Niraj Cement Structurals Limited (NIRAJ) AI Stock Analysis

0 Followers

Niraj Cement Structurals Limited

(NSE:NIRAJ)

Select Model

Rating:42Neutral

Price Target:INR 24.00▼(-11.11% Downside)

Action:reiterated

Date:08/23/26

Niraj Cement Structurals scores low primarily because of weak financial quality: despite strong revenue growth and improving reported profits, the company has burned cash in most recent years, with FY2026 free cash flow of -₹916M and a sharp jump in debt to ₹708M. Margins remain extremely thin, leaving little buffer against cost or demand shocks. Technicals reinforce caution, with the price below all major moving averages and a negative MACD, while high beta amplifies risk. A low P/E of 7.0 provides modest valuation support, but with no dividend and unresolved cash-conversion concerns, the overall risk profile outweighs the cheap multiple.

Positive Factors

Improving profitabilityThe sustained improvement in reported net income indicates that the company has strengthened profitability over multiple years. Although margins remain inconsistent, higher earnings can improve retained capital, support project execution, and provide a stronger base for future growth.

Negative Factors

Weak cash generationDeeply negative operating and free cash flow in the latest two periods is a material weakness because reported profits are not translating into cash. Persistent poor conversion can pressure liquidity, increase funding requirements, and limit the company’s ability to self-finance projects.

Niraj Cement Structurals Limited (NIRAJ) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 1.58B
Dividend Yield: ―
Average Volume (3M): 4,473
Price to Earnings (P/E): 6.6
Beta (1Y): 1.58
Revenue Growth: 6.28%
EPS Growth: 29.64%
Country: India
Employees: 22
Sector: General
Sector Strength: 55
Industry: Engineering & Construction

Niraj Cement Structurals Limited Business Overview & Revenue Model

Company Description

Niraj Cement Structurals Limited is an Indian enterprise specializing in the development and execution of diverse infrastructure projects. Its core activities involve building critical transportation networks such as highways, expressways, turnkey ro...

How the Company Makes Money

NIRAJ makes money primarily by executing infrastructure construction contracts for public-sector and/or private customers and recognizing revenue based on certified work completed under those contracts (e.g., item-rate, EPC, or similar project struct...

Niraj Cement Structurals Limited Financial Statement Overview

Summary

Financial health is the key weakness. While revenue expanded from ₹1.75B in FY2021 to ₹5.42B in FY2026 and net income improved to ₹211M, margins are razor-thin (gross margins of 2.5%-6.8%, net margins peaking near 3%) and FY2026 revenue slipped ~1.9% with EBITDA contracting to ₹169M from ₹226M. The most serious issue is cash flow: operating cash flow has been negative in four of the last six years, including -₹864M in FY2026, with free cash flow at -₹916M, signalling poor conversion of reported profits into cash. The balance sheet offers partial support through steadily growing equity (₹2.66B) and historically minimal leverage, but total debt spiking from ₹22M to ₹708M in FY2026 alongside cash burn suggests growing reliance on external financing. ROE of roughly 6% is weak for the sector.

Income Statement

42Neutral

Balance Sheet

45Neutral

Cash Flow

22Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	5.42B	5.42B	5.07B	4.71B	6.06B	3.56B
Gross Profit	312.33M	290.46M	345.28M	276.67M	190.56M	90.97M
EBITDA	339.96M	339.96M	226.45M	149.50M	86.75M	47.64M
Net Income	211.29M	211.42M	150.82M	97.23M	43.27M	24.29M
Balance Sheet
Total Assets	4.67B	4.67B	3.84B	2.25B	3.15B	3.13B
Cash, Cash Equivalents and Short-Term Investments	318.81M	318.81M	413.29M	229.44M	228.12M	371.90M
Total Debt	708.21M	708.21M	22.19M	7.24M	259.27M	134.61M
Total Liabilities	2.01B	2.01B	1.42B	725.36M	1.39B	1.33B
Stockholders Equity	2.66B	2.66B	2.42B	1.52B	1.77B	1.79B
Cash Flow
Free Cash Flow	-274.21M	-915.52M	-765.33M	230.13M	-298.63M	384.75M
Operating Cash Flow	-247.39M	-864.01M	-720.92M	269.13M	-298.50M	385.19M
Investing Cash Flow	117.39M	24.59M	-207.72M	-48.56M	143.54M	-110.39M
Financing Cash Flow	9.89M	738.02M	1.05B	-257.14M	50.12M	-169.91M

Niraj Cement Structurals Limited Technical Analysis

Technical Analysis SentimentPositive

Last Price27.00

Price Trends

50DMA27.07Negative

100DMA28.14Negative

200DMA28.76Negative

Market Momentum

MACD-0.26Negative

RSI56.67Neutral

STOCH82.54Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:NIRAJ, the sentiment is Positive. The current price of 27.00 is above the 20-day moving average (MA) of 25.49, below the 50-day MA of 27.07, and below the 200-day MA of 28.76, indicating a neutral trend. The MACD of -0.26 indicates Negative momentum. The RSI at 56.67 is Neutral, neither overbought nor oversold. The STOCH value of 82.54 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:NIRAJ.

Niraj Cement Structurals Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:NIRAJ against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:INTERARCH	73Outperform	INR 27.72B	21.59	―	0.73%	17.20%	3.48%
IN:JKIL	69Neutral	INR 33.04B	8.66	―	0.91%	-2.47%	-6.60%
IN:LT	66Neutral	INR 5.73T	29.33	―	0.92%	11.15%	17.37%
IN:INDIANHUME	56Neutral	INR 16.25B	11.17	―	1.62%	-9.31%	-73.99%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:CEMPRO	55Neutral	INR 244.44B	36.16	―	0.23%	13.94%	40.19%
IN:NIRAJ	42Neutral	INR 1.60B	6.64	―	―	6.28%	29.64%

* General Sector Average

Performance Comparison

IN:NIRAJ and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:NIRAJ	Niraj Cement Structurals Limited	27.00	-5.90	-17.93%
IN:INDIANHUME	Indian Hume Pipe Co. Ltd.	304.00	-78.21	-20.46%
IN:INTERARCH	Interarch Building Products Limited	1708.65	-895.32	-34.38%
IN:CEMPRO	ITD Cementation India Limited	1313.00	474.49	56.59%
IN:JKIL	J. Kumar Infraprojects Limited	437.55	-171.49	-28.16%
IN:LT	Larsen & Toubro Limited	4139.00	149.87	3.76%

Niraj Cement Structurals Limited Corporate Events

Niraj Cement Structurals Resets Record Date Ahead of 28th AGM

Sep 5, 2026

Niraj Cement Structurals Limited has revised the record date for determining shareholder eligibility for remote e-voting from 20 September 2026 to 21 September 2026, aligning it with the schedule for its upcoming shareholder actions. The company will...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 23, 2026

Niraj Cement Structurals Limited AI Stock Analysis