Nurture Well Industries Limited

Consumer Defensive — Packaged Foods · BSE

₹19.69₹0.00 (0.00%)

DalalBaazaar Score

63 / 100

🟢 Good

Verdict

NEUTRAL

Risk

Very High

Driven by high debt relative to equity, negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, but sales are shrinking. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:45 pm

Understanding the Business

Company site ↗

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

What does this company do?

Nurture Well Industries Limited trades in food products in India and internationally.

IndustryPackaged Foods

SectorConsumer Defensive

Employees222

Annual revenue₹1,025 Cr

How does it make money?

Turns over ₹1,025 Cr a year. Of every ₹100 of sales, about ₹7 reaches shareholders as profit, with ₹9 left at the operating level before interest, tax and depreciation. Each of its 222 employees supports ₹4.62 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹4.62 Cr

Who are its competitors?

The closest listed comparisons in its industry are NESTLE INDIA LIMITED, BRITANNIA INDUSTRIES LTD, TATA CONSUMER PRODUCT LTD, DABUR INDIA 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?Some evidence

ROCE of 19.7% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE51.0%

DalalBaazaar Score

63/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.25 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ High leverage magnifies any downturn in earnings
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

61/ 100

Average

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

Valuation

88/ 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

6.7x

3Y Median

16.5x

40 monthly readings · mean 806.2x · range 6.9x–4414.0x

Sector Median

51.7x

median of 4 sector peers

🟢Current valuation is approximately 59% below its 3y median of 16.5x. 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 87% below the peer median of 51.7x.

vs. its own history

Cheap

16.5x median over 40 months · -59%

vs. sector peers

Cheap

51.7x median of 4 peers · -87%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

5.3x

PEG

0.03

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

Return on equity is falling
ROE has dropped from 223.0% to 18.1% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 293.5% to 19.7% — often a sign of competition or overexpansion.

Red Flags

5 items require attention · 4 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 3136% over 3 years, from ₹1 Cr to ₹35 Cr.
🔴High leverageFinancial
Debt/Equity of 8.15x — earnings must service borrowings before shareholders see anything.
🔴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.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 143% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 19.7% 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 59% 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 87% 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 8.15x. Interest is payable whether or not the business has a good year.
Returns on shareholder capital are falling
ROE has dropped from 223.0% to 18.1%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
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
4 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

1EBITDA margin holds above 7%✓ 8.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✗ -₹56 Cr
Profit that never becomes cash eventually stops being profit.
3Debt / EBITDA stays below 2x✓ 0.4x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4ROCE stays above 17%✓ 19.7%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
5Valuation vs its own median of 16.5x✓ 6.7x today
A re-rating above its own history needs a reason; without one it is just a higher price.

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

5 good · 2 neutral · 4 weak

Market Cap

₹458 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

6.7x

Cheap

Cheap against the generic band

P/B Ratio

0.75x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹2.92

Profitable

Profitable on a per-share basis

ROE

18.1%

Strong

Strong capital efficiency

ROCE

19.7%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

8.15x

High

High leverage

Revenue Growth (YoY)

-38.8%

Shrinking

Sales are contracting

Profit Growth (YoY)

-57.1%

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

-₹56 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

10.3%

Average

Average margins

Net Margin

6.3%

Average

Average bottom-line conversion

Current Ratio

2.84

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.25

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

19.9 / 21.3

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

45.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	—	₹331 Cr	₹766 Cr	₹1,025 Cr	—
EBITDA	₹5 Cr	₹29 Cr	₹72 Cr	₹92 Cr	+163.7%
EBITDA Margin	—	8.9%	9.4%	8.9%	—
PAT (Net Profit)	₹1 Cr	₹25 Cr	₹56 Cr	₹67 Cr	+266.8%
EPS	₹0.14	₹1.63	₹2.59	₹2.87	+172.0%
ROE	223.0%	16.6%	21.7%	18.1%	—
ROCE	293.5%	18.0%	22.6%	19.7%	—
Total Debt	₹1 Cr	₹0 Cr	₹2 Cr	₹35 Cr	+218.7%
Free Cash Flow	₹4 Cr	-₹117 Cr	-₹83 Cr	-₹56 Cr	—

🟢 EBITDA has grown at 163.7% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 8.9% over 3 years.

🟢 PAT (Net Profit) has grown at 266.8% a year over 3 years.

🟢 EPS has grown at 172.0% a year over 3 years.

🔴 ROE has fallen from 223.0% to 18.1% over 3 years (-204.8 pts).

🔴 ROCE has fallen from 293.5% to 19.7% over 3 years (-273.8 pts).

🔴 Total Debt has grown at 218.7% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹4 Cr to -₹56 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹563 Cr

Total Liabilities

₹130 Cr

Cash & Equivalents

₹5 Cr

Operating Cash Flow

-₹22 Cr

Capex

-₹34 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

64.0%

Peer Comparison

Company	P/E	ROE
NESTLE INDIA LIMITED	59.8x	79.9%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%
TATA CONSUMER PRODUCT LTD	59.3x	7.5%
DABUR INDIA LTD	34.7x	17.2%

Recent News

1 mixed5 general

Nurture Well Industries receives ₹28.67 crore from warrant issue

scanx.trade, 26 Jul

NWIL Stock Price and Chart — BSE:NWIL

TradingView, 13 Mar

Nurture Well Industries reports consolidated net loss of Rs 0.99 crore in the March 2026 quarter

Business Standard, 20 MayResults

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

Nurture Well Industries (BSE:531889) - Stock Analysis

Simply Wall Street, 29 Jan

Nurture Well Standalone March 2026 Net Sales at Rs 0.10 crore, down 99.25% Y-o-Y

Moneycontrol.com, 20 May

Nurture Well Industries Ltd. Share Price Live Today

CNBC TV18, 11 Mar

Watch Items

Revenue growth is negative (-38.8%) 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.

DalalBaazaar Thesis

StrongGrowth · Valuation

MiddlingFinancial Health · Profitability

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

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑