Fortune International Limited

Industrials — Specialty Business Services · BSE

₹79.50−₹2.00 (−2.45%)

DalalBaazaar Score

39 / 100

🔴 Weak

Verdict

CAUTION

Risk

High

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

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, 6:03 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 Fortune International Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Fortune International Limited engages in the production, storage, distribution, export, marketing, and securing of orders for sale of engineering goods and commodities in India and internationally. The company was incorporated in 1981 and is based in New Delhi, India.

IndustrySpecialty Business Services

SectorIndustrials

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., SIEMENS LTD, ABB INDIA LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

LARSEN & TOUBRO LTD.P/E 30.1x · ROE 15.2%

SIEMENS LTDP/E 88.8x · ROE 10.5%

ABB INDIA LIMITEDP/E 92.6x · ROE 19.1%

What is its competitive advantage?Little sign of one

Returns on capital of -0.4% 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.

ROCE-0.4%

ROE9.4%

Peer median ROE15.2%

DalalBaazaar Score

39/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Profit has declined at 14.2% a year
✗ Profit fell 35.9% in the latest year

Quality vs. Valuation

Company Quality

32/ 100

Weak

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

Valuation

65/ 100

Fair

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

Weak on business quality and not cheap enough to compensate.

Historical Valuation

Current P/E

14.5x

3Y Median

9.4x

40 monthly readings · mean 8.8x · range 2.9x–15.2x

Sector Median

88.8x

median of 3 sector peers

⚠️Current valuation is approximately 55% above its 3y median of 9.4x. 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 84% below the peer median of 88.8x.

vs. its own history

Expensive

9.4x median over 40 months · +55%

vs. sector peers

Cheap

88.8x median of 3 peers · -84%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

14.5x

P/B

1.20x

EV/EBITDA

—

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well1

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

🔴 What Needs Attention3

Free cash flow is negative
The business is not currently covering its capital spending from operations.
Return on equity is falling
ROE has dropped from 21.0% to 9.4% — each rupee of shareholder capital earns less than it did.
Valuation above its historical average
At 14.5x the stock trades 55% above its own median of 9.4x.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🟡Profit is decliningFinancial
Net profit is down 37% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 84% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
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 price already assumes success
The stock trades 55% 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.
Returns on shareholder capital are falling
ROE has dropped from 21.0% to 9.4%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
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

1Free cash flow remains positive✗ -₹0 Cr
Profit that never becomes cash eventually stops being profit.
2ROCE stays above 8%✗ -0.4%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
3Valuation vs its own median of 9.4x✗ 14.5x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

4 / 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

₹56 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

14.5x

Cheap

Cheap against the generic band

P/B Ratio

1.20x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹5.47

Profitable

Profitable on a per-share basis

ROE

9.4%

Moderate

Moderate capital efficiency

ROCE

-0.4%

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)

-35.9%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹0 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹79.5

Operating Margin

0.0%

Weak

Thin margins leave little room for error

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

3.51

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.60

Defensive

Steadier than the market

52W Range Position

69%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

80.0 / 79.4

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

47.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
EBITDA	-₹0 Cr	-₹0 Cr	-₹0 Cr	-₹0 Cr	—
PAT (Net Profit)	₹7 Cr	₹5 Cr	₹4 Cr	₹5 Cr	-14.2%
EPS	₹10.15	₹7.18	₹5.96	₹6.42	-14.2%
ROE	21.0%	12.9%	9.7%	9.4%	—
ROCE	-0.5%	-0.5%	-0.3%	-0.4%	—
Total Debt	₹0 Cr	₹0 Cr	—	—	—
Free Cash Flow	-₹0 Cr	-₹0 Cr	-₹0 Cr	-₹0 Cr	—

🔴 PAT (Net Profit) has shrunk at 14.2% a year over 3 years.

🔴 EPS has shrunk at 14.2% a year over 3 years.

🔴 ROE has fallen from 21.0% to 9.4% over 3 years (-11.5 pts).

🟡 ROCE has held roughly flat at -0.4% over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹48 Cr

Total Liabilities

₹0 Cr

Total Debt

—

Cash & Equivalents

₹1 Cr

Operating Cash Flow

-₹0 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

86.1%

Corporate Actions

Ex-Dividend Date

16 Feb 1996

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%

Recent News

6 general

Compare with

Equitymaster, 10 Oct

Fortune International passes all resolutions at 44th AGM

scanx.trade, 30 Sept

Fortune International Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 04 Sept

Microsoft (MSFT): Company Profile, Stock Price, News, Rankings

Fortune, 29 Sept

World’s Largest Companies In 2026

Global Finance Magazine, 01 Apr

Fortune International Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 03 Sept

Watch Items

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

🔴Business QualityWeak6.1/20

🟡Financial HealthAdequate10.8/20

🔴GrowthWeak2.4/20

🔴ProfitabilityWeak4.6/15

🟢ValuationAttractive9.8/15

🟡RiskModerate5.4/10

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 1 high-severity red flag sits above this conclusion and should be read first.

This thesis breaks if

✗Free cash flow remains positive-₹0 Cr
✗ROCE stays above 8%-0.4%
✗Valuation vs its own median of 9.4x14.5x today