Hindustan Aeronautics Limited (HAL.NS) stock analysis

In our weekly check, Hindustan Aeronautics Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 19 pass, warnings: 3, red flags: 3.

About Hindustan Aeronautics Limited

Hindustan Aeronautics Limited is an Industrials company (Aerospace & Defense) based in India, listed on NSE as HAL.NS.

What our checks show for HAL.NS

Red flags

• The gross margin fell by 26.3 points, to 30.8%: costs are rising faster than prices.
• Analysts expect the net margin to shrink by 3.1 points from today's 27.5%.
• The dividend takes 3485% of profit: little cushion if profit falls.

Warning signs

• The price is 34.8 times earnings (P/E): the market already pays for a lot of future growth.
• The stock has fallen as much as 58% from a peak. Would you have held through that?
• Return on capital (ROCE) is only 8.9%.

Strengths

• Debt is low: 0x equity.
• Operating profit covers interest 12.3 times over.
• The net margin rose by 6.9 points over 5 years, to 27.5%.
• Operating cash flow is 1.53x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 15.4% a year over the next years.
• Analysts expect revenue to grow about 18.6% a year over the next years.

Next earnings report: 2026-11-12

Similar companies

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Questions

What grade does Hindustan Aeronautics Limited (HAL.NS) have?

In our weekly check, Hindustan Aeronautics Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 19 pass, warnings: 3, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of HAL.NS stock?

This week's biggest flags for Hindustan Aeronautics Limited: Gross margin falling, Margins expected to shrink, Dividend stretched. In total 6 of 25 checks show a warning or a red flag.

What does Hindustan Aeronautics Limited do?

Hindustan Aeronautics Limited is an Industrials company (Aerospace & Defense) based in India, listed on NSE as HAL.NS.

When does Hindustan Aeronautics Limited report earnings next?

The next earnings report is expected on 2026-11-12. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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