Check Before You Invest : Ratnabhumi Developers Ltd

Snapshot

Q.1 Which industry/sub-sector does Ratnabhumi Developers Ltd belong to?

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

Q.2 Is Ratnabhumi Developers Ltd a good quality company?

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

Q.3 Is Ratnabhumi Developers Ltd undervalued or overvalued?

Ratnabhumi Developers Ltd appears Undervalued, as its key valuation ratios are below with their past averages.

Q.4 Is Ratnabhumi Developers Ltd a good buy now?

Ratnabhumi Developers 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 Revenue growth of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd revenue growth is 41,900% for FY-2025, which is below its 5-year CAGR of 194.31%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Return on capital employed is 11.41% for FY-2025, which is above its 5-year historical median of 6.59%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Return on Asset is 2.09%, which is above its 5-year historical median of 0.25%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Return on equity is 15.01% for FY-2025, which is above its 5-year historical median of 0.88%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Cash conversion cycle is 399 days, below its 5-year historical median of 9847 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	0.78	0.06
ROE	15.01	0.88
ROCE	11.41	6.59
Cash Conversion Cycle	399 days	9847 days

Q.6 Gross Profit margin of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Gross profit margin which is the profit after deduction of direct costs, is 3.7% for FY-2025, which is below its 5-year median of 25.7%, indicating decreasing margins.

Q.7 Operating Profit Margin of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 10.07% for FY-2025, which is below its 5-year median of 221.12% indicating decreasing margins.

Q.8 Net Profit Margin of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Net Profit Margin is 2.66% for FY-2025, is below with its 5-year median of 19.7%, indicating decreasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	3.7	25.7
Operating Profit Margin	10.07	221.12
Net Profit Margin	2.66	19.7

Q.9 Debt to Equity ratio of Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Debt-to-Equity ratio is 2.86, 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 Ratnabhumi Developers Ltd?

Ratnabhumi Developers Ltd Debt to cash flow from operations is 1.3, which is at a healthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Ratnabhumi Developers Ltd?

Promoters hold 73.56% of the Ratnabhumi Developers Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Ratnabhumi Developers Ltd vs industry peers?

Ratnabhumi Developers Ltd revenue CAGR is 194.31%, compared to the industry median CAGR of 4.37%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	41	4.4
Gross Profit Growth	700	NAN
Operating Profit Growth	37.5	NAN
Net Profit Growth	0	NAN

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.78	0.14
ROE	15.01	1.52
ROCE	11.41	4.04
Cash Conversion Cycle (days)	399.37	625

Valuation & price assessment

Q.1 Stock return of Ratnabhumi Developers Ltd over the last decade?

Over the last 5 year(s), the stock has delivered a CAGR of 40.09% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	-	40.1%	26.6%	180.9%

Q.3 Valuation ratios of Ratnabhumi Developers 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	65.54	114.29	34.05
Price to Book	7.98	4.70	1.53
Price to Sales	4.35	39.50	5.34
EV to EBITDA	22.1	26.34	14.40

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