Redtape Limited (REDTAPE) AI Stock Analysis

• Market Cap: ₹76.54B
• Dividend Yield: 1.71%
• Average Volume (3M): 93.48K
• Price to Earnings (P/E): 43.2
• Beta (1Y): 0.52
• Revenue Growth: 8.40%
• EPS Growth: 11.27%
• Country: IN
• Employees: 867
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Specialty Retail
• EPS (TTM): 0.70
• Shares Outstanding: 552,807,600
• 10 Day Avg. Volume: 49,169
• 30 Day Avg. Volume: 93,481
• PEG Ratio: -13.96
• Price to Book (P/B): 10.22
• Price to Sales (P/S): 3.99
• P/FCF Ratio: -45.10
• 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

• Rating: 58 Neutral
• Price Target: ₹144.00 ▲(7.82% Upside)

Redtape Limited's overall stock score is driven by solid financial performance, despite cash flow and leverage concerns. Technical indicators suggest a lack of strong momentum, and the high P/E ratio indicates potential overvaluation. The absence of earnings call data and corporate events limits additional insights.

Redtape Limited Business Overview & Revenue Model

Company Description

Redtape Limited (REDTAPE) is a dynamic company specializing in the development and provision of innovative solutions across various sectors, including technology, consulting, and digital transformation. The company is dedicated to streamlining business processes and enhancing operational efficiency through its core products and services, which include software development, cloud services, and strategic consulting. With a strong focus on customer-centric solutions, REDTAPE aims to empower organizations to navigate the complexities of the modern business landscape.

How the Company Makes Money

Redtape Limited generates revenue through multiple streams, primarily by offering subscription-based software services and consulting fees. Their key revenue model includes licensing fees for proprietary software solutions, which are designed to improve productivity and efficiency for businesses. Additionally, the company earns income from strategic partnerships with other tech firms, enabling them to bundle services and expand their market reach. Consulting services also contribute significantly to their earnings, as clients seek expert guidance on digital transformation initiatives. Overall, REDTAPE's diverse approach to revenue generation, combined with its focus on high-demand sectors, solidifies its financial sustainability.

Redtape Limited Financial Statement Overview

Summary

Redtape Limited shows strong revenue growth and operational efficiency, but faces challenges with cash flow and increasing leverage. The company needs to enhance cash flow stability and manage debt levels to ensure sustainable growth.

Income Statement

Redtape Limited shows a healthy revenue growth with a significant increase from 2024 to 2025. The gross profit margin has been consistent, although a slight dip is seen in 2025. Net profit margin remains robust despite a slight decrease. EBIT and EBITDA margins indicate strong operational performance, though there's a need to control costs to maintain these margins.

Balance Sheet

The company's balance sheet reflects a significant increase in total assets and equity over the years, indicating growth. However, the debt-to-equity ratio has increased, which could be a risk if leverage continues to rise. The equity ratio suggests a stable financial position, but maintaining this balance is crucial to avoid over-leverage.

Cash Flow

Cash flow analysis shows a negative trend in free cash flow, primarily due to high capital expenditures. Operating cash flow has turned negative in the latest period, posing a potential risk to liquidity. Improving cash flow management will be essential to support future growth and operational needs.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	20.50B	20.20B	18.43B	14.68B	3.03B
Gross Profit	9.09B	7.37B	8.94B	6.72B	1.35B
EBITDA	3.83B	3.67B	3.32B	2.51B	472.20M
Net Income	1.78B	1.70B	1.76B	1.42B	290.40M
Balance Sheet
Total Assets	0.00	22.24B	15.88B	12.39B	63.20K
Cash, Cash Equivalents and Short-Term Investments	145.70M	145.70M	210.40M	261.80M	142.60M
Total Debt	0.00	7.24B	4.80B	2.60B	285.00M
Total Liabilities	-7.89B	14.35B	9.40B	7.62B	5.00K
Stockholders Equity	7.89B	7.89B	6.48B	4.77B	3.36B
Cash Flow
Free Cash Flow	0.00	-1.79B	-351.40M	-189.00M	-1.48B
Operating Cash Flow	0.00	-76.10M	843.70M	1.27B	-36.80K
Investing Cash Flow	0.00	-1.07B	-1.16B	-1.27B	-1.48B
Financing Cash Flow	0.00	1.20B	261.00M	124.30M	-132.30M

Redtape Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 133.55
• 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:REDTAPE, the sentiment is Negative. The current price of 133.55 is below the 20-day moving average (MA) of 136.65, below the 50-day MA of 137.66, and below the 200-day MA of 144.14, indicating a bearish trend. The MACD of -1.91 indicates Positive momentum. The RSI at 43.43 is Neutral, neither overbought nor oversold. The STOCH value of 23.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:REDTAPE.

Redtape Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CAMPUS	―	₹85.15B	72.74	―	0.36%	11.40%	41.53%
PGIL	―	₹62.01B	24.62	―	0.87%	30.23%	23.88%
GALAXYSURF	―	₹78.77B	25.85	―	0.97%	18.32%	-0.43%
MANORAMA	―	₹83.96B	48.63	―	0.04%	89.51%	188.01%
TTKPRESTIG	―	₹95.04B	90.32	―	0.86%	4.48%	-49.18%
Sector *	―	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
REDTAPE	―	₹76.54B	43.18	―	1.71%	8.40%	11.27%

Redtape Limited Corporate Events

Redtape Limited Expands Business Scope with MOA Amendment

Redtape Limited has announced an amendment to its Memorandum of Association to expand its business operations. This strategic move allows the company to broaden its scope and embark on new projects, potentially enhancing its market position and offering more diverse products and services to its stakeholders.

Redtape Limited Releases Q1 2025 Financial Results

Redtape Limited announced the publication of its unaudited standalone and consolidated financial results for the quarter ending June 30, 2025. These results, reviewed by the Audit Committee and approved by the Board of Directors, were published in prominent newspapers and are available on the company’s website and stock exchange platforms. This announcement reflects the company’s commitment to transparency and regulatory compliance, potentially impacting investor confidence and market positioning.