Highway Infra (HILINFRA)

Score breakdown: P/E: 3/3 · ROCE: 1/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

Strengths

• Profit growth of 37.92% with sales growth of 15.58% shows strong operating momentum.
• PEG of 0.43 suggests the earnings growth is available at an attractive price.
• Conservative balance sheet with Debt/Equity of 0.28 and ROCE of 19.59%.
• High promoter holding of 70.04% aligns management with minority shareholders.
• Piotroski F-Score of 7/9 indicates solid financial health.

Concerns

• ROE is N/A, reducing visibility into true shareholder returns.
• Latest quarter net profit of ₹6 Cr on sales of ₹128 Cr shows thin net margins.
• No dividend yield means patient investors get no income while waiting.
• Stock has fallen sharply from 52-week high of ₹131.40 to ₹53.12, suggesting possible underlying business stress.

AI Analysis

Let's examine Highway Infra as Graham would. The stock trades at ₹53.12, a market cap of ₹396 Cr, a P/E of 11.41, and a book value of ₹28.11. So I am paying 1.89 times book. That is not a deep discount asset play, but given the fall from ₹131.40 to near its 52-week low of ₹40.60, Mr. Market has clearly soured on it. The growth figures catch my attention: sales up 15.58%, profit up 37.92%, and a PEG ratio of 0.43. If that growth is durable, the stock looks modestly priced. The balance sheet is not reckless: debt-to-equity is only 0.28, ROCE is 19.59%, and the Piotroski F-score of 7 out of 9 suggests decent financial health. Promoter holding of 70.04% also means management's interests are aligned with mine. Still, I must be cautious. ROE is shown as N/A, which limits my ability to judge shareholder value creation. The latest quarter had sales of ₹128 Cr but net profit of only ₹6 Cr, a thin margin. There is no dividend yield, so I am reliant entirely on capital gains and business performance. Road assets—toll, annuity, and hybrid-annuity—carry traffic, regulatory, and project execution risks. The sharp price collapse may be a warning. I would want consistent quarterly earnings, stable margins, and no aggressive debt build-up before committing. At this price, there is a possible margin of safety, but I would call it a decent, growing asset play rather than a wonderful compounder yet.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer