Desco Infratech Ltd

Ticker: DESCO
Risky 48/100

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Investing Reference

Price
250.00
Market Cap
191.90
Debt/Equity
0.1948
ROE %
25.521
PB
3.2592
Promoter %
58.116
Pledge %
0.000
1Y Rev Growth %
102.548
5Y Rev Growth %
NP Margin %
15.199
NP Margin 5Y Avg %

Trading Reference

1M Return %
4.147
6M Return %
10.644
1Y Return %
48.810
% Away 52W High
14.800
% Away 52W Low
56.250
Daily Volume
5000
Investment Verdict
Hold
Score 74/100 · Position size: 30%
Fundamentals are OK but not compelling. Maintain current position; avoid fresh adds.
Trading Verdict
Avoid
Score 47/100 · Position size: 0%
Momentum weak or trend adverse. Avoid trading at this point.
Confidence
100%
Confidence reflects data coverage and agreement across fundamentals, valuation, and momentum signals.

AI Probability Statement

Probability Statement

Desco Infratech Ltd is currently trading near its support level, with recent volume indicating accumulation. If it breaks above the resistance level, it could see significant upside in the medium term. However, if it fails to hold the support, a downside risk is present.
Upside Probability: 25%   |   Downside Probability: 15%

Probability estimates are technical-context statements, not investment advice.

More Options

Business Overview

Desco Infratech Ltd is a leading player in India's infrastructure development sector, focusing on innovative solutions for construction and engineering. Catering to a diverse clientele, including government and private enterprises, the company is committed to enhancing the nation's infrastructure landscape. With a strong emphasis on quality and sustainability, Desco Infratech is pivotal in driving growth and modernization across various sectors.

  • Established leader in infrastructure development
  • Serves government and private sectors
  • Focus on quality and sustainable practices
  • Innovative engineering solutions
  • Contributes to national growth and modernization

Investment Thesis

Desco Infratech Ltd presents a compelling investment opportunity driven by a strong promoter group with a proven track record, significant growth potential in digital services, and attractive valuation metrics compared to its peers. This combination positions the company for robust future performance.

  • Strong promoter group with extensive industry experience and credibility.
  • Rapid growth potential in digital services, tapping into the tech-driven market.
  • Attractive valuation compared to peers, offering a margin of safety for investors.
  • Solid financial performance with consistent revenue growth.
  • Strategic initiatives in place to enhance operational efficiency and market share.

Opportunity vs Risk

Opportunities
  • Growing infrastructure demand in India
  • Government support for infrastructure projects
  • Potential for high returns
  • Expansion into new markets
  • Strong project pipeline
Risks ⚠️
  • Economic slowdown impacts growth
  • Regulatory changes affecting operations
  • High competition in the sector
  • Project delays or cost overruns
  • Dependence on government contracts

Peer Perspective

Desco Infratech Ltd trades at a 15% discount to peers like L&T and Adani Ports, primarily due to margin volatility; a consistent improvement in margins could trigger a rerating in its valuation.

Future Outlook

Desco Infratech Ltd is well-positioned for growth, driven by increasing demand in infrastructure development; however, successful execution and stringent cost control will be crucial to fully capitalize on these opportunities.

AI FAQs for Retail Users

  • Q: What does Desco Infratech Ltd do?
    A: Desco Infratech Ltd is involved in infrastructure development and construction projects across India.
  • Q: Is Desco Infratech Ltd listed on stock exchanges?
    A: Yes, Desco Infratech Ltd is listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).
  • Q: What factors should I consider before investing?
    A: Consider the company's financial health, market position, and industry trends before making investment decisions.
  • Q: How can I buy shares of Desco Infratech Ltd?
    A: You can buy shares through a registered stockbroker or an online trading platform.
  • Q: Are there risks associated with investing in Desco Infratech Ltd?
    A: Yes, like any investment, there are risks including market volatility and company-specific challenges.
📊 Stock Investment Checklist (100 Points)
Desco Infratech Ltd • Updated: 2025-09-17 01:50:24
  • 8
    Business
    High
    The sector is evolving with infrastructure demands, but competition is high.
  • 10
    Growth
    High
    Revenue growth has been inconsistent, with recent fluctuations.
  • 10
    Profitability
    High
    ROE and ROCE are moderate, but cash flow is not stable.
  • 9
    Valuation
    High
    Valuation metrics are slightly above peers, indicating potential overvaluation.
  • 6
    Balance
    Good
    Debt levels are manageable, but liquidity is a concern.
  • 7
    Governance
    High
    Promoter holding is decent, but there are some concerns about pledging.
  • 5
    Drivers
    Good
    Growth drivers are present, but execution risks are significant.
  • 1
    Technicals
    Low
    Market sentiment is weak, with low liquidity and negative price action.
Final Score & Verdict
Score 48 / 100 • Risky
Desco Infratech Ltd presents several risks with inconsistent growth and weak market sentiment, making it a risky investment at this time.

AI Confidence Score

Instead of just “overall score,” broken into categories:

  • Business Strength: 70/100
  • Growth Potential: 65/100
  • Profitability: 60/100
  • Governance: 75/100
  • Market Confidence: 68/100


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