NSEI:CAPACITE

Stock Analysis Report

Capacit'e Infraprojects

Executive Summary

Capacit'e Infraprojects Limited engages in engineering, procurement, and construction business in India.

Rewards

Trading at 64.6% below its fair value

Earnings are forecast to grow 23.91% per year

Earnings grew by 22.5% over the past year

Risk Analysis

Unstable dividend track record

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year

Does not have a meaningful market cap (₹5B)



Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Capacit'e Infraprojects's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CAPACITE's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-15.6%

CAPACITE

-4.4%

IN Real Estate

-3.0%

IN Market


1 Year Return

-66.4%

CAPACITE

-31.8%

IN Real Estate

-29.2%

IN Market

Return vs Industry: CAPACITE underperformed the Indian Real Estate industry which returned -31.8% over the past year.

Return vs Market: CAPACITE underperformed the Indian Market which returned -29.2% over the past year.


Shareholder returns

CAPACITEIndustryMarket
7 Day-15.6%-4.4%-3.0%
30 Day-56.2%-35.5%-26.9%
90 Day-57.2%-36.1%-28.5%
1 Year-66.3%-66.4%-31.3%-31.8%-27.7%-29.2%
3 Yearn/a-7.9%-9.8%-15.2%-19.9%
5 Yearn/a-4.6%-8.6%-3.1%-8.1%

Price Volatility Vs. Market

How volatile is Capacit'e Infraprojects's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Capacit'e Infraprojects undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CAPACITE (₹76.1) is trading below our estimate of fair value (₹214.74)

Significantly Below Fair Value: CAPACITE is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CAPACITE is good value based on its PE Ratio (4.5x) compared to the Real Estate industry average (10.4x).

PE vs Market: CAPACITE is good value based on its PE Ratio (4.5x) compared to the Indian market (9.2x).


Price to Earnings Growth Ratio

PEG Ratio: CAPACITE is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: CAPACITE is overvalued based on its PB Ratio (0.6x) compared to the IN Real Estate industry average (0.5x).


Next Steps

Future Growth

How is Capacit'e Infraprojects forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

23.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CAPACITE's forecast earnings growth (23.9% per year) is above the savings rate (6.5%).

Earnings vs Market: CAPACITE's earnings (23.9% per year) are forecast to grow faster than the Indian market (19.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CAPACITE's revenue (28.8% per year) is forecast to grow faster than the Indian market (9.1% per year).

High Growth Revenue: CAPACITE's revenue (28.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CAPACITE's Return on Equity is forecast to be low in 3 years time (16.4%).


Next Steps

Past Performance

How has Capacit'e Infraprojects performed over the past 5 years?

20.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CAPACITE has high quality earnings.

Growing Profit Margin: CAPACITE's current net profit margins (6.6%) are higher than last year (5.5%).


Past Earnings Growth Analysis

Earnings Trend: CAPACITE's earnings have grown significantly by 20.8% per year over the past 5 years.

Accelerating Growth: CAPACITE's earnings growth over the past year (22.5%) exceeds its 5-year average (20.8% per year).

Earnings vs Industry: CAPACITE earnings growth over the past year (22.5%) exceeded the Real Estate industry 2.2%.


Return on Equity

High ROE: CAPACITE's Return on Equity (12.7%) is considered low.


Next Steps

Financial Health

How is Capacit'e Infraprojects's financial position?


Financial Position Analysis

Short Term Liabilities: CAPACITE's short term assets (₹12.9B) exceed its short term liabilities (₹9.5B).

Long Term Liabilities: CAPACITE's short term assets (₹12.9B) exceed its long term liabilities (₹2.6B).


Debt to Equity History and Analysis

Debt Level: CAPACITE's debt to equity ratio (27.3%) is considered satisfactory.

Reducing Debt: CAPACITE's debt to equity ratio has reduced from 215.7% to 27.3% over the past 5 years.

Debt Coverage: CAPACITE's debt is well covered by operating cash flow (52.4%).

Interest Coverage: CAPACITE earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: CAPACITE has a high level of physical assets or inventory.

Debt Coverage by Assets: CAPACITE's debt is covered by short term assets (assets are 5.3x debt).


Next Steps

Dividend

What is Capacit'e Infraprojects's current dividend yield, its reliability and sustainability?

1.32%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CAPACITE's dividend (1.32%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).

High Dividend: CAPACITE's dividend (1.32%) is low compared to the top 25% of dividend payers in the Indian market (4.18%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CAPACITE has been paying a dividend for less than 10 years.

Growing Dividend: CAPACITE has only been paying a dividend for 2 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (6%), CAPACITE's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CAPACITE's dividends in 3 years are forecast to be thoroughly covered by earnings (11.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.9yrs

Average management tenure


CEO

Saroj Pati (52yo)

2.5s

Tenure

₹12,153,180

Compensation

Mr. Saroj Kumar Pati has been Chief Operating Officer of West Zone at Capacit'e Infraprojects Limited since May 17, 2016. Mr. Pati Joined Capacit'e Infraprojects Limited in March 17, 2016. His functions an ...


CEO Compensation Analysis

Compensation vs Market: Saroj's total compensation ($USD161.24K) is above average for companies of similar size in the Indian market ($USD48.50K).

Compensation vs Earnings: Saroj's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Saroj Pati
Chief Executive Officer2.5yrs₹12.15mno data
Rohit Katyal
Executive Director & CFO6yrs₹9.72mno data
Gopal Krishna Parmeshwar
Chief Operating Officerno datano datano data
Milind Madhukar Joshi
Chief Operating Officer3.17yrsno datano data
Rahul Katyal
MD & Director7.58yrs₹9.42m12.34% 634.9m
Subir Malhotra
Executive Director7.58yrs₹8.62m3.72% 191.3m
Tushar Srivastava
President (Head) of BD (Private Sector)no datano datano data
Rajendra Sharma
Senior Vice Presidentno datano datano data
Alok Mehrotra
President of Finance1.42yrsno datano data
Dhiman Majumder
Vice President of Frameworkno datano datano data

1.9yrs

Average Tenure

51.5yo

Average Age

Experienced Management: CAPACITE's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Rohit Katyal
Executive Director & CFO6yrs₹9.72mno data
Rahul Katyal
MD & Director7.58yrs₹9.42m12.34% 634.9m
Subir Malhotra
Executive Director7.58yrs₹8.62m3.72% 191.3m
Sumeet Nindrajog
Non-Executive Non Independent Director4.58yrsno datano data
Arun Karambelkar
Non-Executive Independent Director1.83yrs₹540.00kno data
Siddharth Parekh
Non-Executive Non Independent Director3.42yrsno datano data
Farah Nathani-Menzies
Non Executive Independent Director2.33yrs₹555.00kno data

4.6yrs

Average Tenure

44yo

Average Age

Experienced Board: CAPACITE's board of directors are considered experienced (4.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4%.


Top Shareholders

Company Information

Capacit'e Infraprojects Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Capacit'e Infraprojects Limited
  • Ticker: CAPACITE
  • Exchange: NSEI
  • Founded: 2012
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: ₹5.143b
  • Shares outstanding: 67.89m
  • Website: https://www.capacite.in

Number of Employees


Location

  • Capacit'e Infraprojects Limited
  • 605-607, Shrikant Chambers
  • A Wing, 6th Floor
  • Mumbai
  • Maharashtra
  • 400071
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CAPACITENSEI (National Stock Exchange of India)YesEquity SharesININRSep 2017
540710BSE (Mumbai Stock Exchange)YesEquity SharesININRSep 2017

Biography

Capacit'e Infraprojects Limited engages in engineering, procurement, and construction business in India. It undertakes construction works of high rise and super high rise buildings, gated communities, villaments, commercial and office complexes, residential buildings, institutional buildings, and multi-level car parks. The company was incorporated in 2012 and is headquartered in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 13:34
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.