IRFC stock has experienced an extraordinary surge, reaching new high levels. This company offers excellent profitability and growth potential that make it a sound addition to any portfolio, although certain risk factors could impede performance.
As an example, a low Piotroski score signals moderate financial weakness; thus highlighting the need for careful evaluation across various metrics.
Profitability
IRFC saw its profit after tax increase by 1.6% during the first quarter of this fiscal, reaching Rs1,577 crore compared to Rs1,551 crore last year. Revenue from operations also saw an uptick, reaching Rs6,766 crore against an increase of 1.4% last year.
IRFC is a high beta stock that tends to fluctuate with market volatility; however, according to market expert Rajesh Satpute from 5paisa he believes IRFC has significant momentum and should continue growing. He advises existing investors to book partial profits should it break through its previous all-time high of Rs200 and hold onto their shares as long as the price does.
IRFC shares have seen remarkable gains this year, rising 75% year-on-year while falling only Rs26 short of their all-time high of Rs200. As a result of this optimism, their market capitalization jumped to Rs2,09,203 crore – outperforming peers such as RVNL, Ircon International and RailTel Corporation of India. They mobilise funds from domestic and overseas markets to meet Indian Railways requirements beyond budgetary allocations; established on December 12, 1986 and headquartered in New Delhi since.
ROCE
Long-term stock investors understand the significance of conducting in-depth analyses on companies to understand their financial stability and growth potential. To do this effectively, review IRFC’s balance sheet and cash flow statements; using our screening tools you can also review key ratios to identify possible buying or selling opportunities.
Return on Capital Employed (ROCE) is an essential metric that measures a company’s profitability and efficiency in using invested capital efficiently. ROCE includes debt in its calculation of equity, making it especially relevant when analyzing high capital-intensive companies such as IRFC. You can find ROCE data for IRFC here in our financials table and ratio section above.
EPS (earnings per share) is a widely used metric to gauge a company’s profitability on a per-share basis, calculated as earnings divided by outstanding shares. You can find IRFC’s EPS data in its financials tables and ratio sections above. Shareholder yield measures the total return provided to shareholders including dividends, buybacks and debt paydown. You can find shareholder yield data in their respective sections above as well.
ROE
Return on Capital Employed (ROCE) is an essential metric in measuring a company’s profitability, showing how efficiently shareholder equity is utilized to generate revenue. While its significance can be affected by financial leverage or other factors, an elevated ROCE can indicate strong management practices as well as a secure moat.
Investors can also take advantage of our stock analysis page for free IRFC charts, valuation multiples, and Wall Street price targets to make informed decisions when investing. These tools allow investors to make better informed decisions when selecting which company or stock to invest in.
Long-term stock investors need a comprehensive understanding of a company’s ownership structure and financial health before making investment decisions. With our pre-built screening tools, investors can assess promoter holdings and review shareholder bases – information which may provide key insight into long-term viability and growth potential of the company. In addition, investors can utilize Morningstar Quantitative Ratings of stocks to gain further insights into overall company strength; these ratings are calculated using an algorithm which compares companies without analyst coverage with similar peer groups that do have analyst coverage to peer groups without analyst coverage in order to get an overall picture.
Promoter Holding
IRFC’s shareholding pattern helps investors assess its financial stability and growth potential, and determine if promoters’ stake is significant enough to impede price movement. Investors can do this by examining financial ratios and performance metrics such as its P/B ratio which provide important insight into its worthiness and competitive positioning.
Investors should analyze a company’s financial strength and stability by reviewing its balance sheet, taking note of its debt-to-equity ratio, cash flow and liquid assets as well as considering its historical P/B ratio to identify undervalued or overvalued stocks. Finally, tracking historical stock prices allows investors to assess its growth potential over time; Tickertape’s screening tools make this evaluation process easy – providing long-term investors with all of the data they need in order to plan out an investment strategy for long-term investments.
Institutional Holding
IRFC is an infrastructure finance company providing loans to railways and other state-owned companies as well as building the necessary rail infrastructure in India. They boast an impressive balance sheet with an exceptional debt-equity ratio. Long-term stock investors should analyze this company’s financial stability and growth potential before investing. We have tools designed specifically to help track price trends and evaluate key financial metrics.
IRFC shares were introduced for trading in 2021 and saw limited movement until April of last year when they started rising in tandem with overall bullish sentiment surrounding state-run stocks. By January this year, their shares had hit an all-time high of Rs192.8 per share before pulling back slightly.
Institutional holding of a stock is an invaluable barometer of its stability, reflecting how much its shareholders trust its management and board of directors. If institutional investors begin selling off stakes, it could signal lack of faith in its prospects; leading to stock decline. Our analysis helps you understand this indicator and decide if a company makes sense in your portfolio.
