Ramkrishna Forgings Ltd logo

Ramkrishna Forgings Ltd

RKFORGE NSE

Ramkrishna Forgings Ltd is primarily engaged in manufacturing and sale of forged components of automobiles, railway wagons & coaches and engineering parts. [1][2] It is the 2nd largest forging player in India.[3]

AI Verdict: SELL Confidence: 7%

Ramkrishna Forgings trades at a PE of 149.6x with TTM profit declining 80% and ROE collapsing to 3% last year. With 50% sell and 50% hold analyst ratings and zero buy recommendations, the risk-reward is unfavorable at current valuations.

Key Fundamentals

MicrocapAuto ComponentsAutomobiles
Market Cap
₹10,355 Cr
Volatility
Moderate
P/E Ratio
142.35
EBITDA
₹614 Cr
Return on Equity
12.72%
Debt to Equity
0.59
Book Value
₹184.49
EPS
₹19.02
52W High
₹691.5
52W Low
₹460.15

Technical Indicators

Key Insights

Strengths

1
  • Company's working capital requirements have reduced from 28.6 days to 13.2 days

Weaknesses

4
  • Stock is trading at 3.15 times its book value
  • Company has low interest coverage ratio.
  • Tax rate seems low
  • Company has a low return on equity of 9.78% over last 3 years.

Growth Rate

Revenue Growth
4.37% ↘
Net Income Growth
-74.70% ↘
Cash Flow Change
-94.76% ↘
ROE
1.68% ↘
ROCE
-50.07% ↘
EBITDA Margin (Avg.)
0.14% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 5d ago
SELL
Risk high

Ramkrishna Forgings trades at a PE of 149.6x with TTM profit declining 80% and ROE collapsing to 3% last year. With 50% sell and 50% hold analyst ratings and zero buy recommendations, the risk-reward is unfavorable at current valuations.

Bull Case 7
  • Strong 5-year stock CAGR of 37% demonstrates long-term wealth creation track record
  • Working capital days improved significantly from 28.6 days to 13.2 days, indicating better cash conversion efficiency
  • 5-year compounded sales growth of 27% shows robust top-line expansion capability
  • 5-year compounded profit growth of 31% indicates structural earnings power over a full cycle
  • 10-year stock CAGR of 21% outperforms broader market indices over the long term
  • Market cap of Rs 10,699 Cr provides reasonable liquidity and institutional participation
  • 10-year compounded sales growth of 17% demonstrates sustained business expansion across cycles
Bear Case 8
  • TTM compounded profit has declined 80%, signaling severe earnings deterioration
  • PE ratio of 149.6x is excessively expensive with no earnings growth to justify the premium
  • Zero analyst buy recommendations out of 4 total ratings with 50% issuing sell calls
  • ROE collapsed to just 3% last year from 10% three-year average, indicating poor capital efficiency
  • 3-year compounded profit CAGR of -31% shows sustained earnings destruction, not a one-off
  • Low interest coverage ratio indicates stretched debt servicing ability relative to operating profits
  • 3-year ROE average of only 9.78% is below cost of equity for a cyclical industrial business
  • Stock trading at 3.25x book value is unjustified given sub-10% ROE and declining profitability

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 3d ago
Neutral 1
  • IEPF dividend transfer deadline set Jun 10

    Ramkrishna Forgings has set September 30, 2026, as the deadline for shareholders to claim unclaimed dividends. Unclaimed shares will be transferred to the IEPF after the deadline.

TL;DR: Limited recent news flow for Ramkrishna Forgings. The only development is a routine regulatory compliance notice regarding unclaimed dividends and IEPF transfer, which has no material impact on business fundamentals. With no fresh operational or financial updates, the near-term outlook remains unchanged pending upcoming earnings or order announcements.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
892
892
899
996
974
959
1,054
1,074
947
1,015
908
1,099
1,217
Expenses
698
700
699
776
786
791
888
948
849
873
790
936
1,014
Operating Profit
194
192
200
220
188
169
165
126
98
142
118
162
203
OPM %
22%
22%
22%
22%
19%
18%
16%
12%
10%
14%
13%
15%
17%
Other Income
2
5
7
4
19
11
84
4
11
4
6
-9
2
Interest
34
36
38
39
34
36
39
42
49
49
53
51
57
Depreciation
56
57
61
68
72
62
60
64
85
80
80
84
88
PBT
106
104
109
117
100
80
151
24
-24
17
-10
18
59
Tax %
36%
24%
24%
25%
34%
32%
7%
12%
-945%
32%
-8%
25%
5%
Net Profit
68
79
82
87
66
55
140
21
200
12
-10
14
56
EPS in Rs
4.28
4.91
5
4.8
3.66
3.03
7.72
1.16
11.04
0.65
-0.52
0.75
3.08
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
754
908
921
1,491
1,931
1,216
1,289
2,320
3,193
3,705
4,034
4,238
Expenses
623
727
758
1,202
1,545
1,008
1,065
1,802
2,499
2,931
3,474
3,613
Operating Profit
131
181
163
289
386
209
224
518
694
774
561
625
OPM %
17%
20%
18%
19%
20%
17%
17%
22%
22%
21%
14%
15%
Other Income
12
2
7
4
3
6
5
1
4
36
109
2
Interest
32
55
78
73
84
80
81
97
122
147
167
210
Depreciation
32
53
75
85
121
121
117
169
202
257
271
333
PBT
79
75
17
135
184
15
32
253
374
406
231
84
Tax %
5%
27%
33%
30%
35%
34%
35%
22%
34%
28%
-80%
15%
Net Profit
75
55
11
95
120
10
21
198
248
291
415
72
EPS in Rs
5.49
3.81
0.78
5.82
7.36
0.59
1.29
12.36
15.52
16.11
22.93
3.95
Div. Payout %
7%
11%
26%
3%
4%
0%
0%
14%
13%
12%
9%
25%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
27
29
29
33
33
33
32
32
32
36
36
36
Reserves
383
442
440
726
840
843
851
1,046
1,290
2,598
3,001
3,254
Borrowings
735
882
957
845
912
993
1,233
1,618
1,333
1,207
2,126
2,449
Other Liabilities
297
332
433
452
417
361
587
785
1,076
1,422
1,364
1,439
Total Liabilities
1,442
1,685
1,858
2,056
2,201
2,230
2,703
3,481
3,731
5,262
6,528
7,178
Fixed Assets
532
947
1,024
1,076
1,114
1,175
1,240
1,473
1,693
2,428
2,992
3,761
CWIP
316
35
50
44
130
219
276
129
91
216
498
337
Investments
0
0
0
0
0
0
0
55
0
125
190
241
Other Assets
594
702
783
936
957
836
1,187
1,823
1,947
2,492
2,848
2,839
Total Assets
1,442
1,685
1,858
2,056
2,201
2,230
2,703
3,481
3,731
5,262
6,528
7,178
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
44
104
144
127
267
254
140
43
745
621
33
840
Investing
-272
-169
-107
-110
-254
-231
-222
-354
-299
-1,117
-912
-929
Financing
214
67
-37
-17
-12
-22
147
280
-438
625
722
235
Net Cash Flow
-14
1
-1
0
1
1
65
-31
8
129
-157
146
Free Cash Flow
-247
-67
34
15
13
27
-91
-256
390
35
-932
-39
CFO/OP
45
66
91
52
81
125
63
17
117
99
30
136
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
145
136
176
126
96
103
162
140
89
84
88
68
Inventory Days
169
206
227
153
131
260
252
251
228
207
230
210
Days Payable
150
164
298
154
110
155
248
215
199
199
197
193
Cash Conversion Cycle
164
178
105
125
117
208
166
176
118
91
121
86
Working Capital Days
-3
-4
-65
16
20
-1
6
46
38
54
19
13
ROCE %
11%
10%
7%
14%
16%
5%
6%
15%
19%
17%
7%
6%

Shareholding Pattern

As of Mar 2026
Promoters 43.33%
FIIs 21.74%
Public 20.03%
Others 10.45%
DIIs 4.45%
Total 100.00%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Nov 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
45.90%
45.99%
46.02%
46.04%
46.24%
46.24%
46.27%
46.27%
46.27%
46.27%
47.41%
43.14%
43.14%
43.17%
43.17%
43.17%
43.16%
43.13%
43.13%
43.13%
43.13%
43.33%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
24.54%
23.76%
24.25%
24.04%
24.47%
24.45%
22.71%
21.05%
21.74%
DIIs
7.93%
6.93%
5.38%
5.37%
5.37%
4.93%
3.07%
4.71%
4.76%
4.20%
2.78%
2.65%
2.00%
3.68%
4.27%
5.13%
5.41%
6.00%
3.59%
3.50%
4.03%
4.45%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
18.86%
19.48%
18.83%
19.87%
21.71%
22.34%
22.40%
22.54%
22.10%
22.24%
20.67%
19.30%
19.58%
18.94%
19.16%
18.47%
18.53%
17.71%
18.93%
20.52%
21.56%
20.03%
Others
27.31%
27.60%
29.77%
28.73%
26.68%
26.49%
28.27%
26.48%
26.86%
27.28%
29.13%
34.91%
35.28%
9.66%
9.64%
8.99%
8.86%
8.69%
9.90%
10.15%
10.24%
10.45%
No. of Shareholders
9,591
14,855
13,332
29,644
43,772
56,638
61,906
58,681
60,137
66,242
83,358
80,737
85,637
83,396
96,223
89,585
95,357
98,142
1,13,670
1,20,495
1,19,647
1,09,027

Documents

1
Concall - Mar 2017 Mar 2017
2
Concall - Mar 2018 Mar 2018
3
Concall - Jun 2018 Jun 2018
4
Concall - Nov 2018 Nov 2018
5
Concall - Nov 2018 Nov 2018

Frequently Asked Questions about Ramkrishna Forgings Ltd

What does Ramkrishna Forgings Ltd do?
Ramkrishna Forgings Ltd is primarily engaged in manufacturing and sale of forged components of automobiles, railway wagons & coaches and engineering parts. [1][2] It is the 2nd largest forging player in India.[3]
Where is Ramkrishna Forgings Ltd (RKFORGE) listed?
Ramkrishna Forgings Ltd is listed on the Indian stock exchanges. It is listed on NSE: RKFORGE and BSE: 532527. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Ramkrishna Forgings Ltd belong to?
Ramkrishna Forgings Ltd operates in the Consumer Discretionary sector within the Auto Components industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Ramkrishna Forgings Ltd?
Ramkrishna Forgings Ltd has a market capitalisation of approximately ₹10354.95 Cr. Based on this, it is classified as a Mid Cap stock.
What is the PE ratio of Ramkrishna Forgings Ltd?
The Price-to-Earnings (PE) ratio of Ramkrishna Forgings Ltd is 142.35. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Ramkrishna Forgings Ltd?
Over the past 52 weeks, Ramkrishna Forgings Ltd has traded between a low of ₹460.15 and a high of ₹691.5. This range helps investors understand the stock's price volatility and recent trading levels.
Does Ramkrishna Forgings Ltd pay dividends?
Yes, Ramkrishna Forgings Ltd has a dividend yield of 0.18%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Ramkrishna Forgings Ltd?
Ramkrishna Forgings Ltd has a Return on Equity (ROE) of 12.72%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Ramkrishna Forgings Ltd on Tapetide?
On Tapetide, you can view Ramkrishna Forgings Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Ramkrishna Forgings Ltd is primarily engaged in manufacturing and sale of forged components of automobiles, railway wagons & coaches and engineering parts. [1][2] It is the 2nd largest forging player in India.[3]

Website ramkrishnaforgings.com
CEO Mr. Naresh Jalan
Employees 2,776
Listed 2004-05-05
Face Value ₹ 2
Issued Size 18,10,30,604

Explore More

More in Consumer Discretionary → FII DII Data Stock Screener Nifty 50 Heatmap F&O Ban List