#RVNL : Investment Pick
Rail Vikas Nigam Ltd was Incorporated in 2003 by the Govt. of India, it is engaged in the business of implementing various types of Rail infrastructure projects assigned by MoR including doubling, gauge conversion, new lines, railway electrification, major bridges, workshops, Production Units and sharing of freight revenue with Railways as per the concession agreement entered into with Ministry of Railway.

Fundamentals

Growth Ratio
1. Profit Growth 5 Years: 24.2 %
2. Sales growth of 5 Years: 26.8 %

Profitability Ratio
1. Operating profit Margin: 6.13 %
2. Net Profit Margin: ₹ 1,248 Cr.
3. Return on Equity: 19.7 %
4. Return on Capital Employed: 16.8 %

Leverage Ratio
1. Debt to Equity Ratio: 1.04
2. Debt to Profit Ratio: 5.62

Management Efficiency Ratio
1. Inventory Turnover Ratio: 0.10
2. Working Capital: 7,935 Cr.
3. Debtors Days/Receivable days: 17.7

Valuation Ratio
1. Price to Book Value (PB Ratio): 1.18
2. Price to Earning Ratio (PE Ratio): 6.03
3. Industry PE : 34.2
4. Price/Earning to Earning Growth (PEG): 0.25

Technicals

1. Good Volume
2. Confirmed UPTREND
3. The monthly RSI is Above 60
4. Daily ADX is above 20

ENTRY: Current Market Price
TARGET: Till Monthly Candle close below 21 Moving Average.