Art Nirman Ltd (ARTNIRMAN) AI Stock Analysis

• Market Cap: ₹871.46M
• Dividend Yield: N/A
• Average Volume (3M): 2.88K
• Price to Earnings (P/E): 419.6
• Beta (1Y): 1.17
• Revenue Growth: -30.27%
• EPS Growth: 14.38%
• Country: IN
• Employees: 13
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 0.03
• Shares Outstanding: 24,956,000
• 10 Day Avg. Volume: 3,192
• 30 Day Avg. Volume: 2,878
• PEG Ratio: 0.84
• Price to Book (P/B): 3.05
• Price to Sales (P/S): 4.15
• P/FCF Ratio: -7.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: ₹36.00 ▼(-29.45% Downside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

The score is held down primarily by weak technicals (price below all key moving averages with negative MACD) and an extremely high P/E. Financial performance is mixed, with moderate leverage but unstable revenue/profitability and notably weak, inconsistent cash flow.

Positive Factors

Balance Sheet Stability

A moderate debt-to-equity and stable equity ratio indicate the company finances a fair portion of assets with equity, reducing default risk and preserving access to credit. For a developer, this structural balance supports funding new projects and surviving cyclical downturns.

Improved Gross Margins

A material improvement in gross margin suggests better project selection, pricing power or cost control on construction inputs. Sustained higher gross margins would provide long-term cushioning for volatile revenue and support operating margin recovery if management preserves these efficiencies.

Lean Operating Structure

A small headcount implies a lean corporate structure, which can limit fixed overhead and increase operational agility. For project-driven developers this allows scalable use of subcontractors and preserves margin flexibility across cycles, supporting durable cash conservation if projects pause.

Negative Factors

Revenue Decline & Volatility

Sustained revenue declines and historical volatility undermine the company’s ability to plan, scale operations, and secure long-term contracts. For a developer, inconsistent sales recognition and shrinking top line reduce project pipeline reliability and strain long-term investment and growth prospects.

Erratic Operating Cash Flow

Persistent negative or volatile operating cash flow hampers the firm’s capacity to fund working capital, complete projects, and service debt without external financing. In real estate development, reliable cash conversion is critical; erratic OCF raises refinancing and liquidity risk over the medium term.

Inconsistent Profitability & ROE

Variable net income and margins indicate execution and demand sensitivity, producing inconsistent returns on shareholder equity. This structural inconsistency weakens reinvestment capacity, increases reliance on external funding, and questions long-term earnings predictability for capital-intensive projects.

Art Nirman Ltd Business Overview & Revenue Model

Company Description

Art Nirman Limited engages in the real estate development and allied activities in India. The company is involved in the construction of residential and commercial buildings, including houses, bungalows, rowhouses, farmhouses, resorts, schools, factories, mines, and amusement parks, as well as office spaces, showrooms, and shops. It also engages in the construction of special economic zone, industrial parks, and other infrastructure works, as well as land development businesses; sale of plots; and operates as a building contractor. The company was formerly known as Vishnudhara Buildcon Private Limited and changed its name to Art Nirman Limited in October 2011. Art Nirman Limited was incorporated in 2011 and is based in Ahmedabad, India.

How the Company Makes Money

Art Nirman Ltd generates revenue primarily through the sale and leasing of residential and commercial properties. Its core revenue streams include property sales, rental income from its developed properties, and project management fees from clients seeking expertise in construction and development. The company also engages in partnerships with local governments and private developers, which can provide access to funding and new project opportunities. Additionally, ARTNIRMAN may earn income through consultancy services related to urban planning and infrastructure development, further diversifying its revenue sources.

Art Nirman Ltd Financial Statement Overview

Summary

Overall fundamentals are mixed: revenue and profitability have been volatile with a notable revenue decline into 2025, and operating/free cash flow turned erratic with a significant negative operating cash flow in 2025. The balance sheet is comparatively steadier with moderate leverage, but inconsistent ROE reflects uneven earnings quality.

Income Statement

Art Nirman Ltd showed fluctuating revenue growth over the years, with a notable decline in revenue from 2021 to 2025. Gross profit margin improved significantly in 2025, but net income and EBIT margins remain volatile, indicating inconsistent profitability. The company has experienced both strong and weak periods in terms of profitability.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, with total debt increasing over recent years. The equity ratio remains stable, indicating a fair level of asset financing through equity. However, the return on equity is inconsistent due to fluctuating net income, suggesting mixed efficiency in generating returns from equity.

Cash Flow

Operating cash flow has been erratic, with a significant negative figure in 2025. Free cash flow is also inconsistent, reflecting challenges in generating cash from operations. The cash flow to net income ratios indicate difficulty in converting income to cash, representing potential liquidity concerns.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	233.85M	273.85M	342.90M	197.17M	366.51M	848.93M
Gross Profit	230.84M	280.35M	145.32M	106.87M	2.77M	130.47M
EBITDA	29.83M	36.75M	21.51M	9.97M	-98.43M	26.33M
Net Income	15.13M	19.92M	11.79M	1.12M	-109.97M	204.00K
Balance Sheet
Total Assets	0.00	688.17M	531.76M	518.87M	449.78M	632.15M
Cash, Cash Equivalents and Short-Term Investments	37.57M	37.57M	43.51M	1.96M	51.52M	10.91M
Total Debt	0.00	180.56M	29.22M	25.26M	2.27M	49.50M
Total Liabilities	-372.86M	315.31M	178.82M	177.72M	109.75M	182.15M
Stockholders Equity	372.86M	372.86M	352.94M	341.15M	340.03M	450.00M
Cash Flow
Free Cash Flow	0.00	-154.84M	15.71M	-73.10M	92.86M	197.76M
Operating Cash Flow	0.00	-154.52M	15.85M	-72.98M	93.01M	198.09M
Investing Cash Flow	0.00	-4.19M	-11.30M	2.50M	-646.00K	1.86M
Financing Cash Flow	0.00	134.52M	-1.75M	20.92M	-51.75M	-205.50M

Art Nirman Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 51.03
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ARTNIRMAN, the sentiment is Negative. The current price of 51.03 is above the 20-day moving average (MA) of 38.91, above the 50-day MA of 42.20, and above the 200-day MA of 50.19, indicating a bearish trend. The MACD of -1.73 indicates Positive momentum. The RSI at 39.89 is Neutral, neither overbought nor oversold. The STOCH value of 34.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ARTNIRMAN.

Art Nirman Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
KAUSHALYA	51 Neutral	₹270.69M	13.89	―	―	―	―
LANCORHOL	49 Neutral	₹1.50B	-233.07	―	0.80%	4.65%	-137.16%
ARTNIRMAN	47 Neutral	₹871.46M	419.59	―	―	-30.27%	14.38%