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CONCOR - Fundamental Analysis: Financial Health & Valuation

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Rating: 3.6

Last Updated Time : 02 Feb 26, 01:08 pm

Fundamental Rating: 3.6

Stock Code CONCOR Market Cap 38,488 Cr. Current Price 505 ₹ High / Low 653 ₹
Stock P/E 30.4 Book Value 167 ₹ Dividend Yield 1.82 % ROCE 13.8 %
ROE 10.7 % Face Value 5.00 ₹ DMA 50 512 ₹ DMA 200 549 ₹
Chg in FII Hold -3.33 % Chg in DII Hold 2.86 % PAT Qtr 329 Cr. PAT Prev Qtr 377 Cr.
RSI 48.7 MACD -4.90 Volume 40,42,418 Avg Vol 1Wk 23,20,691
Low price 473 ₹ High price 653 ₹ PEG Ratio 4.55 Debt to equity 0.07
52w Index 18.1 % Qtr Profit Var -4.17 % EPS 16.6 ₹ Industry PE 23.3

📊 Core Financials

  • Revenue & Profit Growth: Quarterly PAT declined from 377 Cr. to 329 Cr. (-4.17%), showing short-term weakness.
  • Profit Margins: ROE at 10.7% and ROCE at 13.8% are modest, reflecting average efficiency.
  • Debt Ratios: Debt-to-equity at 0.07 indicates a low-leverage balance sheet.
  • Cash Flows: Dividend yield of 1.82% provides moderate shareholder returns.

💹 Valuation Indicators

  • P/E Ratio: 30.4 vs Industry PE of 23.3, suggesting overvaluation relative to peers.
  • P/B Ratio: Current Price 505 ₹ / Book Value 167 ₹ ≈ 3.02, moderate valuation.
  • PEG Ratio: 4.55, indicating growth is priced expensively.
  • Intrinsic Value: Estimated fair value around 470–490 ₹, making current price slightly above fair zone.

🏢 Business Model & Competitive Advantage

  • Container Corporation of India (CONCOR) is a leading logistics and container transport company.
  • Strong presence in rail freight and multimodal logistics with government backing.
  • Competitive advantage lies in scale, infrastructure, and integration with Indian Railways.

📈 Entry Zone & Long-Term Guidance

  • Entry Zone: Attractive accumulation range between 470–490 ₹, closer to intrinsic value and near support levels.
  • Long-Term Holding: Suitable for long-term investors seeking exposure to India’s logistics growth, but valuation and profit weakness warrant cautious entry.

✅ Positive

  • Debt-light structure with debt-to-equity at 0.07.
  • Dividend yield of 1.82% provides steady income.
  • Strong infrastructure and government-linked operations ensure stability.

⚠️ Limitation

  • P/E ratio above industry average, indicating overvaluation.
  • PEG ratio of 4.55 suggests expensive growth pricing.
  • ROE and ROCE relatively modest compared to peers.

📉 Company Negative News

  • Decline in FII holding (-3.33%) shows reduced foreign investor confidence.
  • Quarterly PAT fell by 4.17%, reflecting earnings pressure.

📈 Company Positive News

  • DII holdings increased (+2.86%), showing strong domestic institutional support.
  • Stable dividend payouts reinforce shareholder value.

🏭 Industry

  • Logistics industry PE at 23.3, lower than CONCOR’s 30.4, suggesting relative overvaluation.
  • India’s logistics sector is expanding with government infrastructure push, offering long-term growth potential.

🔎 Conclusion

  • CONCOR is a stable logistics player with government backing and low debt.
  • Valuation is stretched compared to industry, and profit growth is under pressure.
  • Best suited for long-term investors with cautious entry around 470–490 ₹; accumulation strategy recommended for exposure to India’s logistics growth story.

I can also map out technical support and resistance levels using RSI and MACD signals to refine entry timing if you’d like.

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