AJR Infra share price target 2025-2030

AJR Infra share price target 2025-2030: Hello friends, we welcome you to our new post where we will discuss another penny stock which may have the potential to make you rich. However, to determine if this stock is worth your hard earned money or not ? We need to analyse its revenue, profits and balance sheet.

Friends, we are talking about an infrastructure sector share AJR Infra and Tolling Ltd. If you are interested in the Infrastructure sector shares then please read our analysis onA2z Infra share price target 2025-2030.

AJR Infra Limited overview

AJR Infra was established in 2011 by the name of AJR Infra and Tolling Ltd to develop infrastructure projects on Public private partnership (PPP) basis.

The company was formerly known as Gammon India Limited and is in the business of infrastructure development that include building roads, Expressways, Ports, HydroPower, Airports, Railways, Special Economic Zones, Water and Wastewater management and Agricultural Infrastructure. 

Currently the company is undertaking 3 projects in the Road sector, 2 projects in the road sector, 4 projects in the power sector and 1 project in the real estate sector. These projects are currently at various stages and span across 7 states of India.

AJR Infra share price target table

In this article, we will analyse AJR Infra revenue, net profit, ratios, and other financials to conclude what will be the AJR Infra share price target 2025-2030.

If you do not want to go through our research and stock analysis, then you can refer to the table below for AJR Infra share price targets.

Analysis of some financial ratios of AJR Infra

AJR Infra is a small cap company with only Rs 65.9 Cr in market capitalisation. Trading as an individual penny stock, its current trading price stands at just Rs 0.70 with previous high prices reaching up to 1.05 and lowest values reaching 0.50.

As for stock P/E ratio data is unavailable to us, which makes it hard to assess whether or not AJR Infra is currently overvalued or undervalued. However, an industry P/E of 40.7 suggests the stock may currently be discounted significantly below market.

Book Value per Share is negative Rs-26.3 which indicates that this company owes more in liabilities than assets.

Profit after taxes is Rs-260 Cr, while debt that must be settled totals to Rs-200.3 Cr.

ROE and ROCE data is unavailable as well, though last year AJR Infra returned negative returns of 6.67 %; three year returns have also been negative at -4.35 %. This information would make an unfavorable case against investing in this infrastructure company.

Financial ratios at AJR Infra appear daunting at best; losses, negative book value and debt could discourage investors. Prior to making any commitments you should fully evaluate their stability and overall performance before considering investing.

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Profit and loss analysis of AJR Infra

Let’s have a look at the profit and loss numbers of AJR Infra to see how well the company is performing in terms of sales, operating profit and net profit etc.

Sales

If we look at the sales, it has been falling continuously since March 2018 when it was Rs 625 crores and in March 2023 the sales reported was only Rs 91 crores. This is a significant drop.

Expenses

The expenses have also reduced according to the sales but in March 2023 the expense number exceeded the sales which already puts the company at loss.

Operating profit

The operating profit was positive since March 2022 but it turned negative in March 2023 because of high expenses. 

Other income

Since March 2018 the other income was positive but in March 2023 the negative other income of Rs -1260 crore hugely dented the company’s profits and to make the matters worse, the interest and depreciation contributed to the loss with Rs 281 and 51 crores respectively.

Net profit

Since March 2018 the company has reported positive net profit only once in the year March 2020. In March 2023 AJR Infra reported a huge loss of Rs 1605 crores.

To summarise, AJR Infra is struggling in sales and such decline could be due to better competition or decreased demand in the infrastructure sector. The company also needs to cut down on expenses which have risen above the sales. The trailing twelve month numbers aren’t very promising either. AJR Infra has a tough path and lot’s of challenges ahead that they need to overcome.

Balance sheet comparison of AJR Infra

Consolidated Figures in Rs. Crores

In this section we will compare the balance sheet of March 2022 with March 2023 to determine what path the company is walking on. Assets and liabilities represent a company’s financial health.

When we look at the balance sheet of AJR Infra, the equity capital is stable at Rs 189 crore. However, the reserves that were already in negative at Rs -924 crores in March 2022 went further down to a negative Rs -2528 crores. The reason for the drop in reserves could be losses the company has been suffering.

The borrowings of the company have also increased from Rs 20 crore to Rs 174 crores. This jump in borrowings is possibly because the company has lost all its reserves and that is why it is taking debt to meet the financial expenses.

This is not all, the other liabilities have also gone up from Rs 3198 crores to Rs 3470 crores in March 2023 which means the account payables, accrued expenses etc. are increasing.

Fixed assets of AJR Infra have decreased from Rs 722 crores to Rs 565 crores, Investments have dropped from Rs 602 crores to 319 crores. 

All these negative aspects have badly impacted AJR Infra’s balance sheet. The company really needs to complete the current projects and find new customers quickly to get the due payments to turn profitable again.

Also read: Gold line share price target

Shareholding of AJR Infra

Let us examine AJR Infra’s shareholding patterns as trends can reveal different forms of investors’ interests in it.

Promoters

In March 2017 promoters held 58.54% share in AJR Infra, but had dropped to 20.60% by March 2018 due to either not trusting the company, or selling some shares due to expansion or liquidity needs. This decline can often be taken as an indicator that these promoters no longer support it and therefore no longer hold any influence within it.

Foreign Institutional Investors

In March 21, Foreign Institutional Investor (FIIs) shareholding was negligible but, by March 22 it had suddenly increased to 10.21% – this represents an extraordinary sign for investors as over 10% holdings are rare and seen as very positive signs for any industry or specific investment strategies.

Domestic Institutional Investors

While foreign shareholding has increased, Domestic institutional investors shareholding has seen a drop of more than 10% from 17.96% in March 2023 to 7.18% in December 2023. This drop in shareholding could discourage future investors.

Public

Public shareholding has shown positive trends because it has been rising since March 2017 when the public held only 21.68% shares. By December 2023 public shareholding had increased to 62.01% which shows that the stake sold by Promoters and DII’s has been grabbed by the retail investors.

Overall the shareholding trends of AJR Infra show mixed trends. Public shareholding of more than 62% is a negative because major players can manipulate stock prices any time. However, increase in the FII stake is a positive outlook for the investors.

AJR Infra share price target 2024

Here’s the share price prediction table for AJR Infra for the year 2024.

AJR Infra share price target 2025

Here’s the share price prediction table for AJR Infra for the year 2025.

AJR Infra share price target 2030

Here’s the share price prediction table for AJR Infra for the year 2030.

Conclusion

In this post we analysed the financial numbers of AJR Infra and tried to conclude what will be AJR Infra share price target 2025-2030. AJR Infra’s financial condition is really bad and the company is going through a bad patch. The company is suffering huge losses and has no control over the expenses. From the investors perspective, the company has given negative returns for the last 3 years and to be honest we really don’t recommend such companies to our readers. We suggest you stay away from this stock and look at other companies for better returns in the long term.

Disclaimer: Dear Readers, please be aware that we are not associated with SEBI (Securities and Exchange Board of India). The information found on this site should only be considered educational and should not be seen as financial advice or stock recommendations. Share price predictions should only be taken as an estimate and considered valid when there are positive market signals present; any uncertainty concerning either your company or market status won't be taken into consideration in this study. Though our informational site serves educational purposes, we cannot be held liable for any financial losses you might experience as a result of using it. Instead, it serves only to keep you up to date about the stock market and financial products so you can make better investment choices - please do your own research prior to any investment decisions being made by yourself or through third parties.