News
Ramky Infrastructure Limited stocks gained following a Letter of Acceptance (LoA) for a Rs 215.08 crore contract from the Hyderabad Metropolitan Water Supply and Sewerage Board (HMWSSB). As of 10:40 am, the stock was trading 2.87% higher at Rs 621.25 per share.
The company has been awarded a contract entailing the management and maintenance of sewage treatment plants and related infrastructure for five years.
According to a CNBC-TV18 report, the company previously received warnings from both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) for non-compliance with regulations regarding the frequency of risk management committee meetings. The last two meetings were held on August 10, 2023, and February 12, 2024, exceeding the stipulated 180-day interval.
For the quarter ending September 30, 2024, Ramky Infrastructure registered a PAT increase of 12.62% to Rs 973 million compared to Rs 864 million for the quarter ending June 30, 2023. EBITDA grew by 7.2% to Rs 1,513.82 million for the same quarter, compared to Rs 1,411.92 million in the previous fiscal. However, the company’s net profit for Q2FY25 declined by 30.57% to Rs 78.19 crore compared to the same period in the previous year.
As of March 2024, the company entered into two contracts: one involving Rs 39.88 crore and another worth Rs 176.77 crore, both regarding the reclamation of dumping grounds through biomining. The contracts are set for an execution timeline of 24 months.
Why Ramky Infrastructure is Featured on the Best Stock Analysis Website in India
Ramky Infrastructure stands out due to its robust financial performance, strategic contract wins, and a strong presence in the infrastructure sector. By integrating advanced analysis techniques, we ensure you get the most accurate and actionable insights.
Fundamental Analysis
Company Essentials:
- Market Cap: ₹4,350.47 Cr.
- Enterprise Value: ₹4,705.86 Cr.
- No. of Shares: 6.92 Cr.
- P/E Ratio: 13.76
- P/B Ratio: 3.01
- Face Value: ₹10
- Dividend Yield: 0%
- Book Value (TTM): ₹208.63
- Cash: ₹91.09 Cr.
- Debt: ₹446.48 Cr.
Promoter Holding:
- Promoters Holding: 69.81%
- Promoters Pledge: 25.70%
Growth Metrics:
- Profit growth (3 years): 67.96%
- Revenue growth (3 years): 30.63%
- Healthy ROE (3 years): 26.44%
- Healthy ROCE (3 years): 30.16%
- PEG Ratio: 0.20
- Interest Coverage Ratio: 8.11
Historical Holdings:
- FIIs increased from 0.30% to 0.46% in Sep 2024 quarter.
- MFs increased from 0.05% to 0.19% in Sep 2024 quarter.
Technical Analysis
1-Day Chart Analysis: The technical chart reveals:
- EMA (9): ₹621.27
- EMA (50): ₹626.05
- EMA (100): ₹630.95
- Stock is consolidating near the EMA levels, suggesting a potential breakout or breakdown.
The 1-day chart shows a recent bullish candlestick pattern, indicating short-term buying interest. However, volumes remain moderate, signaling caution.
Short-Term Trade Plan
- Entry: ₹625 (upon breakout above EMA 50 with volume confirmation)
- Stop Loss: ₹610
- Target 1: ₹645
- Target 2: ₹670
- Duration: 2-5 days
This setup is ideal for swing traders aiming for quick profits as the stock approaches its resistance levels.
Long-Term Trade Setup
- Entry Zone: ₹600–₹610 (during pullbacks to EMA 100)
- Stop Loss: ₹570
- Target 1: ₹700
- Target 2: ₹750
- Duration: 6-12 months
The stock has solid fundamentals and a history of profitability. Long-term investors can capitalize on the growth potential within the infrastructure sector.
Conclusion
Ramky Infrastructure Limited presents a balanced opportunity for both short-term and long-term investors. Its strong fundamentals, recent contract wins, and improving financial metrics signal a promising future. As always, ensure proper risk management and consult with a financial advisor before making investment decisions.
Disclaimer
This analysis is for informational purposes only and should not be considered as financial advice. Always do your own research or consult a financial advisor before investing.
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