Kamdhenu Ventures Limited

Basic Materials — Steel · NSE

₹4.03₹0.00 (0.00%)

DalalBaazaar Score

43 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by the company is currently loss-making, micro-cap size, which brings thin liquidity, a beta above 1.3, so it swings harder than the index.

In simple words: The company is currently losing money, but sales are shrinking. The direction of profits is 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 Kamdhenu Ventures Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Kamdhenu Ventures Limited manufactures and supplies paint products in India.

IndustrySteel

SectorBasic Materials

Employees501

Annual revenue₹245 Cr

How does it make money?

Turns over ₹245 Cr a year. Of every ₹100 of sales, about ₹0 reaches shareholders as profit, with ₹4 left at the operating level before interest, tax and depreciation. Each of its 501 employees supports ₹49.0 lakh of revenue a year, the signature of a people-led business.

EBITDA margin4.4%

Net margin0.1%

Revenue / employee₹49.0 lakh

Who are its competitors?

The closest listed comparisons in its industry are TATA STEEL LIMITED, JSW STEEL LIMITED, JINDAL STEEL LIMITED, STEEL AUTHORITY OF INDIA. These are the companies its valuation and returns are measured against elsewhere in this report.

TATA STEEL LIMITEDP/E 19.8x · ROE 10.8%

JSW STEEL LIMITEDP/E 12.0x · ROE 24.7%

JINDAL STEEL LIMITEDP/E 39.1x · ROE 5.3%

STEEL AUTHORITY OF INDIAP/E 16.5x · ROE 7.1%

What is its competitive advantage?Little sign of one

Returns on capital of 2.3% 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.

ROCE2.3%

ROE0.1%

Peer median ROE10.8%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -5% 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-5%

Margin effect-102%

DalalBaazaar Score

43/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 1.9% a year
✗ Latest-year revenue growth of -7.9% is below the longer-term trend — momentum is fading
✗ Profit fell 97.0% in the latest year

Quality vs. Valuation

Company Quality

44/ 100

Weak

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

Valuation

44/ 100

Expensive

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

Weak on business quality and not cheap enough to compensate.

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

0.71x

EV/EBITDA

13.7x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well6

Margins are improving
EBITDA margin is up from 0.2% to 4.4% over 3 years.
Debt is being paid down
Total debt is down 40% 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 -14.0% to 0.1%.
Return on capital is rising
ROCE has improved from -5.1% to 2.3%.
Very low debt
Debt/Equity of 0.19x leaves the balance sheet with plenty of headroom.

🔴 What Needs Attention1

Receivables growing faster than sales
Receivables are up 42% against revenue growth of -5% — customers are taking longer to pay.

Red Flags

4 items require attention · 1 high · 3 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only 1.1x — little room if earnings dip.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 4.1x to 1.1x.
🟡Receivables growing faster than salesFinancial
Receivables up 42% against revenue up -5% — sales are being booked faster than they are collected.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 22% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 0.2% to 4.4%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 40% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹2 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 3.1x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Sales are being booked faster than collected
Receivables are up 42% against revenue up -5%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
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

1EBITDA margin holds above 2%✓ 4.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 3.1x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Interest cover stays above 3x✗ 1.1x
How much operating profit can fall before interest stops being comfortably covered.
4Free cash flow remains positive✓ ₹2 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 8%✗ 2.3%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

5 / 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

3 good · 2 neutral · 6 weak

Market Cap

₹133 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

0.71x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-0.16

Loss-making

Negative earnings per share — the business is losing money

ROE

0.1%

Weak

Weak capital efficiency

ROCE

2.3%

Weak

Low return on total capital employed

Debt/Equity

0.19x

Low

Conservative leverage

Revenue Growth (YoY)

-7.9%

Shrinking

Sales are contracting

Profit Growth (YoY)

-97.0%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹2 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹4.03

Operating Margin

-8.1%

Weak

Thin margins leave little room for error

Net Margin

-2.1%

Weak

Very little revenue reaches the bottom line

Current Ratio

2.51

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

1.31

High swing

Swings more than the market in both directions

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

4.1 / 4.3

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

25.0

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹260 Cr	₹292 Cr	₹266 Cr	₹245 Cr	-1.9%
EBITDA	₹0 Cr	₹25 Cr	₹18 Cr	₹11 Cr	+178.8%
EBITDA Margin	0.2%	8.5%	6.7%	4.4%	—
PAT (Net Profit)	-₹11 Cr	₹14 Cr	₹7 Cr	₹0 Cr	—
EPS	₹-2.68	₹0.44	₹0.21	₹0.01	—
ROE	-14.0%	8.7%	4.0%	0.1%	—
ROCE	-5.1%	10.9%	6.8%	2.3%	—
Total Debt	₹57 Cr	₹21 Cr	₹27 Cr	₹34 Cr	-15.6%
Free Cash Flow	-₹3 Cr	-₹22 Cr	-₹2 Cr	₹2 Cr	—

🟡 Revenue has been broadly flat over 3 years (-1.9% a year).

🟢 EBITDA has grown at 178.8% a year over 3 years.

🟢 EBITDA Margin has risen from 0.2% to 4.4% over 3 years (+4.2 pts).

🟢 PAT (Net Profit) has turned positive, from -₹11 Cr to ₹0 Cr.

🟢 EPS has turned positive, from ₹-2.68 to ₹0.01.

🟢 ROE has risen from -14.0% to 0.1% over 3 years (+14.1 pts).

🟢 ROCE has risen from -5.1% to 2.3% over 3 years (+7.4 pts).

🟢 Total Debt has shrunk at 15.6% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹3 Cr to ₹2 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹287 Cr

Total Liabilities

₹108 Cr

Total Debt

₹34 Cr

Cash & Equivalents

₹19 Cr

Operating Cash Flow

₹11 Cr

Capex

-₹9 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

52.6%

Peer Comparison

Company	P/E	ROE
TATA STEEL LIMITED	19.8x	10.8%
JSW STEEL LIMITED	12.0x	24.7%
JINDAL STEEL LIMITED	39.1x	5.3%
STEEL AUTHORITY OF INDIA	16.5x	7.1%

Recent News

2 mixed4 general

Compare with

Equitymaster, 16 Oct

Kamdhenu Ventures Share Price Forecast: 3 Year Outlook to 2030

Univest, 20 Jul

Risks Still Elevated At These Prices As Kamdhenu Ventures Limited (NSE:KAMOPAINTS) Shares Dive 26%

Simply Wall Street, 07 Feb

Kamdhenu Ventures reports consolidated net loss of Rs 4.41 crore in the June 2026 quarter

Business Standard, 14 AugResults

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

Kamdhenu Ventures Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 30 Aug

Kamdhenu Ventures Reports Q3FY26 Results and Approves Rs 20.16 Crore Warrant Issue

scanx.trade, 12 FebResults

🟡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

Revenue growth is negative (-7.9%) on the latest reported period — check if this is one-off or a trend.
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.
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

🔴Business QualityWeak7.5/20

🟢Financial HealthStrong14.7/20

🔴GrowthWeak5/20

🔴ProfitabilityWeak5.9/15

🟡ValuationFair7.1/15

🔴RiskHigh2.6/10

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 1 high-severity red flag sits above this conclusion and should be read first.

This thesis breaks if

✓EBITDA margin holds above 2%4.4%
✗Debt / EBITDA falls below 3x3.1x
✗Interest cover stays above 3x1.1x
✓Free cash flow remains positive₹2 Cr
✗ROCE stays above 8%2.3%