⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
DELHIVERY - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.4
| Stock Code | DELHIVERY | Market Cap | 32,720 Cr. | Current Price | 437 ₹ | High / Low | 490 ₹ |
| Stock P/E | 97.0 | Book Value | 135 ₹ | Dividend Yield | 0.00 % | ROCE | 2.71 % |
| ROE | 1.78 % | Face Value | 1.00 ₹ | DMA 50 | 412 ₹ | DMA 200 | 409 ₹ |
| Chg in FII Hold | -3.08 % | Chg in DII Hold | 2.93 % | PAT Qtr | 101 Cr. | PAT Prev Qtr | 61.2 Cr. |
| RSI | 66.0 | MACD | 1.80 | Volume | 1,05,83,924 | Avg Vol 1Wk | 51,16,982 |
| Low price | 237 ₹ | High price | 490 ₹ | PEG Ratio | 3.23 | Debt to equity | 0.15 |
| 52w Index | 79.0 % | Qtr Profit Var | 141 % | EPS | 3.13 ₹ | Industry PE | 23.3 |
📊 Core Financials
- Revenue & Profit Growth: Quarterly PAT rose from 61.2 Cr. to 101 Cr. (+141%), showing strong sequential growth but overall margins remain thin.
- Profit Margins: ROE at 1.78% and ROCE at 2.71% are very weak, reflecting poor efficiency.
- Debt Ratios: Debt-to-equity at 0.15 highlights a low-leverage balance sheet.
- Cash Flows: Dividend yield at 0.00% indicates reinvestment focus, with no direct shareholder returns.
💹 Valuation Indicators
- P/E Ratio: 97.0 vs Industry PE of 23.3, showing extreme overvaluation.
- P/B Ratio: Current Price 437 ₹ / Book Value 135 ₹ ≈ 3.24, moderately high.
- PEG Ratio: 3.23, suggesting growth is priced expensively.
- Intrinsic Value: Estimated fair value around 370–390 ₹, making current price significantly overvalued.
🏢 Business Model & Competitive Advantage
- Delhivery is a leading logistics and supply chain services provider in India.
- Competitive advantage lies in scale, technology-driven operations, and diversified logistics solutions (express parcel, freight, warehousing).
- However, profitability remains weak due to high operating costs and competitive industry dynamics.
📈 Entry Zone & Long-Term Guidance
- Entry Zone: Attractive only if price corrects to 370–390 ₹, closer to intrinsic value.
- Long-Term Holding: Suitable for investors seeking exposure to India’s e-commerce and logistics growth, but high valuation and weak return ratios require cautious entry.
✅ Positive
- Strong sequential PAT growth (+141%).
- Low debt-to-equity ratio (0.15), manageable leverage.
- DII holdings increased (+2.93%), showing strong domestic institutional support.
⚠️ Limitation
- Extremely high P/E ratio compared to industry average.
- Weak ROE (1.78%) and ROCE (2.71%) highlight poor efficiency.
- Dividend yield at 0.00% offers no direct shareholder returns.
📉 Company Negative News
- Decline in FII holding (-3.08%) indicates reduced foreign investor confidence.
- High valuation multiples make the stock vulnerable to correction.
📈 Company Positive News
- DII holdings increased (+2.93%), showing strong domestic support.
- Sequential PAT growth reinforces operational improvement.
🏭 Industry
- Logistics industry PE at 23.3, much lower than Delhivery’s 97.0, suggesting relative overvaluation.
- Industry growth supported by rising e-commerce penetration and supply chain modernization.
🔎 Conclusion
- Delhivery is a major logistics player with strong growth momentum but weak profitability.
- Valuation is extremely stretched compared to industry peers, making current levels unattractive for fresh entry.
- Best suited for long-term investors only if price corrects to 370–390 ₹; cautious accumulation advised for exposure to India’s logistics and e-commerce growth story.
I can also expand on India’s e-commerce growth trends to show how they could further influence Delhivery’s long-term earnings trajectory.