If you’re considering GTL Infrastructure Limited (NSE: GTLINFRA), consider its beta (a measure of share price volatility) to see how it might affect your portfolio. In modern finance theory, volatility is regarded as a risk indicator. Volatility can divide into two categories by investors. The first volatility is company-specific volatility, and investors use diversification across uncorrelated equities to lessen portfolio price volatility. The second type is caused by market volatility in general. Specific macroeconomic shocks, for example, will affect (nearly) all equities on the market.
Some stocks are more vulnerable to broad market dynamics than others. Some investors use beta to determine how much a stock is affected by market risk (volatility). While Warren Buffett has emphasized that “volatility is far from synonymous with risk,” beta is still an important issue. To fully use it, you must first understand that the total market beta is one. Any stock with a beta more significant than one is considered more volatile than the market. In contrast, those with a beta of less than one are either less volatile or poorly associated with the market.
What Nse: Gtlinfra’s Beta Value Tells Investors?
With a beta of 0.96 (close to 1), the share price of GTL Infrastructure (Nse: Gtlinfra) has historically been about as volatile as the broader market. If the future looks like the past, we could therefore consider it likely that the stock price will experience share price volatility roughly similar to the overall market. Many would argue that while beta might help with position sizing, fundamental measures like sales and earnings are more significant overall. The graphic below depicts GTL Infrastructure’s sales and profits.
- Significantly high institutional ownership implies GTL Infrastructure’s stock prices are sensitive to their trading actions.
- The top 10 shareholders own 52% of the company
- Ownership research, combined with past performance data, can help provide a good understanding of opportunities in a stock
A glance into GTL Infrastructure Limited’s (NSE: GTLINFRA) stockholders can reveal the most powerful group. Institutions own the most shares in the corporation, with 53%. That is, the group gains the most if the stock increases (or loses the most if it falls).
As a result, institutional investors suffered the most significant losses last week, with the market cap falling by $1.9 billion. The current loss, which adds to the 31% one-year loss to shareholders, may not sit well with this group of stockholders. Institutions, sometimes known as “market makers,” exert tremendous power in determining the price dynamics of any stock. As a result, if the decay continues, institutional investors may be forced to sell GTL Infrastructure, putting private investors at risk.
What Does The Institutional Ownership Tell Us About Nse: Gtlinfra?
Institutional investors usually compare their returns to the returns of a frequently tracked index. So they generally consider purchasing larger firms in the relevant benchmark index.
Institutions already listen on the GTL Infrastructure (Nse: Gtlinfra) share registry. They do have a sizable investment in the corporation. This may imply that the company has some credibility in the financial world. However, be mindful of depending on the seeming validation that comes with institutional investors. They, too, make mistakes from time to time. When numerous institutions own a stock, there is always the risk of being in a “crowded trade.” Innumerable parties may fight to sell stock quickly when a trade like this goes awry. This danger is greater in a company with no track record of growth. GTL Infrastructure’s historical earnings and revenue shown here, but keep in mind that there is always more to the story.
Because institutional investors own more than half of the issued stock, the board will almost certainly have to consider their preferences. Hedge funds own a small percentage of GTL Infrastructure(Nse: Gtlinfra). According to our data, Union Asset Management Company Private Limited is the largest shareholder, which holds 12% of the outstanding shares. The Central Bank of India, Asset Management Arm, owns 7.4% of the company’s common stock, while the Bank of Baroda, Asset Management Arm owns around 5.7%.
We also observed that the top 10 stockholders account for more than a part of the share register, with a few more minor stockholders to balance the interests of the larger ones to a certain extent.
Investigating institutional ownership is an excellent technique to assess and filter a stock’s predicted performance, and analyzing analyst sentiments can do the same. We aren’t seeing any analyst coverage of the stock right now; therefore, the firm is unlikely to be widely held.
Insider Ownership Of GTL Infrastructure (Nse: Gtlinfra)
The meaning of company insiders can be individual and does differ between authorities. Our data reflects individual insiders, taking board members at the very least. The company organization answers to the board, and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.
I usually consider insider ownership to be a good thing. However, it sometimes makes it more difficult for other stockholders to hold the board accountable for decisions.
Our information suggests that GTL Infrastructure Limited (Nse: Gtlinfra) insiders own under 1% of the company. But they may have an indirect interest through a corporate structure we haven’t picked up on. It has a market capitalization of just ₹16b, and the board has only ₹11m worth of shares in their names. Many tend to prefer to see a board with bigger shareholdings. A good next step might be looking at this free insider buying and selling summary.
General Public Ownership
The general public- including retail investors- owns a 41% stake in the company, which can’t easily ignore. While this group can’t necessarily call the shots, it can certainly influence how the company is run.
Private Company Ownership
Private companies own 5.3% of the GTL Infrastructure stock(Nse: Gtlinfra). It’s hard to conclude from this fact alone, so it’s worth looking into who owns those private companies. Sometimes insiders or related parties are interested in shares in a public company through a separate private company.
Fundamentals of GTL Infrastructure
Let’s look at the rudiments of GTL Infrastructure(Nse: Gtlinfra), based on which we can clearly understand the expertise in the infrastructure sector.
Current Market Cap: The present market cap of GTL Infrastructure(Nse: Gtlinfra), as of July 9, 2022, is ₹ 1,514.80 Cr.
P/E Ratio: The current price-to-earnings ratio of GTL Infrastructure is ₹0.
Sales Growth: Sales growth over the period for GTL Infrastructure is -0.51%.
Profit Growth: Profit development is around 31.81% over some time.
What is the determinant of the sector growth of GTL Infrastructure?
Although disruption, not carefully thought-out tactics and marketing efforts, is causing the convergence that has discussed, it is nonetheless taking place. In general, the telco industry’s growth in this sector is stagnant, and decreasing costs is frequently the only option to keep a profit. Positively, technological advancements have made it possible for these businesses to lower costs. The industry had negative growth in the previous year of -70.76%, less than the 13.14% growth of the Indian market. Due to its ongoing loss-making performance over the last few years, GTL Infrastructure trails the field. We have little faith in the stock because there is little analyst coverage, an0d the company’s future appears uncertain. Due to its lack of development and transparency, GTL Infrastructure (Nse: Gtlinfra) may trade at a lower price than its competitors.
Is GTL Infrastructure and the sector relatively cheap?
The telco industry trades at a PE ratio of 16.9x, lower than the rest of the Indian stock market PE of 28.4x. This illustrates a somewhat under-priced sector compared to the rest of the market. Furthermore, the industry returned a higher 15.54% compared to the market’s 9.78%, potentially illustrative of a turnaround. Since GTL Infrastructure’s earnings don’t reflect its true value, its PE ratio isn’t beneficial. A loose alternative to gauge GTL Infrastructure’s value is to assume the stock should be relatively in-line with its industry.
GTL Infrastructure (Nse: Gtlinfra) recently delivered an industry-beating growth rate in earnings, which is a positive for shareholders. If the stock has been on your watchlist for a while, now may be the time to buy if you like its ability to deliver growth and not highly concentrated in the telco industry. However, before you decide on the stock, I suggest you look at GTL Infrastructure’s (Nse: Gtlinfra) fundamentals to build a holistic investment thesis.
- Financial Health: Does it have a healthy balance sheet? Look at our free balance sheet analysis with six simple checks on leverage and risk.
- Historical Track Record: What has Nse: Gtlinfra’s performance been like over the past? Go into more detail in the past track record analysis and look at our analysis’s free visual representations for more clarity.
- Other High-Growth Alternatives: Could you hold other high-growth stocks instead of GTL Infrastructure(Nse: Gtlinfra)? See the sights of our interactive list of shares with enormous development potential to get an idea of what you may be mi out of the dressing!
GTL Infrastructure Price Target Details
We have comprehensively analyzed GTL Infrastructure(Nse: Gtlinfra) and developed its share price targets for upcoming years.
Note: These price targets of “GTL Infrastructure ” are only for reference, and this prediction is only if there are positive market sentiments. This analysis does not cover any uncertainties in the company or global market condition.
GTL Infrastructure share price target 2023
While analyzing the previous year’s chart, we found that in 2008 it had hit a peak of Rs.100. Due to a lousy project plan, this stock created a disaster in history by becoming a currency stock now, By looking at the chart, we can see that the 2023 target may be as high as Rs. 3.2. Currently, analysts are predicting that this stock will see a pullback and revert to its original price.
The target share price of GTL Infrastructure (Nse: Gtlinfra) for the year 2023 will be ₹3.2
GTL Infrastructure share price target 2024
The target share price of GTL Infrastructure for the year 2024 will be ₹4.1
GTL Infrastructure share price target 2025
As you have seen, infrastructure stocks are currently rising due to upcoming infrastructure projects announced recently. And these projects have a target to complete in 2025, which will eventually help in economic growth, export business model, increase India’s GDP, and generate more profits for GTL Infrastructure company.
The target share price of GTL Infrastructure for the year 2025 will be ₹5.6
GTL Infrastructure share price target 2026
The target share price of GTL Infrastructure for the year 2027 will be ₹7.9
GTL Infrastructure share price target 2027 to 2030
The showed share price for GTL Infrastructure. Will be 10.1, 11.5, 12.2, and 14.8, respectively, for 2027, 2028, 2029, and 2030.
Vigorblog discussed some essential aspects of Nse: Gtlinfra in the following article. We hope you found the content above informative and helpful, and please keep visiting our website to read more informative articles.
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