REC Ltd
NSE: RECLTD BSE: 532955
â‚ą309.25
-2.55 (0.82%)
Mon, 19 Oct 2026, 09:00 pm
Market Cap (in Cr)82182.93
PE Ratio5.08
Dividend5.94
Finance
Finance/Rental/Leasing
24.5KREC Analysis
dividend
- Dividends per share have increased over the past 10 years.
- Dividends paid are covered by earnings (1.3x coverage).
- REC's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
- REC's dividend is above the markets top 25% of dividend payers in India (3.08%).
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
health
- REC is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- REC is profitable, therefore cash runway is not a concern.
- REC is profitable, therefore cash runway is not a concern.
- Debt is covered by short term assets, assets are 1.1x debt.
- REC's cash and other short term assets cover its long term commitments.
- Low level of unsold assets.
- Operating cash flow is negative therefore debt is not well covered.
- The level of debt compared to net worth has increased over the past 5 years (603.3% vs 737.9% today).
- REC's level of debt (737.9%) compared to net worth is high (greater than 40%).
management
- The average tenure for the REC board of directors is less than 3 years, this suggests a new board.
misc
- REC is not covered by any analysts.
past
- REC's 1-year earnings growth exceeds its 5-year average (6% vs 0.1%)
- REC's year on year earnings growth rate has been positive over the past 5 years.
- REC used its assets less efficiently than the IN Diversified Financial industry average last year based on Return on Assets.
- REC has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- REC's earnings growth has not exceeded the IN Diversified Financial industry average in the past year (6% vs 13.5%).
value
- REC's share price is below the future cash flow value, and at a moderate discount (> 20%).
- REC's share price is below the future cash flow value, and at a substantial discount (> 40%).
- REC is good value based on earnings compared to the IN Diversified Financial industry average.
- REC is good value based on earnings compared to the India market.
- RECLTD outperformed the Diversified Financial industry which returned -37.3% over the past year.
- NSEI:RECLTD is up 9.8% outperforming the market in India which returned 8% over the past month.
- REC is overvalued based on assets compared to the IN Diversified Financial industry average.
- RECLTD underperformed the Market in India which returned -14.5% over the past year.
- NSEI:RECLTD is up 9.8% underperforming the Diversified Financial industry which returned 10.8% over the past month.
