Indian Railway Catering & Tourism clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.
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Description
Indian Railway Catering & Tourism Corporation Limited (IRCTC) is under the Ministry of Railways, Government of India, primarily responsible for catering, tourism, and ticketing services within the Indian railway sector.
Business Segments
The compan…
Analysis
Beloved champion
Indian Railway Catering & Tourism Corporation Limited sits in the top corner of our grid: excellent business, premium price; every investor already knows the story. Worth noting: the cash the business generates has lagged behind what the income statement shows.
On valuation, the picture is expensive. The owner-earnings multiple stands at 28.1×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 11% a year, against analyst forecasts of 14%. The price, in other words, assumes less than the experts do.
Growth is moderate; the safety picture is sturdy. The company scores 13/20 on our value-creation score: creating some value.
Flags to be aware of: Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.
360° rank · history
1007550250
Jan 202347
45
2023202420252026
All-time high
51
Mar 2026
All-time low
34
Jan 2024
Average rank
43
across all years
Detailed & Historical Ranks
Deep dive into 15 detailed ranks and 3 years of history.
Current202520242023
Price/Sales
3
3
1
3
Price/Earnings
11
7
9
8
Price/Book
3
5
1
1
Dividend Yield
51
31
29
29
Value (overall)
8
7
3
3
Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.