HFCL Share Price Target: Hello, and welcome to this article. HFCL shares in the telecommunication and equipment sector in the stock market.
Today, we’ll review HFCL’s operations, how it earns profits, potential growth areas and all sorts of information regarding this business to gain a better understanding of the trend in price targets of HFCL shares.
In addition, after analysing the company’s stock, we will share the results with you, so that you will have an ideas about this stock.
The company has good growth potential, and it is a great investment option for the long term. This article will discuss HFCL Share Price Target 2023, 2024, 2025, 2026, 2030.
Before dive into HFCL stock price targets let’s look at the HFCL company background, the technical basics, fundamental analysis, shareholders, future potential etc.
It will help you in making a final decision about your next investment. However, first, let’s examine company history and its complete business structure.
HFCL share company information
The company was founded in 1987 under its name Himachal Futuristic Communications Limited.
The headquarters of this firm is located at Gurugram, New Delhi. Presently, the total amount of employees working for this company stands at 1719.
In terms of the primary products offered by the company, HFCL share company engages in optical fiber optical fiber cable, telecom equipment telecom energy in the electronic industry batteries, solar energy, battery management.
Additionally, it is involved in solutions and also in the telecom network, optical transmission, railway telecom network. the company includes defence, railways, telecom along with private sectors.
Returns of last 5 years
If we consider the type of returns that the company has offered its investors over the last five years, then the HFCL share company has provided returns of 22% in the last six months.
-0.8 percent returns during the past year, and returns of 68% over the last three years. This company has provided returns that were 27% for investors over the past 5 years.
Fundamental Analysis of HFCL
- Market Cap ₹ 10,587 Cr.
- Current Price ₹ 74.0
- High / Low ₹ 88.8 / 55.8
- Stock P/E 33.3
- Book Value ₹ 22.6
- Dividend Yield 0.27Â %
- ROCE 15.2Â %
- ROE 10.2Â %
- Face Value ₹ 1.00
- Price to book value 3.28
- Price to Earning 33.3
- OPM 14.0Â %
- EPS ₹ 2.31
- Debt ₹ 936 Cr.
- Debt to equity 0.30
- Return on equity 10.2Â %
- Return on assets 5.97Â %
HFCL Share Price Target 2023
HFCL (Himachal Futuristic Communication Limited) company is involved with various segments of telecom infrastructure, including Optical Fiber Cable (OFC) Wi-fi systems and microwave radios.
It also covers routers Ethernet switch, electronic fuse electro-optic devices Cloud-based Network management system, and various additional telecom equipment.
With the majority of people slowly becoming digital, it is essential to have a strong telecom infrastructure in order to provide an improved internet service to users.
Because of HFCL being a leading player in the telecom infrastructure industry it is providing its services to numerous telecom operators, due to the fact that HFCL has seen a positive growth in its business.
If we take a look at an HFCL share price target for 2023 since the company is expected to continue to develop its offerings, in addition to earning extremely high yields, you can have the possibility of seeing the first share price target of Rs 70 for 2023.
Then you could have another target of Rs.75.
HFCL Share Price Target 2024
In the process, the amount of infrastructure-related work is increasing in the telecom industry as a result, HFCL is getting many huge orders from various telecom infrastructure firms.
At present the company is carrying an order book that is over 4140 crore. The management plans to complete in the near future.
Based on the company’s management in the next few days, the company could get large orders from different companies that are related to the telecom industry, because of which there is bound to be a massive increase in profit and revenue of the business.
If the company’s order book is expected to grow in the next few months The price of the shares will likely increase too because the business of the company is growing.
As the number of orders for the company expands when we consider its HFCL price target for shares for 2024, the first price target will be approximately Rs 85.
This should yield excellent returns. Then, you will identify the second target to earn a profit of around Rs 90.
HFCL Share Price Target 2025
If we examine HFCL it is clear that they have an excellent and solid customer base from a variety of industries.
When you look at the company, it is mostly spread across sectors such as Public Telecommunication, Defense Communication, Railway Communication, in which are Jio, Tata, airtel Vodafone, Nokia, L&T, Orange, BSNL, BBNL, TCIL, BPCL, IOL, Railtel, HPCL. Every big and small enterprise such as PGC, GAIL, Saudi Railways has customers with HFCL.
To rapidly expand the number of customers that it has, HFCL is seen offering every day new communications services business to its clients.
Additionally, HFCL is also seen cooperating with other businesses, due to which more and more customers are entering the business at a rapid speed.
When new customers arrive at the business, if we take a look at an HFCL Share Price target 2025, the business will also expand and the first price target is of 105 rupees. You can also contemplate having the second target set at the price of Rs 110.
HFCL Share Price Target 2026
With the market witnessing rapid change due to the advent of technological advancements, HFCL is seen continuously increasing its R&D to ensure that it is up to date with new technologies.
In the past few years the company has spent more than 125 crore into its R&D development thanks to which it has been creating a variety of products within the field of communication.
In the future, HFCL management is seen as planning to invest massive amounts in R&D to ensure that it is up to date on the latest technologies and to develop innovative products.
As the company expands its R&D It can be anticipated that its business will certainly reap positive effects in the future.
As the R&D capabilities of the company increases The HFCL Share Price Target could give the shareholders a very high return by 2026.
The first target you’ll encounter will be Rs 130. Once this target is met, you’ll soon be able to see a second price target of Rs 140.
HFCL Share Price Target 2030
If we think about the future, there is huge potential to grow the business of telecom infrastructure in which HFCL is a part of.
If we take a look at a new phenomenon, the people are only beginning to begin making use of the internet, but there isn’t any adequate infrastructure for telecom in the cities and small towns in India and the rest of India.
Which is why HFCL must improve the infrastructure in the near future. Large orders could be received.
As the technology improves in the telecom industry over the next few years more infrastructure will be required to bring technologies like 7G and 6G across the nation.
HFCL has been in the business for a long time and has been experimenting with innovative technology. In the near future we will witness the most significant advantages of this growing expansion at work.
In view of the more lucrative business opportunities over the future when we consider an HFCL Stock Price Goal until 2030 The share price could be observed to be around 350 and generate high returns for shareholders.
HFCL Share Price Target Table
| Years | Targets (₹) |
| 2023 | 1st Target- Rs.70 2nd Target- Rs.75 |
| 2024 | 1st Target- Rs.85 2nd Target- Rs.90 |
| 2025 | 1st Target- Rs.105 2nd Target- Rs.110 |
| 2026 | 1st Target- Rs.130 2nd Target- Rs.140 |
| 2027 | 1st Target- Rs.150 2nd Target- Rs.175 |
| 2028 | 1st Target- Rs.180 2nd Target- Rs.245 |
| 2029 | 1st Target- Rs.270 2nd Target- Rs.310 |
| 2030 | 1st Target- Rs.350 2nd Target- Rs.375 |
Future of HFCL Share
The speed with which the industry of telecom experiences technological advancements and the manner in which HFCL continues to increase its investments to stay current with the most recent technologies can make the business succeed over the long haul.
There is every chance of reaping very positive benefits.
Additionally, in order to enhance the size of its business over the coming years, HFCL is also seen as working with other companies in its industry, because of which it is anticipated that the company will certainly reap advantages in the future.
Risk of HFCL Share
The biggest dangers in the industry of HFCL as the company is in the field of technology and has to invest massive amounts every now and then to stay up-to-date with technological advancement, provided that it is able to invest in the near future.
If it fails this could cause a massive impact on the business of the company.
Concerning the second threat it is that the company is slowly increasing its loan book to help develop the infrastructure for telecom.
If, in the future, the company sees an increase in their loan books in this manner, it could affect the business of the company.
Shareholding Pattern of HFCL Ltd.
- Promoters 39.20%
- FII 6.72%
- DII 2.58%
- PUBLIC 51.36%
- OTHERS 0.13%
Company Business Model
The business model of HFCL is based on the development, manufacturing and distribution of telecom-related products and services. The company is a part of three major segments:
Communications Products: HFCL creates and produces various telecom products, such as optical fiber cables, optical fiber connectors, active networking elements, as well as the wireless solutions for access. These products are utilized by telecom system integrators, operators and even end-users in India as well as around the globe.
Defence Electronics: HFCL designs and manufactures a variety of electronic defense products such as electronic fuses, radio communication equipment, as well as radar systems. These products are employed by the Indian military as well as various government agencies.
EPC Solutions: HFCL provides engineering procurement, construction, and (EPC) support for telecoms networks. It has solid experience of delivering difficult telecom projects in time and on budget.
subsidiaries of HFCL Ltd
- HTL Ltd.
- Polixel Security Systems Private Limited
- DragonWave HFCL India Private Limited
- Raddef Private Limited
- Moneta Finance (P) Ltd
- HFCL Advance Systems Pvt. Ltd.
Strengths of HFCL
Financial Strength of this business:
- HFCL ROE 10.2 percent and ROCE 15.3 % which is great.
- From HFCL Limited 81.90 There is an effective cash conversion cycle of days.
- Through the years the company has steadily increased its revenue, with the exception of 2020.
- The company is constantly expanding its net profit and Operating Profit Margin.
- The company is able to manage around 294 crores in cash and inventory of Rs 400 in its books.
Strength of HFCL:
- This company has a solid connection and has a strong relationship with Reliance Geo. Planning, design, and execution for North India is done by HFCL Limited. Reliance Geo has a lot of potential.
- HFCL has a great order book for the near future.
- The company has a long-standing and established track record, with an experienced and knowledgeable management team.
Possibility:
- 5G Rollout will definitely boost the business of HFCL Limited.
- Companies’ penetration is increasing in FTTH or broadband.
- India Net (Rs 40,000 crore of opportunity)
- The railway line is capable of carrying Rs 50,000 crore. In the next 5 years.
- Opportunities for defense in communication (Rs 25 crore. Size of market) as well as electronic (Rs 40,00 crore. The size of the market) products. This is among the largest of the defense
To make money from these opportunities, HFCL Limited has already started making use of these opportunities. The company has already set up an FTTH manufacturing facility for cables in Hyderabad.
Weaknesses of HFCL
Financial weaknesses:
- HFCL is a contingent liability company with a total totalling 1,159.49 crores
- The company doesn’t have an unrestricted cash flow for each share.
- The ratio for quick calculations has been set at 1.24 which is less than the norm.
- The balance sheet of the business approximately. 45% of the business’s assets are receivable. This could result in a lapse in the process of receiving payments, which could cause a writing-off
Serious threats for the company:
- If business for telecom-related products doesn’t go as expected the company’s revenues and profit could be impacted.
- If the deployment for the network 5G fails then the growth of the company could be delayed.
- The slow recuperation of the outstanding debtors impacts the liquidity profile of the business.
conclusion
This article is a complete guide to HFCL Share Price Target, where you can find out what HFCL is, its businesses, and HFCL Share Price Target 2023, 2024, 2025, 2026, 2030.
Share price forecasts are based on our analysis, research, company fundamentals and history, experiences, and various technical analyses. Also, We have talked in detail about HFCL’s future prospects and growth potential.
Hopefully, this information will help by having all the share price details of HFCL so that you can consider investing in the future. If you have any questions, please contact us in the comment box.
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