Kuber Udyog Limited

Financial Services — Credit Services · BSE

₹66.99+₹1.09 (+1.65%)

DalalBaazaar Score

72 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

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

In simple words: Reasonable but unspectacular business quality, but sales are shrinking. Whether sales start growing again is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:02 pm

Understanding the Business

Company site ↗

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

What does this company do?

Kuber Udyog Limited engages in the trading business India. It is involved in the trading of metal and gold jewellery; trading of securities; financing activities; and provision of advisory and consulting services to IT and banking industries.

IndustryCredit Services

SectorFinancial Services

Annual revenue₹1 Cr

How does it make money?

Turns over ₹1 Cr a year. Of every ₹100 of sales, about ₹32 reaches shareholders as profit, with ₹34 left at the operating level before interest, tax and depreciation.

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.

Compared side by side in Peers ↓

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.

Peer median ROE16.5%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +152% while net margin moved +237% 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+152%

Margin effect+237%

DalalBaazaar Score

72/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Beta of 1.67 — amplifies market moves in both directions
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Trading within 10% of its 52-week high — entries here carry more pullback risk

Quality vs. Valuation

Company Quality

81/ 100

Excellent

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

Valuation

49/ 100

Fair

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

37.6x

3Y Median

67.1x

40 monthly readings · mean 93.8x · range 24.1x–280.2x

Sector Median

17.0x

median of 4 sector peers

🟢Current valuation is approximately 44% below its 3y median of 67.1x. 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 121% above the peer median of 17.0x.

vs. its own history

Cheap

67.1x median over 40 months · -44%

vs. sector peers

Expensive

17.0x median of 4 peers · +121%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

45.8x

PEG

0.36

What's Good / What's Bad

🟢 What's Going Well3

Return on equity is rising
ROE has improved from 1.6% to 11.4%.
Return on capital is rising
ROCE has improved from 4.3% to 10.4%.
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

🔴Significant margin compressionFinancial
EBITDA margin has fallen 76.9 points, from 111.4% to 34.5%.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 44% 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?

Margins are being competed away
EBITDA margin has fallen from 111.4% to 34.5%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
A premium to the sector to defend
It trades 121% 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 27% a year✓ 36.1% CAGR
Latest reported year was -52.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 32%✓ 34.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 9%✓ 11.4%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Interest cover stays above 3x✓ 3.4x
How much operating profit can fall before interest stops being comfortably covered.
5Valuation vs its own median of 67.1x✓ 37.6x today
A re-rating above its own history needs a reason; without one it is just a higher price.

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

4 good · 5 neutral · 2 weak

Market Cap

₹23 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

37.6x

Fair

Fairly valued against the generic band

P/B Ratio

5.46x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹1.78

Profitable

Profitable on a per-share basis

ROE

11.4%

Moderate

Moderate capital efficiency

ROCE

10.4%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.22x

Low

Conservative leverage

Revenue Growth (YoY)

-52.4%

Shrinking

Sales are contracting

Profit Growth (YoY)

146.2%

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

₹0 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

60.5%

Good

Healthy core-business profitability

Net Margin

44.7%

Good

Strong bottom-line conversion

Current Ratio

168.84

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

1.67

High swing

Swings more than the market in both directions

52W Range Position

91%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

62.4 / 50.8

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

63.8

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1 Cr	₹0 Cr	₹0 Cr	₹1 Cr	+36.1%
EBITDA	₹1 Cr	₹0 Cr	₹0 Cr	₹1 Cr	-7.9%
EBITDA Margin	111.4%	55.0%	60.7%	34.5%	—
PAT (Net Profit)	₹0 Cr	₹0 Cr	₹0 Cr	₹0 Cr	+104.1%
EPS	₹0.17	₹0.29	₹0.1	₹1.4	+101.9%
ROE	1.6%	2.6%	0.9%	11.4%	—
ROCE	4.3%	4.7%	3.7%	10.4%	—
Total Debt	₹3 Cr	₹3 Cr	₹3 Cr	₹1 Cr	-32.6%
Free Cash Flow	-₹0 Cr	-₹0 Cr	-₹0 Cr	₹0 Cr	—

🟢 Revenue has grown at 36.1% a year over 3 years.

🔴 EBITDA has shrunk at 7.9% a year over 3 years.

🔴 EBITDA Margin has fallen from 111.4% to 34.5% over 3 years (-76.9 pts).

🟢 PAT (Net Profit) has grown at 104.1% a year over 3 years.

🟢 EPS has grown at 101.9% a year over 3 years.

🟢 ROE has risen from 1.6% to 11.4% over 3 years (+9.8 pts).

🟢 ROCE has risen from 4.3% to 10.4% over 3 years (+6.1 pts).

🟢 Total Debt has shrunk at 32.6% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹0 Cr to ₹0 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹5 Cr

Total Liabilities

₹1 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹0 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

50.4%

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

1 positive1 mixed4 general

Kuber Udyog publishes DPS for ₹74.65 crore open offer; tendering starts Oct 1

scanx.trade, 07 Aug

Kuber Udyog Share Price Falls After Q1 FY27 Results

Univest, 24 JulPrice 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.

Kuber Udyog profit jumps 146% in Q1FY26, eyes NBFC license surrender

scanx.trade, 23 JulResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Kuber Udyog board to consider fund raising on Aug 7

scanx.trade, 04 Aug

Kuber Udyog Limited (539408) Company Information

Simply Wall Street, 15 Nov

Kuber Udyog Limited (KUBERJI.BO) stock price, news, quote and history

Yahoo Finance Singapore, 23 Mar

Watch Items

Revenue growth is negative (-52.4%) on the latest reported period — check if this is one-off or a trend.
Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
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

StrongBusiness Quality · Financial Health · Growth · Profitability

MiddlingValuation

WeakRisk

Points for each in the Score ↑

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself. 1 high-severity red flag sits above this conclusion and should be read first.

All 5 tripwires holding · see Key things to watch ↑