%.

FY26 profit ₹3.0 Cr (−70.0% YoY) Net profit bars, ₹ Cr (left); YoY growth-% line (right). 11-year window. A bar is red when it is lower than the year before.
4.1% a year over 10 years
Net profitYoY growth
26222%19143%1365%6−13%0−92%₹ Cr%₹3−70%FY16FY21FY26
26222%19143%1365%6−13%0−92%₹ Cr%₹3−70%FY16FY21FY26
Jun 26: ₹2.3 Cr (+30.0% YoY) Quarterly net profit bars, ₹ Cr (left); YoY growth-% line (right). Last 12 quarters. A bar is red when it is lower than the quarter before.
Net profit (quarterly)YoY growth
746%4−11%1−68%−2−126%−5−183%₹ Cr%₹230%Sep 23Dec 24Jun 26
746%4−11%1−68%−2−126%−5−183%₹ Cr%₹230%Sep 23Dec 24Jun 26

Why profit moved: revenue contributed +7.0% and the margin +0.1 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit −51.5% vs revenue +2.8%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

08 · Cash flow — the router

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 216% of NELCO Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹15.0 Cr of operating cash against ₹3.0 Cr of profit. After ₹51.0 Cr of capital spending, ₹−36.0 Cr was left as free cash.

FY26: operating cash of ₹15.0 Cr against reported profit of ₹3.0 Cr, leaving free cash of ₹−36.0 Cr after ₹51.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 216% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

FY26: CFO ₹15.0 Cr vs profit ₹3.0 Cr Operating cash flow and net profit by fiscal year, ₹ Cr; the line is free cash flow (CFO minus capital spending). 11-year window, annual resolution.
216% of 3-year profit arrived as cash
Operating cashNet profitFree cash
66379−19−48₹ Cr₹15₹3₹−36FY16FY21FY26
66379−19−48₹ Cr₹15₹3₹−36FY16FY21FY26
FY26: CFO = 500% of profit (three-year rate 216%) Operating cash as a share of net profit, per fiscal year, % (line). Dashed line = 100% — every unit of profit arriving as cash; outlier years shown pinned.
Conversion100%
316%257%198%138%79%%300%FY16FY21FY26
316%257%198%138%79%%300%FY16FY21FY26

Why conversion sits at 216%: the cash cycle stretched 277 days between FY21 and FY26 — more of each rupee of profit waits inside the cycle before arriving.

Router verdict: no single sink dominates — the next section checks both the working-capital cycle and the capital spending.

09 · Where the cash goes

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

NELCO Ltd's cash conversion cycle runs 72 days in FY26, up from −205 days in FY21. Capital spending ran ₹86.0 Cr over the last 3 years. At FY26 sales of ₹307 Cr each day of that cycle holds about ₹0.8 Cr, so roughly ₹61.0 Cr sits inside the business at any moment.

FY26: debtors at 123 days, inventory at 360 days — roughly 11.8 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 72 days, looser than FY21's −205.

The full loop: cash goes out to suppliers and production on day 0; stock waits 360 days to sell; customers pay about 123 days after that; and suppliers themselves are paid at 411 days — netting out to the 72-day cycle.

In money terms: at FY26 sales of ₹307 Cr, each day of the cycle holds about ₹0.8 Cr — so the 72-day loop keeps roughly ₹61.0 Cr sitting inside the business at any moment.

FY26: a 72-day cash cycle Debtor days, inventory days, payable days and the cash conversion cycle by fiscal year. 13-year window.
+277 days vs FY21
Cash cycleInventory daysDebtor daysPayable days
722439155−129−412days72d360d123d411dSep 13FY17FY20FY23FY26
722439155−129−412days72d360d123d411dSep 13FY20FY26

On the investment side: capital spending of ₹86.0 Cr over the last 3 fiscal years against ₹64.0 Cr of depreciation — building somewhat ahead of wear-and-tear. Capital work-in-progress stands at ₹41.0 Cr (FY26) — capacity paid for but not yet earning.

FY26: capex ₹51.0 Cr, work-in-progress ₹41.0 Cr Capital spending per fiscal year, ₹ Cr (bars); capital work-in-progress, ₹ Cr (line). Quarterly capital-spending history is not held for India — annual is the honest resolution.
steady investment
CapexWork-in-progress
664933160₹ Cr₹51₹41Sep 14FY18FY21FY23FY26
664933160₹ Cr₹51₹41Sep 14FY21FY26

The synthesis: neither the cycle nor the build-out is hoarding the cash — the machine is reasonably clean.

10 · Return on capital

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.⚠ unverified

NELCO Ltd earns a ROCE of 7% in FY26. That is up from a trough of −6% in Sep 13. Return on invested capital clears the cost of that capital by −8.4 percentage points, so growth here is not yet paying for the capital it uses. The wiring behind it is 1.0% net margin on 0.88× asset turns.

FY26 ROCE is 7%, recovered from a Sep 13 trough of −6% — the full ladder below shows the fall and the climb, undoctored.

🚨 Why the return is what it is — the wiring (FY26): 1.0% net margin × 0.88× asset turns × 2.69× balance-sheet leverage ≈ 2.4% on equity. Margin does its share; leverage is a meaningful part of the equation.

The capstone test — ROIC − WACC: 3.6% − 12.0% = a −8.4 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Negative — growth at these returns destroys value until the returns recover.

FY26: ROCE 7% Return on capital employed by fiscal year, % (line); ROIC by fiscal year, % (line). 13-year window, dips included. Dashed line = the 12.0% cost of capital used on this page.
the climb back from Sep 13's −6%
ROCEROIC (annual)WACC
29%19%10%0.7%−8.6%%7%3.6%Sep 13FY20FY26
29%19%10%0.7%−8.6%%7%3.6%Sep 13FY20FY26
Q4 FY26: ROCE 6.3% (TTM) vs WACC 12.0% Trailing-twelve-month ROCE and ROIC, per quarter, %; dashed line = the cost of capital. Last 12 quarters, put on a trailing-twelve-month basis and anchored to the annual figure.
ROCE (TTM)ROIC (TTM)WACC
28%21%15%8.1%1.5%%6.3%4.3%Q2 FY24Q3 FY25Q1 FY27
28%21%15%8.1%1.5%%6.3%4.3%Q2 FY24Q3 FY25Q1 FY27
11 · Debt

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.⚠ unverified

NELCO Ltd carries total debt of ₹73.0 Cr against shareholder equity of ₹129 Cr as of Jun 26, a debt-to-equity of 0.57. On the annual view that ratio went from 0.91 in FY22 to 0.57 in FY26. Read the returns elsewhere on this page with that leverage in mind.

Jun 26: total debt of ₹73.0 Cr against shareholder equity of ₹129 Cr — a debt-to-equity of 0.57. On the annual view, debt-to-equity went from 0.91 (FY22) to 0.57 (FY26). Read the returns on this page with that leverage in mind.

FY26: debt ₹73.0 Cr at 0.57× equity Total debt by fiscal year, ₹ Cr (bars); debt-to-equity, × (line). 5-year window.
Total debtDebt-to-equity
871.0×660.8×440.7×220.5×00.4×₹ Cr×₹730.57×FY22FY24FY26
871.0×660.8×440.7×220.5×00.4×₹ Cr×₹730.57×FY22FY24FY26
Jun 26: debt ₹73.0 Cr, debt-to-equity 0.57 Total debt per quarter, ₹ Cr (bars); debt-to-equity, × (line). Last 12 quarters. India reports the full balance sheet half-yearly, so the intervening quarter carries the prior reading forward.
Total debt (quarterly)Debt-to-equity
800.69×600.61×400.54×200.46×00.38×₹ Cr×₹730.57×Sep 23Dec 24Jun 26
800.69×600.61×400.54×200.46×00.38×₹ Cr×₹730.57×Sep 23Dec 24Jun 26
12 · Ownership

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of NELCO Ltd moved a full percentage point over the last two years — the register is quiet. Promoters moved +0.0 points over the same window, to 50.1%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: +0.8 points over 8 quarters to 5.6%; Promoters: +0.0 points over 8 quarters to 50.1%; Domestic institutions: +0.0 points over 8 quarters to 0.1%.

Fiscal-year ends: promoters +0.0 pts from Mar 24 to Mar 26 Shareholding at each fiscal-year end (March quarter), % of the company. 3 year-ends held.
PromotersForeign inst.Domestic inst.Public
54%40%25%11%−4.0%%50.1%4.7%0.3%44.7%Mar 24Mar 25Mar 26
54%40%25%11%−4.0%%50.1%4.7%0.3%44.7%Mar 24Mar 25Mar 26
A quiet register: no holder moved a full point in two years Shareholding by holder class, % of the company, quarterly, last 13 quarters.
PromotersForeign inst.Domestic inst.Public
54%40%25%11%−4.0%%50.1%5.6%0.1%44.0%Jun 23Dec 24Jun 26
54%40%25%11%−4.0%%50.1%5.6%0.1%44.0%Jun 23Dec 24Jun 26
13 · Safety line

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

NELCO Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

14 · Related companies · Telecom Services
CompanyScorePrice stageGrowth & earnings/35Capital efficiency/25Valuation/20Relative strength/20
1Bharti Airtel LtdBHARTIARTL 71.9/100Favorable setup83% evidence TURNING 23.0/35 Revenue 22% · PAT -9.8% · OPM change 1 pp 88% evidence 21.5/25 ROCE 17.6% · OPM 57% 100% evidence 14.2/20 P/E 46.2× · PEG 0.65 65% evidence 13.2/20 RS sector 11.6% · RS bench 0.1% · 1Y 1.8%0 of 10 weeks ahead 70% evidence
Exact sum: 23 + 21.5 + 14.2 + 13.2 = 71.9 · Decision use: Confirmed research leader: earnings, capital efficiency and relative strength agree. Move to management, catalyst and risk diligence.
2Suyog Telematics LtdSUYOG 68.1/100Favorable setup68% evidence BREAKING OUT 23.5/35 Revenue 15% · PAT 57.5% · OPM change 59 pp 62% evidence 17.7/25 ROCE 14.6% · OPM 75% 95% evidence 10.6/20 P/E 16.1× · PEG — 15% evidence 16.3/20 RS sector 7% · RS bench 15.9% · 1Y 0.8%9 of 12 weeks ahead 100% evidence
Exact sum: 23.5 + 17.7 + 10.6 + 16.3 = 68.1 · Decision use: Confirmed research leader: earnings, capital efficiency and relative strength agree. Move to management, catalyst and risk diligence.
3Valiant Communications Ltd526775 67.9/100Favorable setup71% evidence FADING 29.9/35 Revenue 66.9% · PAT 100% · OPM change 3.6 pp 83% evidence 20.3/25 ROCE 39.7% · OPM 38.2% 76% evidence 10.4/20 P/E 45.8× · PEG — 15% evidence 7.3/20 RS sector -3.9% · RS bench 4.3% · 1Y 56.5%8 of 12 weeks ahead 100% evidence
Exact sum: 29.9 + 20.3 + 10.4 + 7.3 = 67.9 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
4HFCL LtdHFCL 65.1/100Favorable setup74% evidence LEADER 25.8/35 Revenue 58.6% · PAT 100% · OPM change 18.7 pp 71% evidence 13.1/25 ROCE 10.9% · OPM 22% 76% evidence 6.2/20 P/E 51.8× · PEG — 50% evidence 20.0/20 RS sector 76.3% · RS bench 86.7% · 1Y 155.4%12 of 12 weeks ahead 100% evidence
Exact sum: 25.8 + 13.1 + 6.2 + 20 = 65.1 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
5Bharti Hexacom LtdBHARTIHEXA 60.5/100Mixed-positive evidence83% evidence TURNING 22.3/35 Revenue 9.4% · PAT 16.1% · OPM change 1 pp 88% evidence 21.2/25 ROCE 21.4% · OPM 52% 100% evidence 6.0/20 P/E 47.3× · PEG 3.46 65% evidence 11.0/20 RS sector 3.1% · RS bench -3.9% · 1Y -9.6%0 of 10 weeks ahead 70% evidence
Exact sum: 22.3 + 21.2 + 6 + 11 = 60.5 · Decision use: Strong business, demanding price: keep it on the quality list, but require either earnings upgrades or valuation compression.
6ADC India Communications LtdKRONECOMM 51.4/100Mixed-positive evidence78% evidence LEADER 12.0/35 Revenue 6.9% · PAT -22.6% · OPM change 0.8 pp 83% evidence 16.9/25 ROCE 31.4% · OPM 7.3% 76% evidence 6.2/20 P/E 52.2× · PEG — 50% evidence 16.3/20 RS sector 18.4% · RS bench 27.1% · 1Y 78.2%12 of 12 weeks ahead 100% evidence
Exact sum: 12 + 16.9 + 6.2 + 16.3 = 51.4 · Decision use: Price leads the evidence: RS versus the benchmark is 27.1%, but earnings trajectory is weak. Wait for revenue and profit confirmation.
7Indus Towers LtdINDUSTOWER 51.1/100Mixed-positive evidence100% evidence ASLEEP 9.5/35 Revenue 6.7% · PAT -26.6% · OPM change -1 pp 100% evidence 20.6/25 ROCE 19.5% · OPM 53% 100% evidence 16.6/20 P/E 14.4× · PEG 0.46 100% evidence 4.4/20 RS sector -12.6% · RS bench -4.6% · 1Y -0.6%0 of 12 weeks ahead 100% evidence
Exact sum: 9.5 + 20.6 + 16.6 + 4.4 = 51.1 · Decision use: Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
8Vodafone Idea LtdIDEA 49.9/100Mixed-negative evidence71% evidence LEADER 15.9/35 Revenue 3% · PAT 100% · OPM change 1 pp 65% evidence 8.1/25 ROCE -1.6% · OPM 43% 100% evidence 11.3/20 P/E 4× · PEG — 15% evidence 14.6/20 RS sector 11.6% · RS bench 20.7% · 1Y 80.7%12 of 12 weeks ahead 100% evidence
Exact sum: 15.9 + 8.1 + 11.3 + 14.6 = 49.9 · Decision use: Price leads the evidence: RS versus the benchmark is 20.7%, but earnings trajectory is weak. Wait for revenue and profit confirmation.
9Sar Televenture LtdSARTELE 49.9/100Mixed-negative evidence70% evidence ASLEEP 21.2/35 Revenue 100% · PAT 100% · OPM change 1 pp 48% evidence 12.6/25 ROCE 8.8% · OPM 17% 95% evidence 14.6/20 P/E 8.4× · PEG — 50% evidence 1.5/20 RS sector -39.9% · RS bench -33.9% · 1Y -44.9%0 of 12 weeks ahead 100% evidence
Exact sum: 21.2 + 12.6 + 14.6 + 1.5 = 49.9 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
10Tata Communications LtdTATACOMM 46.1/100Mixed-negative evidence87% evidence TURNING 12.9/35 Revenue 8.3% · PAT -44.8% · OPM change 0 pp 100% evidence 14.4/25 ROCE 14.6% · OPM 19% 100% evidence 8.4/20 P/E 48.1× · PEG 2.22 65% evidence 10.4/20 RS sector -1.7% · RS bench 0.9% · 1Y 1.6%10 of 11 weeks ahead 70% evidence
Exact sum: 12.9 + 14.4 + 8.4 + 10.4 = 46.1 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
11Tata Teleservices (Maharashtra) LtdTTML 40.6/100Mixed-negative evidence66% evidence ASLEEP 20.7/35 Revenue 11.4% · PAT -80% · OPM change 3.1 pp 71% evidence 6.8/25 ROCE -12.7% · OPM 54.7% 95% evidence 8.7/20 P/E 207.8× · PEG — 15% evidence 4.4/20 RS sector -28.2% · RS bench -16.8% · 1Y -35.1%4 of 10 weeks ahead 70% evidence
Exact sum: 20.7 + 6.8 + 8.7 + 4.4 = 40.6 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
12ITI LtdITI 36.8/100Mixed-negative evidence71% evidence ASLEEP 19.4/35 Revenue -39.6% · PAT 100% · OPM change 7 pp 65% evidence 5.4/25 ROCE 1.4% · OPM 4.3% 100% evidence 8.9/20 P/E 92.8× · PEG — 15% evidence 3.1/20 RS sector -15.6% · RS bench -8.1% · 1Y -8.8%7 of 12 weeks ahead 100% evidence
Exact sum: 19.4 + 5.4 + 8.9 + 3.1 = 36.8 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
13Tejas Networks LtdTEJASNET 34.9/100Adverse evidence71% evidence BREAKING OUT 11.8/35 Revenue -80% · PAT -80% · OPM change 42 pp 74% evidence 1.9/25 ROCE -14.6% · OPM -25% 100% evidence 10.0/20 P/E — · PEG — 0% evidence 11.2/20 RS sector -5.4% · RS bench 2.2% · 1Y -14.7%12 of 12 weeks ahead 100% evidence
Exact sum: 11.8 + 1.9 + 10 + 11.2 = 34.9 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
14NELCO Ltdthis pageNELCO 34.0/100Adverse evidence74% evidence TURNING 8.5/35 Revenue 2% · PAT -43% · OPM change 0.1 pp 95% evidence 7.8/25 ROCE 7.2% · OPM 10.4% 95% evidence 8.5/20 P/E 388× · PEG — 15% evidence 9.2/20 RS sector -21.7% · RS bench 31.2% · 1Y 18.8%10 of 10 weeks ahead 70% evidence
Exact sum: 8.5 + 7.8 + 8.5 + 9.2 = 34 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
15OnMobile Global LtdONMOBILE 33.6/100Thin evidence · provisional59% evidence TURNING 9.4/35 Revenue -9.8% · PAT 72.5% · OPM change -33.5 pp 62% evidence 4.2/25 ROCE -0.1% · OPM -33% 95% evidence 10.0/20 P/E — · PEG — 0% evidence 10.0/20 RS sector -4.7% · RS bench 10.1% · 1Y 22.1%5 of 10 weeks ahead 70% evidence
Exact sum: 9.4 + 4.2 + 10 + 10 = 33.6 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
16GTL Infrastructure LtdGTLINFRA 33.5/100Adverse evidence62% evidence ASLEEP 11.9/35 Revenue 2.2% · PAT 100% · OPM change 1 pp 62% evidence 4.6/25 ROCE -48.2% · OPM 15% 95% evidence 11.5/20 P/E 2.1× · PEG — 15% evidence 5.5/20 RS sector -16.3% · RS bench -7.5% · 1Y -23.1%7 of 10 weeks ahead 70% evidence
Exact sum: 11.9 + 4.6 + 11.5 + 5.5 = 33.5 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
17Mahanagar Telephone Nigam LtdMTNL 33.5/100Thin evidence · provisional59% evidence ASLEEP 13.5/35 Revenue -5.7% · PAT 6.6% · OPM change 22 pp 62% evidence 6.5/25 ROCE -2.3% · OPM 16% 95% evidence 10.0/20 P/E — · PEG — 0% evidence 3.5/20 RS sector -32.3% · RS bench -22.7% · 1Y -43.2%4 of 10 weeks ahead 70% evidence
Exact sum: 13.5 + 6.5 + 10 + 3.5 = 33.5 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
18Optiemus Infracom LtdOPTIEMUS 32.2/100Adverse evidence83% evidence TURNING 11.1/35 Revenue -6.5% · PAT 4.8% · OPM change -3.5 pp 88% evidence 8.9/25 ROCE 10.9% · OPM 1.5% 100% evidence 4.1/20 P/E 86.2× · PEG 9.11 65% evidence 8.1/20 RS sector -30.5% · RS bench 26.6% · 1Y 11.3%7 of 10 weeks ahead 70% evidence
Exact sum: 11.1 + 8.9 + 4.1 + 8.1 = 32.2 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

Missing observations are not scored as bad. Their missing weight lowers confidence and pulls the final score toward neutral. PEG is not shown when the ratio cannot mean anything: the company must be making a profit, its price-to-earnings must be positive, and its three-year earnings growth must fall between 5% and 60%. Dividing a price multiple by a loss, or by growth measured off a tiny base, produces a number that looks precise and tells you nothing. Under relative strength, one mark per week shows the last 12 weeks: a mark is filled where the company led NIFTY 500 by 5% or more over the 13 weeks ending that week, which is the same test used everywhere on this site. Price stage places the company on the same six-step curve the sector itself is placed on — basing, turning, breaking out, leader, fading, asleep — read from how many weeks running it has led NIFTY 500 and whether that lead is widening or shrinking. It describes where the PRICE stands, not the earnings trajectory and not a recommendation, and it is left blank for a company whose weekly history is too short or too stale to read.

15 · Frequently asked questions

Frequently asked questions

What is NELCO Ltd's share price today?

NELCO Ltd trades at ₹1,016, +16.9% over the past year. The company is valued at ₹2,318 Cr. The stock sits at 100% of its 52-week range of ₹538–₹1,016, +30.6% versus its 200-day average. On the tape, the price is in a confirmed uptrend, 5 weeks in. — as of 31 July 2026.

What were NELCO Ltd's latest quarterly results?

NELCO Ltd reported revenue of ₹80.0 Cr and net profit of ₹2.3 Cr for the Jun 26 quarter. Revenue rose 7.0% and profit rose 30.0% year on year. Earnings per share were ₹1.03. The operating margin was 10.4%, 0.1 pp higher than a year earlier. — as of 31 July 2026.

What is NELCO Ltd's revenue?

NELCO Ltd reported revenue of ₹80.0 Cr in the Jun 26 quarter, +7.0% year on year. For the full FY26 fiscal year, revenue was ₹307 Cr (+0.7%). Over the last 10 years revenue compounded at 4.4% a year. — as of 31 July 2026.

What is NELCO Ltd's profit?

NELCO Ltd earned ₹2.3 Cr of net profit in the Jun 26 quarter, +30.0% year on year. Full-year FY26 profit was ₹3.0 Cr. The operating margin ran 10.4% in the latest quarter. — as of 31 July 2026.

What is NELCO Ltd's market cap?

NELCO Ltd's market capitalisation is ₹2,318 Cr at a share price of ₹1,016. Market cap is the share price multiplied by shares outstanding, so it is restated whenever the price moves. — as of 31 July 2026.

What is NELCO Ltd's P/E ratio?

NELCO Ltd trades at a P/E of 388.0×, at the 100th percentile of its own 10-year range, against a long-run median of 68.3×. This is a comparison with the stock's own history, not a value call — as of 31 July 2026.

Does NELCO Ltd pay a dividend?

Yes — NELCO Ltd's dividend payout was 69% of profit in FY26, and it recorded a payout in 8 of its last 13 reported fiscal years. This page holds the payout ratio, not a per-share amount. — as of 31 July 2026.

Is NELCO Ltd overvalued?

On its own history, NELCO Ltd looks expensive against its own history: its P/E of 388.0× sits at the 100th percentile of its 10-year range (long-run median 68.3×). That is a percentile read against the stock's own past, not a price opinion or a direction call. — as of 31 July 2026.

Is NELCO Ltd growing?

Yes — NELCO Ltd is growing: latest-quarter revenue +7.0% year on year, profit +30.0%, and the margin +0.1 pp at 10.4%. The 10-year compound rates are 4.4% (revenue) and 4.1% (profit). The earnings engine currently reads: improving — as of 31 July 2026.

How is NELCO Ltd performing?

NELCO Ltd is in a confirmed uptrend, 5 weeks in. Its latest quarter's revenue rose 7.0% and profit rose 30.0% year on year. Against the NIFTY 500 it has been ahead on a trailing-13-week view for 19 weeks. This describes what the data did, not a rating. — as of 31 July 2026.

What stage is NELCO Ltd in?

Turning around — profit growth swung from −79.5% at the trough to −43.0%, a 2-quarter improving streak, ROCE slipping at 7.0%. The read comes from the last 12 quarters of growth (revenue growth +2.0% latest, profit growth −43.0% latest, eps growth −42.8% latest) plus the ROCE curve, classified by deterministic rules — a trajectory read, not a buy or sell call — as of 31 July 2026.

Is NELCO Ltd in an uptrend?

Yes — the price is in a confirmed uptrend (week 5 of stage 2), trading +30.6% versus its 200-day average and at 100% of its 52-week range. Price stages cycle base → advance → top → decline, and the stage names where this stock sits in that cycle — as of 31 July 2026.

Is NELCO Ltd beating the market?

On recent form, yes — NELCO Ltd has been ahead of the NIFTY 500 on a trailing-13-week view for 19 straight weeks, the same metric the week-by-week ribbon on this page draws. Separately, on the cumulative view: over the last 10.4 years the stock moved +1,114% against the NIFTY 500's +276% — ahead of the index over the full window. — as of 31 July 2026.

Will NELCO Ltd's share price go up?

This page publishes no price forecast for NELCO Ltd. What it measures instead: the share price is ₹1,016, the price is in a confirmed uptrend 5 weeks in. Its P/E of 388.0× sits at the 100th percentile of its own 10-year range. — as of 31 July 2026.

Who owns NELCO Ltd?

Promoters hold 50.1% of NELCO Ltd, foreign institutions 5.6%, domestic institutions 0.1% and the public 44.0% (latest quarter). No holder moved a full point over the last two years — the register is quiet. — as of 31 July 2026.

Does NELCO Ltd have too much debt?

It is moderate — NELCO Ltd's debt-to-equity is 0.57, and operating profit covers the interest bill 6×. FY26 borrowings were ₹73.0 Cr against equity of ₹129 Cr. Read the returns on this page with that leverage in mind — as of 31 July 2026.

What is NELCO Ltd's capex?

NELCO Ltd spent ₹86.0 Cr on capital expenditure over the last 3 fiscal years, a figure derived from the change in fixed assets plus depreciation. In FY26 alone that was ₹51.0 Cr, with ₹41.0 Cr in capital work-in-progress — capacity paid for but not yet earning. — as of 31 July 2026.

What is NELCO Ltd's cash flow?

NELCO Ltd generated ₹15.0 Cr of operating cash flow in FY26 and ₹−36.0 Cr of free cash flow after ₹51.0 Cr of capital spending. Reported profit that year was ₹3.0 Cr, so operating cash ran ahead of profit. Cash-flow resolution for India is annual. — as of 31 July 2026.

Is NELCO Ltd's profit real cash?

Yes — over the last 3 fiscal years, 216% of NELCO Ltd's reported profit arrived as operating cash. In FY26, operating cash was ₹15.0 Cr against reported profit of ₹3.0 Cr. The cash then goes into a mix of the working-capital cycle and capacity. Cash-flow resolution is annual — as of 31 July 2026.

Where is NELCO Ltd in its business cycle?

NELCO Ltd's FY26 operating margin was 9.0%, against a 13-year band of −0.9%–23.0%: mid-band by its own history — neither the peak that precedes mean-reversion nor the trough that precedes recovery. The latest quarter ran 10.4%. Profitability versus a company's own long band is the cleanest cycle clock this page holds — as of 31 July 2026.

What could break the NELCO Ltd story?

The sharpest disagreement: the price moved +16.9% in a year while annual EPS moved −65.3% — the difference is re-rating, and re-rating has to be repaid with earnings. Mechanically, two Friday closes in a row below the 200-day average would end the price trend — that is the exit rule this page tracks — as of 31 July 2026.

Is NELCO Ltd a stock worth studying right now?

This is not investment advice. The machine read: NELCO Ltd's price has outrun its earnings. +16.9% in a year against EPS −65.3% — the market is paying now for delivery later. The sharpest open question: whether earnings grow into a price that has already moved. Every number on this page is drawn deterministically from the raw series, with no forecasts and no price opinions — as of 31 July 2026.

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