Kalpataru Projects International Ltd.
ISIN: INE220B01022 • Market Cap: ₹23,516 Cr
The 5-Pillar Quality Audit for Kalpataru Projects International Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (8.3%), Return on Capital Employed (22.9%), and equity compounding (13.4%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.43 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (11.7%) and 3Y PAT CAGR (30.4%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 20.69 vs PEG of 1.35 and Dividend Yield of 0.8%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 33.6%, backed by 55.6% institutional ownership.
Key Fundamental Strengths
Superior Capital Efficiency (ROCE: 22.9%)
Kalpataru Projects International Ltd. generates exceptional return on capital employed of 22.9%, reflecting pricing power and competitive moat.
High-Velocity Profit Compounding (3Y PAT CAGR: 30.4%)
Net earnings have compounded at 30.4% annualized, demonstrating operating leverage.
Attractive Valuation Margin (P/E: 20.69)
Trading at a P/E multiple of 20.69, the stock offers a favourable risk-reward entry for quality compounding.
Deep Institutional Sponsorship (55.6%)
Mutual funds, domestic DIIs, and foreign FIIs hold 55.6%, providing strong governance scrutiny.
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 KPIL 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 76/100 and clean gearing.
GARP / Value-Growth Blend
Provides balanced valuation margin with strong profitability scores.
Construction Sector Peer Comparison
Compare KPIL directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Kalpataru Projects International Ltd. (KPIL)Current | 76/100 | ₹23,516 Cr | 20.69 | 22.9% | 0.43 | — |
| 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 |
| IRB Infrastructure Developers Ltd. (IRB) | 70/100 | ₹22,912 Cr | 24.01 | 6.0% | 0.96 | View |
| Cemindia Projects Ltd. (CEMPRO) | 75/100 | ₹21,705 Cr | 36.08 | 36.6% | 0.40 | View |
Frequently Asked Questions: Kalpataru Projects International Ltd.
Q:What is the 5-Pillar Fundamental Score for Kalpataru Projects International Ltd. (KPIL)?
Kalpataru Projects International Ltd. has a RupeeTools Fundamental Score of 76/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (70/100), Financial Health (78/100), Growth (85/100), Valuation (77/100), and Ownership Quality (72/100).
Q:Is KPIL fundamentally strong for long-term investment?
Yes, KPIL exhibits solid fundamental strength with a 76/100 score, driven by a return on equity of 13.4% and a debt-to-equity ratio of 0.43.
Q:Does KPIL pass the Coffee Can Investing filter?
Yes! KPIL 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 KPIL compare against other Construction peers?
Within India's Construction sector, KPIL trades at a P/E of 20.69 and generates an ROCE of 22.9%. Compare its 5-Pillar score of 76/100 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.