Sanghvi Movers Pivots To An EPC Play; SEBI RA Rajneesh Sharma Tracks Breakout Levels

The analyst highlighted Sanghvi Movers’ operating leverage, steady margins, and rising institutional confidence.

Sanghvi Movers, India’s largest crane rental company, is broadening its play beyond machines. The company is repositioning itself as a project logistics and engineering, procurement, and construction (EPC) enabler. Wind EPC and project EPC now contribute about 34% of revenue, marking a shift in the business mix. 

SEBI-registered analyst Rajneesh Sharma believes that this shift, along with the improving infrastructure cycle in Saudi Arabi,a could reshape Sanghvi’s long-term growth opportunities. 

Sanghvi is offering end-to-end turnkey solutions for infrastructure and renewable projects while bundling logistics with lifting to create a value-added moat.

Sharma also pointed out that Saudi Arabia’s infrastructure cycle is a significant long-term opportunity. Sanghvi has already deployed 12 cranes in the market and plans to deploy more, depending on traction. 

The company’s vision is for Saudi Arabia to contribute about 40% of crane revenues in the long run.

Financial Strength and Ratios

According to Sharma, Sanghvi has delivered strong operating leverage, with earnings before interest, tax, depreciation, and amortisation (EBITDA) compound annual growth rate (CAGR) of 43.2% between FY23 and FY25, higher than its revenue CAGR of 31.6%. Profit after tax (PAT) margins are steady at around 20%, which he noted is rare for an asset-heavy EPC hybrid.

While debt is rising, the debt-to-equity ratio remains below 0.35. He flagged a drop in the cash flow from operations (CFO)-to-operating profit (OP) ratio from 2.3 to 1.0 as a metric worth watching.

He added that Sanghvi’s moat lies in its fleet of over 380 cranes, especially large-tonnage machines that are hard to replicate. With 15 depots and 175 acres of freehold land, the company can deploy quickly. Planned financial year 2026 (FY26) capex of ₹321 crore is mostly crane-focused, which he described as value-accretive over the long cycle.

Sharma pointed out that Sanghvi’s return on capital employed (ROCE) has risen from 16.4% to 18.6%, while return on equity (ROE) stands at 15.8%. The price-to-earnings growth (PEG) ratio at 1.06 suggests a balance between growth and valuation. Institutional holdings are also on the rise, reflecting growing comfort with the company’s outlook.

EPC and Technical Outlook

Sharma highlighted that the EPC segment brings margin volatility today, but scale later. Wind EPC is scaling rapidly with 11% margins, while Project EPC contributed 5% of FY25 revenue, offering multi-sector application potential. 

Combined, these businesses could generate 20–30% of profits in three to five years, he said.

On the weekly chart, Sharma identified ₹334 as a crucial VCP breakout level, with Fibonacci resistances at ₹351.9 and ₹383.4. Support sits at ₹280, with a trendline base at ₹256. He added that a surge in volumes and ADX strength confirms early momentum.

On Stocktwits, retail sentiment was ‘bullish’ amid ‘normal’ message volume.

Sanghvi Movers’ stock has risen 7.3% so far in 2025.

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