Atlantaa Limited

Industrials — Infrastructure Operations · NSE

₹35.16−₹0.44 (−1.24%)

DalalBaazaar Score

44 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Very High

Driven by moderate debt load, negative free cash flow, the company is currently loss-making.

In simple words: The company is currently losing money, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:03 pm

Understanding the Business

Company site ↗

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

What does this company do?

Atlantaa Limited, together with its subsidiaries, engages in the construction business in India. The company undertakes development of highways, expressways, and arterial roads, as well as railway projects; and constructing airport infrastructures.

IndustryInfrastructure Operations

SectorIndustrials

Employees52

Annual revenue₹74 Cr

How does it make money?

Turns over ₹74 Cr a year. Of every ₹100 of sales, about ₹-2 reaches shareholders as profit, with ₹73 left at the operating level before interest, tax and depreciation. Each of its 52 employees supports ₹1.41 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.41 Cr

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., ADANI PORT & SEZ 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?Little sign of one

Returns on capital of 3.0% 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.

Peer median ROE15.2%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +44% while net margin moved -96% 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+44%

Margin effect-96%

DalalBaazaar Score

44/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative

Quality vs. Valuation

Company Quality

44/ 100

Weak

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

Valuation

44/ 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

No P/E — the company is lossmaking

EV/EBITDA

11.1x

PEG

—

What's Good / What's Bad

🟢 What's Going Well2

Margins are improving
EBITDA margin is up from 44.6% to 72.5% over 3 years.
Debt is being paid down
Total debt is down 61% over 3 years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

5 items require attention · 3 high · 2 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only 0.9x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹2 Cr in the latest reported year.
🔴Inventory building faster than salesFinancial
Inventory up 152% against revenue up 44% — stock may not be moving.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 8.8x to 0.9x.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹39 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 44.6% to 72.5%. 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 61% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 6.0x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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 10% a year✓ 13.0% CAGR
Latest reported year was 26.2%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 71%✓ 72.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 6.0x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
4Free cash flow remains positive✗ -₹39 Cr
Profit that never becomes cash eventually stops being profit.
5Interest cover stays above 3x✗ 0.9x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

4 / 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

2 good · 3 neutral · 6 weak

Market Cap

₹287 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

1.35x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-0.62

Loss-making

Negative earnings per share — the business is losing money

ROE

-0.8%

Weak

Weak capital efficiency

ROCE

3.0%

Weak

Low return on total capital employed

Debt/Equity

1.48x

Moderate

Moderate leverage

Revenue Growth (YoY)

26.2%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-104.0%

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

-₹39 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

-13.9%

Weak

Thin margins leave little room for error

Net Margin

-6.5%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.60

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

1.01

Market-like

Moves roughly in line with the market

52W Range Position

17%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

35.6 / 37.6

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

46.7

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹51 Cr	₹133 Cr	₹68 Cr	₹74 Cr	+13.0%
EBITDA	₹23 Cr	₹123 Cr	₹44 Cr	₹53 Cr	+32.9%
EBITDA Margin	44.6%	92.4%	64.5%	72.5%	—
PAT (Net Profit)	-₹32 Cr	₹468 Cr	₹43 Cr	-₹2 Cr	—
EPS	₹-3.98	₹57.41	₹5.22	₹-0.21	—
ROE	—	296.5%	20.2%	-0.8%	—
ROCE	—	219.3%	6.1%	3.0%	—
Total Debt	₹820 Cr	₹248 Cr	₹314 Cr	₹318 Cr	-27.1%
Free Cash Flow	₹43 Cr	-₹40 Cr	₹52 Cr	-₹39 Cr	—

🟢 Revenue has grown at 13.0% a year over 3 years.

🟢 EBITDA has grown at 32.9% a year over 3 years.

🟢 EBITDA Margin has risen from 44.6% to 72.5% over 3 years (+28.0 pts).

🔴 ROE has fallen from 296.5% to -0.8% over 3 years (-297.3 pts).

🔴 ROCE has fallen from 219.3% to 3.0% over 3 years (-216.3 pts).

🟢 Total Debt has shrunk at 27.1% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹43 Cr to -₹39 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹566 Cr

Total Liabilities

₹352 Cr

Cash & Equivalents

₹13 Cr

Operating Cash Flow

-₹33 Cr

Capex

-₹6 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

74.8%

Corporate Actions

Ex-Dividend Date

21 Jul 2017

Peer Comparison

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

Recent News

1 positive2 mixed3 general

ATLANTAA Share Price Target 2026: Rs 50 Analyst Forecast

Univest, 18 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Why Is ATLANTAA Share Price Falling Key Reasons 2026

Univest, 03 JulPrice 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.

Atlantaa schedules 43rd AGM for September 29, 2026

scanx.trade, 29 Sept

Atlantaa hits 5% upper circuit after securing ₹500 Cr project in Mumbai

Alice Blue, 16 Dec

Stocks to Watch Today: HCLTech, RBL Bank, Atlantaa, Zydus Life, Ion Exchange, Solex Energy, BL Kashyap,...

Moneycontrol.com, 16 Dec

SEPC shares jump 7% on ₹270-crore order win; stock up 20% in two sessions

Business Standard, 16 DecOrder win

🟢Potentially positiveOrder wins add to future revenue, though the effect depends on the contract's size against annual sales and on when it is executed.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongGrowth

MiddlingFinancial Health · Valuation

WeakBusiness Quality · Profitability · Risk

Points for each in the Score ↑

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 3 high-severity red flags sit above this conclusion and should be read first.

3 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Free cash flow remains positive; Interest cover stays above 3x · see Key things to watch ↑