NSEI:AHLUCONT

Stock Analysis Report

Ahluwalia Contracts (India)

Executive Summary

Ahluwalia Contracts (India) Limited, together with its subsidiaries, operates as a construction company in India.

Snowflake

Fundamentals

Flawless balance sheet with reasonable growth potential.

Risks

  • Ahluwalia Contracts (India) has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Ahluwalia Contracts (India)'s share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.4%

NSEI:AHLUCONT

-1.9%

IN Construction

-0.7%

IN Market


1 Year Return

-11.3%

NSEI:AHLUCONT

-6.8%

IN Construction

-12.1%

IN Market

AHLUCONT underperformed the Construction industry which returned -6.9% over the past year.

AHLUCONT matched the India Market (-12.1%) over the past year.


Share holder returns

AHLUCONTIndustryMarket
7 Day-0.4%-1.9%-0.7%
30 Day-12.7%-7.3%-4.6%
90 Day-8.5%-4.3%-4.3%
1 Year-11.2%-11.3%-5.8%-6.8%-10.3%-12.1%
3 Year-6.5%-6.5%19.5%15.8%18.9%12.8%
5 Year92.9%92.7%32.8%24.9%37.6%24.7%

Price Volatility Vs. Market

How volatile is Ahluwalia Contracts (India)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ahluwalia Contracts (India) undervalued based on future cash flows and its price relative to the stock market?

17.64x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Ahluwalia Contracts (India)'s share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Ahluwalia Contracts (India)'s share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Ahluwalia Contracts (India) is overvalued based on earnings compared to the IN Construction industry average.

Ahluwalia Contracts (India) is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

Ahluwalia Contracts (India) is good value based on expected growth next year.


Price Based on Value of Assets

Ahluwalia Contracts (India) is overvalued based on assets compared to the IN Construction industry average.


Next Steps

Future Growth

How is Ahluwalia Contracts (India) expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

22.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Ahluwalia Contracts (India)'s revenue is expected to grow by 19.1% yearly, however this is not considered high growth (20% yearly).

Ahluwalia Contracts (India)'s earnings are expected to grow significantly at over 20% yearly.

Ahluwalia Contracts (India)'s revenue growth is expected to exceed the India market average.

Ahluwalia Contracts (India)'s earnings growth is expected to exceed the India market average.

Ahluwalia Contracts (India)'s earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Ahluwalia Contracts (India) will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Ahluwalia Contracts (India) performed over the past 5 years?

12.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Ahluwalia Contracts (India)'s year on year earnings growth rate has been positive over the past 5 years.

Ahluwalia Contracts (India)'s 1-year earnings growth is negative, it can't be compared to the 5-year average.

Ahluwalia Contracts (India)'s 1-year earnings growth is negative, it can't be compared to the IN Construction industry average.


Return on Equity

Ahluwalia Contracts (India) has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Ahluwalia Contracts (India) used its assets more efficiently than the IN Construction industry average last year based on Return on Assets.


Return on Capital Employed

Ahluwalia Contracts (India)'s use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Ahluwalia Contracts (India)'s financial position?


Financial Position Analysis

Ahluwalia Contracts (India) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Ahluwalia Contracts (India)'s cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Ahluwalia Contracts (India)'s level of debt (8.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (87.4% vs 8.3% today).

Debt is well covered by operating cash flow (133%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 7.8x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 18.5x debt.


Next Steps

Dividend

What is Ahluwalia Contracts (India)'s current dividend yield, its reliability and sustainability?

0.12%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Ahluwalia Contracts (India)'s pays a lower dividend yield than the bottom 25% of dividend payers in India (0.63%).

Ahluwalia Contracts (India)'s dividend is below the markets top 25% of dividend payers in India (2.52%).

Ahluwalia Contracts (India) is not paying a notable dividend for India, therefore no need to check if the payments are stable.

Ahluwalia Contracts (India) is not paying a notable dividend for India, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Ahluwalia Contracts (India)'s dividends as it is not paying a notable one for India.


Future Payout to Shareholders

No need to calculate the sustainability of Ahluwalia Contracts (India)'s dividends in 3 years as they are not expected to pay a notable one for India.


Next Steps

Management

What is the CEO of Ahluwalia Contracts (India)'s salary, the management and board of directors tenure and is there insider trading?

4.4yrs

Average board tenure


CEO

Bikramjit Ahluwalia (80yo)

₹12,600,000

Compensation

Mr. Bikramjit Ahluwalia is a Founder and serves as the Chairman of the Board, Chief Executive Officer and Managing Director at Ahluwalia Contracts (India) Limited. Mr. Ahluwalia served as the Chairman at A ...


CEO Compensation Analysis

Bikramjit's remuneration is lower than average for companies of similar size in India.

Bikramjit's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.


Board Age and Tenure

4.4yrs

Average Tenure

61yo

Average Age

The tenure for the Ahluwalia Contracts (India) board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Satbeer Singh

    Chief Financial Officer

    • Tenure: 4.4yrs
    • Compensation: 2.57m
  • Mahesh Aggarwal (53yo)

    Vice President of Projects

  • Bikramjit Ahluwalia (80yo)

    Founder

    • Compensation: 12.60m
  • Bharat Srivastava (52yo)

    Vice President of Finance & Accounts

  • Sunil Saxena (49yo)

    Senior Vice President of Project

    • Tenure: 3.5yrs
  • Sanjiv Sharma (51yo)

    Senior VP of Projects & Whole Time Director

  • Shobhit Uppal (52yo)

    Deputy MD & Whole Time Director

    • Compensation: 12.00m
  • Rakesh Sharma (51yo)

    Assistant Vice President of Projects

  • Avtar Saini (57yo)

    Vice President of Projects

  • Vipin Tiwari (57yo)

    GM of Corporate

    • Compensation: 1.94m

Board Members

  • Bikramjit Ahluwalia (80yo)

    Founder

    • Compensation: 12.60m
  • Arun Gupta (70yo)

    Lead Independent Director

    • Compensation: 240.00k
  • Shobhit Uppal (52yo)

    Deputy MD & Whole Time Director

    • Tenure: 25.4yrs
    • Compensation: 12.00m
  • Vikas Ahluwalia (45yo)

    Whole Time Director

    • Tenure: 1.3yrs
    • Compensation: 917.29k
  • Sushil Chandra (81yo)

    Non Executive & Independent Director

    • Tenure: 9.4yrs
    • Compensation: 180.00k
  • Mohinder Sahlot (51yo)

    Independent Non Executive Director

    • Tenure: 4.4yrs
    • Compensation: 200.00k
  • Sanjiv Sharma (51yo)

    Senior VP of Projects & Whole Time Director

  • Rajendra Gupta (70yo)

    Independent Director

    • Tenure: 0.1yrs

Company Information

Ahluwalia Contracts (India) Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ahluwalia Contracts (India) Limited
  • Ticker: AHLUCONT
  • Exchange: NSEI
  • Founded: 1965
  • Industry: construction and engineering
  • Sector: capital goods
  • Market Cap: ₹18.854b
  • Shares outstanding: 66.99m
  • Website: Click here

Number of Employees


Location

  • Ahluwalia Contracts (India) Limited
  • A-177, Okhla Industrial Area
  • Phase-I
  • New Delhi
  • Delhi
  • 110020
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532811BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2007
AHLUCONTNSEI (National Stock Exchange of India)YesEquity SharesININRFeb 2007

Biography

Ahluwalia Contracts (India) Limited, together with its subsidiaries, operates as a construction company in India. The company operates through two segments, Contract Work and Lease Rental. Its project port ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:53
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.