Hexa Tradex Limited

Financial Services — Credit Services · NSE

₹156.55−₹1.47 (−0.93%)

DalalBaazaar Score

49 / 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, 6:09 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 Hexa Tradex Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Hexa Tradex Limited operates as a dealer, trader, import and export agent, representative, contractor, buyer, seller, and broker in India. The company operates through two segments: Trading and Other Activities; and Investment and Finance.

IndustryCredit Services

SectorFinancial Services

Employees3

Annual revenue₹5 Cr

How does it make money?

Turns over ₹5 Cr a year. Of every ₹100 of sales, about ₹-161 reaches shareholders as profit, with ₹-135 left at the operating level before interest, tax and depreciation. Each of its 3 employees supports ₹1.80 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin-135.1%

Net margin-161.4%

Revenue / employee₹1.80 Cr

Who are its competitors?

The closest listed comparisons in its industry are BAJAJ FINANCE LIMITED, STATE BANK OF INDIA, HDFC BANK LTD, ICICI BANK LTD.. These are the companies its valuation and returns are measured against elsewhere in this report.

BAJAJ FINANCE LIMITEDP/E 30.2x · ROE 17.8%

STATE BANK OF INDIAP/E 10.3x · ROE 15.2%

HDFC BANK LTDP/E 15.9x · ROE 13.8%

ICICI BANK LTD.P/E 18.1x · ROE 16.5%

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.

ROCE-0.1%

ROE-0.2%

Peer median ROE16.5%

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 +408% while net margin moved -93% 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+408%

Margin effect-93%

DalalBaazaar Score

49/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative

Quality vs. Valuation

Company Quality

51/ 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

P/E (Trailing)

Not meaningful

P/B

0.19x

EV/EBITDA

—

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well1

Margins are improving
EBITDA margin is up from -4498.0% to -135.1% over 3 years.

🔴 What Needs Attention0

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

Red Flags

1 item require attention · 1 high

🔴The company is lossmakingFinancial
Net profit of -₹9 Cr in the latest reported year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -4498.0% to -135.1%. 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?

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

1Revenue growth stays above 54% a year✓ 71.9% CAGR
Latest reported year was 18.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above -137%✓ -135.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 8%✗ -0.2%
For a lender this is the cleanest single read on whether the book is being grown profitably.

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 · 2 neutral · 5 weak

Market Cap

₹865 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

0.19x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-1.25

Loss-making

Negative earnings per share — the business is losing money

ROE

-0.2%

Weak

Weak capital efficiency

ROCE

-0.1%

Weak

Low return on total capital employed

Debt/Equity

0.19x

Low

Conservative leverage

Revenue Growth (YoY)

18.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

65.0%

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 burning

Spending more cash than the operations bring in

More Metrics

CMP

₹156.55

Operating Margin

-5482.4%

Weak

Thin margins leave little room for error

Net Margin

-150.2%

Weak

Very little revenue reaches the bottom line

Current Ratio

3.38

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.00

Defensive

Steadier than the market

52W Range Position

28%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

156.8 / 157.8

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

48.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1 Cr	₹95 Cr	₹5 Cr	₹5 Cr	+71.9%
EBITDA	-₹48 Cr	₹118 Cr	-₹9 Cr	-₹7 Cr	—
EBITDA Margin	-4498.0%	123.8%	-207.3%	-135.1%	—
PAT (Net Profit)	-₹26 Cr	₹92 Cr	-₹25 Cr	-₹9 Cr	—
EPS	₹-4.64	₹16.7	₹-4.52	₹-1.58	—
ROE	-1.1%	2.4%	-0.6%	-0.2%	—
ROCE	-1.8%	2.5%	-0.2%	-0.1%	—
Total Debt	₹586 Cr	₹46 Cr	₹22 Cr	₹9 Cr	-75.5%
Free Cash Flow	-₹23 Cr	₹96 Cr	₹22 Cr	-₹4 Cr	—

🟢 Revenue has grown at 71.9% a year over 3 years.

🟢 EBITDA Margin has risen from -4498.0% to -135.1% over 3 years (+4363.0 pts).

🟡 ROE has held roughly flat at -0.2% over 3 years.

🟢 ROCE has risen from -1.8% to -0.1% over 3 years (+1.6 pts).

🟢 Total Debt has shrunk at 75.5% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹5,321 Cr

Total Liabilities

₹705 Cr

Total Debt

₹9 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹4 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

94.4%

Corporate Actions

Ex-Dividend Date

09 May 2013

Peer Comparison

Company	P/E	ROE
BAJAJ FINANCE LIMITED	30.2x	17.8%
STATE BANK OF INDIA	10.3x	15.2%
HDFC BANK LTD	15.9x	13.8%
ICICI BANK LTD.	18.1x	16.5%

Recent News

2 mixed4 general

Hexa Tradex Limited (HEXATRADEX.NS): Stock Climbs 2.04% to ₹157.96, Tests Upper End of Recent Range - Passive Flow

siam.in, 13 Oct

Hexa Tradex Ltd. Share Price Rises 9.07%: Full Analysis

Univest, 18 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.

No encumbrance on Hexa Tradex shares for FY26

scanx.trade, 22 Jun

Hexa Tradex Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 31 Aug

Compare VINTRON INFORM with Hexa Tradex

Equitymaster, 10 Oct

Hexa Tradex reports consolidated net profit of Rs 1.67 crore in the June 2026 quarter

Business Standard, 11 AugResults

🟡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

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.

DalalBaazaar Thesis

🔴Business QualityWeak6.8/20

🟢Financial HealthStrong17/20

🟢GrowthStrong13/20

🔴ProfitabilityWeak1.3/15

🟡ValuationFair7.1/15

🔴RiskHigh4/10

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.

This thesis breaks if

✓Revenue growth stays above 54% a year71.9% CAGR
✓EBITDA margin holds above -137%-135.1%
✗Return on equity stays above 8%-0.2%