NDL Ventures Limited

Communication Services — Entertainment · NSE

₹118.00−₹0.04 (−0.03%)

DalalBaazaar Score

57 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: The business is earning a fairly low return on the money invested in it. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:10 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 NDL Ventures Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

NDL Ventures Limited, through its subsidiaries, engages in real estate business in India. The company was formerly known as Nxtdigital Limited and changed its name to NDL Ventures Limited in April 2023. NDL Ventures Limited was incorporated in 1985 and is based in Mumbai, India.

IndustryEntertainment

SectorCommunication Services

Employees4

Who are its competitors?

The closest listed comparisons in its industry are BHARTI AIRTEL LIMITED, VODAFONE IDEA LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

BHARTI AIRTEL LIMITEDP/E 39.8x · ROE 20.2%

VODAFONE IDEA LIMITEDP/E 3.6x · ROE —

What is its competitive advantage?Little sign of one

Returns on capital of -6.1% 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.

ROCE-6.1%

ROE1.5%

Peer median ROE20.2%

DalalBaazaar Score

57/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ P/E of 513.0x is demanding — it needs sustained high growth to justify
• P/E is close to its own historical median of 501.6x
✗ P/B of 6.04x is a steep premium to book

Quality vs. Valuation

Company Quality

64/ 100

Average

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

Valuation

34/ 100

Expensive

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

513.0x

3Y Median

501.6x

40 monthly readings · mean 722.5x · range 108.8x–1887.5x

Sector Median

21.7x

median of 2 sector peers

🟡Currently trading close to its 3y median of 501.6x — the market is paying about what it usually pays for this company.

⚠️Against its sector it trades 2260% above the peer median of 21.7x.

vs. its own history

Fair

501.6x median over 40 months · +2%

vs. sector peers

Expensive

21.7x median of 2 peers · +2260%

vs. generic bands

Expensive

Above 35x

P/E (Trailing)

513.0x

P/B

6.04x

EV/EBITDA

—

PEG

10.42

Dividend Yield

0.42%

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Free cash flow is negative
The business is not currently covering its capital spending from operations.
Return on capital is falling
ROCE has declined from -2.9% to -6.1% — often a sign of competition or overexpansion.

Red Flags

2 items require attention · 2 high

🔴Free cash flow negative for 3 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴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.

Investment Thesis

🟢 Bull CaseWhat could make this work?

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?

A premium to the sector to defend
It trades 2260% 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.
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

1Free cash flow remains positive✗ -₹5 Cr
Profit that never becomes cash eventually stops being profit.
2ROCE stays above 8%✗ -6.1%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
3Valuation vs its own median of 501.6x✓ 513.0x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

3 / 9 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ 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 · 4 neutral · 6 weak

Market Cap

₹397 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

513.0x

Expensive

Expensive — verify against sector peers

P/B Ratio

6.04x

Rich

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

EPS (TTM)

₹0.23

Profitable

Profitable on a per-share basis

ROE

1.5%

Weak

Weak capital efficiency

ROCE

-6.1%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

-57.1%

Falling

Profits are shrinking

Dividend Yield

0.42%

Modest

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

Free Cash Flow

-₹5 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹118

Operating Margin

-90.9%

Weak

Thin margins leave little room for error

Net Margin

711.1%

Good

Strong bottom-line conversion

Current Ratio

11.48

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.42

Defensive

Steadier than the market

52W Range Position

63%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

121.4 / 122.4

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

46.7

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
EBITDA	-₹2 Cr	-₹4 Cr	-₹4 Cr	-₹4 Cr	—
PAT (Net Profit)	₹0 Cr	₹2 Cr	₹1 Cr	₹1 Cr	+49.2%
EPS	₹0.08	₹0.48	₹0.18	₹0.27	+50.0%
ROE	0.4%	2.6%	1.0%	1.5%	—
ROCE	-2.9%	-6.4%	-6.5%	-6.1%	—
Free Cash Flow	₹75 Cr	-₹11 Cr	-₹4 Cr	-₹5 Cr	—

🟢 PAT (Net Profit) has grown at 49.2% a year over 3 years.

🟢 EPS has grown at 50.0% a year over 3 years.

🟢 ROE has risen from 0.4% to 1.5% over 3 years (+1.1 pts).

🔴 ROCE has fallen from -2.9% to -6.1% over 3 years (-3.3 pts).

🔴 Free Cash Flow has turned negative, from ₹75 Cr to -₹5 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹65 Cr

Total Liabilities

₹6 Cr

Total Debt

—

Cash & Equivalents

₹1 Cr

Operating Cash Flow

-₹5 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

81.2%

Corporate Actions

Dividend Rate

₹0.5

Ex-Dividend Date

15 Sept 2026

Peer Comparison

Company	P/E	ROE
BHARTI AIRTEL LIMITED	39.8x	20.2%
VODAFONE IDEA LIMITED	3.6x	—

Recent News

4 mixed2 general

NDL Ventures vs Nifty 50: Share Price Performance Compared

Univest, 08 Oct

NDLVENTURE Stock Price and Chart — NSE:NDLVENTURE

TradingView, 19 Feb

NDL Ventures share price hits 52-week high after CCI approves Hinduja Leyland Finance merger

Upstox, 17 FebM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

NDL Ventures Share Price Hits 20% Upper Circuit, 52-Week High After CCI Clears Hinduja Leyland Finance Merger

HDFC Sky, 18 FebM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

NCLT admits NDL Ventures-Hinduja Leyland merger petition

scanx.trade, 20 AugM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

NDL Ventures Receives NCLT Order for Hinduja Leyland Finance Merger with 25:10 Swap Ratio

Sahi, 19 JunM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
2 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

🟡Business QualityAdequate9.5/20

🟡Financial HealthAdequate10.8/20

🟢GrowthStrong18.6/20

🟡ProfitabilityModerate8.9/15

🔴ValuationDemanding5.3/15

🔴RiskHigh4/10

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 2 high-severity red flags sit above this conclusion and should be read first.

This thesis breaks if

✗Free cash flow remains positive-₹5 Cr
✗ROCE stays above 8%-6.1%
✓Valuation vs its own median of 501.6x513.0x today