Laddu Gopal Online Services Limited

Real Estate — Real Estate Services · BSE

₹0.42+₹0.01 (+2.44%)

DalalBaazaar Score

44 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Very High

Driven by high debt relative to equity, negative free cash flow, the company is currently loss-making.

In simple words: The company is currently losing money. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 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 Laddu Gopal Online Services Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Laddu Gopal Online Services Limited offers property development and infrastructure project services in India. It is involved in the development and management of software technology centers, multimedia houses, information technology parks, and other related activities.

IndustryReal Estate Services

SectorReal Estate

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.

DLF LIMITEDP/E 36.6x · ROE 10.3%

GODREJ PROPERTIES LTDP/E 30.2x · ROE 8.4%

OBEROI REALTY LIMITEDP/E 23.5x · ROE 14.7%

What is its competitive advantage?Little sign of one

Returns on capital of 2.6% 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.

ROCE2.6%

ROE1.9%

Peer median ROE10.3%

DalalBaazaar Score

44/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ ROE of 1.9% is weak

Quality vs. Valuation

Company Quality

44/ 100

Weak

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

Valuation

54/ 100

Fair

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

0.10x

EV/EBITDA

-1.4x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well1

Return on capital is rising
ROCE has improved from -0.4% to 2.6%.

🔴 What Needs Attention1

Free cash flow is negative
The business is not currently covering its capital spending from operations.

Red Flags

3 items require attention · 1 high · 2 watch

🔴High leverageFinancial
Debt/Equity of 2.97x — earnings must service borrowings before shareholders see anything.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹16 Cr in the latest year.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 147% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

No clear supporting case emerges from the available numbers.

🔴 Bear CaseWhat could go wrong?

Leverage amplifies any setback
Debt/Equity of 2.97x. Interest is payable whether or not the business has a good year.
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

1Free cash flow remains positive✗ -₹16 Cr
Profit that never becomes cash eventually stops being profit.
2Debt / EBITDA stays below 2x✓ 1.1x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
3ROCE stays above 8%✗ 2.6%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

3 / 10 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)
✗ 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

1 good · 3 neutral · 7 weak

Market Cap

₹6 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

0.10x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-0.16

Loss-making

Negative earnings per share — the business is losing money

ROE

1.9%

Weak

Weak capital efficiency

ROCE

2.6%

Weak

Low return on total capital employed

Debt/Equity

2.97x

High

High leverage

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

-30.5%

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

-₹16 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹0.42

Operating Margin

-0.1%

Weak

Thin margins leave little room for error

Net Margin

3.5%

Average

Average bottom-line conversion

Current Ratio

111.57

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.29

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

0.4 / 0.5

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

33.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY22	FY23	FY24	FY25	3Y CAGR
Revenue	₹3 Cr	₹1 Cr	—	—	—
EBITDA	₹1 Cr	₹3 Cr	₹2 Cr	₹2 Cr	+7.6%
EBITDA Margin	44.2%	484.6%	—	—	—
PAT (Net Profit)	-₹0 Cr	₹9 Cr	₹2 Cr	₹1 Cr	—
EPS	₹-0.03	₹1.56	₹0.32	₹0.09	—
ROE	-0.7%	24.7%	4.8%	1.9%	—
ROCE	-0.4%	29.0%	6.5%	2.6%	—
Free Cash Flow	₹6 Cr	-₹7 Cr	₹2 Cr	-₹16 Cr	—

🟢 EBITDA has grown at 7.6% a year over 3 years.

🟢 PAT (Net Profit) has turned positive, from -₹0 Cr to ₹1 Cr.

🟢 EPS has turned positive, from ₹-0.03 to ₹0.09.

🟢 ROE has risen from -0.7% to 1.9% over 3 years (+2.6 pts).

🟢 ROCE has risen from -0.4% to 2.6% over 3 years (+2.9 pts).

🔴 Free Cash Flow has turned negative, from ₹6 Cr to -₹16 Cr.

Balance Sheet & Cash Flow — FY2025

Total Assets

₹64 Cr

Total Liabilities

₹2 Cr

Total Debt

₹2 Cr

Cash & Equivalents

₹10 Cr

Operating Cash Flow

-₹16 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

28.5%

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

6 general

Laddu Gopal Online Services Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 16 Oct

Laddu Gopal Online Services withdraws ₹30 crore Rights Issue

scanx.trade, 17 Jun

Laddu Gopal Online Services closes trading window for Q1FY26

scanx.trade, 23 Jun

11 penny stocks plunge up to 55% in a month. Should investors worry?

The Economic Times, 28 Jun

Laddu Gopal Online Services shareholders approve director, auditor appointments

scanx.trade, 05 Aug

Pulsar International - 14 penny stocks plunge up to 70% in 3 months. Are you affected?

The Economic Times, 26 Jul

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.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

🔴Business QualityWeak7.8/20

🟡Financial HealthAdequate10.6/20

🟡GrowthModest10/20

🔴ProfitabilityWeak4.5/15

🟡ValuationFair7.1/15

🔴RiskHigh3.7/10

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

✗Free cash flow remains positive-₹16 Cr
✓Debt / EBITDA stays below 2x1.1x
✗ROCE stays above 8%2.6%