Lodha Developers Limited

Real Estate — Real Estate - Development · NSE

₹1,058.70−₹3.10 (−0.29%)

DalalBaazaar Score

81 / 100

🟢 Strong

Verdict

ATTRACTIVE

Risk

Low

No individual risk factor stands out on this snapshot.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 pm

Constructive picture on fundamentals. Profitability, leverage and growth metrics are broadly healthy on this snapshot. That said, valuation should still be checked against direct sector peers (not just the generic P/E bands used here) before treating this as a buy signal.

Understanding the Business

Company site ↗

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

What does this company do?

Lodha Developers Limited, through its subsidiaries, engages in the development of real estate properties in India. It is involved in the development of residential, office, and retail properties, as well as leasing of retail and office spaces.

IndustryReal Estate - Development

SectorReal Estate

Employees5,783

Annual revenue₹16,291 Cr

How does it make money?

Turns over ₹16,291 Cr a year. Of every ₹100 of sales, about ₹21 reaches shareholders as profit, with ₹32 left at the operating level before interest, tax and depreciation. Each of its 5,783 employees supports ₹2.82 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin32.2%

Net margin21.0%

Revenue / employee₹2.82 Cr

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?Some evidence

ROCE of 18.2% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

ROCE18.2%

ROE14.7%

Peer median ROE10.3%

What is the outlook?

17 analysts covering the stock expect revenue to grow about 16.2% and earnings to grow about 18.5% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+16.2%

Est. earnings growth+18.5%

Analysts17

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +75% while net margin moved +304% 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+75%

Margin effect+304%

DalalBaazaar Score

81/ 100

Strong

Weighted across six categories. Every point is explained below.

• P/E of 25.7x already prices in growth
✓ P/E is 67% below its own historical median of 77.0x — cheap by its own standards

Quality vs. Valuation

Company Quality

86/ 100

Excellent

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

Valuation

67/ 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

25.7x

3Y Median

77.0x

40 monthly readings · mean 102.5x · range 24.5x–297.7x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 67% below its 3y median of 77.0x. 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 is priced broadly in line with the peer median of 30.2x.

vs. its own history

Cheap

77.0x median over 40 months · -67%

vs. sector peers

Fair

30.2x median of 3 peers · -15%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

25.7x

P/B

4.54x

EV/EBITDA

21.5x

PEG

0.28

Dividend Yield

0.40%

What's Good / What's Bad

🟢 What's Going Well4

Return on equity is rising
ROE has improved from 3.8% to 14.7%.
Return on capital is rising
ROCE has improved from 11.6% to 18.2%.
Valuation below its historical average
At 25.7x the stock trades 67% below its own median of 77.0x.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Receivables growing faster than sales
Receivables are up 99% against revenue growth of 75% — customers are taking longer to pay.

Red Flags

2 items require attention · 1 high · 1 watch

🔴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 99% against revenue up 75% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 18.2% 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 67% 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.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹709 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
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 99% against revenue up 75%. 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.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 15% a year✓ 20.4% CAGR
Latest reported year was 43.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 30%✓ 32.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹709 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.9x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 15%✓ 18.2%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

10 / 12 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
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

7 good · 4 neutral · 0 weak

Market Cap

₹1.06 L Cr

Large Cap

Large, widely-covered business — typically the steadiest of the bands

P/E (Trailing)

25.7x

Fair

Fairly valued against the generic band

P/B Ratio

4.54x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹41.2

Profitable

Profitable on a per-share basis

ROE

14.7%

Moderate

Moderate capital efficiency

ROCE

18.2%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.42x

Low

Conservative leverage

Revenue Growth (YoY)

43.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

103.3%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.40%

Modest

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

Free Cash Flow

₹709 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹1,058.7

P/E (Forward)

21.3x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

37.1%

Good

Healthy core-business profitability

Net Margin

22.7%

Good

Strong bottom-line conversion

Current Ratio

1.75

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.65

Defensive

Steadier than the market

52W Range Position

59%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

1111.3 / 1168.4

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

31.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹9,335 Cr	₹10,198 Cr	₹13,670 Cr	₹16,291 Cr	+20.4%
EBITDA	₹2,939 Cr	₹4,923 Cr	₹4,242 Cr	₹5,243 Cr	+21.3%
EBITDA Margin	31.5%	48.3%	31.0%	32.2%	—
PAT (Net Profit)	₹487 Cr	₹1,549 Cr	₹2,764 Cr	₹3,428 Cr	+91.7%
EPS	₹5.05	₹15.99	₹27.67	₹34.25	+89.3%
ROE	3.8%	8.9%	13.7%	14.7%	—
ROCE	11.6%	15.3%	19.0%	18.2%	—
Total Debt	₹9,060 Cr	₹7,698 Cr	₹7,094 Cr	₹9,896 Cr	+3.0%
Free Cash Flow	₹2,660 Cr	₹2,343 Cr	₹1,091 Cr	₹709 Cr	-35.6%

🟢 Revenue has grown at 20.4% a year over 3 years.

🟢 EBITDA has grown at 21.3% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 32.2% over 3 years.

🟢 PAT (Net Profit) has grown at 91.7% a year over 3 years.

🟢 EPS has grown at 89.3% a year over 3 years.

🟢 ROE has risen from 3.8% to 14.7% over 3 years (+10.9 pts).

🟢 ROCE has risen from 11.6% to 18.2% over 3 years (+6.6 pts).

🔴 Total Debt has grown at 3.0% a year over 3 years.

🔴 Free Cash Flow has shrunk at 35.6% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹58,937 Cr

Total Liabilities

₹35,507 Cr

Total Debt

₹9,896 Cr

Cash & Equivalents

₹2,703 Cr

Operating Cash Flow

₹959 Cr

Capex

-₹250 Cr

Shareholding (proxy)

Institutional Holding

19.3%

Insider Holding

70.3%

Corporate Actions

Next Earnings

29 Oct 2026

Dividend Rate

₹4.25

Ex-Dividend Date

07 Aug 2026

Analyst Consensus

Recommendations

16 Buy · 2 Hold · 0 Sell

Target Price (Mean)

₹1,345.44

+27.1% vs CMP

Target Range

₹1,000 – ₹1,615

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 positive4 mixed1 general

Lodha Developers (NSEI:LODHA) Stock Forecast & Analyst Predictions

Simply Wall Street, 14 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

LODHA Forecast — Price Target — Prediction for 2027

TradingView, 25 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Lodha Developers shares decline 2.05% in early trade

Moneycontrol.com, 18 AugPrice 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.

Lodha Developers Ltd Technical Momentum Shifts Amid Mixed Market Signals

MarketsMojo, 16 Oct

Macrotech Developers Share Price Fall Streak vs peers

Univest, 08 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.

Lodha Developers shares jump 8% on Morgan Stanley upgrade, second-highest target on street

CNBC TV18, 28 JulAnalyst view

🟢Potentially positiveAn analyst opinion changing, which moves the price without changing the business.

Watch Items

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

DalalBaazaar Thesis

🟢Business QualityStrong17.1/20

🟢Financial HealthStrong17.8/20

🟢GrowthStrong18.5/20

🟢ProfitabilityStrong11.4/15

🟡ValuationFair9.5/15

🟢RiskLow6.6/10

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.

This thesis breaks if

✓Revenue growth stays above 15% a year20.4% CAGR
✓EBITDA margin holds above 30%32.2%
✓Free cash flow remains positive₹709 Cr
✓Debt / EBITDA stays below 2x1.9x
✓ROCE stays above 15%18.2%