Check Before You Invest : Bondada Engineering Ltd

BSE: 543971 NSE: ISIN: INE0Q8P01029

| Sector: Telecom | Industry: Telecom-Infrastructure

Snapshot

Q.1 Which industry/sub-sector does Bondada Engineering Ltd belong to?

Bondada Engineering Ltd belongs to the Telecom sector, operating specifically within the Telecom-Infrastructure segment.

Q.2 Is Bondada Engineering Ltd a good quality company?

Bondada Engineering Ltd is a average quality company, based on a somewhat consistent 5-year financial track record.

Q.3 Is Bondada Engineering Ltd undervalued or overvalued?

Bondada Engineering Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.

Q.4 Is Bondada Engineering Ltd a good buy now?

Bondada Engineering Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Return on capital employed (ROCE) of Bondada Engineering Ltd?

Bondada Engineering Ltd Return on capital employed is 42.44% for FY-2025, which is above its 5-year historical median of 20.46%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.2 Return on Asset of Bondada Engineering Ltd?

Bondada Engineering Ltd Return on Asset is 13.93%, which is above its 5-year historical median of 8.06%, indicating improved asset utilization efficiency.

Q.3 Return on Equity (ROE) of Bondada Engineering Ltd?

Bondada Engineering Ltd Return on equity is 39.33% for FY-2025, which is above its 5-year historical median of 22.76%, indicating the business is making better use of its shareholders capital.

Q.4 Gross Profit margin of Bondada Engineering Ltd?

Bondada Engineering Ltd Gross profit margin which is the profit after deduction of direct costs, is 10% for FY-2025, which is above its 5-year median of 6.4%, indicating increasing margins.

Q.5 Operating Profit Margin of Bondada Engineering Ltd?

Bondada Engineering Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 10.97% for FY-2025, which is above its 5-year median of 7.38% indicating increasing margins.

Q.6 Net Profit Margin of Bondada Engineering Ltd?

Bondada Engineering Ltd Net Profit Margin is 7.33% for FY-2025, is above with its 5-year median of 4.67%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	10	6.4
Operating Profit Margin	10.97	7.38
Net Profit Margin	7.33	4.67

Q.7 Debt to Equity ratio of Bondada Engineering Ltd?

Bondada Engineering Ltd Debt-to-Equity ratio is 0.45, which is above with the industry average of 0.17, indicating higher debt levels in the industry.

Q.8 Debt to cash flow from operations of Bondada Engineering Ltd?

Bondada Engineering Ltd Debt to cash flow from operations is -1.3, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Bondada Engineering Ltd?

Promoters hold 61.57% of the Bondada Engineering Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Bondada Engineering Ltd vs industry peers?

Bondada Engineering Ltd revenue CAGR is 0.00%, compared to the industry median CAGR of 8.97%, indicating slower growth and losing its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	-	9
Gross Profit Growth	156.4	-1.3
Operating Profit Growth	159.3	-0.1
Net Profit Growth	151.2	-1.4

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	1.9	0.96
ROE	39.33	12.44
ROCE	42.44	12.87
Cash Conversion Cycle (days)	72.58	79

Valuation & price assessment

Q.1 Stock return of Bondada Engineering Ltd over the last decade?

Over the last 1 year(s), the stock has delivered a CAGR of -13.32% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	-	-	-	-13.3%

Q.3 Valuation ratios of Bondada Engineering 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	20.64	93.03	35.21
Price to Book	6.25	14.66	1.76
Price to Sales	1.44	3.87	2.58
EV to EBITDA	13.09	57.35	17.33

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