Innovision Limited

Industrials — Staffing & Employment Services · NSE

₹252.00+₹1.00 (+0.40%)

DalalBaazaar Score

53 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

High

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

In simple words: Strong business and financial position, 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, 7:03 pm

Understanding the Business

Company site ↗

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

What does this company do?

Innovision Limited provides manpower services, toll plaza management, and skill development training in India.

IndustryStaffing & Employment Services

SectorIndustrials

Annual revenue₹981 Cr

How does it make money?

Turns over ₹981 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹6 left at the operating level before interest, tax and depreciation.

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 19.5% 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?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +284% while net margin moved +8% 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+284%

Margin effect+8%

DalalBaazaar Score

53/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

55/ 100

Average

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

Valuation

74/ 100

Cheap

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

15.0x

Sector Median

88.8x

median of 3 sector peers

🟢Against its sector it trades 83% below the peer median of 88.8x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

88.8x median of 3 peers · -83%

vs. generic bands

Fair

15x–35x

EV/EBITDA

11.0x

PEG

0.25

What's Good / What's Bad

🟢 What's Going Well1

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

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 22.1% to 12.6% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 27.4% to 19.5% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 3 high

🔴Debt has risen sharplyFinancial
Total debt is up 264% over 3 years, from ₹34 Cr to ₹125 Cr.
🔴Free cash flow negative for 3 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 19.5% 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.
Cheaper than its peers
It trades 83% 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?

Returns on shareholder capital are falling
ROE has dropped from 22.1% to 12.6%. 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
3 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 42% a year✓ 56.6% CAGR
Latest reported year was 18.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 4%✓ 6.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹31 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 16%✓ 19.5%
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 · 5 neutral · 1 weak

Market Cap

₹600 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

15.0x

Fair

Fairly valued against the generic band

P/B Ratio

4.65x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹16.79

Profitable

Profitable on a per-share basis

ROE

12.6%

Moderate

Moderate capital efficiency

ROCE

19.5%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.43x

Low

Conservative leverage

Revenue Growth (YoY)

18.3%

Healthy

Healthy top-line growth

Profit Growth (YoY)

25.3%

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

-₹31 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

-4.0%

Weak

Thin margins leave little room for error

Net Margin

1.7%

Weak

Very little revenue reaches the bottom line

Current Ratio

2.55

Comfortable

Healthy short-term liquidity

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

253.2 / 261.3

Bearish alignment (short < long)

RSI (14)

48.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹256 Cr	₹510 Cr	₹893 Cr	₹981 Cr	+56.6%
EBITDA	₹16 Cr	₹18 Cr	₹52 Cr	₹61 Cr	+57.4%
EBITDA Margin	6.1%	3.6%	5.8%	6.2%	—
PAT (Net Profit)	₹9 Cr	₹10 Cr	₹29 Cr	₹37 Cr	+60.8%
EPS	₹3.73	₹4.36	₹12.38	—	—
ROE	22.1%	19.8%	35.8%	12.6%	—
ROCE	27.4%	25.0%	53.1%	19.5%	—
Total Debt	₹34 Cr	₹49 Cr	₹79 Cr	₹125 Cr	+53.8%
Free Cash Flow	₹2 Cr	-₹0 Cr	-₹22 Cr	-₹31 Cr	—

🟢 Revenue has grown at 56.6% a year over 3 years.

🟢 EBITDA has grown at 57.4% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 6.2% over 3 years.

🟢 PAT (Net Profit) has grown at 60.8% a year over 3 years.

🔴 ROE has fallen from 22.1% to 12.6% over 3 years (-9.5 pts).

🔴 ROCE has fallen from 27.4% to 19.5% over 3 years (-7.9 pts).

🔴 Total Debt has grown at 53.8% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹2 Cr to -₹31 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹474 Cr

Total Liabilities

₹180 Cr

Cash & Equivalents

₹51 Cr

Operating Cash Flow

-₹28 Cr

Capex

-₹3 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

89.8%

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 positive5 general

INNOVISION LIMITED Share Price

Upstox, 16 Oct

Innovision Limited (INNOVISION.NS) Edges Higher: Stock Holds Above ₹250 With Support at ₹241.01 - Put Dominated

https://www.siam.in/, 29 Sept

Weak listing: Innovision shares debut at 10% discount following IPO extension

Moneycontrol.com, 23 Mar

INNOVISION LIMITED Share Price ATL: Ownership, Valuation

Univest, 17 Aug

INNOVISION Stock Price and Chart — NSE:INNOVISION

TradingView, 23 Mar

Innovision share price news today - Stock Jumps 12% as Order Book Swells

Alice Blue, 09 SeptOrder win

🟢Potentially positiveOrder wins add to future revenue, though the effect depends on the contract's size against annual sales and on when it is executed.

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongGrowth

MiddlingFinancial Health · 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. 3 high-severity red flags sit above this conclusion and should be read first.

2 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Free cash flow remains positive · see Key things to watch ↑