Anand Projects Limited

Industrials — Engineering & Construction · BSE

₹39.81₹0.00 (0.00%)

DalalBaazaar Score

27 / 100

🔴 Weak

Verdict

HIGH RISK

Risk

Very High

Driven by negative shareholders' equity — the company owes more than it owns, short-term liabilities exceed short-term assets, the company is currently loss-making.

In simple words: The company owes more than it owns — years of losses have wiped out its net worth, but sales are shrinking. Solvency — whether it can keep funding itself at all — is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

The 60-second version of Anand Projects Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Anand Projects Limited provides engineering, procurement, and construction services for erection of power plants and other infrastructure facilities in India. The company also offers business support services.

IndustryEngineering & Construction

SectorIndustrials

Employees2

Annual revenue₹1 Cr

How does it make money?

Turns over ₹1 Cr a year. Of every ₹100 of sales, about ₹-48 reaches shareholders as profit, with ₹-18 left at the operating level before interest, tax and depreciation. Each of its 2 employees supports ₹60.0 lakh of revenue a year, the signature of a people-led business.

EBITDA margin-18.0%

Net margin-48.5%

Revenue / employee₹60.0 lakh

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., ADANI PORT & SEZ LTD, SIEMENS LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

LARSEN & TOUBRO LTD.P/E 30.1x · ROE 15.2%

ADANI PORT & SEZ LTDP/E 29.9x · ROE 14.1%

SIEMENS LTDP/E 88.8x · ROE 10.5%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +71% while net margin moved -108% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+71%

Margin effect-108%

DalalBaazaar Score

27/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Shareholders' equity is negative — accumulated losses exceed the capital in the business

Quality vs. Valuation

Company Quality

29/ 100

Weak

How good the business is, ignoring the share price entirely.

Valuation

30/ 100

Expensive

What you are being asked to pay, ignoring how good the business is.

Weak on business quality and not cheap enough to compensate.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

Multiples unreliable — equity base is negative

P/E (Trailing)

Not meaningful

P/B

—

EV/EBITDA

—

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well2

Margins are improving
EBITDA margin is up from -99.1% to -18.0% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.

🔴 What Needs Attention2

Negative shareholders' equity
Liabilities exceed assets — this is a solvency question that sits above every other consideration here.
Short-term liquidity is tight
Current ratio of 0.20 — near-term obligations exceed near-term assets.

Red Flags

4 items require attention · 3 high · 1 watch

🔴Negative shareholders' equityFinancial
Liabilities exceed assets — accumulated losses have wiped out the company's net worth.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🔴The company is lossmakingFinancial
Net profit of -₹1 Cr in the latest reported year.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.20 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -99.1% to -18.0%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

Solvency comes before everything else
Liabilities exceed assets. Until net worth is rebuilt, the equity is a claim on a business that owes more than it owns, and further losses or a funding squeeze can leave shareholders with nothing.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.
Several serious flags at once
3 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 15% a year✓ 19.7% CAGR
Latest reported year was -16.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above -20%✓ -18.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹7 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

4 / 9 checks passed

✗ Shareholders' equity is positive (assets exceed liabilities)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✗ Not buying right at the 52-week high
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

2 good · 4 neutral · 5 weak

Market Cap

₹4 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

₹-6.04

Loss-making

Negative earnings per share — the business is losing money

ROE

Not meaningful

Negative equity

Return on equity can't be read when equity itself is negative

ROCE

Not available

No data

Source didn't return this field

Debt/Equity

Not meaningful

Negative equity

Shareholders' equity is negative, so this ratio can't be read

Revenue Growth (YoY)

-16.7%

Shrinking

Sales are contracting

Profit Growth (YoY)

93.9%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹7 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹39.81

Operating Margin

-29.6%

Weak

Thin margins leave little room for error

Net Margin

-49.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

0.20

Tight

Tight short-term liquidity

Beta (vs Nifty)

-0.02

Defensive

Steadier than the market

52W Range Position

100%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

37.9 / 36.6

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

100.0

Overbought zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1 Cr	₹1 Cr	₹1 Cr	₹1 Cr	+19.7%
EBITDA	-₹1 Cr	-₹19 Cr	₹1 Cr	-₹0 Cr	—
EBITDA Margin	-99.1%	-1546.5%	85.7%	-18.0%	—
PAT (Net Profit)	₹4 Cr	-₹30 Cr	-₹9 Cr	-₹1 Cr	—
EPS	₹43.85	₹-318.44	₹-101.35	₹-6.22	—
ROE	10.4%	-308.2%	-5188.5%	—	—
ROCE	-33.0%	-190.9%	-750.2%	—	—
Free Cash Flow	-₹4 Cr	₹5 Cr	₹18 Cr	₹7 Cr	—

🟢 Revenue has grown at 19.7% a year over 3 years.

🟢 EBITDA Margin has risen from -99.1% to -18.0% over 3 years (+81.1 pts).

🔴 PAT (Net Profit) has turned negative, from ₹4 Cr to -₹1 Cr.

🔴 EPS has turned negative, from ₹43.85 to ₹-6.22.

🟢 Free Cash Flow has turned positive, from -₹4 Cr to ₹7 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹52 Cr

Total Liabilities

₹52 Cr

Total Debt

—

Cash & Equivalents

₹1 Cr

Operating Cash Flow

₹7 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

88.3%

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
ADANI PORT & SEZ LTD	29.9x	14.1%
SIEMENS LTD	88.8x	10.5%

Recent News

1 positive1 negative4 general

Dividend, rights issue record date: Last chance to buy today - Shivam Autotech, Shraddha Prime, Anand Rathi Wealth

Livemint, 13 OctCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Compare with VINDHYA TELELINKS

Equitymaster, 26 Sept

Nimbus Projects appoints Anand Kumar as non-executive director

scanx.trade, 29 Sept

High Book Value Penny Stocks in India for 2027

Univest, 29 Sept

JITF Infralogistics Ltd. Peer Comparison – Compare with Others

Value Research, 29 Aug

Suzlon Energy consolidated net profit declines 5.89% in the June 2026 quarter

Business Standard, 28 JulResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Watch Items

Revenue growth is negative (-16.7%) on the latest reported period — check if this is one-off or a trend.
Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
2 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.
RSI is in overbought territory — momentum entries here carry more short-term pullback risk.

DalalBaazaar Thesis

🔴Business QualityWeak6/20

🔴Financial HealthStretched1/20

🟢GrowthStrong13/20

🔴ProfitabilityWeak1.5/15

🔴ValuationDemanding4.5/15

🔴RiskHigh0.5/10

Avoid until solvency is resolved

Anand Projects Limited owes more than it owns. Whatever the operating numbers show, the equity is a residual claim on a business with negative net worth, and that question has to be settled before any of the rest is worth weighing. 3 high-severity red flags sit above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 15% a year19.7% CAGR
✓EBITDA margin holds above -20%-18.0%
✓Free cash flow remains positive₹7 Cr