Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Engineering & Construction

Ircon International Limited, together with its subsidiaries, engages in the provision of construction services. The company undertakes construction of new railway lines; rehabilitation/conversion of existing lines, station buildings and facilities, and bridges; regirdering of railway bridges, tunnels, and signaling and telecommunication networks; railway electrification works; wet leasing of locomotives; and setting up of production units for manufacture rolling stock, maintenance depots/workshops, concrete sleepers, and track components on turn-key basis. It is also involved in the construction of roads and highways; bridges and flyovers; and commercial, institutional, industrial, and residential and multifunctional complexes, as well as airport hangars and runways, airport terminal buildings, station buildings and facilities, hospitals, business centers, workshops/warehouses; and provision of HVAC, electrification, plumbing, firefighting, and hanger maintenance services. In addition, the company provides railway, industrial, workshop, and power supply electrification works, renewable solar energy works, and distribution network works, as well as offers turnkey project management services, including design, supply, erection, testing, and commissioning services. Further, it provides turnkey solutions for signaling and communication projects; and supplies plant and machinery for workshops, high speed lightweight passenger cars, and diesel electric locomotives, as well as leases and maintains diesel locomotives. The company operates in India, Algeria, Afghanistan, Bangladesh, Bhutan, Brazil, Ethiopia, Indonesia, Iran, Iraq, Liberia, Malaysia, Mozambique, Myanmar, Nepal, Nigeria, Saudi Arabia, South Africa, Sri Lanka, Turkey, the United Kingdom, and Zambia. The company was formerly known as Indian Railway Construction Company Limited. Ircon International Limited was incorporated in 1976 and is headquartered in New Delhi, India.

Revenue projections:

Revenue projections for IRCON
Revenue projections for IRCON

The projected decline in Ircon International Limited's revenues compared to last year is expected to make investors cautious. A drop in revenue often has a direct negative effect on the company's bottom line, signaling potential challenges that could undermine investor confidence and reduce overall profitability.

Financial Ratios:

currentRatio 1.63500
forwardPE 18.47143
debtToEquity 79.15100
earningsGrowth -0.32900
revenueGrowth -0.19200
grossMargins 0.10978
operatingMargins 0.05118
trailingEps 6.38000
forwardEps 10.43000

Ircon International Limited's current ratio being 1.635 suggests the company will have no issues paying off its short-term debt. With sufficient cash reserves and current assets, Ircon International Limited can easily cover its immediate liabilities, reflecting solid financial health.
IRCON's Forward PE ratio suggests that the stock is priced appropriately in relation to its earnings. Not being overpriced, it offers room for growth, signaling potential upside for investors looking for a stock with reasonable valuation and growth potential.
IRCON's low earnings and revenue growth suggest shrinking profits. This negative trend could indicate that the company is struggling to maintain its financial performance and may face challenges ahead.
IRCON's negative gross and operating margins point to financial difficulties, as the company is incurring losses at both the production and operational levels. This suggests a potential decline in profitability and raises concerns about its financial outlook.
With a forward EPS greater than its trailing EPS, Ircon International Limited is forecasted to be more profitable this year than last. This growth expectation reflects confidence in the company's earnings potential and suggests an improving financial trajectory for the year ahead.

Price projections:

Price projections for IRCON
Price projections for IRCON

IRCON's price has continuously remained near the lower end of analysts' projections, indicating that it may be facing challenges in meeting market expectations. This trend raises concerns about the company's future growth trajectory.

Recommendation changes over time:

Recommendations trend for IRCON
Recommendations trend for IRCON


With analysts leaning toward a sell bias for IRCON, investors should be cautious and make decisions based on a wider set of market indicators. This approach will help balance short-term concerns with longer-term market trends, providing a more holistic view of the stock.