Redtape Limited
Redtape Limited Fundamental Analysis
Redtape Limited (REDTAPE.NS) shows weak financial fundamentals with a PE ratio of 32.36, profit margin of 9.43%, and ROE of 27.04%. The company generates $22.5B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 53.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze REDTAPE.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakREDTAPE.NS struggles to generate sufficient returns from assets.
Valuation Score
ModerateREDTAPE.NS shows balanced valuation metrics.
Growth Score
ModerateREDTAPE.NS shows steady but slowing expansion.
Financial Health Score
ModerateREDTAPE.NS shows balanced financial health with some risks.
Profitability Score
WeakREDTAPE.NS struggles to sustain strong margins.
Key Financial Metrics
Is REDTAPE.NS Expensive or Cheap?
P/E Ratio
REDTAPE.NS trades at 32.36 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, REDTAPE.NS's PEG of 1.86 indicates fair valuation.
Price to Book
The market values Redtape Limited at 8.01 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 13.50 times EBITDA. This signals the market has high growth expectations.
How Well Does REDTAPE.NS Make Money?
Net Profit Margin
For every $100 in sales, Redtape Limited keeps $9.43 as profit after all expenses.
Operating Margin
Core operations generate 14.00 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $27.04 in profit for every $100 of shareholder equity.
ROA
Redtape Limited generates $9.26 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Redtape Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Redtape Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
REDTAPE.NS converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
32.36
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.86
vs 25 benchmark
P/B Ratio
Price to book value ratio
8.009
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.05
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.08
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.37
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.27
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.27
vs 25 benchmark
How REDTAPE.NS Stacks Against Its Sector Peers
| Metric | REDTAPE.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 32.36 | 24.97 | Worse (Expensive) |
| ROE | 27.04% | 1167.00% | Weak |
| Net Margin | 9.43% | 675.00% | Weak |
| Debt/Equity | 1.08 | 0.66 | Weak (High Leverage) |
| Current Ratio | 1.37 | 4.01 | Neutral |
| ROA | 9.26% | -8238.00% (disorted) | Weak |
REDTAPE.NS outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Redtape Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary