Low PE high ROE stock: This small-cap company receives a Letter of Acceptance (LoA) from DMRC!
The stock has a PE multiple of 12.50 whereas industry PE multiple is 27.33 and ROE of 22.53 per cent respectively.
Today, shares of H.G. Infra Engineering Ltd (HGIEL) surged 1.19 per cent from their previous closing of Rs 656.40 per share to Rs 664.20. The stock has a PE multiple of 12.50 whereas industry PE multiple is 27.33 and an ROE of 22.53 per cent respectively.
Recently, the company declared that it received a letter of acceptance worth Rs 412.11 crore from Delhi Metro Rail Corporation Ltd (DMRCL). DMRCL has estimated the project cost of Rs 398.63 crore.
The project includes part design and construction of an elevated viaduct and four elevated stations viz Keshopur, Paschim Vihar, Peeragarhi & Mangolpuri (excluding architectural finishing works of stations, steel fob and PEB works of stations). The project's length is 3.512 km and it will be completed in 24 months from the date of the announcement.
H.G. Infra Engineering Limited (HGIEL) is an Indian road infrastructure company engaged in the business of engineering, procurement and construction (EPC) services, maintenance of roads, bridges, flyovers and other infrastructure contract works.
According to the Quarterly Results and annual results the company has reported positive results. In FY22 when the net profit was Rs 236.65 crore, it rose significantly to Rs 380.04 crore, up by 60.59 crore in FY23. The stock has increased by 21.83 per cent over the past six months, with a 52-week high of Rs 714.25 and a 52-week low of Rs 481. Investors should keep an eye on this stock.