Bombay Wire Ropes Limited

Financial Services — Shell Companies · BSE

₹37.25−₹0.24 (−0.64%)

DalalBaazaar Score

69 / 100

🟢 Good

Verdict

NEUTRAL

Risk

Moderate

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

In simple words: The business is earning a fairly low return on the money invested in it. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:28 pm

Understanding the Business

Company site ↗

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

What does this company do?

Bombay Wire Ropes Limited does not have significant operations. The company intends to evaluate alternative business opportunities. Previously, it was engaged in the manufacture and sale of specialty steel, and wire ropes.

IndustryShell Companies

SectorFinancial Services

Who are its competitors?

The closest listed comparisons in its industry are BAJAJ FINANCE LIMITED, HDFC BANK LTD, ICICI BANK LTD., STATE BANK OF INDIA. 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?Not assessable from these ratios

For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.

Peer median ROE16.5%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.15 — historically steadier than the index
✗ 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

72/ 100

Good

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

Valuation

82/ 100

Cheap

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

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

6.9x

Sector Median

17.0x

median of 4 sector peers

🟢Against its sector it trades 60% below the peer median of 17.0x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

17.0x median of 4 peers · -60%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

—

PEG

—

What's Good / What's Bad

🟢 What's Going Well2

Return on equity is rising
ROE has improved from -4.5% to -1.0%.
Return on capital is rising
ROCE has improved from -4.4% to -0.9%.

🔴 What Needs Attention0

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

Red Flags

3 items require attention · 2 high · 1 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only -59.8x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹0 Cr in the latest reported year.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from -7.3x to -59.8x.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 60% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

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
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

1Return on equity stays above 8%✗ -1.0%
For a lender this is the cleanest single read on whether the book is being grown profitably.
2Interest cover stays above 3x✗ -59.8x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

5 / 9 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ 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

₹20 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

6.9x

Cheap

Cheap against the generic band

P/B Ratio

2.57x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹5.43

Profitable

Profitable on a per-share basis

ROE

-1.0%

Weak

Weak capital efficiency

ROCE

-0.9%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

94.1%

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

-₹1 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

94.7%

Good

Healthy core-business profitability

Net Margin

67.0%

Good

Strong bottom-line conversion

Current Ratio

2.90

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.15

Defensive

Steadier than the market

52W Range Position

11%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

39.3 / 41.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

34.5

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
EBITDA	-₹0 Cr	-₹1 Cr	-₹1 Cr	-₹0 Cr	—
PAT (Net Profit)	-₹0 Cr	-₹0 Cr	-₹1 Cr	-₹0 Cr	—
EPS	₹-0.61	₹-0.58	₹-2.45	₹-0.14	—
ROE	-4.5%	-4.1%	-16.7%	-1.0%	—
ROCE	-4.4%	-6.0%	-7.1%	-0.9%	—
Free Cash Flow	-₹0 Cr	-₹1 Cr	-₹1 Cr	-₹1 Cr	—

🟢 ROE has risen from -4.5% to -1.0% over 3 years (+3.5 pts).

🟢 ROCE has risen from -4.4% to -0.9% over 3 years (+3.5 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹8 Cr

Total Liabilities

₹0 Cr

Total Debt

—

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹1 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

8.4%

Insider Holding

77.6%

Peer Comparison

Company	P/E	ROE
BAJAJ FINANCE LIMITED	30.2x	17.8%
HDFC BANK LTD	15.9x	13.8%
ICICI BANK LTD.	18.1x	16.5%
STATE BANK OF INDIA	10.3x	15.2%

Recent News

2 positive1 mixed3 general

Compare with LLOYDS STEEL IND.

Equitymaster, 11 Oct

Bombay Wire Ropes Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 15 Sept

SBI Cards & Payment Services standalone net profit rises 19.51% in the June 2026 quarter

Business Standard, 24 JulResults

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

Bombay Wire Ropes Limited Announces Q4FY26 Financial Results with Net Loss of ₹7.66 Lakhs

scanx.trade, 15 AprResults

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

BITS consolidated net profit rises 100.00% in the June 2026 quarter

Business Standard, 24 JulResults

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

Bombay Wire Ropes Limited (504648) Company Information

Simply Wall Street, 16 Nov

Watch Items

This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
2 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Valuation

MiddlingGrowth · Profitability

WeakRisk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last. 2 high-severity red flags sit above this conclusion and should be read first.

2 of 2 tripwires tripped — Return on equity stays above 8%; Interest cover stays above 3x · see Key things to watch ↑