Shree Salasar Investments Limited

Real Estate — Real Estate - Development · BSE

₹336.00−₹0.95 (−0.28%)

DalalBaazaar Score

74 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

Driven by moderate debt load, short-term liabilities exceed short-term assets, micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Short-term liquidity 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 Shree Salasar Investments Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Shree Salasar Investments Limited operates as an investment company in India. It is involved in the business to invest in, acquire and hold, sell, buy, and deal in shares, debentures, debenture stocks, bonds, and units, as well as infrastructure business.

IndustryReal Estate - Development

SectorReal Estate

Annual revenue₹112 Cr

How does it make money?

Turns over ₹112 Cr a year. Of every ₹100 of sales, about ₹16 reaches shareholders as profit, with ₹27 left at the operating level before interest, tax and depreciation.

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.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 20.1% 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 ROE10.3%

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 +3671% while net margin moved +184% 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+3671%

Margin effect+184%

DalalBaazaar Score

74/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.89 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

77/ 100

Good

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

Valuation

81/ 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

10.8x

3Y Median

18.7x

40 monthly readings · mean 34.5x · range 3.7x–175.3x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 42% below its 3y median of 18.7x. 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 64% below the peer median of 30.2x.

vs. its own history

Cheap

18.7x median over 40 months · -42%

vs. sector peers

Cheap

30.2x median of 3 peers · -64%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

10.6x

PEG

0.03

What's Good / What's Bad

🟢 What's Going Well6

Margins are improving
EBITDA margin is up from 11.3% to 27.1% 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 0.5% to 26.3%.
Return on capital is rising
ROCE has improved from 0.5% to 20.1%.
High return on capital employed
ROCE of 20.1% is the mark of a business that converts capital into profit efficiently.
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 watch

🟡Debt is increasingFinancial
Total debt is up 45% over 3 years.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 66.0x to 5.2x.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.39 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 20.1% 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.
Margin expansion has further to run
EBITDA margin has risen from 11.3% to 27.1%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 42% 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 64% 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?

The debt load needs earnings to hold up
Debt is 3.0x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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.

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

1Revenue growth stays above 176% a year✓ 235.3% CAGR
Latest reported year was 39.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 25%✓ 27.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 3.0x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
4Free cash flow remains positive✓ ₹11 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 17%✓ 20.1%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 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

7 good · 4 neutral · 0 weak

Market Cap

₹234 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

10.8x

Cheap

Cheap against the generic band

P/B Ratio

3.25x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹31.05

Profitable

Profitable on a per-share basis

ROE

26.3%

Strong

Strong capital efficiency

ROCE

20.1%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.32x

Moderate

Moderate leverage

Revenue Growth (YoY)

39.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

129.4%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹11 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

37.1%

Good

Healthy core-business profitability

Net Margin

17.8%

Good

Strong bottom-line conversion

Current Ratio

0.39

Tight

Tight short-term liquidity

Beta (vs Nifty)

-0.89

Defensive

Steadier than the market

52W Range Position

39%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

329.1 / 347.5

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

50.2

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹3 Cr	₹14 Cr	₹43 Cr	₹112 Cr	+235.3%
EBITDA	₹0 Cr	₹2 Cr	₹4 Cr	₹30 Cr	+348.9%
EBITDA Margin	11.3%	13.1%	8.2%	27.1%	—
PAT (Net Profit)	₹0 Cr	₹1 Cr	₹2 Cr	₹18 Cr	+374.8%
EPS	₹0.29	₹1.43	₹3.89	₹26.45	+350.1%
ROE	0.5%	2.4%	4.6%	26.3%	—
ROCE	0.5%	1.6%	2.6%	20.1%	—
Total Debt	₹64 Cr	₹80 Cr	₹85 Cr	₹93 Cr	+13.3%
Free Cash Flow	-₹35 Cr	-₹41 Cr	-₹27 Cr	₹11 Cr	—

🟢 Revenue has grown at 235.3% a year over 3 years.

🟢 EBITDA has grown at 348.9% a year over 3 years.

🟢 EBITDA Margin has risen from 11.3% to 27.1% over 3 years (+15.8 pts).

🟢 PAT (Net Profit) has grown at 374.8% a year over 3 years.

🟢 EPS has grown at 350.1% a year over 3 years.

🟢 ROE has risen from 0.5% to 26.3% over 3 years (+25.8 pts).

🟢 ROCE has risen from 0.5% to 20.1% over 3 years (+19.6 pts).

🔴 Total Debt has grown at 13.3% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹35 Cr to ₹11 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹277 Cr

Total Liabilities

₹207 Cr

Cash & Equivalents

₹6 Cr

Operating Cash Flow

₹11 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

93.2%

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 positive5 general

Shree Salasar Investments Ltd. Upper Circuit: Price and Key Data

Univest, 25 Sept

Shree Salasar Investments Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 30 Aug

Shree Salasar Investments regularizes Sumesh Mishra as independent director

scanx.trade, 01 Oct

Compare ESCORT FINAN with

Equitymaster, 27 Sept

Shree Salasar Investments Ltd. Peer Comparison – Compare with Others

Value Research, 30 Aug

Shree Salasar Investments consolidated profit surges 6.5x in FY26

scanx.trade, 05 SeptResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

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

DalalBaazaar Thesis

StrongBusiness Quality · Growth · Profitability · Valuation

MiddlingFinancial Health

WeakRisk

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.

1 of 5 tripwires tripped — Debt / EBITDA falls below 3x · see Key things to watch ↑