REC Limited
NSE:RECLTD
Intrinsic Value
REC Ltd. engages in the provision of financial services. [ Read More ]
The intrinsic value of one RECLTD stock under the Base Case scenario is 760.42 INR. Compared to the current market price of 452.3 INR, REC Limited is Undervalued by 41%.
Valuation Backtest
REC Limited
Run backtest to discover the historical profit from buying and selling RECLTD stocks based on their intrinsic value.
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Fundamental Analysis
REC's Boosted Earnings and Renewables Focus
2024-Q3 Earnings Call
In Q3 FY'24, REC Limited saw a robust 20% growth in assets under management, now at INR 497,466 crores with a year-on-year increase of 21%. Approvals and sanctions skyrocketed by 69%, and disbursements are expected to surpass INR 150,000 crores by March '24. The company's total income and profit after tax both surged by 19% and 24%, respectively. Net NPA decreased to 0.82% with 20 of 36 stressed assets resolved. REC's focus has shifted towards renewable energy, supported by the Indian government's Rooftop Solar Mission. A target of INR 10 lakh crores in asset under management by 2030 is set, with renewable energy making up 30%. Expansion into non-power infrastructure & logistics with a stringent asset quality criterion has also begun, promising growth without increasing NPAs.
Balance Sheet Decomposition
REC Limited
Current Assets | 265.8B |
Cash & Short-Term Investments | 15.1B |
Receivables | 250.3B |
Other Current Assets | 379.5m |
Non-Current Assets | 5.1T |
Long-Term Investments | 46.5B |
PP&E | 6.4B |
Intangibles | 6.2m |
Other Non-Current Assets | 5T |
Current Liabilities | 622.7B |
Accounts Payable | 610.8m |
Accrued Liabilities | 125.6m |
Short-Term Debt | 351.6B |
Other Current Liabilities | 270.3B |
Non-Current Liabilities | 4.1T |
Long-Term Debt | 4T |
Other Non-Current Liabilities | 23.9B |
Earnings Waterfall
REC Limited
Revenue
|
447.6B
INR
|
Cost of Revenue
|
-287.7B
INR
|
Gross Profit
|
160B
INR
|
Operating Expenses
|
-6B
INR
|
Operating Income
|
154B
INR
|
Other Expenses
|
-22.7B
INR
|
Net Income
|
131.3B
INR
|
Free Cash Flow Analysis
REC Limited
What is Free Cash Flow?
RECLTD Profitability Score
Profitability Due Diligence
REC Limited's profitability score is 52/100. The higher the profitability score, the more profitable the company is.
Score
REC Limited's profitability score is 52/100. The higher the profitability score, the more profitable the company is.
RECLTD Solvency Score
Solvency Due Diligence
REC Limited's solvency score is 24/100. The higher the solvency score, the more solvent the company is.
Score
REC Limited's solvency score is 24/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
RECLTD Price Targets Summary
REC Limited
According to Wall Street analysts, the average 1-year price target for RECLTD is 550.29 INR with a low forecast of 479.75 INR and a high forecast of 611.1 INR.
Shareholder Return
RECLTD Price
REC Limited
Average Annual Return | 12.29% |
Standard Deviation of Annual Returns | 18.14% |
Max Drawdown | -48% |
Market Capitalization | 1.2T INR |
Shares Outstanding | 2 634 092 400 |
Percentage of Shares Shorted |
N/A
|
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
REC Ltd. engages in the provision of financial services. The company is headquartered in Gurgaon, Haryana. The company went IPO on 2008-12-03. The firm's main business is to provide finance to power sector. The firm's principal products include interest-bearing loans to state electricity boards, state power utilities/state power departments and private sector for all segments of power infrastructure. The company is engaged in financing projects and schemes of various power sector value chain, including generation (both conventional and renewable energy), transmission, distribution, rural electrification and activities having forward or backward linkage with power projects. The company provides financial assistance to state electricity boards, state governments, central/state power utilities, independent power producers, rural electric cooperatives and private sector utilities through its network of approximately 22 offices. The firm also acts as the nodal agency or project implementing agency for various schemes and programs of the Ministry of Power, Government of India.
Contact
IPO
Employees
Officers
The intrinsic value of one RECLTD stock under the Base Case scenario is 760.42 INR.
Compared to the current market price of 452.3 INR, REC Limited is Undervalued by 41%.