Grovy India Limited

Industrials — Conglomerates · BSE

₹60.65+₹0.35 (+0.58%)

DalalBaazaar Score

71 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

Driven by moderate debt load, micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

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 Grovy India Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Grovy India Limited engages in real estate development, infrastructure development, and consultancy services in India. Its portfolio comprises residential boutique apartments, houses, low-rise residences, boutique commercial developments, and builder floors.

IndustryConglomerates

SectorIndustrials

Employees9

Annual revenue₹33 Cr

How does it make money?

Turns over ₹33 Cr a year. Of every ₹100 of sales, about ₹9 reaches shareholders as profit, with ₹14 left at the operating level before interest, tax and depreciation. Each of its 9 employees supports ₹3.69 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹3.69 Cr

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.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 18.5% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE15.2%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +59% while net margin moved +102% 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+59%

Margin effect+102%

DalalBaazaar Score

71/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.01 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal

Quality vs. Valuation

Company Quality

73/ 100

Good

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

Valuation

71/ 100

Cheap

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

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

21.8x

3Y Median

67.0x

40 monthly readings · mean 90.3x · range 24.8x–246.8x

Sector Median

88.8x

median of 3 sector peers

🟢Current valuation is approximately 67% below its 3y median of 67.0x. 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 75% below the peer median of 88.8x.

vs. its own history

Cheap

67.0x median over 40 months · -67%

vs. sector peers

Cheap

88.8x median of 3 peers · -75%

vs. generic bands

Fair

15x–35x

EV/EBITDA

27.4x

PEG

0.46

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 7.2% to 14.4% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Return on equity is rising
ROE has improved from 5.1% to 12.6%.
Return on capital is rising
ROCE has improved from 6.8% to 18.5%.
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

2 items require attention · 2 high

🔴Debt has risen sharplyFinancial
Total debt is up 145% over 3 years, from ₹10 Cr to ₹25 Cr.
🔴Inventory building faster than salesFinancial
Inventory up 162% against revenue up 59% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 18.5% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from 7.2% to 14.4%. 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 67% 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.
Cheaper than its peers
It trades 75% 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 debt load needs earnings to hold up
Debt is 5.2x 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
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

1Revenue growth stays above 12% a year✓ 16.6% CAGR
Latest reported year was 233.2%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 12%✓ 14.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 5.2x
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✓ ₹0 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 16%✓ 18.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

7 / 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

5 good · 6 neutral · 0 weak

Market Cap

₹106 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

21.8x

Fair

Fairly valued against the generic band

P/B Ratio

3.51x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹2.78

Profitable

Profitable on a per-share basis

ROE

12.6%

Moderate

Moderate capital efficiency

ROCE

18.5%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.08x

Moderate

Moderate leverage

Revenue Growth (YoY)

233.2%

Healthy

Healthy top-line growth

Profit Growth (YoY)

74.4%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.16%

Modest

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

Free Cash Flow

₹0 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

10.0%

Average

Average margins

Net Margin

7.1%

Average

Average bottom-line conversion

Current Ratio

1.52

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.01

Defensive

Steadier than the market

52W Range Position

61%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

61.8 / 62.3

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

42.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹21 Cr	₹20 Cr	₹25 Cr	₹33 Cr	+16.6%
EBITDA	₹2 Cr	₹1 Cr	₹3 Cr	₹5 Cr	+46.9%
EBITDA Margin	7.2%	7.3%	11.5%	14.4%	—
PAT (Net Profit)	₹1 Cr	₹1 Cr	₹2 Cr	₹3 Cr	+47.4%
EPS	₹0.68	₹0.75	₹1.35	₹2.17	+47.2%
ROE	5.1%	5.3%	8.8%	12.6%	—
ROCE	6.8%	8.8%	12.4%	18.5%	—
Total Debt	₹10 Cr	₹11 Cr	₹25 Cr	₹25 Cr	+34.7%
Free Cash Flow	-₹8 Cr	-₹1 Cr	-₹13 Cr	₹0 Cr	—

🟢 Revenue has grown at 16.6% a year over 3 years.

🟢 EBITDA has grown at 46.9% a year over 3 years.

🟢 EBITDA Margin has risen from 7.2% to 14.4% over 3 years (+7.2 pts).

🟢 PAT (Net Profit) has grown at 47.4% a year over 3 years.

🟢 EPS has grown at 47.2% a year over 3 years.

🟢 ROE has risen from 5.1% to 12.6% over 3 years (+7.4 pts).

🟢 ROCE has risen from 6.8% to 18.5% over 3 years (+11.7 pts).

🔴 Total Debt has grown at 34.7% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹8 Cr to ₹0 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹73 Cr

Total Liabilities

₹50 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹0 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

80.9%

Corporate Actions

Dividend Rate

₹0.1

Ex-Dividend Date

01 Jul 2026

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

1 mixed5 general

Grovy India Ltd. Lower Circuit Today: Price, Data and Peers

Univest, 30 Sept

Grovy India allotting 41.69 lakh shares at ₹36 in preferential issue

scanx.trade, 04 Aug

Grovy India Ltd. Upper Circuit Today: Price, Data and Peers

Univest, 23 Sept

Q1 results 2026: Infosys to IndiGo among companies to declare Q1 results today; full list here

Livemint, 23 JulResults

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

Top stocks in news: Kotak Bank, Advit Jewels, YES Bank, RailTel, RITES, KPIT Tech, LTTS, autos

Business Today, 01 Jul

INDO SMC gains 7.5% after bagging ₹40.77 Cr purchase order for HT bus duct supply

Alice Blue, 11 Feb

Watch Items

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

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Valuation

MiddlingProfitability · Risk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last. 2 high-severity red flags sit above this conclusion and should be read first.

1 of 5 tripwires tripped — Debt / EBITDA falls below 3x · see Key things to watch ↑