Ramky Infrastructure Analysis

dividend

Pros

Cons

• Unable to calculate sustainability of dividends as Ramky Infrastructure has not reported any payouts.
• Unable to evaluate Ramky Infrastructure's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Ramky Infrastructure's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Whilst loss making Ramky Infrastructure has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -42.5% per year.
• Whilst loss making Ramky Infrastructure has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
• Low level of unsold assets.

Cons

• Ramky Infrastructure's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
• Debt is not well covered by operating cash flow (12.1%, less than 20% of total debt).
• Debt is not covered by short term assets, assets are 0.8x debt.
• Ramky Infrastructure's long term commitments exceed its cash and other short term assets.
• The level of debt compared to net worth has increased over the past 5 years (400% vs 630.9% today).
• Ramky Infrastructure is making a loss, therefore interest payments are not well covered by earnings.
• Ramky Infrastructure's level of debt (630.9%) compared to net worth is high (greater than 40%).

management

Pros

• The tenure for the Ramky Infrastructure board of directors is about average.
• Yancharla's remuneration is lower than average for companies of similar size in India.
• Yancharla's compensation has been consistent with company performance over the past year, both up more than 20%.
• The tenure for the Ramky Infrastructure management team is about average.

Cons

misc

Pros

Cons

• Ramky Infrastructure is not covered by any analysts.
• Ramky Infrastructure has significant price volatility in the past 3 months.

past

Pros

Cons

• Unable to compare Ramky Infrastructure's 1-year earnings growth to the 5-year average as it is not currently profitable.
• Ramky Infrastructure does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
• Ramky Infrastructure used its assets less efficiently than the IN Construction industry average last year based on Return on Assets.
• It is difficult to establish if Ramky Infrastructure improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
• It is difficult to establish if Ramky Infrastructure has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
• Unable to compare Ramky Infrastructure's 1-year growth to the IN Construction industry average as it is not currently profitable.

value

Pros

• Ramky Infrastructure's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Ramky Infrastructure's share price is below the future cash flow value, and at a substantial discount (> 40%).
• NSEI:RAMKY is up 15% outperforming the Construction industry which returned 7.1% over the past month.
• NSEI:RAMKY is up 15% outperforming the market in India which returned 8% over the past month.

Cons

• Ramky Infrastructure is overvalued based on assets compared to the IN Construction industry average.
• Ramky Infrastructure is loss making, we can't compare its value to the IN Construction industry average.
• Ramky Infrastructure is loss making, we can't compare the value of its earnings to the India market.
• RAMKY underperformed the Construction industry which returned -40% over the past year.
• RAMKY underperformed the Market in India which returned -14.5% over the past year.