⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
ANANTRAJ - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.5
| Stock Code | ANANTRAJ | Market Cap | 16,963 Cr. | Current Price | 471 ₹ | High / Low | 744 ₹ |
| Stock P/E | 59.2 | Book Value | 106 ₹ | Dividend Yield | 0.16 % | ROCE | 6.71 % |
| ROE | 6.17 % | Face Value | 2.00 ₹ | DMA 50 | 520 ₹ | DMA 200 | 557 ₹ |
| Chg in FII Hold | 0.42 % | Chg in DII Hold | -0.62 % | PAT Qtr | 77.5 Cr. | PAT Prev Qtr | 74.2 Cr. |
| RSI | 39.2 | MACD | -23.0 | Volume | 22,59,979 | Avg Vol 1Wk | 22,26,310 |
| Low price | 366 ₹ | High price | 744 ₹ | PEG Ratio | 1.03 | Debt to equity | 0.11 |
| 52w Index | 27.8 % | Qtr Profit Var | 32.8 % | EPS | 8.24 ₹ | Industry PE | 25.5 |
📊 Financials
- Revenue & Profitability: PAT improved slightly from ₹74.2 Cr. to ₹77.5 Cr., showing 32.8% quarterly variation. EPS at ₹8.24 is modest, reflecting limited earnings strength.
- Margins & Returns: ROCE at 6.71% and ROE at 6.17% are weak, indicating low efficiency compared to industry peers.
- Debt & Liquidity: Debt-to-equity ratio of 0.11 highlights low leverage, ensuring financial stability.
- Cash Flow: Dividend yield of 0.16% provides minimal shareholder returns.
💹 Valuation
- P/E Ratio: 59.2 vs Industry PE of 25.5 — trading at a significant premium.
- P/B Ratio: Current price ₹471 vs Book Value ₹106 — ~4.4x book value, expensive.
- PEG Ratio: 1.03 — indicates fair valuation relative to growth.
- Intrinsic Value: Current price is above fair value, offering limited margin of safety.
🏢 Business Model & Competitive Advantage
- Operates in real estate and infrastructure development with diversified projects.
- Low debt enhances resilience and financial flexibility.
- Weak returns limit competitive advantage compared to stronger peers in the sector.
📈 Entry Zone & Long-Term Guidance
- Entry Zone: Attractive accumulation range between ₹420 – ₹450, near its 52-week low.
- Long-Term Holding: Fundamentals are weak relative to valuation. Suitable for cautious investors seeking exposure to real estate growth. Accumulate only on dips.
✅ Positive
- Debt-to-equity ratio of 0.11 ensures financial stability.
- Quarterly PAT growth highlights operational improvement.
- FII holdings increased by 0.42%, showing foreign investor confidence.
⚠️ Limitation
- High P/E ratio (59.2) compared to industry average (25.5).
- Weak ROCE (6.71%) and ROE (6.17%) highlight poor efficiency.
- Dividend yield of 0.16% provides minimal shareholder returns.
📉 Company Negative News
- DII holdings declined by 0.62%, showing reduced domestic institutional confidence.
- RSI at 39.2 and MACD negative (-23.0) reflect bearish technical signals.
📈 Company Positive News
- Quarterly PAT growth highlights improving earnings trajectory.
- FII holdings increased, showing foreign investor confidence.
- Strong trading volumes indicate liquidity and investor interest.
🏭 Industry
- Real estate sector benefits from urbanization and infrastructure development.
- Industry PE at 25.5 is much lower than company’s valuation, highlighting relative overpricing of ANANTRAJ.
🔎 Conclusion
ANANTRAJ shows modest earnings growth and low debt, but suffers from weak efficiency and high valuations. While foreign investors show confidence, domestic institutions remain cautious. Best strategy: accumulate cautiously near ₹420–₹450 and hold for long-term exposure to real estate growth, but monitor profitability and valuation risks closely.