SRM Contractors Stock Price Analysis and Quick Research Report. Is SRM Contractors an attractive stock to invest in?

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse SRM Contractors. 

• PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). SRM Contractors has a PE ratio of 18.7148644583608 which is high and comparatively overvalued.

• Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. SRM Contractors has ROA of 12.0802% which is a bad sign for future performance. (Higher values are always desirable.)

• Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. SRM Contractors has a Current ratio of 2.3223.

• Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. SRM Contractors has a ROE of 29.6122%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. SRM Contractors has a Debt to Equity ratio of 0.5535 which means that the company has low proportion of debt in its capital.

• Sales growth: SRM Contractors has reported revenue growth of 14.0298% which is poor in relation to its growth and performance. 

• Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of SRM Contractors for the current financial year is 12.1613869972656%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for SRM Contractors is Rs 0 and the yield is 0%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of SRM Contractors is Rs 25.5973. The higher the EPS, the better it is for investors. 

One can find all the Financial Ratios of SRM Contractors in Ticker for free. Also, one can get the intrinsic value of SRM Contractors by using Valuation Calculators, which are available with a Finology ONE subscription. 

SRM Contractors FAQs

Q1. What is SRM Contractors share price today?
Ans: The current share price of SRM Contractors is Rs 479.05.

Q2. What is the market capitalisation of SRM Contractors?
Ans: SRM Contractors has a market capitalisation of Rs 1099.141901 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of SRM Contractors?
Ans: The PE ratio of SRM Contractors is 18.7148644583608 and the P/B ratio of SRM Contractors is 3.9341723168296, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of SRM Contractors share?
Ans: The 52-week high share price of SRM Contractors is Rs 531, and the 52-week low share price of SRM Contractors is Rs 245.15.

Q5. Does SRM Contractors pay dividends?
Ans: Currently, SRM Contractors does not pay dividends. Dividend yield of SRM Contractors is around 0%.

Q6. What are the face value and book value of SRM Contractors shares?
Ans: The face value of SRM Contractors shares is Rs 10, while the book value per share of SRM Contractors is around Rs 121.7664. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of SRM Contractors?
Ans: SRM Contractors has a total debt of Rs 47.584319704 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of SRM Contractors?
Ans: The ROE of SRM Contractors is 29.6122% and ROCE of SRM Contractors is 25.072%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q9. Is SRM Contractors a good buy for the long term?
Ans: The SRM Contractors long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q10. Is SRM Contractors undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the SRM Contractors appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q11. How to check SRM Contractors’s financials?
Ans: You can review SRM Contractors’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.