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RITESNSE:RITES +2.44%86 5-Year Yield-on-Cost % is 3.47 as of Aug. 04, 2026, which is 11% below its 10-year median of 3.88. GuruFocus rates NSE:RITES with a GF Score™ of 86/100 and a GF Value™ of ₹286.19 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,009 Construction companies, RITES ranks better than 51.44% on this metric.
RITES's yield on cost for the quarter that ended in Mar. 2026 was 3.47.
The historical rank and industry rank for RITES's 5-Year Yield-on-Cost % or its related term are showing as below:
NSE:RITES'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.66 Med: 3.88 Max: 8.05
Current: 3.47
During the past 13 years, RITES's highest Yield on Cost was 8.05. The lowest was 0.66. And the median was 3.88.
NSE:RITES's 5-Year Yield-on-Cost % is ranked better than 51.44% of 1009
companies
in the Construction industry
Industry Median: 3.45
vs NSE:RITES: 3.47
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
RITES 5-Year Yield-on-Cost % Related Terms
NSE:RITES vs PWR, FIX, EME: 5-Year Yield-on-Cost % Comparison
For the Engineering & Construction subindustry, RITES's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
RITES 5-Year Yield-on-Cost % vs Construction Industry
For the Construction industry and Industrials sector, RITES's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where RITES's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of RITES is calculated as
RITES (NSE:RITES) has a 5-Year Yield-on-Cost % of 3.47 as of Aug. 04, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on RITES and its competitors. This is 11% below median its historical median of 3.88. Over the past decade, RITES's 5-Year Yield-on-Cost % has ranged from 0.66 to 8.05. According to the industry distribution chart, RITES ranks #490 out of 1009 companies in the Construction industry, placing it in the top 48.6%.
Is RITES's 5-Year Yield-on-Cost % too high?
RITES's current 5-Year Yield-on-Cost % of 3.47 is 11% below median its 10-year median of 3.88. Over the past 10 years, this metric has ranged from a low of 0.66 to a high of 8.05. The Construction industry median 5-Year Yield-on-Cost % is 3.45. RITES's value of 3.47 is 0.6% above this industry median. Based on the distribution chart, RITES ranks #490 out of 1009 companies in the Construction industry, which is above the industry midpoint. Overall, RITES has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does RITES's 5-Year Yield-on-Cost % compare to PWR and FIX?
According to the Construction industry distribution chart, RITES ranks #490 out of 1009 companies for 5-Year Yield-on-Cost %. This puts RITES in the upper half of its industry. The industry median 5-Year Yield-on-Cost % is 3.45. RITES's value of 3.47 is 0.6% above this benchmark. Historically, RITES's own 5-Year Yield-on-Cost % has ranged from 0.66 to 8.05 over the past decade. While the company's 10-year median is 3.88 vs. the industry median of 3.45, RITES has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Construction company?
The median 5-Year Yield-on-Cost % among Construction companies is 3.45, based on 1,009 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. RITES's current 5-Year Yield-on-Cost % of 3.47 is 0.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on RITES and its competitors. For the Construction industry, the median 5-Year Yield-on-Cost % is 3.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RITES's current 5-Year Yield-on-Cost % is 3.47, which is 11% below median its own 10-year median of 3.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RITES stock overvalued right now?
Based on GuruFocus' analysis, RITES (NSE:RITES) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹286.19, compared to a current price of ₹219.31 — trading 23.4% below its estimated fair value. The current 5-Year Yield-on-Cost % is 3.47, which is 11% below median its 10-year median of 3.88 and 0.6% above the Construction industry median of 3.45. RITES's overall GF Score™ is 86/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For RITES (NSE:RITES), the current 5-Year Yield-on-Cost % is 3.47 as of Aug. 04, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is RITES (NSE:RITES) Overvalued in 2026?
Based on GuruFocus' analysis, RITES stock appears to be undervalued.
The current stock price of ₹219.31 is trading 23.4% below its estimated GF Value™ of ₹286.19.
GuruFocus considers RITES to be Modestly Undervalued.
Key valuation signals for NSE:RITES:
5-Year Yield-on-Cost %: 3.47 (11% below median its 10-year median of 3.88)
GF Value™: ₹286.19 vs. price of ₹219.31 (23.4% below fair value)
Industry Position: 0.6% above the Construction median (#490 of 1009)
No single metric tells the full story. See the NSE:RITES stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
RITES Ltd is a multi-disciplinary consultancy organization. The company's operating segment includes Consultancy Services, Leasing of railway rolling stock and equipment, Export of rolling stock, equipment and spares, Turnkey Construction Projects. The firm generates a majority of its revenue from Consultancy services. The firm operates in various sectors such as airports, highways, bridge and tunnel engineering, and industrial engineering among others. Geographically, it derives a majority of its revenue from India.
86GF Score
Get the complete analysis for NSE:RITES
5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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