Rajoo Engineers Limited (RAJOOENG) AI Stock Analysis

Rajoo Engineers Limited

(NSE:RAJOOENG)

Select Model

Rating:68Neutral

Price Target:INR 57.00▲(8.92% Upside)

Action:downgraded

Date:10/27/26

The score is driven primarily by strong fundamental performance (fast growth, improving profitability, and a very solid balance sheet), offset by the key risk of inconsistent cash conversion and weak current technicals with the stock trading below major moving averages.

Positive Factors

Rapid Revenue and Profit GrowthThe sharp expansion in revenue and net income indicates strong customer demand for Rajoo Engineers’ machinery and growing operating scale. If sustained, this growth can support reinvestment in product capabilities, strengthen market presence, and improve the company’s ability to absorb fixed costs.

Negative Factors

Weak and Volatile Free Cash FlowThe large swings in free cash flow show that reported earnings do not consistently convert into funds available for reinvestment or other uses. Working-capital or investment demands can therefore pressure liquidity, increasing execution risk even while revenue and net income continue to grow.

Rajoo Engineers Limited (RAJOOENG) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 9.34B
Dividend Yield: 0.29%
Average Volume (3M): 47.97K
Price to Earnings (P/E): 21.9
Beta (1Y): 0.52
Revenue Growth: 21.24%
EPS Growth: -27.90%
Country: India
Employees: 559
Sector: General
Sector Strength: 55
Industry: Industrial - Machinery

Rajoo Engineers Limited Business Overview & Revenue Model

Company Description

Established in 1986 and headquartered in Rajkot, India, Rajoo Engineers Ltd. is a global manufacturer and distributor of plastic processing and post-extrusion equipment. The company provides a comprehensive suite of machinery, including various downw...

How the Company Makes Money

Rajoo Engineers Limited primarily makes money by selling plastics processing machinery and complete extrusion-based production lines to industrial customers (typically plastic processors and packaging/product manufacturers). Revenue is generated from...

Rajoo Engineers Limited Financial Statement Overview

Summary

Income statement and balance sheet are strong (rapid revenue and profit expansion with very low leverage and rising equity), but the cash-flow profile is a meaningful constraint: free cash flow has been volatile and fell sharply in 2026 despite higher profits, increasing execution and cash-conversion risk.

Income Statement

86Very Positive

Balance Sheet

88Very Positive

Cash Flow

62Positive

Financial statement breakdown
Breakdown	TTM	Mar 2025	Mar 2025	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	863.53M	2.50B	3.44B	1.94B	1.57B	1.83B
Gross Profit	220.89M	924.74M	1.52B	614.67M	463.39M	516.51M
EBITDA	198.32M	513.28M	735.93M	301.19M	165.10M	242.82M
Net Income	153.46M	381.16M	477.43M	210.08M	114.89M	151.04M
Balance Sheet
Total Assets	3.24B	3.24B	6.74B	2.27B	1.80B	1.60B
Cash, Cash Equivalents and Short-Term Investments	868.18M	868.18M	1.04B	325.07M	527.66M	424.32M
Total Debt	2.73M	2.73M	243.33M	16.68M	19.52M	2.80M
Total Liabilities	1.61B	1.61B	3.15B	1.01B	714.11M	612.46M
Stockholders Equity	1.63B	1.63B	3.45B	1.27B	1.09B	988.27M
Cash Flow
Free Cash Flow	-3.41M	582.52M	71.56M	-112.15M	189.88M	228.04M
Operating Cash Flow	61.07M	705.08M	678.13M	6.31M	201.96M	249.44M
Investing Cash Flow	-143.54M	-629.24M	-1.95B	-110.39M	-134.00M	-150.67M
Financing Cash Flow	-8.59M	-24.84M	1.37B	-32.63M	-21.32M	-31.27M

Rajoo Engineers Limited Technical Analysis

Technical Analysis SentimentNegative

Last Price52.33

Price Trends

50DMA54.11Negative

100DMA53.23Negative

200DMA57.05Negative

Market Momentum

MACD-0.63Positive

RSI40.94Neutral

STOCH26.67Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RAJOOENG, the sentiment is Negative. The current price of 52.33 is below the 20-day moving average (MA) of 57.05, below the 50-day MA of 54.11, and below the 200-day MA of 57.05, indicating a bearish trend. The MACD of -0.63 indicates Positive momentum. The RSI at 40.94 is Neutral, neither overbought nor oversold. The STOCH value of 26.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RAJOOENG.

Rajoo Engineers Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:RAJOOENG against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:RAJOOENG	68Neutral	INR 9.35B	21.88	―	0.29%	21.24%	-27.90%
IN:MANUGRAPH	67Neutral	INR 474.47M	8.41	―	―	5.45%	―
IN:GALAPREC	63Neutral	INR 13.18B	35.65	―	―	31.83%	41.03%
IN:SOMICONVEY	60Neutral	INR 892.90M	19.97	―	―	-19.72%	-25.61%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:KABRAEXTRU	47Neutral	INR 24.31B	589.11	―	0.36%	19.67%	-60.85%

* General Sector Average

Performance Comparison

IN:RAJOOENG and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:RAJOOENG	Rajoo Engineers Limited	52.33	-35.08	-40.13%
IN:BEWLTD	BEW Engineering Ltd.	44.30	-90.65	-67.17%
IN:GALAPREC	Gala Precision Engineering Limited	1028.00	273.45	36.24%
IN:KABRAEXTRU	Kabra ExtrusionTechnik Ltd.	695.05	448.70	182.14%
IN:MANUGRAPH	Manugraph India Limited	15.60	-4.76	-23.38%
IN:SOMICONVEY	Somi Conveyor Beltings Limited	75.80	-79.75	-51.27%

Rajoo Engineers Limited Corporate Events

Rajoo Engineers Publishes September Quarter Unaudited Results in National Dailies

Oct 26, 2026

Rajoo Engineers Limited has reported that its unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2026 have been published in leading English and Gujarati national dailies. The company has also ma...

Rajoo Engineers Board Clears Unaudited H1 FY27 Results With Limited Review

Oct 24, 2026

Rajoo Engineers Limited announced that its board of directors, following the audit committee’s recommendation, has approved the unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2026, alon...

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: Oct 27, 2026

Rajoo Engineers Limited AI Stock Analysis