NSEI:RKEC

Stock Analysis Report

Executive Summary

RKEC Projects Limited operates as a construction company in India.

Snowflake

Fundamentals

Solid track record with adequate balance sheet.

Risks

  • RKEC Projects has significant price volatility in the past 3 months.
  • RKEC Projects is not covered by any analysts.

Similar Companies

Share Price & News

How has RKEC Projects's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.5%

NSEI:RKEC

-2.1%

IN Construction

1.3%

IN Market


1 Year Return

-37.4%

NSEI:RKEC

3.0%

IN Construction

-1.5%

IN Market

RKEC underperformed the Construction industry which returned 3% over the past year.

RKEC underperformed the Market in India which returned -1.5% over the past year.


Share holder returns

RKECIndustryMarket
7 Day4.5%-2.1%1.3%
30 Day-9.9%-3.2%-0.8%
90 Day-13.0%1.0%-3.7%
1 Year-36.7%-37.4%4.2%3.0%0.3%-1.5%
3 Yearn/a27.9%23.9%29.2%22.6%
5 Yearn/a37.2%29.2%47.8%33.9%

Price Volatility Vs. Market

How volatile is RKEC Projects's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is RKEC Projects undervalued based on future cash flows and its price relative to the stock market?

5.49x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for RKEC Projects to establish if it is available at moderate discount.

Unable to calculate intrinsic value for RKEC Projects to establish if it is available at substantial discount.


Price Based on Earnings

RKEC Projects is good value based on earnings compared to the IN Construction industry average.

RKEC Projects is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for RKEC Projects, we can't assess if its growth is good value.


Price Based on Value of Assets

RKEC Projects is overvalued based on assets compared to the IN Construction industry average.


Next Steps

Future Growth

How is RKEC Projects expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

-5.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if RKEC Projects is high growth as no revenue estimate data is available.

RKEC Projects's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Unable to compare RKEC Projects's revenue growth to the India market average as no estimate data is available.

RKEC Projects's earnings are expected to decrease over the next 1-3 years, this is below the India market average.

RKEC Projects's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if RKEC Projects will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has RKEC Projects performed over the past 5 years?

36.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

RKEC Projects has delivered over 20% year on year earnings growth in the past 5 years.

RKEC Projects's 1-year earnings growth is less than its 5-year average (10.2% vs 36.2%)

RKEC Projects's earnings growth has exceeded the IN Construction industry average in the past year (10.2% vs 8.4%).


Return on Equity

RKEC Projects has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

RKEC Projects used its assets more efficiently than the IN Construction industry average last year based on Return on Assets.


Return on Capital Employed

RKEC Projects has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is RKEC Projects's financial position?


Financial Position Analysis

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

RKEC Projects's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

RKEC Projects's level of debt (51.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (98.2% vs 51.1% today).

Operating cash flow is negative therefore debt is not well covered.

Interest payments on debt are well covered by earnings (EBIT is 6.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 4.8x debt.


Next Steps

Dividend

What is RKEC Projects's current dividend yield, its reliability and sustainability?

3.89%

Current Dividend Yield


Dividend Yield and Payments Analysis

RKEC Projects's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.56%).

RKEC Projects's dividend is above the markets top 25% of dividend payers in India (2.21%).

It is too early to tell whether RKEC Projects has stable dividend payments.

RKEC Projects only just started paying a dividend, it is too early to tell if payments are increasing.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.7x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of RKEC Projects's salary, the management and board of directors tenure and is there insider trading?


CEO

Garapati Radhakrishna

Mr. Garapati Radhakrishna serves as a Managing Director and Chairman at RKEC Projects Limited. Mr. Radhakrishna holds a B.E. 


Insider Trading

No 3 month individual insider trading information.


Recent Insider Transactions

Buy₹695,00013 Feb 19
Garapati Devi
EntityIndividual
Role
Whole Time Director
Member of the Board of Directors
Shares13,000
Max Price₹53.46
Buy₹57,00001 Feb 19
Garapati Radhakrishna
EntityIndividual
Role
Chairman & MD
Chairman of the Board
Shares1,000
Max Price₹57.00
Buy₹613,80006 Oct 18
Garapati Radhakrishna
EntityIndividual
Role
Chairman & MD
Chairman of the Board
Shares9,000
Max Price₹68.20
Buy₹1,420,01903 Oct 18
Garapati Radhakrishna
EntityIndividual
Role
Chairman & MD
Chairman of the Board
Shares21,000
Max Price₹70.28
Buy₹532,20023 Aug 18
Garapati Radhakrishna
EntityIndividual
Role
Chairman & MD
Chairman of the Board
Shares6,000
Max Price₹88.70
Buy₹1,105,52817 Aug 18
Garapati Radhakrishna
EntityIndividual
Role
Chairman & MD
Chairman of the Board
Shares11,000
Max Price₹100.50

Ownership Breakdown


Management Team

  • Garapati Radhakrishna

    Chairman & MD

  • Garapati Devi (55yo)

    Whole Time Director

    • Tenure: 2.7yrs
  • B. Rao

    General Manager of Commercial & Administration

  • G. Satyanarayana

    Chief Financial Officer

  • Swapna Rajaram

    Compliance Officer & Company Secretary

  • M. Keerthana

    General Manager of Finance & Accounts


Board Members

  • Garapati Radhakrishna

    Chairman & MD

  • Garapati Devi (55yo)

    Whole Time Director

    • Tenure: 2.7yrs
  • Satish Soni

    Independent Director

  • Lucas Thalakala

    Independent Director

  • G. Ratnam

    Director

  • Sita Gudapati

    Non Executive Director

Company Information

RKEC Projects Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: RKEC Projects Limited
  • Ticker: RKEC
  • Exchange: NSEI
  • Founded: 2005
  • Industry: construction and engineering
  • Sector: capital goods
  • Market Cap: ₹1.232b
  • Shares outstanding: 23.99m
  • Website: Click here

Number of Employees


Location

  • RKEC Projects Limited
  • Rednam Alcazar
  • #10-12-1, 3rd Floor
  • Visakhapatnam
  • Andhra Pradesh
  • 530020
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RKECNSEI (National Stock Exchange of India)YesEquity SharesININROct 2017

Biography

RKEC Projects Limited operates as a construction company in India. The company constructs marine structures, such as wharves, berths, jetties, mooring dolphins, intake structures break waters, and coastal  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/18 12:56
End of Day Share Price2019/07/17 00:00
Earnings2019/03/31
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.