- Our view
- Unrated
- Price then
- INR 205.00/-
- Market cap then
- INR 474.52 Cr.
Mumbai-based EPC and project-management company working in effluent treatment and recycling, zero liquid discharge, sewage treatment, solid waste and water-body restoration. Its unexecuted order book was INR 500 Cr. as on 30-Sep’24.
Profile Highlights
- Order pipeline: The company cited INR 1,800 Cr.+ of orders in its pipeline, with a 30% success rate expected; execution was expected over 18 to 24 months.
- Client mix: Private clients accounted for 66% of revenue in H1FY25, compared with 53.5% in FY24.
Key Risks
- Working capital: Milestone-based billing and retention money contribute to high debtor levels.
- Tender competition: Moderate scale and aggressive bidding may put operating margins under pressure.
Standard disclosures
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- We or our associates have managed or co-managed public offering of securities for the subject company(ies) in the past12 months: No
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- We or our associates may have received compensation or other benefits from the subject company(ies) or third party in connection with the research report –No
- We or our associates or Research Analyst or his/her relative's financial interest in the subject company(ies)- No
- Nature of financial interest in subject company, if any –Nil
- We, our associates or Research Analyst have actual/beneficial ownership of 1% or more securities of the subject company (ies) at the end of the month immediately preceding the date of publication of Research Report – No
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Regulatory disclosures
Minerva Capital Research Solutions is an independent investment advisory firm founded by Nishant Gupta(SEBI registration no. INH000018896).
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Rating rationale
Minerva Capital Research Solutions endeavors to provide objective opinions and recommendations. Ratings are assigned to stocks according to their fair value vs current market price and then categorizes them as Buy, Hold, Reduce, Sell. The performance horizon is one year unless specified and fair value is defined as analyst’s valuation for a stock.
- Buy:> 15%
- Hold: -5% to 15%
- Reduce: -15% to -5%
- Sell: <-15%