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Fundamentals for NCC Limited
Business Operations:
Sector: IndustrialsIndustry: Engineering & Construction
NCC Limited engages in the construction business in India and internationally. It operates through Construction, Real Estate, and Others segments. The company constructs industrial and commercial buildings, housing projects, IT parks, sports complexes, hospitals, stadiums, and highways, as well as roads, flyovers, bridges, etc. It also undertakes design, engineering, erection, testing, and commissioning of transmission lines, sub-stations, voltage distribution system, and feeder separation schemes, as well as earth works, track linking, and overhead electrification; and railway projects, which include freight corridors and railway sidings. In addition, the company constructs water supply systems, water treatment plants, distribution networks, river intake works, electro-mechanical works, underground drainage networks, lift irrigation schemes, and sewage pumping stations and treatment plants; and dams and reservoirs, canals, tunnels, and hydroelectric power projects, as well as barrages, spillways, and aqueducts. Further, it operates power and metal business; and provision of mine developer-cum-operator services, as well as removal of overburden and extraction of coal, lignite, and other minerals from open cast mines. The company was formerly known as Nagarjuna Construction Company Limited and changed its name to NCC Limited in March 2011. NCC Limited was founded in 1978 and is based in Hyderabad, India.
Revenue projections:
Revenues for NCC are forecasted to decline from last year's levels, prompting caution among investors. When revenues fall, it can have a significant negative impact on the company's bottom line, reducing profitability and making the stock less attractive to risk-averse investors.
Financial Ratios:
| currentRatio | 1.354000 |
|---|---|
| forwardPE | 9.664055 |
| debtToEquity | 37.893000 |
| earningsGrowth | -0.054000 |
| revenueGrowth | -0.126000 |
| grossMargins | 0.157880 |
| operatingMargins | 0.074050 |
| trailingEps | 12.640000 |
| forwardEps | 14.675000 |
NCC's current ratio of 1.354 shows that the company has ample resources to service its short-term debt. This indicates a solid financial position, as NCC can rely on its cash reserves and current assets to cover its immediate liabilities without strain.
NCC's low growth in earnings and revenue points to a likely reduction in profits. This signals a weakening financial performance, indicating the company might face difficulties in staying profitable.
NCC Limited's negative gross and operating margins indicate that the company is not generating profit from either production or day-to-day operations. This could suggest cost overruns or declining revenue, impacting its financial stability.
NCC Limited's forward EPS surpassing its trailing EPS signals projected growth in profitability, with the company expected to perform better this year. This forecast suggests that NCC Limited's earnings will improve compared to the previous financial year, highlighting optimism in its financial outlook.
Price projections:
NCC's price projections have gradually declined, indicating growing uncertainty about the company's ability to meet previous targets. The downward trend reflects a more conservative view of NCC's future.
Insider Transactions:
12 purchases of NCC were executed, with market price of 186.92499923706055.During the period under consideration, there were no buy transactions.NCC's current price levels are experiencing more selling than buying, which may suggest further declines. If the trend persists, it could lead to a continued downward trajectory as investors lose confidence in the stock's future performance.
Recommendation changes over time:
Analysts' buy bias for NCC Limited signals that the stock is considered a favorable investment. This outlook might prompt investors to allocate funds to NCC Limited, seeing it as a solid and profitable choice to park their money and potentially benefit from the company's long-term growth.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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