Brigade Enterprises Limited

Real Estate — Real Estate - Development · NSE

₹575.00−₹6.45 (−1.11%)

DalalBaazaar Score

58 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

Driven by moderate debt load, negative free cash flow, small-cap size, which brings sharper price swings.

In simple words: Reasonable but unspectacular business quality, but sales are shrinking. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:46 pm

Understanding the Business

Company site ↗

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

What does this company do?

Brigade Enterprises Limited engages in the provision of real estate development, leasing, and related services in India. It operates through Real Estate, Hospitality, and Leasing segments. The company develops and sells various residential and commercial, and retail properties.

IndustryReal Estate - Development

SectorReal Estate

Employees3,408

Annual revenue₹5,660 Cr

How does it make money?

Turns over ₹5,660 Cr a year. Of every ₹100 of sales, about ₹11 reaches shareholders as profit, with ₹29 left at the operating level before interest, tax and depreciation. Each of its 3,408 employees supports ₹1.66 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.66 Cr

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY 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 ROE10.3%

What is the outlook?

13 analysts covering the stock expect revenue to grow about 12.7% and earnings to grow about 23.7% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+12.7%

Est. earnings growth+23.7%

Analysts13

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 +67% while net margin moved +33% 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+67%

Margin effect+33%

DalalBaazaar Score

58/ 100

Moderate

Weighted across six categories. Every point is explained below.

✓ Beta of 0.25 — historically steadier than the index
✗ Small Cap: thinner liquidity and sharper drawdowns are normal
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

60/ 100

Average

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

Valuation

69/ 100

Cheap

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

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

27.0x

3Y Median

50.1x

40 monthly readings · mean 51.4x · range 22.7x–106.9x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 46% below its 3y median of 50.1x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟡Against its sector it is priced broadly in line with the peer median of 30.2x.

vs. its own history

Cheap

50.1x median over 40 months · -46%

vs. sector peers

Fair

30.2x median of 3 peers · -11%

vs. generic bands

Fair

15x–35x

EV/EBITDA

14.9x

PEG

0.89

What's Good / What's Bad

🟢 What's Going Well1

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

🔴 What Needs Attention0

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

Red Flags

2 items require attention · 2 watch

🟡Debt is increasingFinancial
Total debt is up 38% over 3 years.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹1,876 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 46% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
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?

The debt load needs earnings to hold up
Debt is 4.2x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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 14% a year✓ 18.6% CAGR
Latest reported year was -12.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 27%✓ 28.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 4.2x
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✗ -₹1,876 Cr
Profit that never becomes cash eventually stops being profit.
5Interest cover stays above 3x✓ 3.3x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

7 / 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

2 good · 6 neutral · 3 weak

Market Cap

₹18,754 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

27.0x

Fair

Fairly valued against the generic band

P/B Ratio

27.49x

Rich

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

EPS (TTM)

₹21.29

Profitable

Profitable on a per-share basis

ROE

9.4%

Moderate

Moderate capital efficiency

ROCE

9.8%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.84x

Moderate

Moderate leverage

Revenue Growth (YoY)

-12.9%

Shrinking

Sales are contracting

Profit Growth (YoY)

33.8%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.35%

Modest

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

Free Cash Flow

-₹1,876 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

P/E (Forward)

15.7x

Improving

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

Operating Margin

25.8%

Good

Healthy core-business profitability

Net Margin

12.6%

Good

Strong bottom-line conversion

Current Ratio

1.24

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.25

Defensive

Steadier than the market

52W Range Position

35%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

582.6 / 612.5

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

41.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹3,397 Cr	₹4,866 Cr	₹5,034 Cr	₹5,660 Cr	+18.6%
EBITDA	₹946 Cr	₹1,345 Cr	₹1,630 Cr	₹1,623 Cr	+19.7%
EBITDA Margin	27.9%	27.6%	32.4%	28.7%	—
PAT (Net Profit)	₹291 Cr	₹452 Cr	₹686 Cr	₹644 Cr	+30.3%
EPS	₹9.46	₹14.63	₹21.51	₹19.75	+27.8%
ROE	9.0%	12.8%	12.2%	9.4%	—
ROCE	9.1%	11.8%	12.7%	9.8%	—
Total Debt	₹4,988 Cr	₹5,886 Cr	₹5,950 Cr	₹6,874 Cr	+11.3%
Free Cash Flow	₹644 Cr	₹65 Cr	₹356 Cr	-₹1,876 Cr	—

🟢 Revenue has grown at 18.6% a year over 3 years.

🟢 EBITDA has grown at 19.7% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 28.7% over 3 years.

🟢 PAT (Net Profit) has grown at 30.3% a year over 3 years.

🟢 EPS has grown at 27.8% a year over 3 years.

🟡 ROE has held roughly flat at 9.4% over 3 years.

🟡 ROCE has held roughly flat at 9.8% over 3 years.

🔴 Total Debt has grown at 11.3% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹644 Cr to -₹1,876 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹26,253 Cr

Total Liabilities

₹18,729 Cr

Cash & Equivalents

₹1,389 Cr

Operating Cash Flow

-₹137 Cr

Capex

-₹1,739 Cr

Shareholding (proxy)

Institutional Holding

38.0%

Insider Holding

46.7%

Corporate Actions

Next Earnings

28 Oct 2026

Dividend Rate

₹2

Ex-Dividend Date

05 Aug 2026

Analyst Consensus

Recommendations

14 Buy · 0 Hold · 1 Sell

Target Price (Mean)

₹767.83

+33.5% vs CMP

Target Range

₹560 – ₹900

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

2 positive2 mixed2 general

Brigade Enterprises shares rally 4% on signing agreement with US-based HealthEdge

Upstox, 20 AugPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Brigade Enterprises Share Price News After 2.11% Decline

Univest, 21 Sept

Brigade Enterprises Fixes June 17 Record Date For 1:3 Bonus Share Issuance

Sahi, 08 Jun

Bonus issue alert! Brigade Enterprises sets record date for 1:3 bonus share reward

The Economic Times, 09 JunCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Brigade Enterprises stock falls 20% as shares turn ex-bonus; adjusted stock price gains over 6%

TradingView, 16 JunPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Brigade Enterprises Q1 profit rises 33% on higher realisations, lower costs

Business Standard, 13 AugResults

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

Watch Items

Revenue growth is negative (-12.9%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongGrowth

MiddlingBusiness Quality · Financial Health · Profitability · Valuation · Risk

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you.

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