Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Engineering & Construction

RITES Limited, together with its subsidiaries, provides design, engineering consultancy, and project management services in the field of railways, highways, airports, metros, ports, ropeways, urban transport, inland waterways, and renewable energy. The company operates through five segments: Consultancy Services; Leasing of Railway Rolling Stock & Equipments; Export of Rolling Stock, Equipments and Spares; Turnkey Construction Projects; and Power Generation. It is involved in the engineering design and survey, feasibility studies, detailed design and consultancy, project management consultancy, technical audit, third party inspection, quality assurance, construction supervision, and leasing and export of locomotives and rolling stock; turnkey construction; and maintenance and operational facilities such as smart yards, coaching, and freight maintenance depots. The company also constructs railway workshops, track doubling /tripling/quadruplicating, new/additional railway line, railway electrification, redevelopment of railway stations, institutional buildings, wind, solar and other renewable energy projects on a turnkey basis; civil engineering works; and generates power from windmills and solar energy plants. In addition, it offers services in the field of road/railway tunnels engineering, urban engineering, electrical engineering, information technology, transaction, advisory, procurement, railway electrification, rolling stock design, railway equipment, signaling & telecommunications, surveys, and training programs. The company serves central/state governments, public sector undertakings, large corporations, and private enterprises in India, Asia, Africa, and internationally. RITES Limited was incorporated in 1974 and is based in Gurugram, India.

Revenue projections:

Revenue projections for RITES
Revenue projections for RITES

RITES's revenue projections indicate a decrease from last year's performance, which could lead to investor caution. A fall in revenue is likely to negatively impact the company's profitability, causing concern for shareholders who may view this as a signal of declining financial health.

Financial Ratios:

currentRatio 1.587000
forwardPE 17.493172
debtToEquity 0.285000
earningsGrowth 0.342000
revenueGrowth 0.015000
grossMargins 0.329410
operatingMargins 0.205110
trailingEps 8.560000
forwardEps 12.450000

The current ratio for RITES is 1.587, indicating that the company can service its short-term debt using available cash and assets. This suggests RITES has strong liquidity, with more than enough resources to meet its immediate financial commitments.
RITES Limited's Forward PE being in a good range indicates the stock is priced well relative to its earnings. It is not overvalued, leaving space for future growth, making it an appealing option for investors interested in long-term value appreciation.
RITES Limited's positive gross and operating margins suggest the company is performing profitably. These margins reflect efficient cost management and strong revenue generation, signaling healthy financial performance and operational effectiveness.
RITES's forward EPS being higher than its trailing EPS suggests that the company is expected to generate stronger profits this year. This points to improving financial performance, with RITES anticipated to deliver better earnings than it did in the prior year.

Price projections:

Price projections for RITES
Price projections for RITES

The current price of RITES, relative to its projections, shows no clear risks or opportunities. This neutral assessment may encourage investors to take a cautious approach, awaiting further developments before making substantial changes.

Recommendation changes over time:

Recommendations trend for RITES
Recommendations trend for RITES


The recent buy bias for RITES from analysts signals strong confidence in the stock's potential. This positive sentiment could encourage investors to see RITES as a smart place to invest their money, especially those looking for stable, long-term returns in a well-established company.