Cemindia Projects Ltd.
ISIN: INE686A01026 • Market Cap: ₹21,705 Cr
The 5-Pillar Quality Audit for Cemindia Projects Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (10.4%), Return on Capital Employed (36.6%), and equity compounding (24.9%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.40 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (9.7%) and 3Y PAT CAGR (30.0%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 36.08 vs PEG of 2.30 and Dividend Yield of 0.2%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 67.5%, backed by 10.1% institutional ownership.
Key Fundamental Strengths
Superior Capital Efficiency (ROCE: 36.6%)
Cemindia Projects Ltd. generates exceptional return on capital employed of 36.6%, reflecting pricing power and competitive moat.
Robust Equity Compounding (ROE: 24.9%)
Shareholder equity compounds at a healthy 24.9%, exceeding average Indian equity benchmarks.
High-Velocity Profit Compounding (3Y PAT CAGR: 30.0%)
Net earnings have compounded at 30.0% annualized, demonstrating operating leverage.
Areas to Watch & Potential Risks
Sectoral & Macro Headwinds (Construction)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Construction space.
Quantitative Strategy Eligibility
Checking CEMPRO against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Passes Saurabh Mukherjea's Coffee Can rule: 10%+ sustained revenue growth and 15%+ ROCE/ROE.
Quality Factor Screener (High RoIC + Low Debt)
Qualifies for Indian Quality Indices with overall score of 75/100 and clean gearing.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Construction Sector Peer Comparison
Compare CEMPRO directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Cemindia Projects Ltd. (CEMPRO)Current | 75/100 | ₹21,705 Cr | 36.08 | 36.6% | 0.40 | — |
| Larsen & Toubro Ltd. (LT) | 69/100 | ₹5.54 Lakh Cr | 33.42 | 17.9% | 1.12 | View |
| Rail Vikas Nigam Ltd. (RVNL) | 48/100 | ₹46,517 Cr | 51.71 | 10.3% | 0.49 | View |
| NBCC (India) Ltd. (NBCC) | 79/100 | ₹23,571 Cr | 31.74 | 38.8% | 0.00 | View |
| Kalpataru Projects International Ltd. (KPIL) | 76/100 | ₹23,516 Cr | 20.69 | 22.9% | 0.43 | View |
| IRB Infrastructure Developers Ltd. (IRB) | 70/100 | ₹22,912 Cr | 24.01 | 6.0% | 0.96 | View |
Frequently Asked Questions: Cemindia Projects Ltd.
Q:What is the 5-Pillar Fundamental Score for Cemindia Projects Ltd. (CEMPRO)?
Cemindia Projects Ltd. has a RupeeTools Fundamental Score of 75/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (79/100), Financial Health (84/100), Growth (72/100), Valuation (62/100), and Ownership Quality (72/100).
Q:Is CEMPRO fundamentally strong for long-term investment?
Yes, CEMPRO exhibits solid fundamental strength with a 75/100 score, driven by a return on equity of 24.9% and a debt-to-equity ratio of 0.40.
Q:Does CEMPRO pass the Coffee Can Investing filter?
Yes! CEMPRO satisfies both core pillars of Coffee Can Investing: achieving consistently high capital returns (ROCE/ROE >= 15%) alongside double-digit multi-year revenue growth.
Q:How does CEMPRO compare against other Construction peers?
Within India's Construction sector, CEMPRO trades at a P/E of 36.08 and generates an ROCE of 36.6%. Compare its 5-Pillar score of 75/100 against top sector peers like Larsen & Toubro Ltd. (69/100), Rail Vikas Nigam Ltd. (48/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.