AI Summary
✦ ClarthaPatel Engineering is an infrastructure construction company operating through EPC and Real Estate segments. EPC drives revenue through dams, tunnels, hydroelectric, irrigation, roads, bridges, and railways, while Real Estate covers buildings and townships. A ₹317.6 crore Maharashtra government order with a joint-venture partner could support future EPC growth, though near-term revenue growth remains modest at 0.2%. ROE is only 6.5%, while declining margins indicate limited earnings efficiency. Debt-to-equity of 27.38 materially increases financial leverage and magnifies pressure on ROE. Profit growth of 8.6% exceeds revenue growth, but this divergence requires scrutiny given margin compression. At 10.1x earnings, the shares appear undervalued versus the sector, yet execution risk, leverage, and weak operating momentum limit conviction.
Valuation Metrics
Trading 38.8% below historical median. Valuation is declining — currently in the strongly undervalued zone (z-score: -1.33). Confidence: 72%.
Live forward EPS implies next-12-month EPS of ₹4.20. Applying the stock's normalized valuation corridor produces a fair range of ₹53.09 to ₹84.08, with base value near ₹69.05 (+133.8% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹4.20
Forward P/E
7.0x
Base Fair Value
₹69.05
Fair Range
₹53.09 - ₹84.08
Upside To Base
+133.8%
Estimate Source
Live forward EPS
Growth Estimate
-2.3%
5Y Average
12.83
Current
10.07
Overvalued
20.02
Undervalued
12.64
5Y Average
6.74
Current
5.46
Overvalued
9.26
Undervalued
4.20
5Y Average
0.79
Current
0.69
Overvalued
0.91
Undervalued
0.67
Peers & Comparison
Sector: Industrials · Theme: Construction & Engineering
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
NCC LIMITED NCCConstruction & Engineering | +1.7% | 3.2% | 13.6x Undervalued | -49% vs avg | -34.9% |
G R INFRAPROJECTS LIMITED GRINFRAConstruction & Engineering | +40.1% | 11.0% | 9.5x Undervalued | -64% vs avg | -30.1% |
CEIGALL INDIA LIMITED CEIGALLConstruction & Engineering | +37.1% | 7.8% | 18.0x Undervalued | -32% vs avg | +35.9% |
AHLUWALIA CONT IND LTD AHLUCONTConstruction & Engineering | +8.8% | 5.8% | 20.9x Undervalued | -21% vs avg | -13.8% |
PNC INFRATECH LTD. PNCINFRAConstruction & Engineering | -5.1% | 15.5% | 6.5x Undervalued | -75% vs avg | -26.4% |
POWER MECH PROJECTS LTD. POWERMECHConstruction & Engineering | +13.9% | 6.0% | 22.0x Undervalued | -17% vs avg | -15.3% |
AXISCADES TECH LTD AXISCADESConstruction & Engineering | +1.5% | 6.2% | 92.7x Premium | +250% vs avg | +29.1% |
AJAX ENGINEERING LIMITED AJAXENGGConstruction & Engineering | +1.7% | 10.8% | 28.9x Fair | +9% vs avg | -20.9% |
PATEL ENGINEERING LTD. trades at a discount (10.4x vs peer avg 26.5x), suggesting potential undervaluation relative to the Construction & Engineering cohort. Peers include NCC LIMITED, G R INFRAPROJECTS LIMITED, CEIGALL INDIA LIMITED — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹1.27K CrJun 2026Latest net profit
₹86 CrJun 2026Latest EPS
₹0.86Jun 2026Net margin
14.0%Jun 2026Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Jun 2026
Results
| Metric | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales + | 1,091 | 1,012 | 1,052 | 1,257 | 1,082 | 1,155 | 1,187 | 1,584 | 1,224 | 1,198 | 1,231 | 1,414 | 1,274 |
| Expenses + | 938 | 877 | 908 | 1,069 | 921 | 1,003 | 1,011 | 1,381 | 1,066 | 1,047 | 1,091 | 1,203 | 1,098 |
| Operating Profit | 152 | 136 | 145 | 188 | 161 | 152 | 175 | 203 | 159 | 151 | 139 | 210 | 176 |
| OPM % | 14% | 13% | 14% | 15% | 15% | 13% | 15% | 13% | 13% | 13% | 11% | 15% | 14% |
| Other Income + | 116 | 30 | 22 | 44 | 51 | 56 | 10 | -50 | 31 | 32 | -14 | -13 | 22 |
| Interest | 87 | 90 | 88 | 92 | 84 | 79 | 79 | 76 | 71 | 75 | 67 | 78 | 61 |
| Depreciation | 22 | 23 | 23 | 29 | 26 | 24 | 24 | 26 | 26 | 28 | 28 | 27 | 28 |
| Profit before tax | 160 | 52 | 56 | 111 | 103 | 105 | 82 | 50 | 92 | 81 | 31 | 92 | 110 |
| Tax % | 17% | 20% | 24% | 37% | 34% | 22% | 10% | 22% | 25% | 28% | -187% | 26% | 22% |
| Net Profit + | 132 | 41 | 43 | 70 | 68 | 82 | 74 | 39 | 70 | 58 | 89 | 68 | 86 |
| EPS in Rs | 1.45 | 0.45 | 0.47 | 0.77 | 0.68 | 0.82 | 0.74 | 0.39 | 0.70 | 0.59 | 0.90 | 0.69 | 0.86 |
| Raw PDF |
All values in ₹ Crores unless otherwise stated. Source: Screener Master (Standalone).