Accretion Nutraveda Limited

Healthcare — Drug Manufacturers - Specialty & Generic · BSE

₹295.00₹0.00 (0.00%)

DalalBaazaar Score

60 / 100

🟢 Good

Verdict

CAUTION

Risk

Moderate

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, falling profits.

In simple words: Strong business and financial position, but sales are shrinking. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:46 pm

Understanding the Business

Company site ↗

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

What does this company do?

Accretion Nutraveda Limited manufactures and supplies ayurvedic, nutraceutical, and wellness formulations in India and internationally.

IndustryDrug Manufacturers - Specialty & Generic

SectorHealthcare

Annual revenue₹34 Cr

How does it make money?

Turns over ₹34 Cr a year. Of every ₹100 of sales, about ₹15 reaches shareholders as profit, with ₹21 left at the operating level before interest, tax and depreciation.

Who are its competitors?

The closest listed comparisons in its industry are SUN PHARMACEUTICAL IND L, DR. REDDY S LABORATORIES, CIPLA LTD, DIVI S LABORATORIES LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 17.0% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE14.5%

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 +1057% while net margin moved +56% 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+1057%

Margin effect+56%

DalalBaazaar Score

60/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

70/ 100

Good

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

Valuation

54/ 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

31.6x

Sector Median

33.3x

median of 4 sector peers

🟡Against its sector it is priced broadly in line with the peer median of 33.3x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Fair

33.3x median of 4 peers · -5%

vs. generic bands

Fair

15x–35x

EV/EBITDA

30.0x

PEG

0.19

What's Good / What's Bad

🟢 What's Going Well2

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

Return on equity is falling
ROE has dropped from 106.7% to 14.3% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 27.2% to 17.0% — often a sign of competition or overexpansion.

Red Flags

4 items require attention · 3 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 114% over 3 years, from ₹2 Cr to ₹4 Cr.
🔴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.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 5.5 points, from 26.2% to 20.6%.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹15 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

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?

Margins are being competed away
EBITDA margin has fallen from 26.2% to 20.6%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Returns on shareholder capital are falling
ROE has dropped from 106.7% to 14.3%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
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 95% a year✓ 126.2% CAGR
Latest reported year was -9.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 19%✓ 20.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹15 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.6x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 14%✓ 17.0%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 11 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
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

4 good · 3 neutral · 4 weak

Market Cap

₹214 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

31.6x

Fair

Fairly valued against the generic band

P/B Ratio

6.02x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹9.35

Profitable

Profitable on a per-share basis

ROE

25.0%

Strong

Strong capital efficiency

ROCE

17.0%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.12x

Low

Conservative leverage

Revenue Growth (YoY)

-9.9%

Shrinking

Sales are contracting

Profit Growth (YoY)

-50.8%

Falling

Profits are shrinking

Dividend Yield

None

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

Free Cash Flow

-₹13 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

15.9%

Good

Assets are working hard

Operating Margin

18.0%

Good

Healthy core-business profitability

Net Margin

15.1%

Good

Strong bottom-line conversion

Current Ratio

11.98

Comfortable

Healthy short-term liquidity

52W Range Position

89%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

293.6 / 288.7

Bullish alignment (short > long)

RSI (14)

70.3

Overbought zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹3 Cr	₹5 Cr	₹16 Cr	₹34 Cr	+126.2%
EBITDA	₹1 Cr	₹1 Cr	₹4 Cr	₹7 Cr	+109.0%
EBITDA Margin	26.2%	27.9%	22.8%	20.6%	—
PAT (Net Profit)	₹0 Cr	₹1 Cr	₹3 Cr	₹5 Cr	+162.4%
EPS	₹0.39	₹1.14	₹3.45	—	—
ROE	106.7%	75.8%	49.5%	14.3%	—
ROCE	27.2%	70.8%	45.7%	17.0%	—
Total Debt	₹2 Cr	₹2 Cr	₹4 Cr	₹4 Cr	+28.9%
Free Cash Flow	₹1 Cr	₹0 Cr	-₹3 Cr	-₹15 Cr	—

🟢 Revenue has grown at 126.2% a year over 3 years.

🟢 EBITDA has grown at 109.0% a year over 3 years.

🔴 EBITDA Margin has fallen from 26.2% to 20.6% over 3 years (-5.5 pts).

🟢 PAT (Net Profit) has grown at 162.4% a year over 3 years.

🔴 ROE has fallen from 106.7% to 14.3% over 3 years (-92.4 pts).

🔴 ROCE has fallen from 27.2% to 17.0% over 3 years (-10.2 pts).

🔴 Total Debt has grown at 28.9% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹1 Cr to -₹15 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹42 Cr

Total Liabilities

₹6 Cr

Cash & Equivalents

₹10 Cr

Operating Cash Flow

-₹9 Cr

Capex

-₹6 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

81.5%

Peer Comparison

Company	P/E	ROE
SUN PHARMACEUTICAL IND L	34.9x	14.5%
DR. REDDY S LABORATORIES	31.0x	8.8%
CIPLA LTD	31.8x	9.8%
DIVI S LABORATORIES LTD	83.0x	17.5%

Recent News

1 positive1 mixed4 general

Accretion Nutraveda Limited Share Price - Live ANL Stock Price & Chart

Upstox, 10 Oct

Accretion Nutraveda Limited (ANL.BO) valuation measures and financial statistics

Yahoo Finance UK, 17 Oct

Accretion Nutraveda Share Price analysis after Rs 292 rise

Univest, 29 SeptPrice 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.

Accretion Nutraveda shareholders approve MOA changes, borrowing limits

scanx.trade, 10 Oct

Accretion Nutraveda IPO Details – Date, Price, GMP & Review

IndiaIPO, 21 Jan

Accretion Nutraveda FY26 Results: Revenue Jumps 110%, PAT Surges 103%

scanx.trade, 04 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

Revenue growth is negative (-9.9%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in overbought territory — momentum entries here carry more short-term pullback risk.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability

WeakValuation · Risk

Points for each in the Score ↑

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. 3 high-severity red flags sit above this conclusion and should be read first.

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑