H.G. Infra Engg. (HGINFRA)
CyclicalFairStock Score: 30/100 — RISKY
Score breakdown: P/E: 3/3 · ROCE: 1/2 · Growth: 0/2 · Dividend: 0/1
Key Financials
| Current Price | ₹523.75 |
| Market Cap | ₹3,413.34 Cr |
| P/E Ratio | 10.33 |
| ROCE | 16.76% |
| ROE | 19.78% |
| Dividend Yield | 0.38% |
| Profit Growth | -77.47% |
| Debt/Equity | 1.53 |
| Sales Growth | -46.99% |
| Promoter Holding | 71.78% |
| 52-Week Range | ₹374.25 — ₹942 |
| Sector | Construction |
| Book Value | ₹500.99 |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
When I look at H.G. Infra, I see a decent engineering contractor selling at a Graham-like valuation... but I must be careful. The company earns a strong 19.78% ROE and has a book value of ₹394 per share, so at ₹605 I am paying 1.54 times book. That is not a steal. The P/E of 9.23 looks appealing, yet profits fell 18% while sales grew 12% - margins are being squeezed. In civil construction, a heavy balance sheet is common, but debt/equity of 1.83 gives me pause; a downturn could hurt. Promoters own 71.78%, which aligns their interests with mine, and the 12.36% sales growth shows they are winning work. However, the Piotroski score of 4/9 tells me the financial health is deteriorating. Is this an asset play? No - book value is meaningful but not dominant. Is it a turnaround? Too early to say. I'd classify it as a cyclical, trading near the lower end of its 52-week range. The PEG ratio of 0.75 assumes earnings growth will return, but last quarter's 94 Cr profit on 1,421 Cr sales suggests thin net margins. I'd want to see debt reduced and profit margins stabilize before acting. A margin of safety exists if the construction cycle improves, but I'll wait for better signs.
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Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer