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The BSE, founded in 1875, is Asia's oldest stock exchange — it started under a banyan tree on Dalal Street, where the bronze bull stands today.
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The BSE, founded in 1875, is Asia's oldest stock exchange — it started under a banyan tree on Dalal Street, where the bronze bull stands today.
The BSE, founded in 1875, is Asia's oldest stock exchange — it started under a banyan tree on Dalal Street, where the bronze bull stands today.
Ramkrishna Forgings Limited is an India-based company, which is primarily engaged in the manufacturing and sale of forged components of automobiles, railway wagons and coach and engineering parts. The Company has manufacturing facilities at Gamaria, Adityapur Industrial Area,…
Weekly engine runs — movement reflects the numbers, not analyst opinion.
A weak, stagnant business, priced for perfection.
Ramkrishna Forgings is scored on the general / industrial framework. It keeps a thin 1.7% of every rupee of sales as net profit. Those profits are backed by real cash — operating cash flow runs 11.69× reported profit. Free cash flow is worth about -0.7% of its market value.
Over the last 3 years revenue compounded at 10%/yr and profit at -34%/yr. Book value itself has compounded 36%/yr — the hallmark of a genuine compounder. Return on equity is a weak 5.2%. In the latest quarter profit grew 51% versus the prior quarter.
At 175× earnings, the stock sits at the 95th percentile of its own 3.6-year range — the expensive end of where it has historically traded. Today's price already implies ~26%/yr earnings growth sustained for a decade — a demanding bar. The books come through clean — a forensic grade of A, and Altman puts distress risk in the safe zone.
A plain-English restatement of the figures on this page — rules-based, for education and research context, not investment advice or a recommendation.
| Ratio | Company | Sector | Read |
|---|---|---|---|
| P/E | 68.87 | 28.83 | worse |
| P/B | 3.58 | 3.96 | better |
| EV/EBITDA | 18.64 | 11.38 | worse |
| ROE | 5.2 | 19.19 | worse |
| ROCE | 7.82 | 19.42 | worse |
| ROA | 2.42 | 10.26 | worse |
| Quick Ratio | 0.56 | 1.81 | worse |
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Bharat Forge | 122.0 | 7.4 | 8.7% |
| PTC Industries | 307.8 | 11.7 | 6.7% |
| AIA Engineering | 23.5 | 3.5 | 14.7% |
Revenue has grown every year across all 4 financial years shown. 10% CAGR — growing but slowly.
Profit is on a 2-year growth streak. Revenue is outpacing profit (10% vs -34%) — costs are rising faster than the top line. The latest year saw a -83% swing — check if it's a one-off or structural.
Operating margin has compressed from 12% to 2% — costs or competition are eating into profitability. Interest or tax burden is shrinking — more of the operating profit is reaching the bottom line. Margins have declined for 3 consecutive years — watch for a structural cost problem.
ROE at 2% — modest; the capital isn't working hard. Capital efficiency declining — ROE down 17pp.
EPS dropped in the latest year despite possible profit changes — dilution or a profit dip could be at play. Profit grew faster than EPS (-34% vs -37%) — share dilution is eroding per-share value. -37% EPS CAGR — this is the rate at which each share's claim on earnings is compounding.
Operating cash flow has been positive every year — the business generates real cash, not just accounting profit. Cash conversion at 11.7× PAT — earnings are well-backed by cash; strong accrual quality. Investing outflows exceed operating cash — the company relies on external funding to finance expansion.
When operating cash keeps pace with reported profit, earnings are cash-backed; a persistent shortfall is a quality flag.
Revenue rose 16% sequentially — momentum is building. Run-rate stepping up — recent quarters average 13% above earlier ones.
Profit jumped 51% QoQ — check if this is operating leverage or a one-off item. Quarterly net margins are expanding (1% → 5%) — profitability per rupee of revenue is improving.
How today's P/E compares to the stock's own historical range. Dashed line = the 3.6y median.
Promoters at 40.9% — dispersed ownership; institutional flows drive the stock. Promoters reduced 2.2pp over 4 quarters — watch whether this is planned divestment or pledge invocations. FIIs trimmed 4.0pp — foreign money is rotating out.
Produced by a rules-based engine over licensed exchange fundamentals — every sentence above is derived from the numbers shown, no analyst or AI opinion involved. Education and research context, not investment advice. We are not SEBI-registered as an Investment Adviser or Research Analyst.