SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : Suraj Estate Developers Ltd

BSE: 544054 NSE: SURAJEST ISIN: INE843S01025
  |   Sector:  Construction & Infrastructure   |   Industry:  Construction - Real Estate

Snapshot

Q.1 Which industry/sub-sector does Suraj Estate Developers Ltd belong to?
Suraj Estate Developers Ltd belongs to the Construction & Infrastructure sector, operating specifically within the Construction - Real Estate segment.
Q.2 Is Suraj Estate Developers Ltd a good quality company?
Suraj Estate Developers Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is Suraj Estate Developers Ltd undervalued or overvalued?
Suraj Estate Developers Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings 14.69 21.66
Price to Book 1.18 2.29
Price to Sales 2.37 4.55
EV to EBITDA 9.6 11.16
Q.4 Is Suraj Estate Developers Ltd a good buy now?
Suraj Estate Developers 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

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd revenue growth is 36.7% for FY-2025, which is below its 5-year CAGR of 54.25%, indicating slower growth.

Q.2 Gross Profit margin of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Gross profit margin which is the profit after deduction of direct costs, is 26.7% for FY-2025, which is above its 5-year median of 21.5%, indicating increasing margins.

Q.3 Operating Profit Margin of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 28.36% for FY-2025, which is below its 5-year median of 42.67% indicating decreasing margins.

Q.4 Net Profit Margin of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Net Profit Margin is 19.04% for FY-2025, is above its 5-year median of 15.43%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 26.7 21.5
Operating Profit Margin (%) 28.36 42.67
Net Profit Margin (%) 19.04 15.43

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Return on Asset is 6.91%, which is above its 5-year historical median of 5.72%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Return on capital employed is 17.26% for FY-2025, which is below its 5-year historical median of 21.79%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.7 Return on Equity (ROE) of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Return on equity is 13.98% for FY-2025, which is below its 5-year historical median of 32.82%, indicating the business is making worse use of its shareholders capital.

Q.8 Cash conversion cycle of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Cash conversion cycle is 322 days, below its 5-year historical median of 622 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 (x) 0.36 0.37
ROE (%) 13.98 32.82
ROCE (%) 17.26 21.79
Cash Conversion Cycle 322 days 622 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Debt-to-Equity ratio is 0.43, which is above the industry average of 0.23, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Suraj Estate Developers Ltd?
Suraj Estate Developers Ltd Debt to cash flow from operations is -1.33, which is at a unhealthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Suraj Estate Developers Ltd?

Q.1 Promoter shareholding and pledge status of Suraj Estate Developers Ltd?
Promoters hold 69.80% of the Suraj Estate Developers Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Suraj Estate Developers Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Suraj Estate Developers Ltd vs industry peers?
Suraj Estate Developers Ltd revenue CAGR is 54.25%, compared to the industry median CAGR of 0.00%, indicating faster growth and gaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 36.7 0
Gross Profit Growth (%) 34.7 14.9
Operating Profit Growth (%) -9.5 10.6
Net Profit Growth (%) 36.6 17.2
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 0.36 0.1
ROE (%) 13.98 1.36
ROCE (%) 17.26 3.88
Cash Conversion Cycle (days) 322.41 439

Valuation & price assessment

Q.1 Stock return of Suraj Estate Developers Ltd over the last decade?
Over the last 1 year(s), the stock has delivered a CAGR of -14.67% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
- - - -14.7%
Q.2 Valuation ratios of Suraj Estate Developers Ltd vs historical?
The current P/E ratio of 14.69 is lower than its historical median of 21.66, indicating that the stock is trading below its historical average valuation.
Q.3 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 14.69 21.66 33.43
Price to Book 1.18 2.29 1.53
Price to Sales 2.37 4.55 5.23
EV to EBITDA 9.6 11.16 14.43

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×