Rites Share Price Target 2025, 2026, 2030, 2040, 2050
Indian Railways established Mini Ratna Category I Schedule ‘A’ Public Sector Enterprise RITES Limited in 1974. RITES is India’s largest transport infrastructure consulting and engineering firm, known for its complete services. Design, engineering, and project management for trains, highways, airports, ports, ropeways, and urban infrastructure are its specialties.
With a worldwide presence in over 55 countries and a varied portfolio of projects, RITES shapes transportation infrastructure while preserving strong financial health and sustainable development.
Fundamental Table
Contents
- 1 What is Rites Ltd NSE: RITES?
- 2 Share Price Target Tomorrow
- 3 Share Price Target 2024
- 4 Rites Share Price Target 2025
- 5 Rites Share Price Target 2026
- 6 Rites Share Price Target 2030
- 7 Share Price Target 2040
- 8 Share Price Target 2050
- 9 Should I Buy Rites Stock?
- 10 Rites Ltd Earning Results
- 11 Expert Forecasts On The Future Of Rites Ltd.
- 12 Is Rites Stock Good To Buy? (Bull Case & Bear Case)
- 13 Conclusion
- 14 FAQs
- 15
| Metric | Value |
| ROE | 18.13% |
| ROCE | 27.33% |
| Operating Margin | 22.75% |
| Debt/Equity | 0 |
| Current Ratio | 1.61 |
| Dividend Yield | 6.13% |
Key Metrics
| Parameter | Value |
| PE Ratio | 34.27 |
| Price/Sales | 6.51 |
| Market Cap | ₹13,671 Cr |
| EPS | 8.30 |
| Book Value | ₹54.29 |
| EBITDA Margin | 28.24% |
Peer Comparison
| Company | Market Cap (₹ Cr) | PE Ratio | ROE (%) | ROCE (%) |
| RITES | 13,671 | 30.02 | 18.79 | 25.69 |
| L&T | 5,14,735 | 39.42 | 17.83 | 11.77 |
| RVNL | 93,398 | 59.33 | 19.59 | 17.69 |
| GMR Infra | 84,778 | -151.58 | 0 | 0 |
What is Rites Ltd NSE: RITES?
RITES Ltd (NSE: RITES) is a Navratna Public Sector Enterprise established in 1974 under the Ministry of Railways. As India’s premier transport infrastructure consultancy and engineering firm, it has evolved into a leading player in the infrastructure development sector.
Company Overview
- Founded: 1974
- Headquarters: Gurugram, India
- Market Capitalization: ₹13,671 Crores
- Industry: Transport Infrastructure & Engineering Consultancy
- Status: Schedule ‘A’ Central Public Sector Enterprise
- Listed: BSE & NSE (Listed in July 2018)
| Current Price (₹) | Maximum Target (₹) |
| 284.45 | +7.42 |
RITES Limited stands as a cornerstone in transport infrastructure consultancy, demonstrating remarkable resilience and growth potential. The company’s robust performance is anchored by its strong order book of ₹8,400 crores and strategic positioning in government infrastructure initiatives. Key growth drivers include the expansion of railway modernization projects, increasing export orders for rolling stock, and significant consultancy contracts in urban transport development.
The company’s zero-debt status, consistent dividend payouts, and involvement in critical infrastructure projects under PM Gati Shakti make it well-positioned for substantial growth in 2024. Technical analysis and fundamental factors suggest a price range between ₹315 to ₹434.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2024 | 315 | 434 |
| Month | Minimum Price (₹) | Maximum Price (₹) |
| November | 315 | 325 |
| December | 295 | 434 |
RITES Limited’s growth trajectory for 2025 is supported by several key factors including its expanding order book, focus on international market penetration, and the government’s infrastructure development initiatives. The company’s strategic involvement in major railway modernization projects, urban transport solutions, and export of rolling stock positions it strongly for 2025.
With the implementation of PM Gati Shakti and National Infrastructure Pipeline projects gaining momentum, coupled with the company’s strong execution capabilities and zero-debt status, RITES is expected to show significant growth potential in 2025.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2025 | 290 | 520 |
| Month | Minimum Price (₹) | Maximum Price (₹) |
| January | 290 | 405 |
| February | 298 | 425 |
| March | 300 | 435 |
| April | 315 | 465 |
| May | 324 | 475 |
| June | 331 | 485 |
| July | 336 | 495 |
| August | 341 | 500 |
| September | 343 | 505 |
| October | 349 | 510 |
| November | 353 | 515 |
| December | 361 | 520 |
RITES Limited’s growth trajectory for 2026 begins with a minimum price of ₹515 in January, aligning with December 2025’s closing price. The company is projected to reach ₹652 by year-end, driven by several key factors. The expansion of its order book beyond ₹8,400 crores, increased international project acquisitions, and the government’s infrastructure push through PM Gati Shakti are expected to fuel this growth.
Additionally, RITES’ involvement in major railway modernization projects worth ₹2,500 crores and urban transport solutions valued at ₹1,800 crores positions it for substantial growth from ₹360 to ₹652 through 2026.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2026 | 360 | 652 |
| Month | Minimum Price (₹) | Maximum Price (₹) |
| January | 360 | 425 |
| February | 369 | 440 |
| March | 375 | 485 |
| April | 373 | 570 |
| May | 379 | 585 |
| June | 390 | 600 |
| July | 385 | 615 |
| August | 401 | 630 |
| September | 408 | 640 |
| October | 415 | 645 |
| November | 423 | 650 |
| December | 418 | 652 |
RITES Limited’s long-term growth projection for 2030 is supported by several transformative factors. The company’s strategic expansion into international markets, coupled with India’s massive infrastructure development plans under National Infrastructure Pipeline and PM Gati Shakti, positions it for substantial growth. With an expected order book expansion beyond ₹10,000 crores by 2030, increased focus on sustainable transport solutions, and diversification into green consulting services, RITES is projected to show significant value appreciation from its current price of ₹284.80 to reach between ₹1,104 to ₹1,105 by 2030.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2030 | 1104 | 1105 |
| Month | Minimum Price (₹) | Maximum Price (₹) |
| January | 950 | 960 |
| February | 965 | 975 |
| March | 980 | 990 |
| April | 995 | 1005 |
| May | 1010 | 1020 |
| June | 1025 | 1035 |
| July | 1040 | 1050 |
| August | 1055 | 1065 |
| September | 1070 | 1080 |
| October | 1085 | 1090 |
| November | 1095 | 1100 |
| December | 1104 | 1105 |
While it’s challenging to make highly accurate predictions for such a long-term horizon, RITES Limited’s trajectory towards 2040 will likely be shaped by several transformative factors. Starting from the current price of ₹284.80, the company’s growth potential is supported by India’s long-term infrastructure vision, technological advancements in transportation, and sustainable development goals.
The company’s expansion into green mobility solutions, smart city projects, and international markets, combined with India’s projected position as the world’s third-largest economy by 2040, suggests significant growth potential. Conservative estimates indicate a price range between ₹2,500 to ₹2,800 by 2040.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2040 | 2500 | 2800 |
| Month | Minimum Price (₹) | Maximum Price (₹) |
| January | 2500 | 2550 |
| February | 2550 | 2600 |
| March | 2600 | 2650 |
| April | 2625 | 2675 |
| May | 2650 | 2700 |
| June | 2675 | 2725 |
| July | 2700 | 2750 |
| August | 2725 | 2760 |
| September | 2750 | 2770 |
| October | 2760 | 2780 |
| November | 2780 | 2790 |
| December | 2790 | 2800 |
Looking at the ultra-long-term horizon towards 2050, RITES Limited’s growth potential is aligned with India’s ambitious infrastructure and transportation goals. From the current price of ₹284.80, the company’s value proposition is supported by several macro factors: the projected growth of India’s transport infrastructure at 4.5% CAGR until 2050, the transformation of mobility with 75% electric vehicle adoption, and the government’s massive infrastructure development plans.
The company’s evolution into sustainable transport solutions, green consulting, and digital infrastructure management positions it for substantial growth. By 2050, considering these transformative factors and India’s projected position as a global economic powerhouse, conservative estimates suggest a price range between ₹4,500 to ₹5,000.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2050 | 4500 | 5000 |
| Month | Minimum Price (₹) | Maximum Price (₹) |
| January | 4500 | 4550 |
| February | 4550 | 4600 |
| March | 4600 | 4650 |
| April | 4650 | 4700 |
| May | 4700 | 4750 |
| June | 4750 | 4800 |
| July | 4800 | 4850 |
| August | 4850 | 4900 |
| September | 4900 | 4920 |
| October | 4920 | 4950 |
| November | 4950 | 4975 |
| December | 4975 | 5000 |
Should I Buy Rites Stock?
RITES’ Q2 FY25 earnings and market research suggest a mixed investment case. The company’s standalone sales rose 16.5% to ₹554 crore QoQ, but down 7.1% year-on-year. With a robust order book of ₹6,581 crore, over 90 fresh orders worth ₹729 crore were acquired in Q2 FY25, indicating steady order acquisition.
| Year | Minimum Price (₹) | Maximum Price (₹) |
| 2024 | 315 | 434 |
| 2025 | 290 | 520 |
| 2026 | 360 | 652 |
| 2027 | 704 | 710 |
| 2030 | 1104 | 1105 |
Concerns remain as the company’s Q2 FY25 net profit fell 27.84% to ₹72.98 crore from ₹101.15 crore in Q2 FY24. The EBITDA margins have dropped from 23.6% to 19.9%, although management expects them to stay around 22%. RITES continues shareholder-friendly strategy with a 97.9% payout ratio and a second interim dividend of ₹1.75 per share for FY25, notwithstanding obstacles.
The company’s zero-debt status, 72.20% government ownership, and vital role in India’s infrastructure development make it a good long-term investment. The stock has gained 17% in 2024 despite a 30% drop from its top of ₹413. Investors evaluating RITES should assess its execution.
Rites Ltd Earning Results
| Financial Metric | Q2 FY25 | Q2 FY24 | Change (%) |
| Revenue | ₹554 Cr | ₹582 Cr | -7.1% |
| EBITDA | ₹107 Cr | ₹138 Cr | -22.5% |
| Net Profit | ₹82.5 Cr | ₹110.2 Cr | -25.1% |
| EBITDA Margin | 19.9% | 23.6% | -3.7% |
| EPS | ₹2.10 | ₹2.55 | -17.6% |
| Dividend per Share | ₹1.75 | – | – |
| Order Book | ₹6,581 Cr | – | – |
| New Orders | ₹729 Cr | – | – |
| Operating Revenue | ₹541 Cr | ₹582 Cr | -7.1% |
| PAT Margin | 14.7% | 18.9% | -4.2% |
Expert Forecasts On The Future Of Rites Ltd.
RITES Ltd.’s strategic efforts, market position, and growth potential have been assessed by expert analysts and market researchers:
- The company’s order book is projected to exceed ₹8,000 crore by FY25, driven by railway modernization and urban transit solutions.
- International revenue is expected to rise from 12% to 20% by 2026 due to new Africa and Middle East contracts.
- Operating margins should normalize at 22-23% by Q4 FY25 when efficiency enhancement measures are completed.
- With developing market rolling stock orders and green transportation solutions, exports should quadruple by 2026.
- Government infrastructure projects and PM Gati Shakti projects would boost domestic infrastructure consultancy market share from 18% to 25% by 2027.
Is Rites Stock Good To Buy? (Bull Case & Bear Case)
Bull Case:
- The firm has a robust order book of ₹6,581 crore, with daily order wins averaging one.
- Zero debt and 97.9% dividend payment ratio show financial strength and shareholder commitment.
- Government infrastructure effort under PM Gati Shakti ensures long-term development.
- New contracts in Africa and the Middle East may raise revenue share to 20%.
- EBITDA margins could stable at 22% due to strong execution.
Bear Case:
- Q2 FY25 sales fell 7.1% YoY to ₹541 crore from ₹582.4 crore5.
- Net profit fell 25% to ₹82.5 crore from ₹110.2 crore in Q2 FY245.
- EBITDA margins fell from 23.6% to 19.7%, affecting profitability5.
- The stock has fallen 30% from its top of ₹4135.
- At ₹295.2, the market price is 50% more than its intrinsic value of ₹148.63.
Conclusion
Long-term investors should consider RITES Ltd.’s robust order book, zero-debt status, and important position in India’s infrastructure development narrative. While there are short-term problems, the company’s fundamentals and development trajectory predict considerable value increase, making it appealing to 3-5 year investors.
