Ahluwalia Contracts
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Ahluwalia Contracts (India) Limited is positioned for significant growth, driven by a robust order book exceeding INR 21,000 crores and a strategic focus on high-margin projects. Management's guidance of 15-20% revenue growth and stable double-digit EBITDA margins reflects confidence in the execution of large-scale projects, such as Central Vista and CSMT, despite potential geopolitical risks and competitive pressures. The company's diversification across various segments and its strong presence in the Delhi NCR region enhance its competitive position and revenue visibility. Vista's financial outlook anticipates accelerating revenue growth beyond historical trends, supported by stable margins and a conservatively financed balance sheet. The favorable macro environment, characterized by improving manufacturing activity and government initiatives in infrastructure, further bolsters this outlook. Over the next 12-24 months, key opportunities include the execution of large projects and strategic investments in mechanization, while headwinds may arise from geopolitical tensions and competitive bidding challenges. Overall, Ahluwalia Contracts is well-positioned to capitalize on the expanding infrastructure sector, with a target price of INR 995 in 12 months and INR 1,137 in 24 months
Why We Like This Stock
- Robust order book exceeding INR 21,000 crores provides significant revenue visibility
- Management's guidance of 15-20% revenue growth reflects confidence in project execution
- Strategic investments in mechanization are expected to enhance efficiency and margins
Things To Watch Out For
- Geopolitical tensions may disrupt supply chains and impact input costs
- Competitive bidding pressures could affect margin stability
- Seasonal labor disruptions may slow Q1 FY27 execution
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 3,855 | 4,099 | 4,565 | 5,281 | 6,223 |
| Profit Before Tax (Cr.) | 308 | 273 | 359 | 413 | 489 |
| PBT Margin | 8.0% | 6.7% | 786.4% | 7.8% | 7.9% |
| Net Profit (Cr.) | 226 | 199 | 266 | 305 | 362 |
| Earnings Per Share | 33.8 | 29.8 | 39.7 | 45.6 | 54.1 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Anand Rathi | ▲ Buy | 1,009 | 04-Jun-2026 |
| HDFC Securities | ► Add | 922 | 10-Apr-2026 |
| ICICI Securities | ▲ Buy | 925 | 02-Jun-2026 |
| Prabhudas Liladhar | ▲ Buy | 929 | 02-Jun-2026 |
Company Overview
Show Company Profile
Ahluwalia Contracts (India) Limited, together with its subsidiaries, operates as an engineering, procurement, and construction company in India and internationally. The company operates through Construction Contract, Lease Rental, and Others segments. Its portfolio includes residential and commercial buildings/complexes, hotels, institutional and hospital buildings, corporate offices, information technology (IT) parks, industrial complexes, automated car parking lot, townships, BOT projects, metro station and depot, redevelopment/upgradation of railway stations, urban infrastructure, and data centres. The company is also involved in the developing and operating commercial complex; real estate trading business, as well as rentals activities. It serves central and state governments, including PSUs business house and real estate developers. The company was founded in 1965 and is based in New Delhi, India.