Buy NCC, target price Rs 116: Anand Rathi
NCC’s inspiring execution pace persists, margins are returning, and order additions continue to benefit from its diversified services. Potential exists to de-lever the balance sheet; such efforts are underway (asset monetisation and other wise).
By ETMarkets.com | Updated:
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Anand Rathi has buy call on NCC with a target price of Rs 116. The current market price of is Rs 93.55.
NCC, incorporated in the year 1990, is a Mid Cap company (having a market cap of Rs 5879.78 Crore) operating in Construction sector.
NCC key Products/Revenue Segments include Income From Contracts and Other Operating Revenue for the year ending 31-Mar-2022.
Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 3903.73 Crore, up 14.65 % from last quarter Total Income of Rs 3405.00 Crore and up 28.72 % from last year same quarter Total Income of Rs 3032.84 Crore. Company has reported net profit after tax of Rs 166.92 Crore in latest quarter.
The company’s top management includes Mr.Hemant M Nerurkar, Mr.O P Jagetiya, Mrs.Renu Challu, Dr.A S Durga Prasad, Mr.A V N Raju, Mr.J V Ranga Raju, Mr.A S N Raju, Mr.A G K Raju, Mr.A A V Ranga Raju, Mr.Utpal Sheth. Company has S R Batliboi & Associates LLP as its auditors. As on 31-12-2022, the company has a total of 63 Crore shares outstanding.
Investment Rationale
NCC’s inspiring execution pace persists, margins are returning, and order additions continue to benefit from its diversified services. Potential exists to de-lever the balance sheet; such efforts are underway (asset monetisation and other wise). With this, the stage seems set for it to keep churning out a healthy performance. Government focus on infrastructure creation continues, and sturdy prospects keep the outlook bright. On the healthy prospects and sound fundamentals, the brokerage retains its Buy rating with a higher TP of Rs116 (on raised EBITDA and better CF).
Promoters held 21.99 per cent stake in the company as of 31-Dec-2022, while FIIs owned 15.76 per cent, DIIs 12.35 per cent.
NCC, incorporated in the year 1990, is a Mid Cap company (having a market cap of Rs 5879.78 Crore) operating in Construction sector.
NCC key Products/Revenue Segments include Income From Contracts and Other Operating Revenue for the year ending 31-Mar-2022.
Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 3903.73 Crore, up 14.65 % from last quarter Total Income of Rs 3405.00 Crore and up 28.72 % from last year same quarter Total Income of Rs 3032.84 Crore. Company has reported net profit after tax of Rs 166.92 Crore in latest quarter.
The company’s top management includes Mr.Hemant M Nerurkar, Mr.O P Jagetiya, Mrs.Renu Challu, Dr.A S Durga Prasad, Mr.A V N Raju, Mr.J V Ranga Raju, Mr.A S N Raju, Mr.A G K Raju, Mr.A A V Ranga Raju, Mr.Utpal Sheth. Company has S R Batliboi & Associates LLP as its auditors. As on 31-12-2022, the company has a total of 63 Crore shares outstanding.
Investment Rationale
NCC’s inspiring execution pace persists, margins are returning, and order additions continue to benefit from its diversified services. Potential exists to de-lever the balance sheet; such efforts are underway (asset monetisation and other wise). With this, the stage seems set for it to keep churning out a healthy performance. Government focus on infrastructure creation continues, and sturdy prospects keep the outlook bright. On the healthy prospects and sound fundamentals, the brokerage retains its Buy rating with a higher TP of Rs116 (on raised EBITDA and better CF).
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Promoter/FII Holdings Promoters held 21.99 per cent stake in the company as of 31-Dec-2022, while FIIs owned 15.76 per cent, DIIs 12.35 per cent.
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