KNR Constructions Ltd (KNRCON) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Interarch Build.

H.G. Infra Engg.

Hind.Construct.

Ramky Infra

J Kumar Infra

KNR Construct.

Ashoka Buildcon

Man Infra

Sterling & Wils.

Bondada Engineer

Oriana Power Ltd

Why is KNR Constructions Ltd ?

Poor long term growth as Net Sales has grown by an annual rate of 2.41% and Operating profit at 8.99% over the last 5 years

With a fall in Net Sales of -12.37%, the company declared Very Negative results in Dec 25

The company has declared negative results for the last 4 consecutive quarters
The company has declared negative results in Mar 25 after 2 consecutive negative quarters
OPERATING PROFIT TO INTEREST(Q) Lowest at 3.04 times
PBT LESS OI(Q) At Rs 96.85 cr has Fallen at -49.24%
INTEREST(Latest six months) At Rs 107.58 cr has Grown at 20.97%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -50.84% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is KNR Construct. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

KNR Construct.

-50.84%

-1.46

34.78%

Sensex

-2.38%

-0.19

12.70%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.41%

EBIT Growth (5y)

8.99%

EBIT to Interest (avg)

5.57

Debt to EBITDA (avg)

1.42

Net Debt to Equity (avg)

0.41

Sales to Capital Employed (avg)

0.92

Tax Ratio

25.10%

Dividend Payout Ratio

0.90%

Pledged Shares

Institutional Holding

27.40%

ROCE (avg)

19.72%

ROE (avg)

18.03%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.70

EV to EBIT

7.60

EV to EBITDA

6.92

EV to Capital Employed

0.79

EV to Sales

1.77

PEG Ratio

Dividend Yield

0.20%

ROCE (Latest)

11.54%

ROE (Latest)

13.27%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-35What is not working for the Company

OPERATING PROFIT TO INTEREST(Q)

Lowest at 3.04 times

PBT LESS OI(Q)

At Rs 96.85 cr has Fallen at -49.24%

INTEREST(Latest six months)

At Rs 107.58 cr has Grown at 20.97%

ROCE(HY)

Lowest at 13.50%

NET SALES(Q)

At Rs 743.20 cr has Fallen at -12.37%

PAT(Q)

Lowest at Rs 102.80 cr.

DEBT-EQUITY RATIO(HY)

Highest at 0.49 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.53 times

PBDIT(Q)

Lowest at Rs 166.71 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 22.43%

EPS(Q)

Lowest at Rs 3.66

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Here's what is not working for KNR Construct.

Operating Profit to Interest - Quarterly

Lowest at 3.04 times and Fallen

each quarter in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 96.85 cr has Fallen at -49.24%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 102.80 cr has Fallen at -58.6%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 743.20 cr has Fallen at -12.37%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Profit After Tax (PAT) - Quarterly

Lowest at Rs 102.80 cr. and Fallen

each quarter in the last five quarters

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Interest - Latest six months

At Rs 107.58 cr has Grown at 20.97%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 166.71 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 22.43%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs 96.85 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs 3.66

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Debt-Equity Ratio - Half Yearly

Highest at 0.49 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio- Half Yearly

Lowest at 3.53 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio