CG Power & Industrial Solutions Ltd – Comprehensive Analysis Report:
Current Price (Dec 5, 2025): ₹660.90 (NSE), down 1.61% from previous close, trading range ₹653.90-₹664.20 with volume 1.98M shares. Stock in consolidation phase post-52-week high ₹811.40, showing recent upside moves from lows.
Technical Analysis:
CG Power exhibits consolidation between ₹650-₹670, finding strong support on daily 20-day EMA at ₹697 and 50-day EMA at ₹716, with price holding above key pivots. Recent bounce from ₹653.90 low signals potential bullish reversal, backed by stable 60% delivery volume. RSI neutral at 61, above short-term EMAs (5-day ₹678, 9-day ₹676) confirms short-term momentum.
The key technical levels for CG Power are as follows: Strong support is located at ₹653-658 with EMA confluence and pivot, while the pivot level at ₹663 will act as the breakout trigger. On the upside, resistance is visible between ₹675-710 as the next targets, and for risk management, placing a stop loss below ₹650 would be appropriate.
Buy Recommendation:
Yes, buy viable at current levels (entry ₹658-₹662) due to EMA support and consolidation breakout potential, offering good upside bounce. Risk-reward ratio 1:2.5 favorable with stop loss below ₹650; expect 8-10% rally if volume confirms. Hold for semiconductor catalysts in macro uptrend toward ₹799.
Fundamental Analysis:
Q2 FY26 revenue ₹2,923 Cr (+21% YoY), net profit ₹284 Cr (+30% YoY/+29% QoQ), EPS ₹1.82, margins 12.89% (PBDIT). FY25 revenue ₹9,909 Cr (22% growth), ROE 27.7%, ROCE 37.5%, debt-free with ₹410 Cr cash. P/E 97.6 premium to peers (Siemens 70x) but justified by 34% PAT CAGR FY25-28 forecast.
CG Power’s P/E ratio stands at 97.6, higher than the peer average of 65, while ROE is robust at 36.3% compared to peers’ 20%. ROCE measures 39.7% against the industry average of 25%, and the company maintains a debt-to-equity ratio of 0, significantly better than peers’ 0.2.
Superior growth in industrials (14% CAGR) and power systems (35% CAGR).
Recent News & Events:
NSE/BSE warning letters for delayed promoter reclassification disclosure (minor impact, stock -4.5%). GG Tronics lost railway Loco Kavach order due to pending approvals (Nov 2025, -2% share dip). Positive: ₹7,600 Cr OSAT semiconductor facility launch in Gujarat (G1 production 2026, prior 14% rally); transformer capacity to 85k MVA by FY28.
Important Points:
Promoter holding down 1.68% QoQ; Nifty Next 50 constituent.
YTD -10%, 5Y +1224% returns; strong cash flow ₹944 Cr FY25.
Macro: Benefits from India infra/semicon push; micro: Capacity doubling in transformers/motors.
Disclaimer & Disclosure:
This report is for educational purposes only and not investment advice. Past performance does not guarantee future results. As a SEBI-registered Research Analyst (Investogainer Research), no positions held in CG Power; client interests prioritized. Market risks apply; consult a financial advisor. Investments subject to market risks.