Signatureglobal (India) Limited

Real Estate — Real Estate - Development · NSE

₹727.00−₹1.30 (−0.18%)

DalalBaazaar Score

67 / 100

🟢 Good

Verdict

NEUTRAL

Risk

High

Driven by high debt relative to equity, small-cap size, which brings sharper price swings.

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, 8:26 pm

Understanding the Business

Company site ↗

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

What does this company do?

Signatureglobal (India) Limited operates as a real estate development company in India. It operates through Real Estate, NBFC, and Others segments. The company focuses on affordable and mid-segment housing.

IndustryReal Estate - Development

SectorReal Estate

Employees1,365

Annual revenue₹2,579 Cr

How does it make money?

Turns over ₹2,579 Cr a year. Of every ₹100 of sales, about ₹42 reaches shareholders as profit, with ₹5 left at the operating level before interest, tax and depreciation. Each of its 1,365 employees supports ₹1.89 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.89 Cr

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 36.2% 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 is the outlook?

5 analysts covering the stock expect revenue to grow about 29.2% and earnings to grow about 73.6% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+29.2%

Est. earnings growth+73.6%

Analysts5

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +67% while net margin moved -1127% 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+67%

Margin effect-1127%

DalalBaazaar Score

67/ 100

Good

Weighted across six categories. Every point is explained below.

• Beta of 0.82 — moves roughly with the market
✗ Small 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

Quality vs. Valuation

Company Quality

71/ 100

Good

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

Valuation

70/ 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

9.8x

2Y Median

154.8x

28 monthly readings · mean 504.6x · range 9.3x–1309.6x

Sector Median

30.2x

median of 3 sector peers

🟢Current valuation is approximately 94% below its 2y median of 154.8x. 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 68% below the peer median of 30.2x.

vs. its own history

Cheap

154.8x median over 28 months · -94%

vs. sector peers

Cheap

30.2x median of 3 peers · -68%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

79.1x

PEG

—

What's Good / What's Bad

🟢 What's Going Well4

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 -134.3% to 59.2%.
Return on capital is rising
ROCE has improved from 0.8% to 36.2%.
High return on capital employed
ROCE of 36.2% is the mark of a business that converts capital into profit efficiently.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

5 items require attention · 5 high

🔴Debt has risen sharplyFinancial
Total debt is up 73% over 3 years, from ₹1,724 Cr to ₹2,979 Cr.
🔴High leverageFinancial
Debt/Equity of 1.61x — earnings must service borrowings before shareholders see anything.
🔴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 131% against revenue up 67% — sales are being booked faster than they are collected.
🔴Inventory building faster than salesFinancial
Inventory up 147% against revenue up 67% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 36.2% 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 94% 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 68% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 21.3x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Sales are being booked faster than collected
Receivables are up 131% against revenue up 67%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
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
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
5 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 14% a year✓ 18.6% CAGR
Latest reported year was -36.2%. 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 falls below 3x✗ 21.3x
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✓ ₹99 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 33%✓ 36.2%
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 · 2 neutral · 3 weak

Market Cap

₹10,228 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

9.8x

Cheap

Cheap against the generic band

P/B Ratio

5.52x

Rich

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

EPS (TTM)

₹74.2

Profitable

Profitable on a per-share basis

ROE

59.2%

Strong

Strong capital efficiency

ROCE

36.2%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.61x

High

High leverage

Revenue Growth (YoY)

-36.2%

Shrinking

Sales are contracting

Profit Growth (YoY)

982.9%

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

₹99 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

13.2x

Flat

At or above the trailing multiple — no earnings uplift is being priced in

Operating Margin

-9.3%

Weak

Thin margins leave little room for error

Net Margin

45.7%

Good

Strong bottom-line conversion

Current Ratio

1.16

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.82

Market-like

Moves roughly in line with the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

739.8 / 769.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

29.1

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1,545 Cr	₹1,221 Cr	₹2,483 Cr	₹2,579 Cr	+18.6%
EBITDA	₹71 Cr	₹61 Cr	₹183 Cr	₹140 Cr	+25.5%
EBITDA Margin	4.6%	5.0%	7.4%	5.4%	—
PAT (Net Profit)	-₹64 Cr	₹16 Cr	₹101 Cr	₹1,095 Cr	—
EPS	₹-4.55	₹1.22	₹7.19	₹77.83	—
ROE	-134.3%	2.6%	13.9%	59.2%	—
ROCE	0.8%	1.3%	6.2%	36.2%	—
Total Debt	₹1,724 Cr	₹1,933 Cr	₹2,394 Cr	₹2,979 Cr	+20.0%
Free Cash Flow	-₹297 Cr	₹57 Cr	₹456 Cr	₹99 Cr	—

🟢 Revenue has grown at 18.6% a year over 3 years.

🟢 EBITDA has grown at 25.5% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 5.4% over 3 years.

🟢 PAT (Net Profit) has turned positive, from -₹64 Cr to ₹1,095 Cr.

🟢 EPS has turned positive, from ₹-4.55 to ₹77.83.

🟢 ROE has risen from -134.3% to 59.2% over 3 years (+193.5 pts).

🟢 ROCE has risen from 0.8% to 36.2% over 3 years (+35.4 pts).

🔴 Total Debt has grown at 20.0% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹297 Cr to ₹99 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹17,255 Cr

Total Liabilities

₹15,406 Cr

Cash & Equivalents

₹2,130 Cr

Operating Cash Flow

₹126 Cr

Capex

-₹26 Cr

Shareholding (proxy)

Institutional Holding

12.4%

Insider Holding

76.8%

Analyst Consensus

Recommendations

5 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹1,087

+49.5% vs CMP

Target Range

₹940 – ₹1,246

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 positive2 mixed3 general

Signatureglobal (India) Ltd. 52 Week Low Streak Extends

Univest, 15 Oct

Signatureglobal (India) - Zen Technologies among 3 stocks that closed crossing above VWAP

The Economic Times, 16 Oct

Here's Why We Think Signatureglobal (India) (NSE:SIGNATURE) Might Deserve Your Attention Today

Simply Wall Street, 07 Oct

SIGNATURE Forecast — Price Target — Prediction for 2027

TradingView, 26 JunAnalyst view

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

Signatureglobal share price falls 7% on Q3 update; is it good time to buy?

Business Standard, 12 JanPrice 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.

Signature Global shares gain after Q1 pre-sales rise 25% sequentially but other parameters drop

CNBC TV18, 15 JulResults

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

Watch Items

Revenue growth is negative (-36.2%) 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

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

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