Vrundavan Plantation Limited

Consumer Defensive — Farm Products · BSE

₹35.00₹0.00 (0.00%)

DalalBaazaar Score

52 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Moderate

Driven by negative free cash flow, 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 modest growth. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:51 pm

Understanding the Business

Company site ↗

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

What does this company do?

Vrundavan Plantation Limited engages in the nursery business. Its plantation includes big trees, ground covers, shrubs, climber, indoor, and ornamental plants, etc.

IndustryFarm Products

SectorConsumer Defensive

Employees267

Annual revenue₹42 Cr

How does it make money?

Turns over ₹42 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹9 left at the operating level before interest, tax and depreciation. Each of its 267 employees supports ₹15.7 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹15.7 lakh

Who are its competitors?

The closest listed comparisons in its industry are HINDUSTAN UNILEVER LTD., ITC LTD, NESTLE INDIA LIMITED, BRITANNIA INDUSTRIES LTD. 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 8.9% 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.

Peer median ROE51.0%

DalalBaazaar Score

52/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ ROCE of 8.9% is below 10% — capital is not working hard
✗ EBITDA margin of 8.7% is thin — little cushion if costs rise
✗ Net margin of 4.2% is slim

Quality vs. Valuation

Company Quality

47/ 100

Average

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

Valuation

69/ 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

11.6x

2Y Median

13.0x

28 monthly readings · mean 13.7x · range 10.9x–18.3x

Sector Median

43.3x

median of 4 sector peers

🟢Current valuation is approximately 11% below its 2y median of 13.0x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 73% below the peer median of 43.3x.

vs. its own history

Fair

13.0x median over 28 months · -11%

vs. sector peers

Cheap

43.3x median of 4 peers · -73%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

8.7x

PEG

1.97

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.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 21.0x to 5.2x.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 73% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 3.1x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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 7%✓ 8.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 3.1x
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.
4ROCE stays above 8%✓ 8.9%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
5Interest cover stays above 4x✓ 5.2x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

7 / 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

5 good · 4 neutral · 2 weak

Market Cap

₹22 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

11.6x

Cheap

Cheap against the generic band

P/B Ratio

0.75x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹3.01

Profitable

Profitable on a per-share basis

ROE

6.7%

Weak

Weak capital efficiency

ROCE

8.9%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.39x

Low

Conservative leverage

Revenue Growth (YoY)

104.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

5.9%

Modest

Slow profit growth

Dividend Yield

None

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

Free Cash Flow

-₹12 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

4.9%

Average

Average asset productivity

Operating Margin

4.4%

Weak

Thin margins leave little room for error

Net Margin

4.2%

Average

Average bottom-line conversion

Current Ratio

2.42

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.14

Defensive

Steadier than the market

52W Range Position

21%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

37.3 / 35.5

Bullish alignment (short > long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

39.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	—	₹19 Cr	₹26 Cr	₹42 Cr	—
EBITDA	—	₹3 Cr	₹3 Cr	₹4 Cr	—
EBITDA Margin	—	13.5%	10.0%	8.7%	—
PAT (Net Profit)	—	₹2 Cr	₹2 Cr	₹2 Cr	—
EPS	—	₹3.8	₹2.84	—	—
ROE	—	8.1%	7.4%	6.1%	—
ROCE	—	11.9%	10.3%	8.9%	—
Total Debt	—	—	₹3 Cr	₹11 Cr	—
Free Cash Flow	-₹0 Cr	-₹18 Cr	-₹3 Cr	-₹11 Cr	—

🔴 EBITDA Margin has fallen from 13.5% to 8.7% over 3 years (-4.8 pts).

🔴 ROE has fallen from 8.1% to 6.1% over 3 years (-1.9 pts).

🔴 ROCE has fallen from 11.9% to 8.9% over 3 years (-3.0 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹45 Cr

Total Liabilities

₹16 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

-₹2 Cr

Capex

-₹9 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

68.2%

Peer Comparison

Company	P/E	ROE
HINDUSTAN UNILEVER LTD.	42.5x	21.5%
ITC LTD	16.6x	27.4%
NESTLE INDIA LIMITED	59.8x	79.9%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%

Recent News

1 mixed5 general

Vrundavan Plantation closes trading window ahead of Q2FY27 results

scanx.trade, 27 SeptResults

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

Vrundavan Plantation Ltd Peer Comparison – Compare with Others

Value Research, 27 Aug

Plantation Tea Penny Stocks in India 2027: 5 Picks

Univest, 17 Sept

Vrundavan Plantation Ltd Financials – Balance Sheet, Profit & Loss, Cash Flow

Value Research, 31 Aug

Vrundavan Plantation shareholders approve all AGM resolutions

scanx.trade, 16 Sept

Vrundavan Plantation lists at Re 1 discount, KK Shah Hospitals at 24% premium

Moneycontrol.com, 06 Nov

Watch Items

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

DalalBaazaar Thesis

StrongFinancial Health · Valuation

MiddlingGrowth · Risk

WeakBusiness Quality · Profitability

Points for each in the Score ↑

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

2 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Free cash flow remains positive · see Key things to watch ↑