Our 10th company in the Series of Best Stocks Below Rs. 100 is ITD Cementation India Ltd.
This company is good for investing purpose or not ?
Let’s start with the Company profile
Company Profile :
ITD Cementation India Limited is involved in construction and civil engineering. The Company is engaged in construction of a range of structures, which include maritime structures, mass rapid transport systems (MRTS), airports and other foundations.
Now Let’s check the important fundamental figures of this company. This is a small cap company with Market Cap ₹1,192cr. We can check more fundamental details below in depth:
Company Fundamental Detail :
PE Ratio: 75.74
Sector PE Ratio: 67.52
PE Ratio of this company is high than Sector’s PE. So it’s a Below Average PE than the peers of this company.
PB Ratio : 1.12
Sector PB Ratio: 5.25
PB Ratio of this company is low than Sector’s PB ratio. So it’s Good PB than the peers of this company.
Dividend Yield : 0.17%
Sector Dividend Yield : 0.65%
Dividend of this company is low than Sector’s dividend. So it’s Below Average PB than the peers of this company.
ROE (Return on equity) and ROCE (Return on capital equity) is Below Average
According to above data, this company is looking fundamentally average. Now We’ll check the company Financially data:
Company Financial Detail
We should check now liabilities of company also in the below table
Total Current & Non Current Liabilities
Liabilities of a company refers to the debt of that company. We should also aware the debt of company. In 2021 , Company have 2,119.74 Cr. debt.
Let’s check the Free Cash flow of the company
Free Cash flow
Debt Level: ITD Cementation India’s net debt to equity ratio (38.3%) is considered satisfactory.
Reducing Debt: ITD Cementation India’s debt to equity ratio has reduced from 64.7% to 53% over the past 5 years.
Debt Coverage: ITD Cementation India’s debt is well covered by operating cash flow (38.5%).
Interest Coverage: ITD Cementation India’s interest payments on its debt are not well covered by EBIT (2.4x coverage).
Share Holding Pattern
|Promotor Holding||Foreign Institution|
|Other Domestic Institutions||Retail & Others|
Above table showing there is no big change in Promotors holding which is 46.64% in June 2021. FIIs invested in June 2021 with 10.35% and retail investor is 29.68%.
Investment Checklist for ITD Cementation India Ltd.
- The company is currently profitable
- Earnings are forecast to grow by an average of 29.2% per year for the next 3 years
- Debt level is low and not considered a risk
- Dividend is too low to be a concern
- Share price has been stable over the past 3 months
- The company’s earnings are high quality
- Profit margins improved or ITD Cementation India became profitable
- At least 3 years of financial data is available
- No concerning events detected
- Shareholders have not been meaningfully diluted in the past year or recently listed
- Revenue is meaningful (₹36B)
- Market cap is meaningful (₹12B)
- ITD Cementation India does not have negative shareholders equity.
According to its historical performance we can predict stock target.
Entry Buying Zone : Premium members can see only
Target: Premium members can see only
Time Horizon:Premium members can see only
Risk Profile: Premium members can see only
Hope you liked Our 10th company in the Series of Best Stocks Below Rs. 100. We tried to cover many important things about this company, if you think anything left to cover, you can comment us and we’ll try to cover those things also.
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