Check Before You Invest : Art Nirman Ltd

Snapshot

Q.1 Which industry/sub-sector does Art Nirman Ltd belong to?

Art Nirman Ltd belongs to the Construction & Infrastructure sector, operating specifically within the Construction - Real Estate segment.

Q.2 Is Art Nirman Ltd a good quality company?

Art Nirman Ltd is a weak quality company, based on a inconsistent 10-year financial track record.

Q.3 Is Art Nirman Ltd undervalued or overvalued?

Art Nirman Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is Art Nirman Ltd a good buy now?

Art Nirman Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Art Nirman Ltd?

Art Nirman Ltd revenue growth is -20.1% for FY-2025, which is below its 5-year CAGR of -15.11%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Art Nirman Ltd?

Art Nirman Ltd Return on capital employed is 6.61% for FY-2025, which is above its 5-year historical median of 3.11%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Art Nirman Ltd?

Art Nirman Ltd Return on Asset is 3.27%, which is above its 5-year historical median of 0.23%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Art Nirman Ltd?

Art Nirman Ltd Return on equity is 5.49% for FY-2025, which is above its 5-year historical median of 0.33%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of Art Nirman Ltd?

Art Nirman Ltd Cash conversion cycle is 340 days, in line with its 5-year historical median of 340 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	0.45	0.65
ROE	5.49	0.33
ROCE	6.61	3.11
Cash Conversion Cycle	340 days	340 days

Q.6 Gross Profit margin of Art Nirman Ltd?

Art Nirman Ltd Gross profit margin which is the profit after deduction of direct costs, is 9.3% for FY-2025, which is above its 5-year median of 4%, indicating increasing margins.

Q.7 Operating Profit Margin of Art Nirman Ltd?

Art Nirman Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 11.96% for FY-2025, which is above its 5-year median of 4.94% indicating increasing margins.

Q.8 Net Profit Margin of Art Nirman Ltd?

Art Nirman Ltd Net Profit Margin is 7.28% for FY-2025, is above with its 5-year median of 0.57%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	9.3	4
Operating Profit Margin	11.96	4.94
Net Profit Margin	7.28	0.57

Q.9 Debt to Equity ratio of Art Nirman Ltd?

Art Nirman Ltd Debt-to-Equity ratio is 0.48, which is above with the industry average of 0.31, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Art Nirman Ltd?

Art Nirman Ltd Debt to cash flow from operations is -1.35, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Art Nirman Ltd?

Promoters hold 73.75% of the Art Nirman Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Art Nirman Ltd vs industry peers?

Art Nirman Ltd revenue CAGR is -15.11%, compared to the industry median CAGR of 4.37%, indicating slower growth and losing its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	-20.1	4.4
Gross Profit Growth	50	NAN
Operating Profit Growth	50	NAN
Net Profit Growth	100	NAN

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.45	0.14
ROE	5.49	1.52
ROCE	6.61	4.04
Cash Conversion Cycle (days)	340.33	625

Valuation & price assessment

Q.1 Stock return of Art Nirman Ltd over the last decade?

Over the last 5 year(s), the stock has delivered a CAGR of 6.83% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	-	6.8%	-3.3%	1.9%

Q.3 Valuation ratios of Art Nirman Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	92.13	106.67	34.05
Price to Book	2.95	4.13	1.53
Price to Sales	5.65	5.03	5.34
EV to EBITDA	34.88	54.71	14.40

Check more companies

1. Brigade Enterprises

2. Anant Raj

3. Aditya Birla Real

4. Sobha

5. Signatureglobal Ind.

6. Dilip Buildcon

7. Mahindra Life. Dev

8. Sri Lotus Developers

9. Kalpataru

10. Max Estates

Check trending companies

1. Tata Elxsi Ltd.

2. Shree Cement Ltd.

3. Amara Raja Energy & Mobility Ltd.

4. Vishal Mega Mart Ltd.

5. Acme Solar Holdings Ltd.