GCM Commodity & Derivatives Limited

Financial Services — Capital Markets · BSE

₹5.27₹0.00 (0.00%)

DalalBaazaar Score

51 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, the company is currently loss-making, micro-cap size, which brings thin liquidity.

In simple words: The company is currently losing money, 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, 8:28 pm

Understanding the Business

Company site ↗

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

What does this company do?

GCM Commodity & Derivatives Limited invests in shares and securities in India. It offers commercial papers and fixed deposits. It also undertakes related activities of capital markets. GCM Commodity & Derivatives Limited was incorporated in 2005 and is based in Mumbai, India.

IndustryCapital Markets

SectorFinancial Services

Employees11

Annual revenue-₹3 Cr

How does it make money?

Turns over -₹3 Cr a year. Of every ₹100 of sales, about ₹119 reaches shareholders as profit, with ₹118 left at the operating level before interest, tax and depreciation. Each of its 11 employees supports ₹-24,42,545 of revenue a year, the signature of a people-led business.

Revenue / employee₹-24,42,545

Who are its competitors?

The closest listed comparisons in its industry are BAJAJ FINANCE LIMITED, HDFC LIFE INS CO LTD, SBI LIFE INSURANCE CO 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?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 ROE13.7%

DalalBaazaar Score

51/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative
✗ ROE has fallen by 102.0 points over the period

Quality vs. Valuation

Company Quality

52/ 100

Average

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

Valuation

36/ 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.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

No P/E — the company is lossmaking

EV/EBITDA

—

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Margins are improving
EBITDA margin is up from -10174.3% to 117.9% over 3 years.

🔴 What Needs Attention3

Return on equity is falling
ROE has dropped from 4.7% to -97.3% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 4.7% to -97.0% — often a sign of competition or overexpansion.
Receivables growing faster than sales
Receivables are up 497% against revenue growth of -38283% — customers are taking longer to pay.

Red Flags

3 items require attention · 2 high · 1 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only -283.3x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹3 Cr in the latest reported year.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from -100.5x to -283.3x.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -10174.3% to 117.9%. 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?

Returns on shareholder capital are falling
ROE has dropped from 4.7% to -97.3%. 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.
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

1EBITDA margin holds above 116%✓ 117.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Return on equity stays above 8%✗ -69.6%
For a lender this is the cleanest single read on whether the book is being grown profitably.
3Interest cover stays above 3x✗ -283.3x
How much operating profit can fall before interest stops being comfortably covered.

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

3 good · 3 neutral · 5 weak

Market Cap

₹4 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

1.20x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-4.29

Loss-making

Negative earnings per share — the business is losing money

ROE

-69.6%

Weak

Weak capital efficiency

ROCE

-97.0%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

23.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

27.7%

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

-₹0 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

-17.3%

Weak

Assets generate little profit

Operating Margin

-633.6%

Weak

Thin margins leave little room for error

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.03

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

-0.11

Defensive

Steadier than the market

52W Range Position

99%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

5.0 / 4.6

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

81.2

Overbought zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	-₹0 Cr	₹3 Cr	-₹4 Cr	-₹3 Cr	—
EBITDA	₹1 Cr	-₹1 Cr	-₹4 Cr	-₹3 Cr	—
EBITDA Margin	-10174.3%	-28.9%	100.1%	117.9%	—
PAT (Net Profit)	₹1 Cr	-₹1 Cr	-₹4 Cr	-₹3 Cr	—
EPS	₹0.95	₹-1.36	₹-5.93	—	—
ROE	4.7%	-8.7%	-75.1%	-97.3%	—
ROCE	4.7%	-8.7%	-74.1%	-97.0%	—
Free Cash Flow	-₹2 Cr	₹2 Cr	₹3 Cr	-₹0 Cr	—

🔴 EBITDA has turned negative, from ₹1 Cr to -₹3 Cr.

🟢 EBITDA Margin has risen from -10174.3% to 117.9% over 3 years (+10292.2 pts).

🔴 PAT (Net Profit) has turned negative, from ₹1 Cr to -₹3 Cr.

🔴 ROE has fallen from 4.7% to -97.3% over 3 years (-102.0 pts).

🔴 ROCE has fallen from 4.7% to -97.0% over 3 years (-101.7 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹18 Cr

Total Liabilities

₹15 Cr

Total Debt

—

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹0 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

27.4%

Peer Comparison

Company	P/E	ROE
BAJAJ FINANCE LIMITED	30.2x	17.8%
HDFC LIFE INS CO LTD	58.4x	11.3%
SBI LIFE INSURANCE CO LTD	63.9x	13.7%

Recent News

1 mixed5 general

GCM Commodity sets Sept 29 AGM, book closure for director re-appointments

scanx.trade, 13 Oct

Price performance

Yahoo Finance UK, 14 Oct

GCM Commodity & Derivatives AGM resolutions pass with 100% majority

scanx.trade, 29 Sept

INDICAP Stock Price and Chart — BSE:INDICAP

TradingView, 05 Jul

Broker raised IPO money to invest in NSEL products just before crisis

Business Standard, 15 Aug

Q2 Results Today: Vodafone Idea, Ather Energy, Emami, V-Mart, Vikran Engineering, More

Goodreturns, 10 NovResults

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

Watch Items

Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
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.
RSI is in overbought territory — momentum entries here carry more short-term pullback risk.

DalalBaazaar Thesis

StrongFinancial Health

MiddlingGrowth · Valuation

WeakBusiness Quality · Profitability · 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 high-severity red flags sit above this conclusion and should be read first.

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