Justo Realfintech Limited

Real Estate — Real Estate Services · BSE

₹82.90+₹1.10 (+1.34%)

DalalBaazaar Score

65 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

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, 7:46 pm

Understanding the Business

Company site ↗

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

What does this company do?

Justo Realfintech Limited provides real estate services in India. The company offers technology-focused strategy, marketing, sales, and real estate services in the design and development of customized delivery models.

IndustryReal Estate Services

SectorReal Estate

Employees289

Annual revenue₹92 Cr

How does it make money?

Turns over ₹92 Cr a year. Of every ₹100 of sales, about ₹21 reaches shareholders as profit, with ₹33 left at the operating level before interest, tax and depreciation. Each of its 289 employees supports ₹31.8 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹31.8 lakh

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY 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?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 22.0%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 21.5% against a peer median of 10.3% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE10.3%

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 +30% while net margin moved -4% 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+30%

Margin effect-4%

DalalBaazaar Score

65/ 100

Good

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

66/ 100

Good

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

Valuation

88/ 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

7.1x

1.2Y Median

11.2x

14 monthly readings · mean 11.9x · range 9.3x–15.1x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 36% below its 1.2y median of 11.2x. 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 76% below the peer median of 30.2x.

vs. its own history

Cheap

11.2x median over 14 months · -36%

vs. sector peers

Cheap

30.2x median of 3 peers · -76%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

4.9x

PEG

0.91

What's Good / What's Bad

🟢 What's Going Well3

High return on capital employed
ROCE of 22.0% is the mark of a business that converts capital into profit efficiently.
Very low debt
Debt/Equity of 0.12x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 75.1% to 15.2% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 98.1% to 22.0% — often a sign of competition or overexpansion.

Red Flags

4 items require attention · 3 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 322% over 3 years, from ₹4 Cr to ₹15 Cr.
🔴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.
🔴Receivables growing faster than salesFinancial
Receivables up 201% against revenue up 30% — sales are being booked faster than they are collected.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹15 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 22.0% 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.
Priced below its own history
The stock trades 36% 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 76% 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?

Sales are being booked faster than collected
Receivables are up 201% against revenue up 30%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 75.1% to 15.2%. 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

1EBITDA margin holds above 31%✓ 32.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✗ -₹15 Cr
Profit that never becomes cash eventually stops being profit.
3Revenue growth stays above 7% a year✓ 9.2% CAGR
Latest reported year was 30.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
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 19%✓ 22.0%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 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

8 good · 2 neutral · 1 weak

Market Cap

₹156 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

7.1x

Cheap

Cheap against the generic band

P/B Ratio

1.23x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹11.61

Profitable

Profitable on a per-share basis

ROE

21.5%

Strong

Strong capital efficiency

ROCE

22.0%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.12x

Low

Conservative leverage

Revenue Growth (YoY)

30.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

21.9%

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

-₹36 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

14.4%

Good

Assets are working hard

Operating Margin

33.0%

Good

Healthy core-business profitability

Net Margin

20.9%

Good

Strong bottom-line conversion

Current Ratio

4.06

Comfortable

Healthy short-term liquidity

52W Range Position

19%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

89.9 / 97.2

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

29.2

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹70 Cr	₹59 Cr	₹81 Cr	₹92 Cr	+9.2%
EBITDA	₹23 Cr	₹11 Cr	₹22 Cr	₹30 Cr	+9.0%
EBITDA Margin	32.9%	19.2%	27.1%	32.8%	—
PAT (Net Profit)	₹15 Cr	₹7 Cr	₹15 Cr	₹19 Cr	+7.9%
EPS	₹8.14	₹3.56	₹7.96	—	—
ROE	75.1%	24.7%	28.6%	15.2%	—
ROCE	98.1%	35.0%	37.7%	22.0%	—
Total Debt	₹4 Cr	₹2 Cr	₹16 Cr	₹15 Cr	+61.6%
Free Cash Flow	₹0 Cr	₹3 Cr	-₹13 Cr	-₹15 Cr	—

🟢 Revenue has grown at 9.2% a year over 3 years.

🟢 EBITDA has grown at 9.0% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 32.8% over 3 years.

🟢 PAT (Net Profit) has grown at 7.9% a year over 3 years.

🔴 ROE has fallen from 75.1% to 15.2% over 3 years (-59.9 pts).

🔴 ROCE has fallen from 98.1% to 22.0% over 3 years (-76.0 pts).

🔴 Total Debt has grown at 61.6% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹0 Cr to -₹15 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹162 Cr

Total Liabilities

₹36 Cr

Cash & Equivalents

₹23 Cr

Operating Cash Flow

-₹9 Cr

Capex

-₹5 Cr

Shareholding (proxy)

Institutional Holding

6.8%

Insider Holding

50.2%

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

1 mixed5 general

Justo Realfintech Share Price decline: valuation and peers

Univest, 01 OctPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Real Estate Stock Below Rs 120: JUSTO Realfintech Launches New Sourcing Mandates Vertical With Rs 300 Crore+ Win; Check Details

Dalal Street Investment Journal, 24 Aug

Justo Realfintech Limited Share Price

Upstox, 05 May

Justo Realfintech to host investor interaction at Bharat Connect on Sep 29

scanx.trade, 26 Sept

Justo Realfintech shares list flat at IPO Price of Rs 127 on BSE SME platform

The Economic Times, 01 Oct

Justo Realfintech IPO Allotment Status: Steps To Verify Status

Groww, 03 Oct

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Profitability · Valuation

MiddlingGrowth

WeakRisk

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

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑