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Rhetan TMT Ltd. (RHETAN) AI Stock Analysis

IN:RHETAN

Rhetan TMT Ltd.

(NSE:RHETAN)

Select Model
Rating:46Neutral
Price Target:INR 13.00â–¼(-2.99% Downside)
Action:reiterated
Date:09/27/26

The score is primarily constrained by deteriorating cash flow (negative operating and free cash flow) despite strong reported profitability, which raises earnings-quality and funding-risk concerns. Technicals further weigh on the score with a clear downtrend and negative momentum, while valuation is pressured by a high P/E and no dividend support.

Positive Factors
Strong margin expansionThe sharp improvement in gross and net margins indicates substantially stronger reported profitability in the latest annual period. If retained, this could improve internal funding capacity, support reinvestment, and provide greater resilience against cost pressure over the next several quarters.
Negative Factors
Negative operating cash flowThe reversal to negative operating cash flow shows that reported profitability is not currently converting into cash. Persistent weak conversion could constrain self-funded growth, increase reliance on external financing, and make earnings less dependable for evaluating the company’s underlying financial strength.

Rhetan TMT Ltd. (RHETAN) vs. iShares MSCI India ETF (INDA)

-60%-40%-20%0%20%40%60%IN:RHETAN-42.49%INDA-12.02%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
INR 10.68B
Dividend Yield
―
Average Volume (3M)
839.67K
Price to Earnings (P/E)
62.2
Beta (1Y)
0.75
Revenue Growth
2.69%
EPS Growth
159.19%
Country
India
Employees
41
Sector
General
Sector Strength
55
Industry
Steel

Rhetan TMT Ltd. Business Overview & Revenue Model

Company Description

Established in 1984, Rhetan TMT Limited is an Ahmedabad, India-based enterprise primarily involved in the production and distribution of thermo-mechanically treated (TMT) bars across the Indian market. These TMT bars are essential building materials,...

Rhetan TMT Ltd. Financial Statement Overview

Summary

Income statement strength (Score 72) shows a sharp profitability and revenue rebound, but this is materially offset by weak cash generation (Cash Flow Score 28) with negative operating and free cash flow, raising quality-of-earnings risk. Balance sheet is moderate (Score 62) but leverage is rising, reducing flexibility.

Income Statement

72Positive

Balance Sheet

62Positive

Cash Flow

28Negative
Financial statement breakdown
BreakdownTTMMar 2025Mar 2024
Income Statement
Total Revenue112.48M244.41M371.65M
Gross Profit-37.44M96.65M55.30M
EBITDA23.48M151.43M55.47M
Net Income15.03M102.98M30.95M
Balance Sheet
Total Assets1.44B1.65B1.24B
Cash, Cash Equivalents and Short-Term Investments2.97M3.02M2.97M
Total Debt406.71M417.28M227.03M
Total Liabilities462.38M565.02M295.20M
Stockholders Equity976.15M1.09B939.84M
Cash Flow
Free Cash Flow10.36M-154.45M34.54M
Operating Cash Flow20.01M-110.17M49.74M
Investing Cash Flow-27.92M-87.00M-43.56M
Financing Cash Flow8.13M2.64M-15.73M

Rhetan TMT Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price13.40

Price Trends

50DMA19.05Negative
100DMA23.65Negative
200DMA25.03Negative

Market Momentum

MACD-1.55Positive
RSI34.22Neutral
STOCH8.53Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RHETAN, the sentiment is Negative. The current price of 13.40 is below the 20-day moving average (MA) of 15.98, below the 50-day MA of 19.05, and below the 200-day MA of 25.03, indicating a bearish trend. The MACD of -1.55 indicates Positive momentum. The RSI at 34.22 is Neutral, neither overbought nor oversold. The STOCH value of 8.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RHETAN.

Rhetan TMT Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

IN:RHETAN against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
IN:ADROITINFOIN:ADROITINFO76OutperformINR 686.68M22.18――53.91%99.01%
IN:INSPIRISYSIN:INSPIRISYS69NeutralINR 3.29B8.41――35.17%9.87%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
IN:RHETANIN:RHETAN46NeutralINR 10.68B62.21――2.69%159.19%
IN:TECHININ:TECHIN42NeutralINR 217.33M-140.00――1033.33%40.71%
IN:LCCINFOTECIN:LCCINFOTEC41NeutralINR 662.57M61.55――1349.92%―
IN:SECURKLOUDIN:SECURKLOUD37UnderperformINR 512.52M-2.59――-50.11%87.17%

* General Sector Average

Performance Comparison

-40%-20%0%20%40%IN:RHETANIN:ADROITINFOIN:INSPIRISYSIN:LCCINFOTECIN:SECURKLOUDIN:TECHINDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
IN:RHETAN and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
IN:RHETANRhetan TMT Ltd.13.40-10.07-42.91%
IN:ADROITINFOAdroit Infotech Limited12.571.059.11%
IN:INSPIRISYSlnspirisys Solutions Limited83.17-8.69-9.46%
IN:LCCINFOTECLCC Infotech Ltd.3.93-0.26-6.21%
IN:SECURKLOUDSecureKloud Technologies Limited15.34-4.96-24.43%
IN:TECHINTechindia Nirman Ltd.15.170.000.00%

Rhetan TMT Ltd. Corporate Events

Rhetan TMT Extends Tenure of Managing Director Shalin Shah for Five Years

Sep 16, 2026

Rhetan TMT Ltd. has secured shareholder approval to reappoint promoter Managing Director Shalin Ashok Shah for a new five-year term starting January 8, 2027 and ending January 7, 2032. The decision, endorsed by the Nomination and Remuneration Committ...

Rhetan TMT strengthens board with new independent director

Sep 16, 2026

Rhetan TMT Ltd. has regularized the appointment of Mrs. Jhanvi Vikas Sethi as an independent, non-executive director for a five-year term effective August 12, 2026, following approval by shareholders at the company’s annual general meeting. Set...

Rhetan TMT Holds 42nd AGM via Virtual Platform in Line with SEBI Norms

Sep 16, 2026

Rhetan TMT Ltd. operates in the steel sector, producing TMT bars and related products from its Mehsana, Gujarat facility, with corporate headquarters in Ahmedabad and listings on BSE and NSE under the ID RHETAN. Its governance structure features a mi...

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: Sep 27, 2026