⚠ 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.
TECHNOE - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.8
| Stock Code | TECHNOE | Market Cap | 13,135 Cr. | Current Price | 1,130 ₹ | High / Low | 1,655 ₹ |
| Stock P/E | 26.0 | Book Value | 336 ₹ | Dividend Yield | 0.80 % | ROCE | 16.6 % |
| ROE | 12.9 % | Face Value | 2.00 ₹ | DMA 50 | 1,097 ₹ | DMA 200 | 1,197 ₹ |
| Chg in FII Hold | -0.69 % | Chg in DII Hold | 0.43 % | PAT Qtr | 152 Cr. | PAT Prev Qtr | 123 Cr. |
| RSI | 54.8 | MACD | 6.14 | Volume | 2,80,818 | Avg Vol 1Wk | 2,81,920 |
| Low price | 785 ₹ | High price | 1,655 ₹ | PEG Ratio | 1.89 | Debt to equity | 0.01 |
| 52w Index | 39.6 % | Qtr Profit Var | 45.2 % | EPS | 45.7 ₹ | Industry PE | 15.2 |
📊 Financials
- Revenue Growth: Strong, PAT improved to 152 Cr from 123 Cr
- Profit Margins: EPS at 45.7 ₹, showing profitability
- Debt Ratios: Very low debt-to-equity (0.01), excellent financial discipline
- Cash Flows: Healthy, supported by consistent profit growth
- Return Metrics: ROCE 16.6% and ROE 12.9% indicate solid efficiency
💹 Valuation
- P/E Ratio: 26.0, higher than industry average (15.2), suggesting premium valuation
- P/B Ratio: ~3.36 (Current Price / Book Value), reasonable compared to peers
- PEG Ratio: 1.89, indicating fair valuation relative to growth
- Intrinsic Value: Slightly overvalued, but justified by growth momentum
🏢 Business Model & Health
- Business Model: Engineering and technology services, diversified across industries
- Competitive Advantage: Strong execution, niche expertise, and global client base
- Overall Health: Financially sound with growth visibility
🎯 Entry Zone Recommendation
- Entry Zone: Attractive near 1,050–1,100 ₹ levels (close to DMA 50)
- Long-Term Holding: Suitable for growth investors; dividend yield (0.80%) adds minor stability
✅ Positive
- Quarterly profit growth of 45.2% shows strong momentum
- EPS of 45.7 ₹ reflects profitability
- Low debt-to-equity ratio ensures financial strength
⚠️ Limitation
- P/E ratio higher than industry average, indicating premium valuation
- Dividend yield relatively low (0.80%)
- Stock trading below DMA 200, showing cautious sentiment
📉 Company Negative News
- FII holdings decreased (-0.69%), showing reduced foreign investor confidence
📈 Company Positive News
- DII holdings increased (+0.43%), showing domestic institutional support
- Technical indicators (RSI 54.8, MACD 6.14) suggest improving momentum
🏭 Industry
- Engineering services industry P/E: 15.2, lower than TECHNOE’s valuation
- Sector remains competitive, with strong demand for technology-driven solutions
🔎 Conclusion
- TECHNOE is financially strong with consistent profit growth and low debt
- Valuation is slightly expensive compared to industry peers
- Best suited for long-term investors seeking growth; entry near 1,050–1,100 ₹ offers better risk-reward