Anant Raj Limited

Real Estate — Real Estate - Development · NSE

₹513.00−₹11.05 (−2.11%)

DalalBaazaar Score

70 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by negative free cash flow, small-cap size, which brings sharper price swings.

In simple words: Reasonable but unspectacular business quality, with modest growth. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:10 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

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

What does this company do?

Anant Raj Limited is primarily engaged in the real estate and infrastructure development business in India and Singapore.

IndustryReal Estate - Development

SectorReal Estate

Employees403

Annual revenue₹2,512 Cr

How does it make money?

Turns over ₹2,512 Cr a year. Of every ₹100 of sales, about ₹22 reaches shareholders as profit, with ₹29 left at the operating level before interest, tax and depreciation. Each of its 403 employees supports ₹6.23 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin28.7%

Net margin22.2%

Revenue / employee₹6.23 Cr

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

DLF LIMITEDP/E 36.6x · ROE 10.3%

GODREJ PROPERTIES LTDP/E 30.2x · ROE 8.4%

OBEROI REALTY LIMITEDP/E 23.5x · ROE 14.7%

What is its competitive advantage?Little sign of one

Returns on capital of 10.4% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

ROCE10.4%

ROE9.6%

Peer median ROE10.3%

What is the outlook?

2 analysts covering the stock expect revenue to grow about 31.1% and earnings to grow about 37.2% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+31.1%

Est. earnings growth+37.2%

Analysts2

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +162% while net margin moved +40% 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+162%

Margin effect+40%

DalalBaazaar Score

70/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.40 — historically steadier than the index
✗ Small Cap: thinner liquidity and sharper drawdowns are normal
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

74/ 100

Good

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

Valuation

64/ 100

Fair

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

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

31.1x

3Y Median

57.1x

40 monthly readings · mean 60.3x · range 32.4x–119.1x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 46% below its 3y median of 57.1x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟡Against its sector it is priced broadly in line with the peer median of 30.2x.

vs. its own history

Cheap

57.1x median over 40 months · -46%

vs. sector peers

Fair

30.2x median of 3 peers · +3%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

31.1x

P/B

3.19x

EV/EBITDA

25.3x

PEG

0.57

Dividend Yield

0.19%

What's Good / What's Bad

🟢 What's Going Well7

Margins are improving
EBITDA margin is up from 25.3% to 28.7% over 3 years.
Debt is being paid down
Total debt is down 37% over 3 years.
Return on equity is rising
ROE has improved from 5.3% to 9.6%.
Return on capital is rising
ROCE has improved from 5.7% to 10.4%.
Valuation below its historical average
At 31.1x the stock trades 46% below its own median of 57.1x.
Very low debt
Debt/Equity of 0.12x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Free cash flow is negative
The business is not currently covering its capital spending from operations.
Receivables growing faster than sales
Receivables are up 248% against revenue growth of 162% — customers are taking longer to pay.

Red Flags

3 items require attention · 2 high · 1 watch

🔴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.
🔴Receivables growing faster than salesFinancial
Receivables up 248% against revenue up 162% — sales are being booked faster than they are collected.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹638 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 25.3% to 28.7%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 37% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Priced below its own history
The stock trades 46% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 248% against revenue up 162%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Size brings its own risk
Small 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
2 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 28% a year✓ 37.9% CAGR
Latest reported year was 6.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 27%✓ 28.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹638 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.9x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 8%✓ 10.4%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 12 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ 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
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

3 good · 7 neutral · 1 weak

Market Cap

₹18,462 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

31.1x

Fair

Fairly valued against the generic band

P/B Ratio

3.19x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹16.5

Profitable

Profitable on a per-share basis

ROE

9.6%

Moderate

Moderate capital efficiency

ROCE

10.4%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.12x

Low

Conservative leverage

Revenue Growth (YoY)

6.6%

Modest

Modest growth

Profit Growth (YoY)

13.4%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.19%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

-₹638 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹513

P/E (Forward)

18.1x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

26.5%

Good

Healthy core-business profitability

Net Margin

22.8%

Good

Strong bottom-line conversion

Current Ratio

9.75

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.40

Defensive

Steadier than the market

52W Range Position

43%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

588.0 / 603.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

19.7

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹957 Cr	₹1,483 Cr	₹2,060 Cr	₹2,512 Cr	+37.9%
EBITDA	₹242 Cr	₹367 Cr	₹529 Cr	₹720 Cr	+43.8%
EBITDA Margin	25.3%	24.8%	25.7%	28.7%	—
PAT (Net Profit)	₹151 Cr	₹266 Cr	₹426 Cr	₹557 Cr	+54.5%
EPS	₹4.66	₹8.12	₹12.43	₹15.81	+50.2%
ROE	5.3%	7.3%	10.2%	9.6%	—
ROCE	5.7%	8.0%	10.6%	10.4%	—
Total Debt	₹1,079 Cr	₹627 Cr	₹482 Cr	₹681 Cr	-14.3%
Free Cash Flow	-₹9 Cr	-₹69 Cr	₹176 Cr	-₹638 Cr	—

🟢 Revenue has grown at 37.9% a year over 3 years.

🟢 EBITDA has grown at 43.8% a year over 3 years.

🟢 EBITDA Margin has risen from 25.3% to 28.7% over 3 years (+3.4 pts).

🟢 PAT (Net Profit) has grown at 54.5% a year over 3 years.

🟢 EPS has grown at 50.2% a year over 3 years.

🟢 ROE has risen from 5.3% to 9.6% over 3 years (+4.3 pts).

🟢 ROCE has risen from 5.7% to 10.4% over 3 years (+4.6 pts).

🟢 Total Debt has shrunk at 14.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹6,869 Cr

Total Liabilities

₹1,050 Cr

Total Debt

₹681 Cr

Cash & Equivalents

₹899 Cr

Operating Cash Flow

-₹435 Cr

Capex

-₹203 Cr

Shareholding (proxy)

Institutional Holding

11.0%

Insider Holding

62.3%

Corporate Actions

Dividend Rate

₹1

Ex-Dividend Date

31 Jul 2026

Analyst Consensus

Recommendations

2 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹680

+32.6% vs CMP

Target Range

₹650 – ₹710

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

2 mixed4 general

Anant Raj Share Price - Live NSE: ANANTRAJ Stock Price & Chart

Upstox, 16 Oct

Anant Raj (ANANTRAJ) Share Price Falls in Second Straight Session

Univest, 16 OctPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Hitachi Energy, E2E Networks, Anant Raj, other AI-linked stocks slide up to 5% as global AI rout hits Indi

The Economic Times, 13 Oct

Anant Raj plans Rs.25,000 crore data centre bet without fresh funding

TradingView, 24 Sept

Anant Raj Share Price rises; market cap and peer comparison

Univest, 06 OctPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Why Anant Raj Share Price is Rising

Equitymaster, 03 Sept

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

🟢Business QualityStrong15.8/20

🟢Financial HealthStrong15/20

🟢GrowthStrong14.9/20

🟢ProfitabilityStrong10/15

🟡ValuationFair9.5/15

🟡RiskModerate5/10

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself. 2 high-severity red flags sit above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 28% a year37.9% CAGR
✓EBITDA margin holds above 27%28.7%
✗Free cash flow remains positive-₹638 Cr
✓Debt / EBITDA stays below 2x0.9x
✓ROCE stays above 8%10.4%