Generic Engineering Construction & Projects Ltd. (GENCON) AI Stock Analysis

• Market Cap: ₹2.43B
• Dividend Yield: N/A
• Average Volume (3M): 20.08K
• Price to Earnings (P/E): 19.5
• Beta (1Y): 1.43
• Revenue Growth: 4.10%
• EPS Growth: 4.86%
• Country: IN
• Employees: 22
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.38
• Shares Outstanding: 56,986,217
• 10 Day Avg. Volume: 26,542
• 30 Day Avg. Volume: 20,079
• PEG Ratio: 9.38
• Price to Book (P/B): 0.57
• Price to Sales (P/S): 0.54
• P/FCF Ratio: -8.68
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 59 Neutral
• Price Target: ₹45.00 ▲(0.90% Upside)

Generic Engineering Construction & Projects Ltd. shows a stable financial foundation with strong balance sheet metrics, but faces challenges in profitability and cash flow management. Technical indicators suggest potential short-term weakness, while valuation appears fair. The absence of a dividend yield may deter income-focused investors. Overall, the stock presents moderate investment potential with areas for improvement.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage provides financial stability, allowing the company to withstand economic fluctuations and invest in growth opportunities.

Revenue Growth

Consistent revenue growth indicates a solid market position and demand for the company's services, supporting long-term business expansion and sustainability.

Operational Efficiency

Reasonable operational efficiency suggests effective cost management and the ability to maintain profitability, which is crucial for long-term success.

Negative Factors

Weak Cash Flow

Weak cash flow can limit the company's ability to invest in growth, pay down debt, and weather economic downturns, posing a risk to financial health.

Low Net Profit Margin

A low net profit margin indicates potential inefficiencies or high costs, which can hinder profitability and reduce competitive advantage over time.

Cash Flow Management

Ineffective cash flow management can strain operations and limit the company's ability to fund new projects or respond to market changes, impacting long-term viability.

Generic Engineering Construction & Projects Ltd. Business Overview & Revenue Model

Company Description

Generic Engineering Construction and Projects Limited engages in the construction of residential buildings, commercial complexes, and other related activities in India. It offers general contracting services for civil and structural works; and internal infrastructure, such as roads, landscaping, etc., as well as provides specialized services for elevators, BMS, landscaping, etc. The company also offers designing and engineering services for architecture, structural, electrical, mechanical, HVAC, plumbing and sewerage, fire protection, building management, and infrastructure works; and procurement, project management, and construction services. In addition, it provides engineering, procurement, and construction solutions, as well as project management consultancy services. The company was founded in 1967 and is based in Mumbai, India.

How the Company Makes Money

GENCON generates revenue through multiple streams, primarily by executing contracts for construction and engineering projects, which can include public infrastructure works, private sector developments, and specialized engineering services. The company typically engages in bidding for projects, and upon winning contracts, it earns money through progress payments tied to project milestones. Key revenue streams also include consultancy services, where GENCON provides expert advice and project management services for clients. Additionally, the company may enter into strategic partnerships with suppliers and subcontractors to enhance its service offerings and reduce costs, thereby increasing profitability. Maintenance services post-construction can also contribute to ongoing revenue, along with potential joint ventures that allow GENCON to expand its market reach and capabilities.

Generic Engineering Construction & Projects Ltd. Financial Statement Overview

Summary

The financial performance is mixed with a strong balance sheet (score: 75) and decent income statement (score: 68), but significantly weak cash flow (score: 45). The company demonstrates revenue growth and operational efficiency, but needs to improve cash flow management and net profitability.

Income Statement

The company shows consistent revenue growth with a revenue increase of 4.39% in the latest year. Gross profit margin is 14.44%, indicating decent profitability. However, the net profit margin is relatively low at 4.02%, suggesting some inefficiencies or higher costs. The EBIT margin of 7.81% and EBITDA margin of 14.76% are reasonable, highlighting operational efficiency. Overall, the income statement reflects steady growth but with room for improvement in profitability.

Balance Sheet

The balance sheet is strong with an equity ratio of 62.31%, indicating a solid equity base. The debt-to-equity ratio stands at 0.24, reflecting low leverage and financial stability. Return on equity is 4.27%, which is moderate but shows potential for improvement. Overall, the balance sheet is robust with low financial risk, but profitability can be enhanced.

Cash Flow

The cash flow statement reveals challenges with negative free cash flow of -187.28 million. The operating cash flow to net income ratio is negative, indicating cash flow from operations is not supporting net income adequately. The free cash flow to net income ratio is also negative, highlighting a need for better cash management. Overall, the cash flow position is weak and requires significant improvements.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.03B	3.02B	2.89B	2.73B	2.60B	1.31B
Gross Profit	562.84M	436.20M	272.35M	627.17M	472.13M	302.21M
EBITDA	454.02M	445.92M	280.17M	428.23M	328.78M	182.35M
Net Income	121.79M	121.34M	111.42M	153.11M	139.22M	27.82M
Balance Sheet
Total Assets	0.00	4.57B	4.63B	3.86B	3.18B	2.70B
Cash, Cash Equivalents and Short-Term Investments	157.61M	157.61M	110.72M	582.35M	48.24M	82.37M
Total Debt	0.00	671.31M	676.73M	592.34M	521.68M	470.89M
Total Liabilities	-2.84B	1.72B	2.00B	1.34B	1.20B	904.65M
Stockholders Equity	2.84B	2.84B	2.63B	2.52B	1.98B	1.80B
Cash Flow
Free Cash Flow	0.00	-187.28M	-61.13M	-102.44M	-66.68M	-27.13M
Operating Cash Flow	0.00	-34.66M	-14.24M	110.47M	132.97M	149.01M
Investing Cash Flow	0.00	106.97M	-71.09M	-375.04M	-188.84M	-167.19M
Financing Cash Flow	0.00	-25.42M	-15.00M	357.69M	21.74M	5.82M

Generic Engineering Construction & Projects Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 44.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GENCON, the sentiment is Positive. The current price of 44.6 is above the 20-day moving average (MA) of 42.18, above the 50-day MA of 43.68, and above the 200-day MA of 38.56, indicating a bullish trend. The MACD of 0.64 indicates Negative momentum. The RSI at 54.45 is Neutral, neither overbought nor oversold. The STOCH value of 73.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:GENCON.

Generic Engineering Construction & Projects Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDOTECH	74 Outperform	₹17.73B	22.98	―	―	34.48%	40.61%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
PIGL	61 Neutral	₹2.58B	18.89	―	0.13%	48.46%	11.68%
GENCON	59 Neutral	₹2.43B	19.51	―	―	4.10%	4.86%
TARAPUR	48 Neutral	₹703.37M	41.36	―	―	―	-85.42%

Generic Engineering Construction & Projects Ltd. Corporate Events

Generic Engineering Approves Financial Results for September 2025

Generic Engineering Construction & Projects Ltd. announced the approval of its standalone and consolidated unaudited financial results for the quarter and half-year ended September 30, 2025. This approval, following the recommendation of the Audit Committee, signifies the company’s commitment to transparency and regulatory compliance, potentially impacting its market positioning and stakeholder confidence positively.