Tarmat Ltd. (TARMAT) AI Stock Analysis

• Market Cap: ₹1.23B
• Dividend Yield: N/A
• Average Volume (3M): 12.89K
• Price to Earnings (P/E): 39.9
• Beta (1Y): 1.15
• Revenue Growth: 38.17%
• EPS Growth: N/A
• Country: IN
• Employees: 110
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Engineering & Construction
• EPS (TTM): 0.61
• Shares Outstanding: 24,064,255
• 10 Day Avg. Volume: 9,896
• 30 Day Avg. Volume: 12,887
• PEG Ratio: -0.21
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 1.08
• P/FCF Ratio: -2.93
• 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: 51 Neutral
• Price Target: ₹55.00 ▲(7.21% Upside)

The overall stock score for Tarmat Ltd. is primarily influenced by its mixed financial performance, with strong equity but declining revenue and cash flow challenges. Technical analysis indicates a bearish trend, and the high P/E ratio suggests overvaluation, limiting the stock's attractiveness.

Positive Factors

Strong Equity Base

A strong equity base indicates financial stability, providing a solid foundation for future growth and resilience against economic fluctuations.

Improved Leverage

Improved leverage management enhances financial flexibility, reducing risk and potentially lowering the cost of capital, which supports long-term growth.

Revenue Growth

Positive revenue growth suggests expanding business operations and increased demand for services, which can drive long-term profitability and market position.

Negative Factors

Declining Revenue

A trend of declining revenue poses a risk to future growth and profitability, potentially impacting the company's ability to invest in new projects and technologies.

Cash Flow Challenges

Negative operating cash flow indicates potential liquidity issues, which can limit the company's ability to fund operations and invest in growth opportunities.

Fluctuating Margins

Decreasing margins suggest inefficiencies in cost management, which can erode profitability and competitiveness in the long term if not addressed.

Tarmat Ltd. Business Overview & Revenue Model

Company Description

Tarmat Limited operates as an infrastructure company in India. It undertakes various construction works, including airport runway, highways, and railways; and develops infrastructure projects, such as ports, industrial area developments, refineries, etc. The company also develops real estate properties. The company was formerly known as Roman Tarmat Limited and changed its name to Tarmat Limited in September 2012. Tarmat Limited was incorporated in 1986 and is based in Mumbai, India.

How the Company Makes Money

Tarmat Ltd. generates revenue through multiple streams, primarily by selling asphalt and bitumen products to construction companies and government agencies involved in infrastructure projects. The company’s pricing strategy is based on market conditions, raw material costs, and customer contracts. Additionally, TARMAT earns income from providing specialized consultancy services, which help clients optimize their pavement construction processes. Significant partnerships with local governments and construction firms often lead to long-term contracts, providing a stable revenue base. The company may also benefit from fluctuating oil prices, which can impact the cost of raw materials used in production, thus affecting profit margins.

Tarmat Ltd. Financial Statement Overview

Summary

Tarmat Ltd.'s financial performance is mixed, with strong equity and improved leverage but declining revenue and fluctuating margins. The recent improvement in net income is positive, but cash flow challenges persist.

Income Statement

Tarmat Ltd. has shown a mixed performance in its income statement. The gross profit margin has decreased over the years, indicating pressure on cost management. The net profit margin has fluctuated, with a significant improvement in the latest year, showing recovery potential. However, revenue has been declining over the past few years, which is a concern for growth prospects. The EBIT and EBITDA margins are relatively low, suggesting limited operational efficiency.

Balance Sheet

The balance sheet of Tarmat Ltd. reflects a strong equity base with a high equity ratio, indicating financial stability. The debt-to-equity ratio has improved, showing better leverage management. However, the return on equity has been inconsistent, reflecting challenges in generating returns from equity. Overall, the balance sheet is stable but shows room for improvement in profitability metrics.

Cash Flow

Cash flow analysis reveals significant volatility, with negative free cash flow in recent years, indicating potential liquidity challenges. The operating cash flow has been negative, suggesting issues in core business cash generation. The free cash flow to net income ratio is unfavorable, highlighting inefficiencies in converting earnings to cash. Despite these challenges, the company has managed financing activities effectively to support operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.04B	1.01B	893.53M	1.44B	1.81B	1.96B
Gross Profit	155.12M	69.02M	134.40M	177.02M	214.69M	184.81M
EBITDA	40.75M	38.38M	24.84M	21.58M	77.13M	84.60M
Net Income	20.10M	18.69M	-11.32M	74.15M	45.77M	51.47M
Balance Sheet
Total Assets	0.00	2.36B	1.98B	2.13B	2.20B	2.33B
Cash, Cash Equivalents and Short-Term Investments	98.27M	98.27M	57.06M	50.41M	44.42M	146.79M
Total Debt	0.00	95.38M	104.67M	59.52M	433.60M	894.71M
Total Liabilities	-1.73B	625.90M	684.02M	823.15M	1.26B	1.71B
Stockholders Equity	1.73B	1.73B	1.30B	1.31B	935.75M	612.92M
Cash Flow
Free Cash Flow	0.00	-373.13M	-32.48M	878.09K	199.89M	238.35M
Operating Cash Flow	0.00	-95.96M	-32.01M	955.60K	202.54M	264.19M
Investing Cash Flow	0.00	-271.68M	136.00K	-8.45M	179.16M	-19.35M
Financing Cash Flow	0.00	408.83M	38.53M	-80.10M	-209.89M	-238.74M

Tarmat Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 51.30
• 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:TARMAT, the sentiment is Negative. The current price of 51.3 is below the 20-day moving average (MA) of 52.81, below the 50-day MA of 52.71, and below the 200-day MA of 53.44, indicating a bearish trend. The MACD of -0.17 indicates Positive momentum. The RSI at 44.75 is Neutral, neither overbought nor oversold. The STOCH value of 34.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:TARMAT.

Tarmat Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FIBERWEB	66 Neutral	₹1.04B	6.41	―	―	19.37%	40.55%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SALSTEEL	57 Neutral	₹3.55B	-28.17	―	―	0.19%	-2962.74%
TARMAT	51 Neutral	₹1.23B	39.93	―	―	38.17%	―
MADHUCON	39 Underperform	₹463.43M	-0.07	―	―	-52.19%	-3109.52%

Tarmat Ltd. Corporate Events

Tarmat Ltd. Publishes Q3 2025 Financial Results

Tarmat Ltd. has announced the publication of its unaudited financial results for the quarter ending September 30, 2025. These results have been published in both English and Marathi newspapers, reflecting the company’s compliance with SEBI regulations. This announcement provides stakeholders with insights into the company’s financial performance and operational standing for the specified quarter.