CONCOR - Investment Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Investment Rating: 3.2

🚚 Fundamental Analysis: CONCOR (Container Corporation of India)

CONCOR is a key player in logistics and containerized freight, with a strong government backing and strategic infrastructure. However, its current valuation and growth metrics suggest limited upside in the near term.

Metric Value Implication

Market Cap ₹45,099 Cr Large-cap; stable and well-established

Stock P/E 34.3 Expensive vs. industry PE of 28.8

PEG Ratio 4.49 Highly overvalued relative to earnings growth

ROCE / ROE 13.7% / 10.8% Moderate; not ideal for long-term compounding

Dividend Yield 1.55% Decent; adds some income stability

Debt-to-Equity 0.07 Low debt; financially sound

EPS ₹16.9 Fair earnings base

Qtr Profit Var -5.81% Declining; recent earnings contraction

FII/DII Holding Change -0.41% / -0.24% Mild institutional selling; cautious sentiment

📉 Technical Analysis

Current Price: ₹592

DMA 50 / DMA 200: ₹601 / ₹615 → Trading below both; short-term bearish

RSI: 39.8 → Near oversold zone; weak momentum

MACD: -1.61 → Bearish crossover

Volume: Slightly below average; low conviction

💰 Ideal Entry Price Zone

₹540–₹570

This range offers a better margin of safety and aligns with technical support levels

Avoid fresh entry above ₹620 unless earnings growth resumes

📈 Long-Term Investment Outlook

Strengths

Strategic importance in India’s logistics infrastructure

Low debt and consistent dividend payout

Large-cap stability and government backing

Risks

PEG > 4 — severely overvalued for current growth

ROE and ROCE below ideal levels for long-term wealth creation

Declining quarterly profits — earnings momentum is weak

Institutional selling — sentiment turning cautious

CONCOR is a defensive, income-generating stock, but not a high-growth compounder. It may suit conservative portfolios, but long-term returns could lag unless operational efficiency improves.

🏁 Exit Strategy / Holding Period

If you already hold CONCOR

Holding Period: 1–2 years unless growth metrics improve

Exit Strategy

Consider trimming near ₹800–₹840 if price rebounds

Reassess if ROCE stays below 15% and PEG remains above 3

Hold only if dividend income and capital preservation are your goals

Would you like a comparison with other logistics stocks like TCI Express or VRL Logistics to explore better growth-oriented alternatives?

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