Shree Tirupati Balajee Agro Trading Company Limited

Consumer Cyclical — Packaging & Containers · NSE

₹21.95−₹0.23 (−1.04%)

DalalBaazaar Score

38 / 100

🔴 Weak

Verdict

CAUTION

Risk

High

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

In simple words: The business is earning a fairly low return on the money invested in it, 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 Shree Tirupati Balajee Agro Trading Company Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Shree Tirupati Balajee Agro Trading Company Limited manufactures and sells flexible intermediate bulk containers (FIBC) and other industrial products in India.

IndustryPackaging & Containers

SectorConsumer Cyclical

Employees671

Annual revenue₹559 Cr

How does it make money?

Turns over ₹559 Cr a year. Of every ₹100 of sales, about ₹2 reaches shareholders as profit, with ₹7 left at the operating level before interest, tax and depreciation. Each of its 671 employees supports ₹83.4 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹83.4 lakh

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED. 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 9.8% 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 ROE25.9%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +21% while net margin moved -44% 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+21%

Margin effect-44%

DalalBaazaar Score

38/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Revenue CAGR of only 6.5% — barely ahead of inflation
✗ Profit has declined at 12.3% a year
✗ Profit is compounding slower than revenue — margins are being squeezed as the business grows
✗ Profit fell 34.9% in the latest year

Quality vs. Valuation

Company Quality

35/ 100

Weak

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

Valuation

59/ 100

Fair

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

Weak on business quality and not cheap enough to compensate.

Historical Valuation

Current P/E

19.3x

2Y Median

13.7x

27 monthly readings · mean 14.1x · range 6.3x–22.4x

Sector Median

69.2x

median of 4 sector peers

⚠️Current valuation is approximately 41% above its 2y median of 13.7x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 72% below the peer median of 69.2x.

vs. its own history

Expensive

13.7x median over 27 months · +41%

vs. sector peers

Cheap

69.2x median of 4 peers · -72%

vs. generic bands

Fair

15x–35x

EV/EBITDA

10.0x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 14.8% to 3.6% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 21.6% to 9.8% — often a sign of competition or overexpansion.

Red Flags

7 items require attention · 3 high · 4 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only 1.9x — little room if earnings dip.
🔴Free cash flow negative for 3 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴Receivables growing faster than salesFinancial
Receivables up 81% against revenue up 21% — sales are being booked faster than they are collected.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 3.4x to 1.9x.
🟡Profit is decliningFinancial
Net profit is down 32% over 3 years.
🟡Margins are compressingFinancial
EBITDA margin is down 3.2 points over 3 years.
🟡Inventory building faster than salesFinancial
Inventory up 65% against revenue up 21% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 72% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
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 10.5% to 7.3%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
The debt load needs earnings to hold up
Debt is 5.6x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Sales are being booked faster than collected
Receivables are up 81% against revenue up 21%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
The price already assumes success
The stock trades 41% above its own median multiple. At this level the business has to deliver just to stand still, and a stumble is repriced twice — lower earnings on a lower multiple.
Growth barely outpaces inflation
Revenue compounding at 6.5% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.

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

1EBITDA margin holds above 5%✓ 7.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 5.6x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Free cash flow remains positive✗ -₹19 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✗ 1.9x
How much operating profit can fall before interest stops being comfortably covered.
5Revenue growth stays above 5% a year✓ 6.5% CAGR
Latest reported year was 11.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.

Investment Checklist

5 / 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

3 good · 5 neutral · 3 weak

Market Cap

₹179 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

19.3x

Fair

Fairly valued against the generic band

P/B Ratio

0.59x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹1.14

Profitable

Profitable on a per-share basis

ROE

3.6%

Weak

Weak capital efficiency

ROCE

9.8%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.66x

Moderate

Moderate leverage

Revenue Growth (YoY)

11.3%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-34.9%

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

-₹19 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

6.3%

Average

Average margins

Net Margin

1.6%

Weak

Very little revenue reaches the bottom line

Current Ratio

2.00

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

1.16

Market-like

Moves roughly in line with the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

24.3 / 25.5

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

11.0

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹463 Cr	₹523 Cr	₹567 Cr	₹559 Cr	+6.5%
EBITDA	₹49 Cr	₹69 Cr	₹70 Cr	₹41 Cr	-5.6%
EBITDA Margin	10.5%	13.2%	12.4%	7.3%	—
PAT (Net Profit)	₹16 Cr	₹29 Cr	₹25 Cr	₹11 Cr	-12.3%
EPS	₹2	₹3.59	₹3.38	₹1.35	-12.3%
ROE	14.8%	16.9%	8.7%	3.6%	—
ROCE	21.6%	25.9%	17.9%	9.8%	—
Total Debt	₹225 Cr	₹245 Cr	₹202 Cr	₹232 Cr	+1.0%
Free Cash Flow	₹28 Cr	-₹44 Cr	-₹40 Cr	-₹19 Cr	—

🟢 Revenue has grown at 6.5% a year over 3 years.

🔴 EBITDA has shrunk at 5.6% a year over 3 years.

🔴 EBITDA Margin has fallen from 10.5% to 7.3% over 3 years (-3.2 pts).

🔴 PAT (Net Profit) has shrunk at 12.3% a year over 3 years.

🔴 EPS has shrunk at 12.3% a year over 3 years.

🔴 ROE has fallen from 14.8% to 3.6% over 3 years (-11.2 pts).

🔴 ROCE has fallen from 21.6% to 9.8% over 3 years (-11.8 pts).

🟡 Total Debt has been broadly flat over 3 years (1.0% a year).

🔴 Free Cash Flow has turned negative, from ₹28 Cr to -₹19 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹627 Cr

Total Liabilities

₹279 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

-₹7 Cr

Capex

-₹12 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

70.7%

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

1 mixed5 general

Shree Tirupati Balajee Agro Trading Company Share: Bull Case vs Bear Case for 2026

Univest, 24 Sept

Shree Tirupati Balajee files AGM minutes, confirms voting results

scanx.trade, 06 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

SHREE TIRUPATI BALAJEE L Share Price

Upstox, 05 May

Compare with

Equitymaster, 09 Oct

Shree Tirupati Balajee Agro Trading Company Ltd Peer Comparison – Compare with Others

Value Research, 31 Aug

Shree Tirupati Balajee Agro Trading Company Ltd. Share Price Live Today

CNBC TV18, 03 Jan

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
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

MiddlingFinancial Health · Valuation

WeakBusiness Quality · Growth · 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 ↑