ENGINERSIN - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 19 Sept 25, 2:16 pm

Fundamental Rating: 4.0

📊 Core Financials Breakdown

Profitability

ROCE: 24.4% | ROE: 18.4% — excellent capital efficiency

EPS: ₹8.55 — modest but consistent

PAT Qtr: ₹70.1 Cr vs ₹243 Cr prior — significant drop, likely due to one-off income in previous quarter

Balance Sheet Strength

Debt-to-Equity: 0.01 — virtually debt-free, a major plus

Book Value: ₹46.6 — P/B ~4.46, slightly premium

Cash Flow & Dividend

Dividend Yield: 1.93% — attractive for a mid-cap

Historical cash flows are stable, supporting dividend payouts and capex

💰 Valuation Metrics

Metric Value Comment

P/E Ratio 24.3 Slightly above industry average (20.6)

P/B Ratio ~4.46 Premium valuation

PEG Ratio 2.41 Indicates overvaluation relative to growth

Intrinsic Value ~₹190–₹200 Slight downside from CMP

Valuation is not excessive, but PEG > 2 suggests the stock is priced ahead of its growth curve.

🏗️ Business Model & Competitive Edge

Sector: Engineering consultancy — stable, asset-light, and government-linked

Segments: Consultancy & Turnkey Projects — diversified revenue streams

MoUs & Expansion

Recent tie-ups with ONGC and NPCIL for strategic projects

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Plays a role in India’s infrastructure and energy roadmap

Institutional Sentiment

FII holding up 0.38%, DII up 3.54% — strong domestic confidence

📉 Technicals & Entry Zone

Current Price: ₹208

DMA 50: ₹209 | DMA 200: ₹203 — hovering near support

RSI: 51.9 — neutral zone

MACD: Slightly positive — momentum building

📌 Suggested Entry Zone: ₹195–₹205

A dip near ₹200 would offer a better margin of safety.

🧭 Long-Term Holding Guidance

Hold if invested: Strong fundamentals, low debt, and strategic government partnerships make it a resilient long-term play.

Accumulate on dips: Ideal for conservative investors seeking steady returns and dividend income.

Let me know if you'd like a peer comparison or a dividend forecast model next.

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