Euro India Fresh Foods Limited

Consumer Defensive — Packaged Foods · NSE

₹262.20+₹5.20 (+2.02%)

DalalBaazaar Score

55 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

Driven by 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. Valuation is currently 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 Euro India Fresh Foods Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Euro India Fresh Foods Limited manufactures and markets indian snacks and beverages products under the euro brand name in india.

IndustryPackaged Foods

SectorConsumer Defensive

Employees276

Annual revenue₹151 Cr

How does it make money?

Turns over ₹151 Cr a year. Of every ₹100 of sales, about ₹3 reaches shareholders as profit, with ₹10 left at the operating level before interest, tax and depreciation. Each of its 276 employees supports ₹54.8 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹54.8 lakh

Who are its competitors?

The closest listed comparisons in its industry are NESTLE INDIA LIMITED, BRITANNIA INDUSTRIES LTD, TATA CONSUMER PRODUCT LTD, DABUR INDIA 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 12.5% 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 ROE51.0%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +9% while net margin moved +277% 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+9%

Margin effect+277%

DalalBaazaar Score

55/ 100

Moderate

Weighted across six categories. Every point is explained below.

✓ Beta of 0.10 — 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

Quality vs. Valuation

Company Quality

58/ 100

Average

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

Valuation

42/ 100

Expensive

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

120.8x

3Y Median

228.1x

40 monthly readings · mean 208.5x · range 106.1x–323.1x

Sector Median

51.7x

median of 4 sector peers

🟢Current valuation is approximately 47% below its 3y median of 228.1x. 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 trades 134% above the peer median of 51.7x.

vs. its own history

Cheap

228.1x median over 40 months · -47%

vs. sector peers

Expensive

51.7x median of 4 peers · +134%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

45.2x

PEG

2.01

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 5.7% to 10.4% over 3 years.
Return on equity is rising
ROE has improved from 1.9% to 6.4%.
Return on capital is rising
ROCE has improved from 6.4% to 12.5%.
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

1 item require attention · 1 high

🔴Debt has risen sharplyFinancial
Total debt is up 54% over 3 years, from ₹39 Cr to ₹59 Cr.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 5.7% to 10.4%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 47% 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 3.8x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
A premium to the sector to defend
It trades 134% above the peer median. That premium needs a reason that persists, or it closes.
Growth barely outpaces inflation
Revenue compounding at 2.9% 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.
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

1EBITDA margin holds above 8%✓ 10.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 3.8x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Interest cover stays above 3x✗ 2.7x
How much operating profit can fall before interest stops being comfortably covered.
4Revenue growth stays above 4% a year✗ 2.9% CAGR
Latest reported year was 15.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
5Free cash flow remains positive✓ ₹4 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

6 / 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

4 good · 4 neutral · 3 weak

Market Cap

₹650 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

120.8x

Expensive

Expensive — verify against sector peers

P/B Ratio

8.46x

Rich

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

EPS (TTM)

₹2.17

Profitable

Profitable on a per-share basis

ROE

6.4%

Weak

Weak capital efficiency

ROCE

12.5%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.77x

Moderate

Moderate leverage

Revenue Growth (YoY)

15.7%

Healthy

Healthy top-line growth

Profit Growth (YoY)

130.8%

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

₹4 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

6.7%

Average

Average margins

Net Margin

3.4%

Average

Average bottom-line conversion

Current Ratio

1.88

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.10

Defensive

Steadier than the market

52W Range Position

32%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

262.7 / 270.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

30.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹139 Cr	₹107 Cr	₹141 Cr	₹151 Cr	+2.9%
EBITDA	₹8 Cr	₹9 Cr	₹14 Cr	₹16 Cr	+25.6%
EBITDA Margin	5.7%	8.8%	9.6%	10.4%	—
PAT (Net Profit)	₹1 Cr	₹2 Cr	₹6 Cr	₹5 Cr	+60.1%
EPS	₹0.49	₹0.88	₹2	₹2	+59.8%
ROE	1.9%	3.3%	7.7%	6.4%	—
ROCE	6.4%	8.3%	13.0%	12.5%	—
Total Debt	₹39 Cr	₹39 Cr	₹42 Cr	₹59 Cr	+15.4%
Free Cash Flow	₹5 Cr	₹6 Cr	₹7 Cr	₹4 Cr	-6.3%

🟢 Revenue has grown at 2.9% a year over 3 years.

🟢 EBITDA has grown at 25.6% a year over 3 years.

🟢 EBITDA Margin has risen from 5.7% to 10.4% over 3 years (+4.7 pts).

🟢 PAT (Net Profit) has grown at 60.1% a year over 3 years.

🟢 EPS has grown at 59.8% a year over 3 years.

🟢 ROE has risen from 1.9% to 6.4% over 3 years (+4.6 pts).

🟢 ROCE has risen from 6.4% to 12.5% over 3 years (+6.1 pts).

🔴 Total Debt has grown at 15.4% a year over 3 years.

🔴 Free Cash Flow has shrunk at 6.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹155 Cr

Total Liabilities

₹78 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

₹10 Cr

Capex

-₹7 Cr

Peer Comparison

Company	P/E	ROE
NESTLE INDIA LIMITED	59.8x	79.9%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%
TATA CONSUMER PRODUCT LTD	59.3x	7.5%
DABUR INDIA LTD	34.7x	17.2%

Recent News

1 mixed5 general

Here's Why Euro India Fresh Foods (NSE:EIFFL) Has Caught The Eye Of Investors

Simply Wall Street, 18 Jan

Euro India Fresh Foods Ltd. Lower Circuit Today: Price, Data and Peers

Univest, 05 Oct

Euro India Fresh Foods NSE:EIFFL SEBI Reg 74(5) Q2 FY27

Kalkine India, 14 OctResults

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

Euro India Fresh Foods promoters hold 73.51% for FY26

scanx.trade, 12 Jun

Euro India Fresh Foods Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 04 Sept

Euro India Fresh Foods Ltd. Lower Circuit Streak: Day 2 Price and Data

Univest, 29 Sept

Watch Items

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

DalalBaazaar Thesis

StrongFinancial Health · Growth

MiddlingBusiness Quality · Profitability

WeakValuation · 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. 1 high-severity red flag sits above this conclusion and should be read first.

3 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Interest cover stays above 3x; Revenue growth stays above 4% a year · see Key things to watch ↑