telecom
Tejas Networks
TEJASNET · Nifty 50
₹602
Price 2026-06-17
At a Glance
Fundamental
50/100
ADEQUATE
Trust
95/100
Verification
Coverage
33/100
LIMITED
Quick Take
Tejas Networks scores 50/100 on fundamentals (adequate). Tejas Networks: BROAD EXPANSION regime.
Fundamental Score: 50/100 · ADEQUATE · 2 signals detected
DuPont Analysis
ROE -23.0% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of -22.98% is modest margin-driven and stable. Net margin of -25.4% × asset turnover of 0.28x × leverage of 3.2x.
What This Means
Net margin of -25.4% means the company keeps ₹-25.4 as profit for every ₹100 of revenue. This is a low-margin business. Asset turnover of 0.28x means the company generates ₹0.28 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 3.2x means the company uses significant debt. Higher leverage amplifies returns but also risk.
Margin Structure
Gross
25.6%
Operating
-24.0%
Net
-25.4%
Gross margin 25.6% → operating margin -24.0% → net margin -25.4%. Margins are IMPROVING.
Financial Health
Earnings Quality
WEAKCash flow only covers -0.2x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
STRETCHEDInterest covered only -2.2x — stretched. Rising rates could pressure profitability. Debt/EBITDA at -18.1x is low — balance sheet has capacity.
Free Cash Flow
STRONGFCF margin negative at -28.3% — spending more than earning. Check capex cycle.
Peer Comparison
Tejas Networks is compared against 4 peers in the telecom sector.
Key Watchpoints
Breaks above ₹632 (+5%)
Trend reversal confirmation
Breaks below ₹572 (-5%)
Further downside risk
Telecom sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
Significant income from non-operating sources. Core business may be smaller than it appears.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Working capital is providing significant cash. Stretching payables — temporary boost.
Collection cycle changing. Customers taking longer to pay — monitor DSO.
No single controlling shareholder. Management may not be aligned with shareholders.
High revenue multiple. Market pricing in significant growth or margins expansion.
Profits are from core operations, not one-offs. High quality.
⚠️ 1 critical + 6 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes