VCU Data Management Limited

Industrials — Security & Protection Services · BSE

₹6.06−₹0.42 (−6.48%)

DalalBaazaar Score

46 / 100

🟡 Moderate

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: The business is earning a fairly low return on the money invested in it. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:48 pm

Understanding the Business

Company site ↗

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

What does this company do?

VCU Data Management Limited manufactures and trades in electronic security products in India. The company offers commercial and residential security and surveillance equipment. It also operates E-IPO Platform for investing.

IndustrySecurity & Protection Services

SectorIndustrials

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., SIEMENS LTD, ABB INDIA 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?Little sign of one

Returns on capital of 0.3% 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.

Peer median ROE15.2%

DalalBaazaar Score

46/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Profit has declined at 47.9% a year
✗ Profit fell 20.6% in the latest year

Quality vs. Valuation

Company Quality

44/ 100

Weak

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

Valuation

39/ 100

Expensive

What you are being asked to pay, ignoring how good the business is.

Weak on business quality and not cheap enough to compensate.

Historical Valuation

Current P/E

151.5x

3Y Median

129.0x

40 monthly readings · mean 247.8x · range 20.3x–695.0x

Sector Median

88.8x

median of 3 sector peers

⚠️Current valuation is approximately 17% above its 3y median of 129.0x. 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 71% above the peer median of 88.8x.

vs. its own history

Fair

129.0x median over 40 months · +17%

vs. sector peers

Expensive

88.8x median of 3 peers · +71%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

100.2x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

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 · 1 high · 1 watch

🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🟡Profit is decliningFinancial
Net profit is down 86% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

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?

A premium to the sector to defend
It trades 71% above the peer median. That premium needs a reason that persists, or it closes.
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

1Free cash flow remains positive✗ -₹6 Cr
Profit that never becomes cash eventually stops being profit.
2ROCE stays above 8%✗ 0.3%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
3Valuation vs its own median of 129.0x✓ 151.5x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

3 / 9 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ 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

2 good · 4 neutral · 5 weak

Market Cap

₹9 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

151.5x

Expensive

Expensive — verify against sector peers

P/B Ratio

0.36x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹0.04

Profitable

Profitable on a per-share basis

ROE

0.2%

Weak

Weak capital efficiency

ROCE

0.3%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

-20.6%

Falling

Profits are shrinking

Dividend Yield

None

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

Free Cash Flow

-₹6 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

42.0%

Good

Healthy core-business profitability

Net Margin

12.6%

Good

Strong bottom-line conversion

Current Ratio

4.89

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.37

Defensive

Steadier than the market

52W Range Position

19%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

6.9 / 7.2

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

28.3

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
EBITDA	₹1 Cr	₹0 Cr	₹0 Cr	₹0 Cr	-48.0%
PAT (Net Profit)	₹0 Cr	₹0 Cr	₹0 Cr	₹0 Cr	-47.9%
EPS	₹0.28	₹0.01	₹0.05	—	—
ROE	1.5%	0.0%	0.3%	0.2%	—
ROCE	2.2%	0.1%	0.3%	0.3%	—
Free Cash Flow	-₹1 Cr	-₹1 Cr	-₹25 Cr	-₹6 Cr	—

🔴 EBITDA has shrunk at 48.0% a year over 3 years.

🔴 PAT (Net Profit) has shrunk at 47.9% a year over 3 years.

🔴 ROE has fallen from 1.5% to 0.2% over 3 years (-1.3 pts).

🔴 ROCE has fallen from 2.2% to 0.3% over 3 years (-1.9 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹30 Cr

Total Liabilities

₹0 Cr

Total Debt

—

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹6 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

24.2%

Peer Comparison

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

Recent News

6 general

VCU Data Management Ltd. Peer Comparison – Compare with Others

Value Research, 31 Aug

VCU Data Management Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 30 Aug

VCU DATA MANAGEMENT LTD Share Price

Upstox, 11 Apr

VCU Data Management Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 31 Aug

VCU Data Management Ltd. Financials – Balance Sheet, Profit & Loss, Cash Flow

Value Research, 30 Aug

KAVDEFENCE Stock Price and Chart — NSE:KAVDEFENCE

TradingView, 23 Jun

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
2 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.
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

StrongFinancial Health

MiddlingBusiness Quality · Profitability · Valuation

WeakGrowth · Risk

Points for each in the Score ↑

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 1 high-severity red flag sits above this conclusion and should be read first.

2 of 3 tripwires tripped — Free cash flow remains positive; ROCE stays above 8% · see Key things to watch ↑