Thakkers Developers Limited

Real Estate — Real Estate - Development · NSE

₹133.90₹0.00 (0.00%)

DalalBaazaar Score

53 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

High

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

In simple words: The business is earning a fairly low return on the money invested in it, with both sales and profits growing well. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:06 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

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

What does this company do?

Thakkers Developers Limited, together with its subsidiaries, operates as a real estate and construction company in India. It operates through Construction and Contract Related Activity, and Estate Dealing and Development Activity segments.

IndustryReal Estate - Development

SectorReal Estate

Employees106

Annual revenue₹35 Cr

How does it make money?

Turns over ₹35 Cr a year. Of every ₹100 of sales, about ₹15 reaches shareholders as profit, with ₹28 left at the operating level before interest, tax and depreciation. Each of its 106 employees supports ₹33.2 lakh of revenue a year, the signature of a people-led business.

EBITDA margin27.7%

Net margin14.5%

Revenue / employee₹33.2 lakh

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.

DLF LIMITEDP/E 36.6x · ROE 10.3%

GODREJ PROPERTIES LTDP/E 30.2x · ROE 8.4%

OBEROI REALTY LIMITEDP/E 23.5x · ROE 14.7%

What is its competitive advantage?Little sign of one

Returns on capital of 3.9% 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.

ROCE3.9%

ROE8.6%

Peer median ROE10.3%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -24% while net margin moved -59% 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-24%

Margin effect-59%

DalalBaazaar Score

53/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 8.6% a year
✗ Profit has declined at 31.8% a year

Quality vs. Valuation

Company Quality

48/ 100

Average

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

Valuation

80/ 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

8.8x

Sector Median

30.2x

median of 3 sector peers

🟢Against its sector it trades 71% below the peer median of 30.2x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

30.2x median of 3 peers · -71%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

8.8x

P/B

0.72x

EV/EBITDA

13.9x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well2

Debt is being paid down
Total debt is down 23% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.

🔴 What Needs Attention3

Margins are compressing
EBITDA margin has slipped from 47.1% to 27.7% over 3 years.
Return on equity is falling
ROE has dropped from 11.1% to 3.3% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 9.7% to 3.9% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 2 high · 1 watch

🔴High leverageFinancial
Debt/Equity of 9.40x — earnings must service borrowings before shareholders see anything.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 19.5 points, from 47.1% to 27.7%.
🟡Profit is decliningFinancial
Net profit is down 68% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 23% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Cheaper than its peers
It trades 71% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

Margins are being competed away
EBITDA margin has fallen from 47.1% to 27.7%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Leverage amplifies any setback
Debt/Equity of 9.40x. Interest is payable whether or not the business has a good year.
Returns on shareholder capital are falling
ROE has dropped from 11.1% to 3.3%. 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.

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

1EBITDA margin holds above 26%✓ 27.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✓ ₹2 Cr
Profit that never becomes cash eventually stops being profit.
3Debt / EBITDA stays below 2x✓ 1.8x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4ROCE stays above 8%✗ 3.9%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

7 / 10 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

Price history

Quick Metrics

6 good · 3 neutral · 2 weak

Market Cap

₹121 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

8.8x

Cheap

Cheap against the generic band

P/B Ratio

0.72x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹15.18

Profitable

Profitable on a per-share basis

ROE

8.6%

Moderate

Moderate capital efficiency

ROCE

3.9%

Weak

Low return on total capital employed

Debt/Equity

9.40x

High

High leverage

Revenue Growth (YoY)

104.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

593.8%

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

₹9 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹133.9

ROA

2.9%

Weak

Assets generate little profit

Operating Margin

50.2%

Good

Healthy core-business profitability

Net Margin

31.1%

Good

Strong bottom-line conversion

Current Ratio

10.37

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.28

Defensive

Steadier than the market

52W Range Position

42%

Mid-range

Technical Snapshot

RSI (14)

48.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹46 Cr	₹31 Cr	₹32 Cr	₹35 Cr	-8.6%
EBITDA	₹22 Cr	₹2 Cr	₹11 Cr	₹10 Cr	-23.5%
EBITDA Margin	47.1%	6.2%	35.7%	27.7%	—
PAT (Net Profit)	₹16 Cr	-₹1 Cr	₹6 Cr	₹5 Cr	-31.8%
EPS	₹17.94	₹-1.05	₹7.2	₹5.68	-31.8%
ROE	11.1%	-0.7%	4.3%	3.3%	—
ROCE	9.7%	-0.2%	4.6%	3.9%	—
Total Debt	₹22 Cr	₹31 Cr	₹20 Cr	₹17 Cr	-8.5%
Free Cash Flow	-₹13 Cr	₹13 Cr	-₹16 Cr	₹2 Cr	—

🔴 Revenue has shrunk at 8.6% a year over 3 years.

🔴 EBITDA has shrunk at 23.5% a year over 3 years.

🔴 EBITDA Margin has fallen from 47.1% to 27.7% over 3 years (-19.5 pts).

🔴 PAT (Net Profit) has shrunk at 31.8% a year over 3 years.

🔴 EPS has shrunk at 31.8% a year over 3 years.

🔴 ROE has fallen from 11.1% to 3.3% over 3 years (-7.9 pts).

🔴 ROCE has fallen from 9.7% to 3.9% over 3 years (-5.8 pts).

🟢 Total Debt has shrunk at 8.5% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹13 Cr to ₹2 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹212 Cr

Total Liabilities

₹56 Cr

Total Debt

₹17 Cr

Cash & Equivalents

₹2 Cr

Operating Cash Flow

₹2 Cr

Capex

-₹1 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

92.8%

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

6 general

Thakkers Developers Upper Circuit Today: Price, Data and Peers

Univest, 13 Oct

Thakkers Developers Limited (THAKDEV) Share Price NSE

TechGraph, 07 Oct

Thakkers Developers Lower Circuit Today: Price, Data and Peers

Univest, 09 Oct

Thakkers Group promoter gifts 16.57% stake to family members

scanx.trade, 29 Sept

Suratwwala Business Group Ltd leads losers in 'B' group

Business Standard, 18 Sept

Supreme Holdings & Hospitality (India) (NSEI:SUPREME) - Stock Analysis

Simply Wall Street, 26 Mar

Watch Items

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

DalalBaazaar Thesis

🟡Business QualityAdequate11.5/20

🟢Financial HealthStrong14.5/20

🔴GrowthWeak2.4/20

🟡ProfitabilityModerate7.5/15

🟢ValuationAttractive13/15

🔴RiskHigh3.9/10

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

This thesis breaks if

✓EBITDA margin holds above 26%27.7%
✓Free cash flow remains positive₹2 Cr
✓Debt / EBITDA stays below 2x1.8x
✗ROCE stays above 8%3.9%