BLUEDART - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 20 Dec 25, 11:15 pm

Fundamental Rating: 3.3

📊 Core Financials

• Quarterly PAT improved from 46.9 Cr. to 79.5 Cr. (+30.8% growth).
• ROE at 15.0% and ROCE at 18.6% indicate healthy profitability and efficiency.
• Debt-to-equity ratio of 0.28 shows moderate leverage and manageable risk.
• Dividend yield at 0.47% provides modest shareholder returns.

💹 Valuation Indicators

• P/E Ratio: 49.6 vs Industry PE of 24.5 → Overvalued compared to peers.
• P/B Ratio: Current Price / Book Value ≈ 7.6 → Expensive relative to assets.
• PEG Ratio: -2.95 → Negative, indicating valuation concerns despite profit growth.
• Intrinsic Value Zone: ₹4,800–₹5,200 (below DMA 200).

🏭 Business Model & Competitive Advantage

• Core operations in logistics, courier, and express delivery services.
• Strong brand recognition and market leadership in premium logistics.
• Competitive advantage lies in scale, reliability, and integration with DHL’s global network.

📈 Entry Zone & Long-Term Guidance

• Entry Zone: Attractive accumulation between ₹4,800–₹5,200.
• Long-Term Holding: Suitable for investors seeking exposure to logistics growth, but valuation risks remain.

✅ Positive

• Strong ROCE (18.6%) and ROE (15.0%).
• Quarterly PAT growth of 30.8%.
• Low debt-to-equity ratio (0.28).
• Global brand support through DHL partnership.

⚠️ Limitation

• High P/E ratio (49.6) compared to industry average.
• P/B ratio of 7.6 suggests expensive valuation relative to assets.
• Negative PEG ratio indicates weak growth outlook relative to valuation.
• RSI at 24.9 suggests oversold momentum.

📉 Company Negative News

• Decline in FII holdings (-0.49%).
• Stock trading near 52-week low (6.61% of range).

📈 Company Positive News

• Quarterly PAT improved to 79.5 Cr. from 46.9 Cr.
• EPS at ₹109 indicates strong earnings base.
• Increase in DII holdings (+0.09%).

🌐 Industry

• Logistics sector driven by e-commerce growth and supply chain modernization.
• Industry PE at 24.5 indicates moderate valuation compared to Blue Dart’s premium.
• Sector outlook supported by rising demand for express delivery and integrated logistics solutions.

🔎 Conclusion

• Blue Dart is financially stable with strong brand positioning but currently overvalued.
• Best suited for long-term investors seeking exposure to logistics growth, though entry should be at lower levels.
• Accumulation recommended near ₹4,800–₹5,200 for favorable risk-reward balance.