Low PE small-cap with a massive order book of Rs 10,678.2 crore, secured an order from NTPC; infrastructure multibagger stock with 280 per cent returns in 3 years!

The company have 21 active projects, 17 HAM projects, and has been in business for 12 years. They are present in 11 states across India. The order book of the company as of September 30, 2023, stood at Rs 10,678.2 crore

H.G. Infra Engineering Limited on Monday informed that it has bagged a new project worth Rs 36.20 crore from NTPC Limited. The project involves the transportation of Pond Ash from NTPC Ramagundam to NHAI road construction projects. The tenure of the project is one year, extendable by another six months.

HG Infra Engineering Ltd exhibited a mixed performance in today's day trading session. The stock opened at Rs 884.5 and reached an intraday high of Rs 888, while also experiencing a low of Rs 837. The current market price (CMP) stands at Rs 844, reflecting a decrease from the previous close of Rs 862.35, indicating a negative change of 2.13 per cent. Despite the negative percentage change, the stock's overall market capitalization remains robust at Rs 5500.44 crore. 

HG Infra is a leading Road/Highway Construction Company in India. The company have a pan-India regional presence, with 51 per cent of their projects in the North, 19 per cent in the South, 29 per cent in the East, and 1 per cent in the West. They have a strong growth trajectory, with a revenue CAGR of 26 per cent, operating profit CAGR of 28 per cent, and profit CAGR of 38 per cent over the past 5 years. They have a fleet of modern equipment and are implementing digital initiatives to enhance their processes. The company have 21 active projects, 17 HAM projects, and has been in business for 12 years. They are present in 11 states across India. The order book of the company as of September 30, 2023, stood at Rs 10,678.2 crore.

Foreign Institutional Investors (FIIs) increased their stake in the company over the past four quarters. Their stake increased by 0.57 per cent in Q3 FY23, 1.34 per cent in Q4 FY23, 1.59 per cent in Q1 FY24, and 1.67 per cent in Q2 FY24.

Over the past month, HG Infra's performance has seen a decline of 8.28 per cent. The three months has been marked by a more substantial downturn, with a negative change of 10.19 per cent.  Over the one-year horizon, HG Infra has demonstrated strong growth, posting an impressive increase of 42.48 per cent. Looking at the longer-term perspective, the company has exhibited robust performance over the last three and five years, with mutibagger gains of 280.55 per cent and 285.94 per cent, respectively.

About Comapany

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.

Disclaimer: The article is for informational purposes only and not investment advice.