BlackBuck Limited

Technology — Software - Application · NSE

₹593.30−₹3.20 (−0.54%)

DalalBaazaar Score

61 / 100

🟢 Good

Verdict

CAUTION

Risk

High

Driven by high debt relative to equity, small-cap size, which brings sharper price swings, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: Reasonable but unspectacular business quality, with both sales and profits growing well. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:00 pm

Understanding the Business

Company site ↗

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

What does this company do?

BlackBuck Limited, together with its subsidiaries, provides payments, telematics, loads marketplace, and vehicle financing services in India. It operates in two segments, Truck Operator Services and Lending Business.

IndustrySoftware - Application

SectorTechnology

Employees1,613

Annual revenue₹641 Cr

How does it make money?

Turns over ₹641 Cr a year. Of every ₹100 of sales, about ₹25 reaches shareholders as profit, with ₹36 left at the operating level before interest, tax and depreciation. Each of its 1,613 employees supports ₹39.7 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹39.7 lakh

Who are its competitors?

The closest listed comparisons in its industry are TATA CONSULTANCY SERV LT, INFOSYS LIMITED, HCL TECHNOLOGIES LTD, WIPRO 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 11.7% 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 ROE32.0%

What is the outlook?

6 analysts covering the stock expect revenue to grow about 28.1% and earnings to grow about 35.5% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+28.1%

Est. earnings growth+35.5%

Analysts6

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 +265% while net margin moved -115% 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+265%

Margin effect-115%

DalalBaazaar Score

61/ 100

Good

Weighted across six categories. Every point is explained below.

✗ P/E of 64.4x is demanding — it needs sustained high growth to justify
✗ P/B of 7.62x is a steep premium to book

Quality vs. Valuation

Company Quality

73/ 100

Good

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

Valuation

23/ 100

Expensive

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

A good business, but the price already reflects that. The quality is real; the question is whether you are overpaying for it today.

Historical Valuation

Current P/E

64.4x

Sector Median

16.5x

median of 4 sector peers

⚠️Against its sector it trades 289% above the peer median of 16.5x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Expensive

16.5x median of 4 peers · +289%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

47.2x

PEG

2.51

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from -121.0% to 35.6% over 3 years.
Debt is being paid down
Total debt is down 67% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Return on equity is rising
ROE has improved from -82.4% to 11.3%.
Return on capital is rising
ROCE has improved from -63.8% to 11.7%.

🔴 What Needs Attention0

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

Red Flags

1 item require attention · 1 high

🔴High leverageFinancial
Debt/Equity of 4.16x — earnings must service borrowings before shareholders see anything.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -121.0% to 35.6%. 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 67% 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?

Leverage amplifies any setback
Debt/Equity of 4.16x. Interest is payable whether or not the business has a good year.
A premium to the sector to defend
It trades 289% above the peer median. That premium needs a reason that persists, or it closes.
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
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.

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

1Revenue growth stays above 40% a year✓ 53.9% CAGR
Latest reported year was 42.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 34%✓ 35.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹58 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 9%✓ 11.7%
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

4 good · 4 neutral · 3 weak

Market Cap

₹10,812 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

64.4x

Expensive

Expensive — verify against sector peers

P/B Ratio

7.62x

Rich

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

EPS (TTM)

₹9.21

Profitable

Profitable on a per-share basis

ROE

11.3%

Moderate

Moderate capital efficiency

ROCE

11.7%

Moderate

Moderate return on the capital in the business

Debt/Equity

4.16x

High

High leverage

Revenue Growth (YoY)

42.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

25.7%

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

₹58 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

41.4x

Improving

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

Operating Margin

13.3%

Average

Average margins

Net Margin

23.7%

Good

Strong bottom-line conversion

Current Ratio

3.33

Comfortable

Healthy short-term liquidity

52W Range Position

39%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

603.4 / 596.2

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

48.4

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹176 Cr	₹296 Cr	₹421 Cr	₹641 Cr	+53.9%
EBITDA	-₹212 Cr	-₹138 Cr	₹127 Cr	₹228 Cr	—
EBITDA Margin	-121.0%	-46.8%	30.2%	35.6%	—
PAT (Net Profit)	-₹290 Cr	-₹194 Cr	-₹9 Cr	₹160 Cr	—
EPS	₹-16.46	₹-10.99	₹-0.53	₹8.76	—
ROE	-82.4%	-62.3%	-0.7%	11.3%	—
ROCE	-63.8%	-50.0%	-22.0%	11.7%	—
Total Debt	₹178 Cr	₹184 Cr	₹38 Cr	₹59 Cr	-30.7%
Free Cash Flow	-₹145 Cr	₹20 Cr	₹15 Cr	₹58 Cr	—

🟢 Revenue has grown at 53.9% a year over 3 years.

🟢 EBITDA has turned positive, from -₹212 Cr to ₹228 Cr.

🟢 EBITDA Margin has risen from -121.0% to 35.6% over 3 years (+156.6 pts).

🟢 PAT (Net Profit) has turned positive, from -₹290 Cr to ₹160 Cr.

🟢 EPS has turned positive, from ₹-16.46 to ₹8.76.

🟢 ROE has risen from -82.4% to 11.3% over 3 years (+93.6 pts).

🟢 ROCE has risen from -63.8% to 11.7% over 3 years (+75.6 pts).

🟢 Total Debt has shrunk at 30.7% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹145 Cr to ₹58 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,736 Cr

Total Liabilities

₹314 Cr

Cash & Equivalents

₹92 Cr

Operating Cash Flow

₹169 Cr

Capex

-₹112 Cr

Shareholding (proxy)

Institutional Holding

41.7%

Insider Holding

32.4%

Analyst Consensus

Recommendations

6 Buy · 1 Hold · 0 Sell

Target Price (Mean)

₹694.57

+17.1% vs CMP

Target Range

₹579 – ₹885

Peer Comparison

Company	P/E	ROE
TATA CONSULTANCY SERV LT	17.3x	45.6%
INFOSYS LIMITED	15.8x	32.0%
HCL TECHNOLOGIES LTD	20.4x	24.6%
WIPRO LTD	14.5x	15.9%

Recent News

2 mixed4 general

BLACKBUCK LIMITED Share Price

Upstox, 16 Oct

BlackBuck (NSEI:BLACKBUCK) Stock Forecast & Analyst Predictions

Simply Wall Street, 15 OctAnalyst view

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

Is BlackBuck the Best Stock in Its Sector? A Look at the Numbers

Univest, 15 Oct

BLACKBUCK (BLACKBUCK.NS) Fell -2.08% — Is a Recovery Ahead? 2026-10-08 - Insider Buying Alerts

https://www.siam.in/, 08 Oct

BlackBuck reports Rs 185 Cr revenue and Rs 66 Cr profit in Q4 FY26

Entrackr, 19 MayResults

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

BlackBuck cites AI productivity gains, Superloads momentum in Q1FY27 call

scanx.trade, 29 Jul

Watch Items

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

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability

WeakValuation · Risk

Points for each in the Score ↑

Good business, demanding price

The quality is real and the price already reflects it. Buying here is a bet that the business keeps compounding for long enough to grow into the multiple — which good businesses often do, but it removes the margin for error that a lower price would have given you. 1 high-severity red flag sits above this conclusion and should be read first.

All 5 tripwires holding · see Key things to watch ↑