Yes Securities recently issued a Buy Call on HG Infra Engineering, along with a new Target Price for the company. Now, let’s examine the research reports and explore their overviews.
HG Infra Engineering Ltd. is a leading infrastructure construction company based in India. Established in 2003, HG Infra has emerged as a prominent player in the field of engineering, procurement, and construction (EPC) services, specializing in the development of highways, bridges, and other infrastructure projects.
| Name | HG Infra Engineering Ltd. |
|---|---|
| Industry | Infrastructure Construction |
| Type | Public |
| Founded | 2003 |
| Headquarters | India |
| Exchange | BSE, NSE |
| Country | India |
| Website | www.hginfra.com |
| Profile on Wikipedia | HG Infra Engineering |
HG Infra Engineering’s current market price is Rs 950 with a market capitalization of Rs 6184.41 Crore. Recently, Yes Securities issued a Buy Call on HG Infra Engineering with a new Target Price of Rs 1202.
Investment Rationale
The brokerage maintains a positive outlook on the company due to several factors. Firstly, the company possesses a sizable order book of approximately Rs126bn as of 4QFY23, indicating a stable revenue stream. Secondly, its strong execution capabilities bolster confidence in its ability to deliver projects effectively.
Thirdly, the company enjoys a comfortable working capital cycle, ensuring smooth operations. Additionally, geographical diversification mitigates regional risks. Lastly, the company’s transition into a full-fledged contractor adds further growth prospects. Overall, these factors contribute to the brokerage’s optimism about the company’s future performance.
Consolidated Total Income
In the latest quarter, the company exhibited strong financial performance. It recorded a consolidated total income of Rs 1542.20 Crore, showing a significant increase of 29.71% compared to the previous quarter and a substantial growth of 44.50% compared to the same quarter last year.
This indicates a robust revenue generation and growth trajectory. Additionally, the company achieved a net profit after tax of Rs 170.42 Crore, highlighting its profitability and efficient cost management. These positive financial results reflect the company’s ability to capitalize on market opportunities and effectively manage its operations.
As of 31-03-2023, the company has a total of 7 Crore shares outstanding. Shares outstanding refers to the total number of shares issued by the company and held by investors.
Ownership Structure
Here’s a table summarizing the ownership structure of the company as of 31-Mar-2023
| Ownership | Stake |
|---|---|
| Promoters | 74.53 |
| Foreign Institutional Investors (FIIs) | 1.34 |
| Domestic Institutional Investors (DIIs) | 14.01 |
Disclaimer:– This share price target price should not be taken as a guarantee or prediction of future stock performance, nor should it be considered as investment advice.
We strongly advise investors to conduct their own research and analysis before making any investment decisions and to seek the advice of a financial advisor if necessary. Sharedhan.com or its representatives shall not be held liable for any losses or damages incurred as a result of reliance on this share price target price.
