RKEC Projects Ltd. (RKEC) AI Stock Analysis

RKEC Projects Ltd.

(NSE:RKEC)

Select Model

Rating:39Underperform

Price Target:INR 18.50▼(-9.40% Downside)

Action:downgraded

Date:08/19/26

The overall score is low, driven mainly by severe deterioration in financial performance, including collapsing revenue, deeply negative margins, rising leverage, and sustained cash burn; technical indicators reinforce this picture with a pronounced downtrend and oversold momentum, while valuation is constrained by negative earnings and no dividend, making the stock high risk and dependent on a successful turnaround.

Positive Factors

Historical profitabilityThe company has previously demonstrated an ability to grow revenue and generate profits, showing that its operating model can work under favorable conditions. This history provides a foundation for recovery if execution improves and recent financial deterioration proves reversible.

Negative Factors

Revenue and profit deteriorationThe sharp decline in revenue and move from prior profits to a sizable loss weaken earnings visibility and indicate that the current operating run-rate is materially below earlier performance. Sustained contraction could reduce scale benefits, limit reinvestment, and make recovery more difficult.

RKEC Projects Ltd. (RKEC) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 466.62M
Dividend Yield: ―
Average Volume (3M): 55.18K
Price to Earnings (P/E): -0.9
Beta (1Y): 1.49
Revenue Growth: -70.62%
EPS Growth: -400.50%
Country: India
Employees: 513
Sector: General
Sector Strength: 55
Industry: Engineering & Construction

RKEC Projects Ltd. Business Overview & Revenue Model

Company Description

RKEC Projects Limited is an Indian engineering and construction firm specializing in a diverse range of infrastructure development across the country. Their expertise spans various marine structures, including the construction of wharves, berths, jet...

RKEC Projects Ltd. Financial Statement Overview

Summary

Recent results show revenue has more than halved from 2025 levels, margins have turned deeply negative with net losses near 20% of sales, leverage has increased, and cash flows are heavily negative, indicating severe deterioration despite a still-positive equity buffer.

Income Statement

24Negative

Balance Sheet

37Negative

Cash Flow

18Very Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	1.21B	1.80B	4.22B	3.53B	2.78B	2.11B
Gross Profit	-412.02M	-58.94M	650.93M	1.06B	772.97M	660.16M
EBITDA	-478.56M	-192.13M	583.24M	509.31M	519.58M	294.44M
Net Income	-553.59M	-346.90M	200.38M	199.58M	124.27M	71.19M
Balance Sheet
Total Assets	5.32B	5.52B	5.81B	4.66B	4.40B	3.67B
Cash, Cash Equivalents and Short-Term Investments	388.19M	519.43M	470.60M	130.47M	67.91M	261.45M
Total Debt	2.60B	2.37B	1.95B	1.50B	1.16B	1.41B
Total Liabilities	3.81B	3.83B	3.92B	2.97B	2.92B	2.30B
Stockholders Equity	1.51B	1.69B	1.89B	1.69B	1.49B	1.37B
Cash Flow
Free Cash Flow	-896.37M	-543.58M	-708.75M	-19.73M	-107.25M	104.03M
Operating Cash Flow	-879.69M	-523.30M	-128.16M	241.27M	160.28M	117.18M
Investing Cash Flow	-964.00K	-86.96M	-439.38M	-310.50M	52.07M	-15.18M
Financing Cash Flow	810.28M	566.13M	370.02M	131.79M	-405.88M	151.01M

RKEC Projects Ltd. Technical Analysis

Technical Analysis SentimentNeutral

Last Price20.42

Price Trends

50DMA20.56Negative

100DMA23.70Negative

200DMA31.54Negative

Market Momentum

MACD-0.74Positive

RSI48.09Neutral

STOCH45.97Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RKEC, the sentiment is Neutral. The current price of 20.42 is above the 20-day moving average (MA) of 19.55, below the 50-day MA of 20.56, and below the 200-day MA of 31.54, indicating a bearish trend. The MACD of -0.74 indicates Positive momentum. The RSI at 48.09 is Neutral, neither overbought nor oversold. The STOCH value of 45.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:RKEC.

RKEC Projects Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:RKEC against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:TARMAT	58Neutral	INR 1.36B	18.36	―	―	22.80%	233.50%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:SADBHIN	46Neutral	INR 803.07M	45.60	―	―	9.00%	―
IN:MBECL	44Neutral	INR 11.69B	0.33	―	―	-21.46%	―
IN:SADBHAV	42Neutral	INR 1.11B	3.67	―	―	-0.30%	―
IN:RKEC	39Underperform	INR 466.62M	-0.90	―	―	-70.62%	-400.50%
IN:MBLINFRA	39Underperform	INR 3.04B	-19.97	―	―	55.85%	81.30%

* General Sector Average

Performance Comparison

IN:RKEC and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:RKEC	RKEC Projects Ltd.	20.42	-46.23	-69.36%
IN:MBECL	McNally Bharat Engineering Co. Ltd.	350.55	347.31	10719.44%
IN:MBLINFRA	MBL Infrastructure Limited	19.89	-21.42	-51.85%
IN:SADBHAV	Sadbhav Engineering Limited	6.50	-4.83	-42.63%
IN:SADBHIN	Sadbhav Infrastructure Project Ltd.	2.45	-1.30	-34.67%
IN:TARMAT	Tarmat Ltd.	52.51	0.48	0.92%

RKEC Projects Ltd. Corporate Events

Exchange Seeks Clarification From RKEC Projects on Quarterly Financial Disclosures

Sep 1, 2026

The stock exchange has sought clarification from RKEC Projects Ltd. for the quarter ended 30 June 2026 regarding compliance with Regulation 33 of the SEBI Listing Obligations and Disclosure Requirements, which governs financial results reporting by l...

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 19, 2026

RKEC Projects Ltd. AI Stock Analysis