Bombay Oxygen Investments Limited

Financial Services — Asset Management · BSE

₹18,299.00+₹789.00 (+4.51%)

DalalBaazaar Score

60 / 100

🟢 Good

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: The business is earning a fairly low return on the money invested in it, with both sales and profits growing well. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:10 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

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

What does this company do?

Bombay Oxygen Investments Limited operates as a non-banking financial company in India. It invests in mutual funds and other financial instruments, as well as various listed equities.

IndustryAsset Management

SectorFinancial Services

Employees9

Annual revenue₹4 Cr

How does it make money?

Turns over ₹4 Cr a year. Of every ₹100 of sales, about ₹-85 reaches shareholders as profit, with ₹-100 left at the operating level before interest, tax and depreciation. Each of its 9 employees supports ₹42.3 lakh of revenue a year, the signature of a people-led business.

EBITDA margin-100.3%

Net margin-85.1%

Revenue / employee₹42.3 lakh

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.

BAJAJ FINANCE LIMITEDP/E 30.2x · ROE 17.8%

HDFC BANK LTDP/E 15.9x · ROE 13.8%

ICICI BANK LTD.P/E 18.1x · ROE 16.5%

STATE BANK OF INDIAP/E 10.3x · ROE 15.2%

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.

ROCE-0.8%

ROE-0.7%

Peer median ROE16.5%

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 +197% while net margin moved -122% 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+197%

Margin effect-122%

DalalBaazaar Score

60/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.09 — 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

66/ 100

Good

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

Valuation

29/ 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

261.4x

3Y Median

17.2x

40 monthly readings · mean 25.9x · range 5.7x–98.0x

Sector Median

17.0x

median of 4 sector peers

⚠️Current valuation is approximately 1422% above its 3y median of 17.2x. 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 1438% above the peer median of 17.0x.

vs. its own history

Expensive

17.2x median over 40 months · +1422%

vs. sector peers

Expensive

17.0x median of 4 peers · +1438%

vs. generic bands

Expensive

Above 35x

P/E (Trailing)

261.4x

P/B

0.58x

EV/EBITDA

—

PEG

14.77

Dividend Yield

0.14%

What's Good / What's Bad

🟢 What's Going Well1

Margins are improving
EBITDA margin is up from -258.7% to -100.3% over 3 years.

🔴 What Needs Attention1

Valuation above its historical average
At 261.4x the stock trades 1422% above its own median of 17.2x.

Red Flags

1 item require attention · 1 high

🔴The company is lossmakingFinancial
Net profit of -₹3 Cr in the latest reported year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -258.7% to -100.3%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

The price already assumes success
The stock trades 1422% 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.
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.

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

1Revenue growth stays above 33% a year✓ 43.8% CAGR
Latest reported year was 16.5%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above -102%✓ -100.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 8%✗ -0.7%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 17.2x✗ 261.4x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

5 / 10 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)
✓ 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

₹274 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

261.4x

Expensive

Expensive — verify against sector peers

P/B Ratio

0.58x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹70.01

Profitable

Profitable on a per-share basis

ROE

-0.7%

Weak

Weak capital efficiency

ROCE

-0.8%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

16.5%

Healthy

Healthy top-line growth

Profit Growth (YoY)

17.7%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.14%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

-₹2 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹18,299

Operating Margin

98.6%

Good

Healthy core-business profitability

Net Margin

37.6%

Good

Strong bottom-line conversion

Current Ratio

25.63

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.09

Defensive

Steadier than the market

52W Range Position

11%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

17962.9 / 18677.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

53.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1 Cr	₹3 Cr	₹2 Cr	₹4 Cr	+43.8%
EBITDA	-₹3 Cr	₹69 Cr	₹18 Cr	-₹4 Cr	—
EBITDA Margin	-258.7%	2095.9%	776.2%	-100.3%	—
PAT (Net Profit)	₹5 Cr	₹58 Cr	₹18 Cr	-₹3 Cr	—
EPS	₹328.31	₹3,840.06	₹1,167.06	₹-216.04	—
ROE	1.5%	12.4%	3.6%	-0.7%	—
ROCE	0.2%	13.9%	3.6%	-0.8%	—
Free Cash Flow	-₹5 Cr	-₹2 Cr	-₹3 Cr	-₹2 Cr	—

🟢 Revenue has grown at 43.8% a year over 3 years.

🟢 EBITDA Margin has risen from -258.7% to -100.3% over 3 years (+158.4 pts).

🔴 PAT (Net Profit) has turned negative, from ₹5 Cr to -₹3 Cr.

🔴 EPS has turned negative, from ₹328.31 to ₹-216.04.

🔴 ROE has fallen from 1.5% to -0.7% over 3 years (-2.2 pts).

🔴 ROCE has fallen from 0.2% to -0.8% over 3 years (-1.0 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹496 Cr

Total Liabilities

₹24 Cr

Total Debt

—

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹2 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

8.5%

Insider Holding

75.8%

Corporate Actions

Dividend Rate

₹25

Ex-Dividend Date

18 Aug 2026

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

6 general

Why Bombay Oxygen Surged in 2021 Despite Not Making Oxygen

HDFC Sky, 14 Oct

Bombay Oxygen Investments Ltd Opens Special Window for Physical Share Transfer and Dematerialisation

scanx.trade, 10 Apr

Top 29 High-Priced Stocks To Invest In India In October 2026

Samco, 09 Oct

5 Times a Stock’s Price Went Up for the Wrong Reasons

Groww, 27 Apr

AKIKO Stock Price and Chart — NSE:AKIKO

TradingView, 18 Jul

Parle Industries’ upper circuit to Signal’s 5,100% surge: 5 mistaken stocks that triggered market...

Moneycontrol.com, 20 May

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.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

🟡Business QualityAdequate12.1/20

🟢Financial HealthStrong17/20

🟢GrowthStrong13/20

🟡ProfitabilityModerate7.6/15

🔴ValuationDemanding6.2/15

🔴RiskHigh4/10

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.

This thesis breaks if

✓Revenue growth stays above 33% a year43.8% CAGR
✓EBITDA margin holds above -102%-100.3%
✗Return on equity stays above 8%-0.7%
✗Valuation vs its own median of 17.2x261.4x today