United Van Der Horst Limited

Industrials — Specialty Industrial Machinery · BSE

₹33.99+₹1.65 (+5.10%)

DalalBaazaar Score

61 / 100

🟢 Good

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: Reasonable but unspectacular business quality, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

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

What does this company do?

United Van Der Horst Limited provides reconditioning, re-standardizing, reverse engineering and manufacturing services to various industries in India and internationally.

IndustrySpecialty Industrial Machinery

SectorIndustrials

Employees32

Annual revenue₹32 Cr

How does it make money?

Turns over ₹32 Cr a year. Of every ₹100 of sales, about ₹16 reaches shareholders as profit, with ₹40 left at the operating level before interest, tax and depreciation. Each of its 32 employees supports ₹99.8 lakh of revenue a year, the signature of a people-led business.

EBITDA margin40.4%

Net margin16.4%

Revenue / employee₹99.8 lakh

Who are its competitors?

The closest listed comparisons in its industry are SIEMENS LTD, ABB INDIA LIMITED, LARSEN & TOUBRO LTD., HAVELLS INDIA LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

SIEMENS LTDP/E 88.8x · ROE 10.5%

ABB INDIA LIMITEDP/E 92.6x · ROE 19.1%

LARSEN & TOUBRO LTD.P/E 30.1x · ROE 15.2%

HAVELLS INDIA LIMITEDP/E 43.5x · ROE 17.1%

What is its competitive advantage?Little sign of one

Returns on capital of 12.9% 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.

ROCE12.9%

ROE9.8%

Peer median ROE17.1%

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 +91% while net margin moved +17% 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+91%

Margin effect+17%

DalalBaazaar Score

61/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.09 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

66/ 100

Good

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

Valuation

48/ 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

65.4x

3Y Median

59.2x

40 monthly readings · mean 65.8x · range 35.0x–108.9x

Sector Median

66.2x

median of 4 sector peers

⚠️Current valuation is approximately 10% above its 3y median of 59.2x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟡Against its sector it is priced broadly in line with the peer median of 66.2x.

vs. its own history

Fair

59.2x median over 40 months · +10%

vs. sector peers

Fair

66.2x median of 4 peers · -1%

vs. generic bands

Expensive

Above 35x

P/E (Trailing)

65.4x

P/B

4.72x

EV/EBITDA

20.6x

PEG

2.12

Dividend Yield

0.88%

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 38.7% to 40.4% over 3 years.
Return on equity is rising
ROE has improved from 6.7% to 9.8%.
Return on capital is rising
ROCE has improved from 7.2% to 12.9%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Free cash flow is negative
The business is not currently covering its capital spending from operations.
Receivables growing faster than sales
Receivables are up 111% against revenue growth of 91% — customers are taking longer to pay.

Red Flags

4 items require attention · 1 high · 3 watch

🔴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.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹4 Cr in the latest year.
🟡Receivables growing faster than salesFinancial
Receivables up 111% against revenue up 91% — sales are being booked faster than they are collected.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 23% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 38.7% to 40.4%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
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 111% against revenue up 91%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
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 18% a year✓ 24.0% CAGR
Latest reported year was 0.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 38%✓ 40.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹4 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 10%✓ 12.9%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

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

1 good · 7 neutral · 3 weak

Market Cap

₹234 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

65.4x

Expensive

Expensive — verify against sector peers

P/B Ratio

4.72x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹0.52

Profitable

Profitable on a per-share basis

ROE

9.8%

Moderate

Moderate capital efficiency

ROCE

12.9%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.62x

Moderate

Moderate leverage

Revenue Growth (YoY)

0.6%

Modest

Modest growth

Profit Growth (YoY)

-45.9%

Falling

Profits are shrinking

Dividend Yield

0.88%

Modest

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

Free Cash Flow

-₹4 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹33.99

Operating Margin

23.6%

Good

Healthy core-business profitability

Net Margin

13.5%

Good

Strong bottom-line conversion

Current Ratio

1.36

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.09

Defensive

Steadier than the market

52W Range Position

17%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

34.5 / 35.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

40.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹17 Cr	₹23 Cr	₹30 Cr	₹32 Cr	+24.0%
EBITDA	₹6 Cr	₹7 Cr	₹12 Cr	₹13 Cr	+25.7%
EBITDA Margin	38.7%	32.6%	39.2%	40.4%	—
PAT (Net Profit)	₹2 Cr	₹2 Cr	₹4 Cr	₹5 Cr	+30.8%
EPS	₹0.42	₹0.27	₹0.66	₹0.76	+22.1%
ROE	6.7%	4.2%	8.5%	9.8%	—
ROCE	7.2%	7.2%	11.1%	12.9%	—
Total Debt	₹27 Cr	₹31 Cr	₹22 Cr	₹33 Cr	+7.2%
Free Cash Flow	-₹8 Cr	-₹9 Cr	₹8 Cr	-₹4 Cr	—

🟢 Revenue has grown at 24.0% a year over 3 years.

🟢 EBITDA has grown at 25.7% a year over 3 years.

🟢 EBITDA Margin has risen from 38.7% to 40.4% over 3 years (+1.7 pts).

🟢 PAT (Net Profit) has grown at 30.8% a year over 3 years.

🟢 EPS has grown at 22.1% a year over 3 years.

🟢 ROE has risen from 6.7% to 9.8% over 3 years (+3.1 pts).

🟢 ROCE has risen from 7.2% to 12.9% over 3 years (+5.7 pts).

🔴 Total Debt has grown at 7.2% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹102 Cr

Total Liabilities

₹48 Cr

Total Debt

₹33 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

₹0 Cr

Capex

-₹4 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

84.8%

Corporate Actions

Dividend Rate

₹0.3

Ex-Dividend Date

13 Feb 2026

Peer Comparison

Company	P/E	ROE
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%
LARSEN & TOUBRO LTD.	30.1x	15.2%
HAVELLS INDIA LIMITED	43.5x	17.1%

Recent News

2 positive1 negative3 general

United Van Der Horst Lower Circuit Today: Price, Data and Peers

Univest, 05 Oct

United Van Der Horst Limited 1:5 Stock Split Goes Ex-Date on January 22, 2026

scanx.trade, 22 JanCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

United Van Der Horst Ltd. Share Price Live Today

CNBC TV18, 03 Jan

1:5 Stock Split: BSE Stock To Turn 1 Share Into 5; You Could Soon Own 5x More Shares

Goodreturns, 05 JanCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

United Van Der Horst standalone net profit declines 45.10% in the June 2026 quarter

Business Standard, 07 AugResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

UHTL Stock Price and Chart — NSE:UHTL

TradingView, 11 Jun

Watch Items

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

DalalBaazaar Thesis

🟢Business QualityStrong14.5/20

🟡Financial HealthAdequate10.5/20

🟢GrowthStrong14.9/20

🟡ProfitabilityModerate9.4/15

🟡ValuationFair6.9/15

🔴RiskHigh4.4/10

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. 1 high-severity red flag sits above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 18% a year24.0% CAGR
✓EBITDA margin holds above 38%40.4%
✗Debt / EBITDA stays below 2x2.5x
✗Free cash flow remains positive-₹4 Cr
✓ROCE stays above 10%12.9%