RITES Ltd. (RITES) AI Stock Analysis

• Market Cap: ₹119.65B
• Dividend Yield: 1.98%
• Average Volume (3M): 182.58K
• Price to Earnings (P/E): 31.0
• Beta (1Y): 1.86
• Revenue Growth: -7.20%
• EPS Growth: -9.50%
• Country: IN
• Employees: 1,809
• Sector: Industrials
• Sector Strength: 84
• Industry: Engineering & Construction
• EPS (TTM): 1.70
• Shares Outstanding: 480,603,760
• 10 Day Avg. Volume: 42,220
• 30 Day Avg. Volume: 182,581
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹301.00
• Price Target Upside: 20.30% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: ₹301.00 ▲(20.30% Upside)

RITES Ltd. scores moderately due to its strong financial performance, characterized by a robust balance sheet and healthy margins. However, technical analysis indicates neutral momentum, and the high P/E ratio suggests potential overvaluation. The lack of earnings call insights keeps the score focused on existing financial and technical metrics.

RITES Ltd. Business Overview & Revenue Model

Company Description

RITES Ltd. (RITES) is a leading engineering consultancy company in India, primarily serving the transport infrastructure sector. Established in 1974, RITES is a government-owned enterprise that offers a comprehensive range of services including consultancy, engineering, project management, and turnkey solutions across various transportation modes such as railways, highways, airports, and urban transport. The company has expanded its operations globally, providing its expertise to projects in multiple countries.

How the Company Makes Money

RITES Ltd. generates revenue through its diverse range of services within the transport infrastructure sector. The company's key revenue streams include consultancy services, where it offers engineering and project management expertise for transportation projects. Additionally, RITES engages in turnkey projects, where it undertakes the entire project execution from design to commissioning. The company also earns from its export business, supplying rolling stock, railway equipment, and other related materials. Significant partnerships with government bodies and international agencies further bolster its revenue, as RITES is often engaged in large-scale infrastructure projects funded by these entities.

RITES Ltd. Financial Statement Overview

Summary

RITES Ltd. showcases a strong financial position with solid profitability and a robust balance sheet. The company has a low debt-to-equity ratio and strong profit margins. However, revenue fluctuations and variability in free cash flow growth are areas to watch.

Income Statement

RITES Ltd. has shown a mixed performance in recent years. While the revenue has faced some fluctuation, the company maintains healthy gross and net profit margins, indicative of operational efficiency. However, the recent decline in total revenue could be a concern if it continues.

Balance Sheet

The company demonstrates a solid balance sheet with a low debt-to-equity ratio, indicating low financial leverage. The equity ratio is strong, suggesting good financial stability. The company's ability to manage its liabilities effectively is a positive indicator of its financial health.

Cash Flow

RITES Ltd.'s cash flow statement shows a robust operating cash flow relative to net income, indicating good cash generation capability. However, variability in free cash flow growth requires attention, suggesting potential challenges in cash management or capital expenditures.

Breakdown	Mar 2025	Mar 2024	Mar 2022	Mar 2023	Mar 2021
Income Statement
Total Revenue	22.18B	24.44B	26.34B	26.26B	18.60B
Gross Profit	6.84B	8.14B	14.03B	14.60B	11.12B
EBITDA	5.15B	7.28B	8.03B	8.43B	6.47B
Net Income	3.85B	4.55B	5.16B	5.42B	4.32B
Balance Sheet
Total Assets	61.19B	56.61B	58.22B	59.72B	58.33B
Cash, Cash Equivalents and Short-Term Investments	9.60B	31.38B	33.74B	37.86B	34.74B
Total Debt	90.30M	80.00M	275.90M	54.20M	365.50M
Total Liabilities	33.70B	29.41B	32.28B	32.53B	33.53B
Stockholders Equity	26.40B	26.09B	24.89B	26.04B	23.92B
Cash Flow
Free Cash Flow	5.04B	2.94B	1.68B	4.24B	4.36B
Operating Cash Flow	6.37B	4.32B	3.10B	5.60B	5.16B
Investing Cash Flow	-2.19B	-3.89B	529.60M	-150.00M	1.83B
Financing Cash Flow	-4.05B	-5.01B	-4.40B	-4.83B	-7.08B

RITES Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 250.20
• 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:RITES, the sentiment is Negative. The current price of 250.2 is below the 20-day moving average (MA) of 260.24, below the 50-day MA of 274.07, and below the 200-day MA of 258.63, indicating a bearish trend. The MACD of -7.12 indicates Positive momentum. The RSI at 35.00 is Neutral, neither overbought nor oversold. The STOCH value of 27.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RITES.

RITES Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RITES	67 Neutral	₹119.65B	31.01		1.98%	-7.20%	-9.50%
BEML	66 Neutral	₹163.09B	53.68		0.51%	-2.17%	6.12%
Sector *	66 Neutral	€10.82B	25.68	6.80%	2.53%	4.18%	-30.62%
TITAGARH	64 Neutral	₹107.65B	45.06		0.10%	-5.24%	-21.41%
KEC	62 Neutral	₹212.03B	34.72		0.69%	10.78%	50.46%
IRCON	60 Neutral	₹157.11B	23.53		1.76%	-13.80%	-30.89%