Jindal Drilling & Industries Limited

Energy — Oil & Gas Equipment & Services · NSE

₹568.55−₹2.05 (−0.36%)

DalalBaazaar Score

73 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

Driven by high debt relative to equity, micro-cap size, which brings thin liquidity, falling profits.

In simple words: Reasonable but unspectacular business quality, though profits are falling even as sales grow. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

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

What does this company do?

Jindal Drilling & Industries Limited engages in providing drilling and related services to the oil and gas exploration companies in India.

IndustryOil & Gas Equipment & Services

SectorEnergy

Employees744

Annual revenue₹997 Cr

How does it make money?

Turns over ₹997 Cr a year. Of every ₹100 of sales, about ₹21 reaches shareholders as profit, with ₹40 left at the operating level before interest, tax and depreciation. Each of its 744 employees supports ₹1.34 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin40.1%

Net margin21.1%

Revenue / employee₹1.34 Cr

Who are its competitors?

The closest listed comparisons in its industry are RELIANCE INDUSTRIES LTD, OIL AND NATURAL GAS CORP., BHARAT PETROLEUM CORP LT, INDIAN OIL CORP LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

RELIANCE INDUSTRIES LTDP/E 21.9x · ROE 8.3%

OIL AND NATURAL GAS CORP.P/E 6.4x · ROE 11.7%

BHARAT PETROLEUM CORP LTP/E 7.3x · ROE 17.1%

INDIAN OIL CORP LTDP/E 5.3x · ROE 15.4%

What is its competitive advantage?Little sign of one

Returns on capital of 13.3% 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.

ROCE13.3%

ROE11.6%

Peer median ROE15.4%

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 +95% while net margin moved +12% 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+95%

Margin effect+12%

DalalBaazaar Score

73/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.35 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ High leverage magnifies any downturn in earnings
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

75/ 100

Good

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

Historical Valuation

Current P/E

8.6x

3Y Median

19.3x

40 monthly readings · mean 21.4x · range 6.0x–51.4x

Sector Median

6.9x

median of 4 sector peers

🟢Current valuation is approximately 55% below its 3y median of 19.3x. 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 25% above the peer median of 6.9x.

vs. its own history

Cheap

19.3x median over 40 months · -55%

vs. sector peers

Expensive

6.9x median of 4 peers · +25%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

8.6x

P/B

0.91x

EV/EBITDA

4.6x

PEG

0.29

Dividend Yield

0.18%

What's Good / What's Bad

🟢 What's Going Well5

Cash generation is improving
Free cash flow is up 162% over 3 years.
Return on equity is rising
ROE has improved from 7.4% to 11.6%.
Return on capital is rising
ROCE has improved from 9.3% to 13.3%.
Valuation below its historical average
At 8.6x the stock trades 55% below its own median of 19.3x.
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

1 item require attention · 1 high

🔴High leverageFinancial
Debt/Equity of 5.12x — earnings must service borrowings before shareholders see anything.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 55% 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.
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?

Leverage amplifies any setback
Debt/Equity of 5.12x. Interest is payable whether or not the business has a good year.
A premium to the sector to defend
It trades 25% above the peer median. That premium needs a reason that persists, or it closes.
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 19% a year✓ 24.8% CAGR
Latest reported year was 8.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 38%✓ 40.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹128 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 10%✓ 13.3%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

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 · 5 neutral · 2 weak

Market Cap

₹1,648 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

8.6x

Cheap

Cheap against the generic band

P/B Ratio

0.91x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹66.14

Profitable

Profitable on a per-share basis

ROE

11.6%

Moderate

Moderate capital efficiency

ROCE

13.3%

Moderate

Moderate return on the capital in the business

Debt/Equity

5.12x

High

High leverage

Revenue Growth (YoY)

8.4%

Modest

Modest growth

Profit Growth (YoY)

-28.7%

Falling

Profits are shrinking

Dividend Yield

0.18%

Modest

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

Free Cash Flow

₹128 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹568.55

Operating Margin

24.9%

Good

Healthy core-business profitability

Net Margin

18.8%

Good

Strong bottom-line conversion

Current Ratio

1.58

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.35

Defensive

Steadier than the market

52W Range Position

49%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

587.6 / 610.6

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

41.5

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹512 Cr	₹617 Cr	₹828 Cr	₹997 Cr	+24.8%
EBITDA	₹208 Cr	₹170 Cr	₹365 Cr	₹400 Cr	+24.4%
EBITDA Margin	40.6%	27.6%	44.1%	40.1%	—
PAT (Net Profit)	₹97 Cr	₹51 Cr	₹216 Cr	₹211 Cr	+29.5%
EPS	₹33.43	₹17.65	₹74.5	₹72.67	+29.5%
ROE	7.4%	3.8%	13.6%	11.6%	—
ROCE	9.3%	6.1%	15.0%	13.3%	—
Total Debt	₹207 Cr	₹294 Cr	₹771 Cr	₹188 Cr	-3.1%
Free Cash Flow	₹49 Cr	-₹58 Cr	₹30 Cr	₹128 Cr	+37.8%

🟢 Revenue has grown at 24.8% a year over 3 years.

🟢 EBITDA has grown at 24.4% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 40.1% over 3 years.

🟢 PAT (Net Profit) has grown at 29.5% a year over 3 years.

🟢 EPS has grown at 29.5% a year over 3 years.

🟢 ROE has risen from 7.4% to 11.6% over 3 years (+4.2 pts).

🟢 ROCE has risen from 9.3% to 13.3% over 3 years (+4.1 pts).

🟢 Total Debt has shrunk at 3.1% a year over 3 years.

🟢 Free Cash Flow has grown at 37.8% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹2,557 Cr

Total Liabilities

₹737 Cr

Total Debt

₹188 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹178 Cr

Capex

-₹51 Cr

Shareholding (proxy)

Institutional Holding

0.2%

Insider Holding

71.8%

Corporate Actions

Dividend Rate

₹1

Ex-Dividend Date

01 Sept 2026

Peer Comparison

Company	P/E	ROE
RELIANCE INDUSTRIES LTD	21.9x	8.3%
OIL AND NATURAL GAS CORP.	6.4x	11.7%
BHARAT PETROLEUM CORP LT	7.3x	17.1%
INDIAN OIL CORP LTD	5.3x	15.4%

Recent News

2 positive2 mixed2 general

Jindal Drilling order book rises to ₹1,310 crore in Q1FY27

scanx.trade, 15 OctOrder 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.

Jindal Drilling FY26 net profit falls, dividend ₹1

scanx.trade, 14 OctCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Jindal Drilling & Industries Ltd. (JINDRILL) Share Price Rises 8.82% in Today’s Move

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.

Do Jindal Drilling & Industries' (NSE:JINDRILL) Earnings Warrant Your Attention?

Simply Wall Street, 20 MayResults

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

Jindal Drilling & Industries Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 31 Aug

Volume Gainers, July 8: Jindal Drilling, Gem Aromatics Lead

HDFC Sky, 08 Jul

Watch Items

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

DalalBaazaar Thesis

🟢Business QualityStrong15.8/20

🟢Financial HealthStrong13.9/20

🟢GrowthStrong14.9/20

🟢ProfitabilityStrong11.4/15

🟢ValuationAttractive13.2/15

🔴RiskHigh3.9/10

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. 1 high-severity red flag sits above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 19% a year24.8% CAGR
✓EBITDA margin holds above 38%40.1%
✓Free cash flow remains positive₹128 Cr
✓Debt / EBITDA stays below 2x0.5x
✓ROCE stays above 10%13.3%