Techno Elec.Engg (TECHNOE)

FairStock Score: 60/100 — 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 look for a business with a durable moat and a fair price. Techno Elec.Engg in civil construction shows some Graham-like strengths: debt/equity of 0.02, Altman Z-Score 3.25, and Piotroski F-Score 8/9. That tells me the balance sheet is conservative and accounting quality is above average. ROCE 16.54% and ROE 13.21% are respectable, though not exceptional. Promoter holding 56.93% aligns management with shareholders. Revenue has grown: 5-year CAGR 21.11%, sales growth 19.80%, latest quarter sales ₹872 Cr and net profit ₹119 Cr. But the moat is not obvious in civil construction; it is competitive and cyclical. Profit growth is -31.50%, so top-line growth is not reaching the bottom line. Free cash flow is -₹1,177 Cr, a red flag for a business that needs cash to grow. At ₹968.40, the market cap is ₹11,262 Cr, and the stock sits near the lower half of its 52-week range of ₹870–₹1,389.60; cheapness alone is not value. Valuation is where Graham would hesitate. P/E 26.11 and P/B 2.71 against book value ₹357.56. Graham Number is ₹569.32, while price is ₹968.40, giving a margin of safety of -106.07% — no margin of safety. PEG 0.47 and EV/EBITDA 9.79 look reasonable only if earnings recover. Dividend yield 0.93% is thin. FairStock Score 60/100 (STEADY) fits a cyclical stalwart, not a bargain. I would wait for profit growth and free cash flow to turn before paying a premium.

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