VISA Chrome Limited

Basic Materials — Steel · NSE

₹32.60+₹0.34 (+1.05%)

DalalBaazaar Score

18 / 100

🔴 Poor

Verdict

HIGH RISK

Risk

Very High

Driven by negative shareholders' equity — the company owes more than it owns, short-term liabilities exceed short-term assets, micro-cap size, which brings thin liquidity.

In simple words: The company owes more than it owns — years of losses have wiped out its net worth, but sales are shrinking. Solvency — whether it can keep funding itself at all — is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:46 pm

Understanding the Business

Company site ↗

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

What does this company do?

VISA Chrome Limited manufactures and sells ferro alloys in India. The company offers high carbon ferro chrome products. Its products are used in stainless steel and special steel manufacturing applications.

IndustrySteel

SectorBasic Materials

Employees323

Annual revenue₹547 Cr

How does it make money?

Turns over ₹547 Cr a year. Of every ₹100 of sales, about ₹192 reaches shareholders as profit, with ₹4 left at the operating level before interest, tax and depreciation. Each of its 323 employees supports ₹1.69 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.69 Cr

Who are its competitors?

The closest listed comparisons in its industry are TATA STEEL LIMITED, JSW STEEL LIMITED, JINDAL STEEL LIMITED, STEEL AUTHORITY OF INDIA. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -14% while net margin moved -26% 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-14%

Margin effect-26%

DalalBaazaar Score

18/ 100

Poor

Weighted across six categories. Every point is explained below.

✗ Shareholders' equity is negative — accumulated losses exceed the capital in the business

Quality vs. Valuation

Company Quality

17/ 100

Weak

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

Valuation

30/ 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

0.4x

3Y Median

0.2x

40 monthly readings · mean 0.2x · range 0.1x–0.5x

Sector Median

18.2x

median of 4 sector peers

⚠️Current valuation is approximately 64% above its 3y median of 0.2x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 98% below the peer median of 18.2x.

vs. its own history

Expensive

0.2x median over 40 months · +64%

vs. sector peers

Cheap

18.2x median of 4 peers · -98%

vs. generic bands

N/A

Multiples unreliable — equity base is negative

EV/EBITDA

44.1x

PEG

—

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 1.6% to 3.6% over 3 years.
Debt is being paid down
Total debt is down 72% over 3 years.
Cash generation is improving
Free cash flow is up 35% over 3 years.

🔴 What Needs Attention0

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

Red Flags

4 items require attention · 2 high · 2 watch

🔴Negative shareholders' equityFinancial
Liabilities exceed assets — accumulated losses have wiped out the company's net worth.
🔴Inventory building faster than salesFinancial
Inventory up 104% against revenue up -14% — stock may not be moving.
🟡Profit is decliningFinancial
Net profit is down 37% over 3 years.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.10 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 1.6% to 3.6%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 72% 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 98% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

Solvency comes before everything else
Liabilities exceed assets. Until net worth is rebuilt, the equity is a claim on a business that owes more than it owns, and further losses or a funding squeeze can leave shareholders with nothing.
The debt load needs earnings to hold up
Debt is 20.0x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
The price already assumes success
The stock trades 64% above its own median multiple. At this level the business has to deliver just to stand still, and a stumble is repriced twice — lower earnings on a lower multiple.
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 2%✓ 3.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 20.0x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Free cash flow remains positive✓ ₹11 Cr
Profit that never becomes cash eventually stops being profit.
4Valuation vs its own median of 0.2x✗ 0.4x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

5 / 9 checks passed

✗ Shareholders' equity is positive (assets exceed liabilities)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ 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

4 good · 4 neutral · 3 weak

Market Cap

₹475 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

0.4x

Cheap

Cheap against the generic band

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

₹84.67

Profitable

Profitable on a per-share basis

ROE

Not meaningful

Negative equity

Return on equity can't be read when equity itself is negative

ROCE

Not available

No data

Source didn't return this field

Debt/Equity

Not meaningful

Negative equity

Shareholders' equity is negative, so this ratio can't be read

Revenue Growth (YoY)

-29.6%

Shrinking

Sales are contracting

Profit Growth (YoY)

303.3%

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

₹11 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

-1.4%

Weak

Thin margins leave little room for error

Net Margin

202.8%

Good

Strong bottom-line conversion

Current Ratio

0.10

Tight

Tight short-term liquidity

Beta (vs Nifty)

1.62

High swing

Swings more than the market in both directions

52W Range Position

13%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

33.9 / 35.8

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

41.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹639 Cr	₹640 Cr	₹544 Cr	₹547 Cr	-5.0%
EBITDA	₹10 Cr	₹7 Cr	₹32 Cr	₹20 Cr	+23.6%
EBITDA Margin	1.6%	1.0%	5.9%	3.6%	—
PAT (Net Profit)	₹1,660 Cr	-₹72 Cr	-₹517 Cr	₹1,050 Cr	-14.2%
EPS	₹143.39	₹-6.21	₹-44.61	₹85.85	-15.7%
Total Debt	₹1,394 Cr	₹1,409 Cr	₹1,398 Cr	₹392 Cr	-34.5%
Free Cash Flow	₹8 Cr	₹8 Cr	₹13 Cr	₹11 Cr	+10.5%

🔴 Revenue has shrunk at 5.0% a year over 3 years.

🟢 EBITDA has grown at 23.6% a year over 3 years.

🟢 EBITDA Margin has risen from 1.6% to 3.6% over 3 years (+2.0 pts).

🔴 PAT (Net Profit) has shrunk at 14.2% a year over 3 years.

🔴 EPS has shrunk at 15.7% a year over 3 years.

🟢 Total Debt has shrunk at 34.5% a year over 3 years.

🟢 Free Cash Flow has grown at 10.5% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹535 Cr

Total Liabilities

₹755 Cr

Cash & Equivalents

₹3 Cr

Operating Cash Flow

₹36 Cr

Capex

-₹25 Cr

Shareholding (proxy)

Institutional Holding

9.9%

Insider Holding

77.6%

Corporate Actions

Ex-Dividend Date

14 Jul 2011

Peer Comparison

Company	P/E	ROE
TATA STEEL LIMITED	19.8x	10.8%
JSW STEEL LIMITED	12.0x	24.7%
JINDAL STEEL LIMITED	39.1x	5.3%
STEEL AUTHORITY OF INDIA	16.5x	7.1%

Recent News

1 mixed5 general

VISA Chrome (VISACHROME) Share/Stock Price Live, NSE

TechGraph, 08 Oct

VISA Chrome (NSEI:VISACHROME) - Stock Analysis

Simply Wall Street, 20 May

Visa Chrome schedules 30th AGM on September 29, 2026

scanx.trade, 29 Sept

VISA Chrome Q1 FY27 Results Preview

Univest, 09 JulResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

PANCHMAHQ Stock Price and Chart — NSE:PANCHMAHQ

TradingView, 18 Aug

VISA Chrome (BSE:532721) - Stock Analysis

Simply Wall Street, 06 May

Watch Items

Revenue growth is negative (-29.6%) on the latest reported period — check if this is one-off or a trend.
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.

DalalBaazaar Thesis

WeakBusiness Quality · Financial Health · Growth · Profitability · Valuation · Risk

Points for each in the Score ↑

Avoid until solvency is resolved

VISA Chrome Limited owes more than it owns. Whatever the operating numbers show, the equity is a residual claim on a business with negative net worth, and that question has to be settled before any of the rest is worth weighing. 2 high-severity red flags sit above this conclusion and should be read first.

2 of 4 tripwires tripped — Debt / EBITDA falls below 3x; Valuation vs its own median of 0.2x · see Key things to watch ↑