Kalpataru Proj. (KPIL)

FairStock Score: 68/100 — STEADY

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

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I wear Buffett/Graham lenses. Kalpataru Projects is a civil construction business with ₹23,092 Cr market cap at ₹1,352.20. It earns decent returns: ROE 12.76%, ROCE 15.95%, debt/equity 0.46. Piotroski F-score 8/9 suggests improving fundamentals, and free cash flow ₹196 Cr is positive. Latest quarter sales ₹6,665 Cr and net profit ₹149 Cr; profit growth 32.18% beats sales growth 9.31%, while 5-year revenue CAGR 11.98%. That shows operating leverage or margin improvement, but construction remains cyclical, tender-driven, and working-capital heavy. I don’t see a wide moat: promoter holding 33.57%, dividend yield 0.81%, and no pricing power evidence in numbers. Valuation is my worry. P/E 20.32 and P/B 2.97 aren’t insane in isolation, and PEG 0.93 looks reasonable if growth persists. But Graham Number ₹667.89 gives margin of safety -85.68%; DCF intrinsic value ₹422.98 is far below price. EV/EBITDA 104.06 is a red flag on cash earnings unless distorted. Altman Z-score 2.06 sits in gray zone. At ₹1,352, price already discounts much of the profit growth. As Graham would say, good execution isn’t enough; price matters. As Buffett might add, a cyclical contractor needs a durable competitive advantage and conservative balance sheet. KPIL has improved health and steady score 68, but margin of safety is absent. I’d watch sales growth, profit growth, debt, and whether profit growth converts into cash. For an Indian retail investor: quality is improving, but valuation demands caution.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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