NMS Global Limited

Industrials — Engineering & Construction · BSE

₹30.41−₹3.37 (−9.98%)

DalalBaazaar Score

58 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by high debt relative to equity, micro-cap size, which brings thin liquidity, falling profits.

In simple words: The business is earning a fairly low return on the money invested in it, but sales are shrinking. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:27 pm

Understanding the Business

Company site ↗

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

What does this company do?

NMS Global Limited engages in consultancy, skill development, infrastructure, and payroll-related businesses in India.

IndustryEngineering & Construction

SectorIndustrials

Employees10

Annual revenue₹43 Cr

How does it make money?

Turns over ₹43 Cr a year. Of every ₹100 of sales, about ₹2 reaches shareholders as profit, with ₹5 left at the operating level before interest, tax and depreciation. Each of its 10 employees supports ₹4.27 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹4.27 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?Little sign of one

Returns on capital of 4.6% 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.

Peer median ROE14.1%

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +552% while net margin moved -60% 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+552%

Margin effect-60%

DalalBaazaar Score

58/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ ROCE of 4.6% is below 10% — capital is not working hard
• ROCE has been broadly stable
✗ EBITDA margin of 5.4% is thin — little cushion if costs rise
✗ Net margin of 1.6% is slim
• Revenue has compounded at 86.8% a year, which is the base these returns are earned on

Quality vs. Valuation

Company Quality

56/ 100

Average

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

Valuation

86/ 100

Cheap

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

13.5x

3Y Median

55.8x

40 monthly readings · mean 69.8x · range 12.7x–177.4x

Sector Median

30.1x

median of 3 sector peers

🟢Current valuation is approximately 76% below its 3y median of 55.8x. 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 55% below the peer median of 30.1x.

vs. its own history

Cheap

55.8x median over 40 months · -76%

vs. sector peers

Cheap

30.1x median of 3 peers · -55%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

5.9x

PEG

0.36

What's Good / What's Bad

🟢 What's Going Well4

Debt is being paid down
Total debt is down 26% 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 22.5% to 26.9%.
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

3 items require attention · 3 high

🔴High leverageFinancial
Debt/Equity of 2.14x — earnings must service borrowings before shareholders see anything.
🔴Receivables growing faster than salesFinancial
Receivables up 1042% against revenue up 552% — sales are being booked faster than they are collected.
🔴Inventory building faster than salesFinancial
Inventory up 4018% against revenue up 552% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 26% 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 76% 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.
Cheaper than its peers
It trades 55% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
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?

Leverage amplifies any setback
Debt/Equity of 2.14x. Interest is payable whether or not the business has a good year.
Sales are being booked faster than collected
Receivables are up 1042% against revenue up 552%. 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
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
3 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 65% a year✓ 86.8% CAGR
Latest reported year was -8.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 3%✓ 5.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Interest cover stays above 3x✗ 2.1x
How much operating profit can fall before interest stops being comfortably covered.
5Free cash flow remains positive✓ ₹27 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

5 / 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 · 3 neutral · 4 weak

Market Cap

₹9 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

13.5x

Cheap

Cheap against the generic band

P/B Ratio

3.42x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹2.25

Profitable

Profitable on a per-share basis

ROE

26.9%

Strong

Strong capital efficiency

ROCE

4.6%

Weak

Low return on total capital employed

Debt/Equity

2.14x

High

High leverage

Revenue Growth (YoY)

-8.6%

Shrinking

Sales are contracting

Profit Growth (YoY)

-36.1%

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

₹27 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

9.0%

Average

Average margins

Net Margin

1.6%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.00

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.38

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

37.6 / 41.6

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

23.9

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹7 Cr	₹25 Cr	₹14 Cr	₹43 Cr	+86.8%
EBITDA	₹0 Cr	₹2 Cr	₹1 Cr	₹2 Cr	+72.8%
EBITDA Margin	6.9%	6.9%	8.6%	5.4%	—
PAT (Net Profit)	₹0 Cr	₹0 Cr	₹0 Cr	₹1 Cr	+37.3%
EPS	₹0.53	₹1.11	₹1.36	₹2.39	+65.2%
ROE	22.5%	24.3%	26.6%	26.9%	—
ROCE	3.7%	6.7%	4.7%	4.6%	—
Total Debt	₹8 Cr	₹9 Cr	₹6 Cr	₹6 Cr	-9.6%
Free Cash Flow	-₹4 Cr	₹4 Cr	-₹13 Cr	₹27 Cr	—

🟢 Revenue has grown at 86.8% a year over 3 years.

🟢 EBITDA has grown at 72.8% a year over 3 years.

🔴 EBITDA Margin has fallen from 6.9% to 5.4% over 3 years (-1.4 pts).

🟢 PAT (Net Profit) has grown at 37.3% a year over 3 years.

🟢 EPS has grown at 65.2% a year over 3 years.

🟢 ROE has risen from 22.5% to 26.9% over 3 years (+4.4 pts).

🟡 ROCE has held roughly flat at 4.6% over 3 years.

🟢 Total Debt has shrunk at 9.6% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹4 Cr to ₹27 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹96 Cr

Total Liabilities

₹93 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

₹27 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

58.3%

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 mixed5 general

NMS Global 40th AGM: all 9 resolutions passed with requisite majority

scanx.trade, 03 Oct

52 Week Low Shares BSE | 52 Week Low Today | Shares Trading 52 Week Low BSE

Livemint, 16 Oct

NMS Resources Global Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 31 Aug

NMS Global closes trading window ahead of Q2FY27 results

scanx.trade, 30 SeptResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

NMS Resources Global Ltd. Peer Comparison – Compare with Others

Value Research, 01 Sept

iShares MSCI Global Gold Miners ETF (RING) Stock Price, News, Quote & History

Yahoo! Finance Canada, 16 Oct

Watch Items

Revenue growth is negative (-8.6%) 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

StrongProfitability · Valuation

MiddlingFinancial Health · Growth

WeakBusiness Quality · Risk

Points for each in the Score ↑

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

2 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Interest cover stays above 3x · see Key things to watch ↑