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Narmada Agrobase Ltd

NSE: NARMADA BSE: 543643

36.84

(-0.49%)

Tue, 19 May 2026, 10:27 pm

Narmada Agrobase Analysis

dividend

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Pros

  • Dividends paid are thoroughly covered by earnings (7.6x coverage).
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Cons

  • Narmada Agrobase only just started paying a dividend, it is too early to tell if payments are increasing.
  • It is too early to tell whether Narmada Agrobase has stable dividend payments.
  • Narmada Agrobase's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.76%).
  • Narmada Agrobase's dividend is below the markets top 25% of dividend payers in India (3.08%).

health

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Pros

  • Narmada Agrobase is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Narmada Agrobase is profitable, therefore cash runway is not a concern.
  • Narmada Agrobase is profitable, therefore cash runway is not a concern.
  • Debt is covered by short term assets, assets are 2x debt.
  • Narmada Agrobase's cash and other short term assets cover its long term commitments.
  • The level of debt compared to net worth has been reduced over the past 5 years (406% vs 60% today).
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Cons

  • Operating cash flow is negative therefore debt is not well covered.
  • Interest payments on debt are not well covered by earnings (EBIT is 2x annual interest expense, ideally 3x coverage).
  • Narmada Agrobase's level of debt (60%) compared to net worth is high (greater than 40%).
  • High level of physical assets or inventory.

management

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Pros

  • Neerajkumar's remuneration is lower than average for companies of similar size in India.
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Cons

  • The average tenure for the Narmada Agrobase board of directors is less than 3 years, this suggests a new board.

misc

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Pros

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    Cons

    • Narmada Agrobase is not covered by any analysts.
    • Narmada Agrobase's last earnings update was 215 days ago.
    • NSEI:NARMADA has not traded for 29 days.

    past

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    Pros

    • Narmada Agrobase's 1-year earnings growth exceeds its 5-year average (36.2% vs 24.8%)
    • Narmada Agrobase has delivered over 20% year on year earnings growth in the past 5 years.
    • Narmada Agrobase's earnings growth has exceeded the IN Food industry average in the past year (36.2% vs 20.5%).
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    Cons

    • Narmada Agrobase used its assets less efficiently than the IN Food industry average last year based on Return on Assets.
    • Narmada Agrobase's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
    • Narmada Agrobase has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).

    value

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    Pros

    • NARMADA outperformed the Food industry which returned 18.8% over the past year.
    • NARMADA outperformed the Market in India which returned -14.5% over the past year.
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    Cons

    • Narmada Agrobase's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
    • Narmada Agrobase's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
    • Narmada Agrobase is overvalued based on assets compared to the IN Food industry average.
    • Narmada Agrobase is overvalued based on earnings compared to the IN Food industry average.
    • Narmada Agrobase is overvalued based on earnings compared to the India market.
    • NSEI:NARMADA is up 3.7% underperforming the Food industry which returned 5% over the past month.
    • NSEI:NARMADA is up 3.7% underperforming the market in India which returned 8% over the past month.

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