Why is Railtel Corporation of India Ltd ?
1
The company is Net-Debt Free
2
Healthy long term growth as Net Sales has grown by an annual rate of 26.18%
3
The company declared positive results in Mar'26 after flat results in Dec'25
- ROCE(HY) Highest at 21.40%
- NET SALES(Q) Highest at Rs 1,668.86 cr
- PBDIT(Q) Highest at Rs 232.70 cr.
4
With ROE of 16.1, it has a Fair valuation with a 4.9 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 13.22%, its profits have risen by 15.2% ; the PEG ratio of the company is 2
5
Despite the size of the company, domestic mutual funds hold only 1.26% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
6
Market Beating performance in long term as well as near term
- Along with generating 13.22% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Railtel Corpn. should be less than 10%
- Overall Portfolio exposure to Telecom - Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Railtel Corpn. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Railtel Corpn.
13.22%
0.30
43.92%
Sensex
-3.33%
-0.25
13.43%
Quality key factors
Factor
Value
Sales Growth (5y)
26.18%
EBIT Growth (5y)
21.65%
EBIT to Interest (avg)
76.39
Debt to EBITDA (avg)
0.11
Net Debt to Equity (avg)
-0.26
Sales to Capital Employed (avg)
1.51
Tax Ratio
26.25%
Dividend Payout Ratio
30.51%
Pledged Shares
0
Institutional Holding
4.71%
ROCE (avg)
20.48%
ROE (avg)
13.85%
Valuation Key Factors 
Factor
Value
P/E Ratio
59
Industry P/E
20
Price to Book Value
4.87
EV to EBIT
23.27
EV to EBITDA
16.37
EV to Capital Employed
6.23
EV to Sales
2.44
PEG Ratio
1.99
Dividend Yield
0.82%
ROCE (Latest)
26.78%
ROE (Latest)
16.10%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Bullish
Bullish
Technical Movement
20What is working for the Company
ROCE(HY)
Highest at 21.40%
NET SALES(Q)
Highest at Rs 1,668.86 cr
PBDIT(Q)
Highest at Rs 232.70 cr.
PBT LESS OI(Q)
Highest at Rs 181.61 cr.
PAT(Q)
Highest at Rs 143.59 cr.
EPS(Q)
Highest at Rs 4.42
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Railtel Corpn.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 181.61 cr has Grown at 90.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 95.26 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
At Rs 1,668.86 cr has Grown at 70.4% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 979.23 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 143.59 cr has Grown at 76.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 81.23 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 1,668.86 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 232.70 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 181.61 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 143.59 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 4.42
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)






