Tribhovandas Bhimji Zaveri Limited

Consumer Cyclical — Luxury Goods · NSE

₹759.15+₹36.15 (+5.00%)

DalalBaazaar Score

66 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

Driven by moderate debt load, small-cap size, which brings sharper price swings.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:03 pm

Understanding the Business

Company site ↗

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

What does this company do?

Tribhovandas Bhimji Zaveri Limited designs, manufactures, retails, and sells jewelry in India. The company offers bangles, pendants, rings, necklaces, bracelets, earrings, coins, and mangalsutras.

IndustryLuxury Goods

SectorConsumer Cyclical

Employees1,136

Annual revenue₹3,203 Cr

How does it make money?

Turns over ₹3,203 Cr a year. Of every ₹100 of sales, about ₹6 reaches shareholders as profit, with ₹11 left at the operating level before interest, tax and depreciation. Each of its 1,136 employees supports ₹2.82 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹2.82 Cr

Who are its competitors?

The closest listed comparisons in its industry are TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED, ASIAN PAINTS 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 35.3% 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 ROE25.9%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +34% while net margin moved +276% 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+34%

Margin effect+276%

DalalBaazaar Score

66/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.36 — historically steadier than the index
✗ Small Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Trading within 10% of its 52-week high — entries here carry more pullback risk

Quality vs. Valuation

Company Quality

72/ 100

Good

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

Valuation

64/ 100

Fair

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

23.7x

3Y Median

20.5x

40 monthly readings · mean 20.9x · range 10.1x–34.8x

Sector Median

69.2x

median of 4 sector peers

⚠️Current valuation is approximately 16% above its 3y median of 20.5x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 66% below the peer median of 69.2x.

vs. its own history

Fair

20.5x median over 40 months · +16%

vs. sector peers

Cheap

69.2x median of 4 peers · -66%

vs. generic bands

Fair

15x–35x

EV/EBITDA

16.2x

PEG

0.33

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 5.0% to 11.4% over 3 years.
Return on equity is rising
ROE has improved from 7.2% to 24.1%.
Return on capital is rising
ROCE has improved from 14.9% to 35.3%.
High return on capital employed
ROCE of 35.3% 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

2 items require attention · 2 high

🔴Debt has risen sharplyFinancial
Total debt is up 54% over 3 years, from ₹575 Cr to ₹886 Cr.
🔴Receivables growing faster than salesFinancial
Receivables up 87% against revenue up 34% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 35.3% 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 5.0% to 11.4%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Cheaper than its peers
It trades 66% 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?

Sales are being booked faster than collected
Receivables are up 87% against revenue up 34%. 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
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

1Revenue growth stays above 8% a year✓ 10.2% CAGR
Latest reported year was 34.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 9%✓ 11.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.4x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✓ ₹16 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 32%✓ 35.3%
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

6 good · 4 neutral · 1 weak

Market Cap

₹5,066 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

23.7x

Fair

Fairly valued against the generic band

P/B Ratio

6.04x

Rich

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

EPS (TTM)

₹32.03

Profitable

Profitable on a per-share basis

ROE

24.1%

Strong

Strong capital efficiency

ROCE

35.3%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.06x

Moderate

Moderate leverage

Revenue Growth (YoY)

34.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

61.8%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.33%

Modest

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

Free Cash Flow

₹16 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

255.6x

Flat

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

Operating Margin

7.6%

Average

Average margins

Net Margin

6.2%

Average

Average bottom-line conversion

Current Ratio

1.65

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.36

Defensive

Steadier than the market

52W Range Position

100%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

642.7 / 474.8

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

66.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,393 Cr	₹2,299 Cr	₹2,620 Cr	₹3,203 Cr	+10.2%
EBITDA	₹119 Cr	₹141 Cr	₹175 Cr	₹366 Cr	+45.5%
EBITDA Margin	5.0%	6.1%	6.7%	11.4%	—
PAT (Net Profit)	₹40 Cr	₹54 Cr	₹68 Cr	₹202 Cr	+71.4%
EPS	₹6.02	₹8.16	₹10.25	₹30.32	+71.4%
ROE	7.2%	9.0%	10.4%	24.1%	—
ROCE	14.9%	17.4%	19.8%	35.3%	—
Total Debt	₹575 Cr	₹614 Cr	₹792 Cr	₹886 Cr	+15.5%
Free Cash Flow	₹85 Cr	₹30 Cr	-₹39 Cr	₹16 Cr	-43.3%

🟢 Revenue has grown at 10.2% a year over 3 years.

🟢 EBITDA has grown at 45.5% a year over 3 years.

🟢 EBITDA Margin has risen from 5.0% to 11.4% over 3 years (+6.5 pts).

🟢 PAT (Net Profit) has grown at 71.4% a year over 3 years.

🟢 EPS has grown at 71.4% a year over 3 years.

🟢 ROE has risen from 7.2% to 24.1% over 3 years (+17.0 pts).

🟢 ROCE has risen from 14.9% to 35.3% over 3 years (+20.4 pts).

🔴 Total Debt has grown at 15.5% a year over 3 years.

🔴 Free Cash Flow has shrunk at 43.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹2,102 Cr

Total Liabilities

₹1,264 Cr

Cash & Equivalents

₹27 Cr

Operating Cash Flow

₹30 Cr

Capex

-₹14 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

78.2%

Corporate Actions

Dividend Rate

₹2.5

Ex-Dividend Date

02 Sept 2026

Peer Comparison

Company	P/E	ROE
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%
ASIAN PAINTS LIMITED	46.9x	22.3%

Recent News

6 general

GRT Jewellers publishes TBZ open offer DPS, sets Oct 26 tender start

scanx.trade, 18 Oct

Tribhovandas Bhimji Zaveri soars 58% in 4 days; zooms 107% from Aug low

Business Standard, 04 Sept

Tribhovandas Bhimji Zaveri Ltd. Consecutive 52 Week Highs

Univest, 16 Oct

India's Tribhovandas Bhimji Zaveri soars to record high on growth optimism after GRT Jewellers deal

Reuters, 31 Aug

TBZ shares zoom 20%, hit upper circuit after GRT Jewellers open offer

The Economic Times, 01 Sept

Tribhovandas Bhimji Zaveri is now GRT's jewel

Finshots, 04 Sept

Watch Items

Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongFinancial Health · Growth · Profitability

MiddlingBusiness Quality · Valuation · Risk

Points for each in the Score ↑

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself. 2 high-severity red flags sit above this conclusion and should be read first.

1 of 5 tripwires tripped — Debt / EBITDA stays below 2x · see Key things to watch ↑