NBCC (India) Limited

Industrials — Engineering & Construction · NSE

₹75.51+₹0.04 (+0.05%)

DalalBaazaar Score

68 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by small-cap size, which brings sharper price swings.

In simple words: Strong business and financial position, 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, 7:46 pm

Understanding the Business

Company site ↗

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

What does this company do?

NBCC (India) Limited engages in project management consultancy, engineering procurement and construction, and real estate development businesses in India and internationally. The company operates through three segments: PMC; EPC; and Real Estate.

IndustryEngineering & Construction

SectorIndustrials

Employees1,150

Annual revenue₹12,608 Cr

How does it make money?

Turns over ₹12,608 Cr a year. Of every ₹100 of sales, about ₹6 reaches shareholders as profit, with ₹9 left at the operating level before interest, tax and depreciation. Each of its 1,150 employees supports ₹10.96 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹10.96 Cr

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., ADANI PORT & SEZ LTD, SIEMENS 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?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 34.3%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 23.9% against a peer median of 14.1% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE14.1%

What is the outlook?

1 analysts covering the stock expect revenue to grow about 13.9% and earnings to grow about 12.0% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+13.9%

Est. earnings growth+12.0%

Analysts1

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +44% while net margin moved +88% 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+44%

Margin effect+88%

DalalBaazaar Score

68/ 100

Good

Weighted across six categories. Every point is explained below.

• P/E of 27.6x already prices in growth
✓ P/E is 53% below its own historical median of 58.3x — cheap by its own standards
✗ P/B of 6.79x is a steep premium to book

Quality vs. Valuation

Company Quality

72/ 100

Good

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

Valuation

69/ 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

27.6x

3Y Median

58.3x

40 monthly readings · mean 61.6x · range 28.3x–122.4x

Sector Median

30.1x

median of 3 sector peers

🟢Current valuation is approximately 53% below its 3y median of 58.3x. 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 30.1x.

vs. its own history

Cheap

58.3x median over 40 months · -53%

vs. sector peers

Fair

30.1x median of 3 peers · -8%

vs. generic bands

Fair

15x–35x

EV/EBITDA

14.6x

PEG

0.70

What's Good / What's Bad

🟢 What's Going Well7

Debt is being paid down
Total debt is down 43% 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 13.7% to 23.9%.
Return on capital is rising
ROCE has improved from 23.7% to 34.3%.
High return on capital employed
ROCE of 34.3% is the mark of a business that converts capital into profit efficiently.
Very low debt
Debt/Equity of 0.01x leaves the balance sheet with plenty of headroom.
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

2 items require attention · 2 high

🔴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 146% against revenue up 44% — 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 34.3% 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.
Deleveraging frees up earnings
Debt is down 43% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Priced below its own history
The stock trades 53% 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 ₹402 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 146% against revenue up 44%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Size brings its own risk
Small 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
2 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

1Revenue growth stays above 10% a year✓ 12.9% CAGR
Latest reported year was -5.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 7%✓ 9.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹402 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 31%✓ 34.3%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 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

6 good · 3 neutral · 2 weak

Market Cap

₹20,388 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

27.6x

Fair

Fairly valued against the generic band

P/B Ratio

6.79x

Rich

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

EPS (TTM)

₹2.74

Profitable

Profitable on a per-share basis

ROE

23.9%

Strong

Strong capital efficiency

ROCE

34.3%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.01x

Low

Conservative leverage

Revenue Growth (YoY)

-5.9%

Shrinking

Sales are contracting

Profit Growth (YoY)

16.3%

Healthy

Profits growing at a healthy clip

Dividend Yield

1.24%

Modest

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

Free Cash Flow

₹402 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

27.0x

Improving

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

Operating Margin

9.3%

Average

Average margins

Net Margin

5.7%

Average

Average bottom-line conversion

Current Ratio

1.18

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.71

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

78.5 / 84.1

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

27.7

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹8,771 Cr	₹10,328 Cr	₹11,637 Cr	₹12,608 Cr	+12.9%
EBITDA	₹802 Cr	₹959 Cr	₹1,224 Cr	₹1,157 Cr	+13.0%
EBITDA Margin	9.1%	9.3%	10.5%	9.2%	—
PAT (Net Profit)	₹267 Cr	₹402 Cr	₹541 Cr	₹720 Cr	+39.2%
EPS	₹0.99	₹1.49	₹2	₹2.67	+39.4%
ROE	13.7%	18.0%	21.8%	23.9%	—
ROCE	23.7%	28.6%	32.4%	34.3%	—
Total Debt	₹0 Cr	₹1 Cr	₹0 Cr	₹0 Cr	-17.1%
Free Cash Flow	-₹385 Cr	-₹50 Cr	₹341 Cr	₹402 Cr	—

🟢 Revenue has grown at 12.9% a year over 3 years.

🟢 EBITDA has grown at 13.0% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 9.2% over 3 years.

🟢 PAT (Net Profit) has grown at 39.2% a year over 3 years.

🟢 EPS has grown at 39.4% a year over 3 years.

🟢 ROE has risen from 13.7% to 23.9% over 3 years (+10.1 pts).

🟢 ROCE has risen from 23.7% to 34.3% over 3 years (+10.6 pts).

🟢 Total Debt has shrunk at 17.1% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹385 Cr to ₹402 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹16,274 Cr

Total Liabilities

₹13,058 Cr

Cash & Equivalents

₹3,487 Cr

Operating Cash Flow

₹439 Cr

Capex

-₹37 Cr

Shareholding (proxy)

Institutional Holding

14.4%

Insider Holding

61.8%

Corporate Actions

Dividend Rate

₹0.94

Ex-Dividend Date

28 Aug 2026

Analyst Consensus

Recommendations

1 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹133

+76.1% vs CMP

Target Range

₹133 – ₹133

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
ADANI PORT & SEZ LTD	29.9x	14.1%
SIEMENS LTD	88.8x	10.5%

Recent News

1 positive3 mixed2 general

NBCC FY26 PAT rises 33% to ₹742 crore, secures ₹18780 crore orders

scanx.trade, 15 Oct

NBCC Share Price Rises 2.94% Today: Price and Valuation

Univest, 12 OctPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Prima Innovation Ltd Share Price

Business Today, 16 Oct

NBCC Bags ₹28.78 Crore Work Orders; Shares Fall 0.65%

HDFC Sky, 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.

NBCC bags orders worth Rs 132 crore; share price down marginally

Moneycontrol.com, 06 JulOrder win

🟢Potentially positiveOrder wins add to future revenue, though the effect depends on the contract's size against annual sales and on when it is executed.

NBCC (India) Share Price Target 2027: Base and Bull Case

Univest, 09 OctAnalyst view

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

Watch Items

Revenue growth is negative (-5.9%) 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

StrongFinancial Health · Growth · Profitability

MiddlingBusiness Quality · Valuation · Risk

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

All 5 tripwires holding · see Key things to watch ↑