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Kaynes Technology
KAYNES · Nifty 50
₹3,248.3
Price 2026-06-17
At a Glance
Fundamental
55/100
ADEQUATE
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
Kaynes Technology scores 55/100 on fundamentals (adequate). Kaynes Technology: BROAD EXPANSION regime.
Fundamental Score: 55/100 · ADEQUATE · 1 signals detected
DuPont Analysis
ROE 7.5% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 7.55% is modest margin-driven and stable. Net margin of 9.7% × asset turnover of 0.54x × leverage of 1.5x.
What This Means
Net margin of 9.7% means the company keeps ₹9.7 as profit for every ₹100 of revenue. This is a moderate-margin business. Asset turnover of 0.54x means the company efficiently uses its assets to generate revenue. Leverage of 1.5x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
34.2%
Operating
16.7%
Net
9.7%
Gross margin 34.2% → operating margin 16.7% → net margin 9.7%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.
Financial Health
Earnings Quality
WEAKCash flow only covers -1.7x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
COMFORTABLEInterest covered 5.0x — adequate buffer. Debt is manageable. Debt/EBITDA at 1.3x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin negative at -49.7% — spending more than earning. Check capex cycle.
Peer Comparison
Key Watchpoints
Breaks above ₹3411 (+5%)
Trend reversal confirmation
Breaks below ₹3086 (-5%)
Further downside risk
It sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
OCF is only -1.7x net income. Profit not converting to cash — aggressive accounting possible.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Working capital is consuming significant cash. Operational efficiency declining.
Profits are from core operations, not one-offs. High quality.
Collection cycle changing. Collection improving — positive for cash flow.
Strong insider alignment. Promoters have significant skin in the game.
🔴 2 CRITICAL flags — significant concerns. Investigate before investing.
Data Quality
News Correlation
50 articles scanned for fundamental themes