Home » Blogs » Market Spotlight » ABB Share Price Soars 5% After 54% Net Profit Growth

ABB Share Price Soars 5% After 54% Net Profit Growth

ABB Share Price Soars 5% After 54% Profit Surge – But Is It the Right Time to Invest?

ABB Share Price Soars 5% After 54% Net Profit Growth

ABB India’s stock surged over 5% on February 18, 2025, following strong Q4 earnings and a generous dividend announcement. The electrification and automation giant posted a 54% year-on-year (YoY) rise in net profit for the December 2024 quarter, reinforcing its financial strength.

With revenue growth, improved margins, and an attractive ₹33.50 per share final dividend, investors are taking note. But does this make ABB India a compelling investment at current levels? Let’s break it down.

Also read: Gillette India Shares surge 14% after Q3 Results

ABB India’s Q4 financial performance

The company’s latest earnings report highlights solid growth across key financial metrics:

Financial MetricQ4 CY2024Q4 CY2023YoY Change
Net Profit₹532 crore₹345 crore+54%
Revenue₹3,365 crore₹2,757 crore+22%
EBITDA₹657.3 crore₹417.2 crore+57.6%
EBITDA Margin19.5%15.1%+4.4%
Final Dividend₹33.50 per share

ABB India has consistently delivered strong financial results, and Q4 was no different. Despite some challenges in order inflows, the company’s robust operational efficiency and strong demand for its solutions have kept it on a growth trajectory.

You may also read: Godfrey Phillips Share Price Rises 55%: Buy or Sell?

ABB Dividend announcement

Investors looking for dividend-paying stocks have another reason to keep an eye on ABB India. The ₹33.50 per share final dividend comes in addition to the ₹10.66 interim dividend declared in Q2 CY2024.

This move reflects ABB India’s commitment to rewarding its shareholders while maintaining a healthy balance sheet.

You may also read: Rail Vikas Nigam Share Falls 7% After Q3 Results

ABB share price movement: Volatile but promising

ABB India’s stock price surged 5.14% in early trade on February 18, reaching an intra-day high of ₹5,511 from the previous close of ₹5,241.20.

However, the stock has seen fluctuations:

  • 1-year return: +17.33%
  • 2-year return: +69.22%
  • 3-year return: +156.61% (multibagger stock)
  • 52-week high: ₹9,200
  • 52-week low: ₹4,449.60

Despite a 34% decline year-to-date (YTD), ABB India has delivered exceptional long-term returns, making it a key player in the electrification and automation sector.

Technical indicators: What the charts say

While the financials paint a strong picture, technical indicators suggest caution in the short term:

This indicates that while the stock may be fundamentally strong, traders should be cautious about short-term volatility.

Also read: Zen Technologies Share Price Drops After Q3 Results

Market outlook: Broader sentiment weighs in

While ABB India’s strong performance has excited investors, broader market movements remain a concern:

  • Sensex fell 201.44 points to 75,795.42
  • Nifty dipped 82.65 points to 22,876.85
  • Market weakness is attributed to foreign fund outflows

Despite these headwinds, ABB India’s growth trajectory remains solid, making it a long-term investment candidate rather than a short-term trading play.

Key takeaways: Should you invest in ABB India?

Strong Q4 earnings: 54% net profit growth, 22% revenue jump
Dividend boost: ₹33.50 per share final dividend + ₹10.66 interim dividend
Multibagger returns: 156.61% gain in 3 years
Bullish analyst outlook: ₹7,401 target price (+41% upside)
Short-term volatility: Trading below key SMAs, MACD bearish

For long-term investors, ABB India presents an attractive opportunity, backed by solid earnings growth, a strong dividend yield, and market leadership. However, short-term traders should watch for technical breakouts before entering.

As always, do your own research before investing. Stay tuned for more market updates!

Enjoyed reading this? Share it with your friends.

Post navigation

Leave a Reply

Your email address will not be published. Required fields are marked *

Heyy...