1. At a Glance
If balance sheets could scream, Nahar Capital & Financial Services Ltd would be shouting: “I’m rich, boring, and nobody cares.”
Market cap of roughly ₹419 Cr, current price hovering around ₹250, and a book value close to ₹984. That’s not a typo. The stock is chilling at 0.25× P/B, like a luxury bungalow being valued at chawl rates.
Latest quarterly numbers? Q3 FY26 PAT of ₹13.1 Cr, up 102% YoY. EPS for the quarter came in at ₹7.81, while TTM EPS stands at ₹39.5. P/E? A sleepy 6.3×. Debt? Practically a rounding error. Promoter holding? A comfortable 72.2%, no pledges, no drama.
Yet returns over the last year are negative, ROE is stuck near 3%, and the stock behaves like it’s permanently on airplane mode. So what’s going on here? Deep value gem or value trap with a silk turban? Let’s open the files.
2. Introduction
Nahar Capital is that quiet family member at weddings who owns half the city but still eats in the corner without making noise. Incorporated in 2006, it operates as a Systemically Important Non-Deposit Taking NBFC, which is a fancy way of saying: big balance sheet, no retail deposits, mostly investing its own money.
This is not a flashy fintech, not a loan-shark NBFC, and definitely not a growth-at-any-cost story. It’s more like a family treasury office wearing an NBFC license. The company invests in equities, lends against collateral, and occasionally dabbles in real estate — all with the calm confidence of someone who isn’t answerable to quarterly TV debates.
But here’s the twist: despite decent profits, strong asset backing, and minimal leverage, the market treats it like yesterday’s newspaper. Is that justified? Or is the market just allergic to boring companies with low ROE?
Keep reading.
3. Business Model – WTF Do They Even Do?
Let’s simplify this.
a) Investment Business
This is the heart of Nahar Capital. The company invests in:
- Listed equity shares
- Preference shares
- Mutual funds
- Bonds and AIFs
A large chunk (about 41%) of assets are invested in Nahar Group companies — think Monte Carlo Fashions, Nahar Spinning, Nahar Poly Films, etc. This makes Nahar Capital less of a diversified mutual fund and more of a family investment vehicle with a BSE ticker.
b) Lending Business
They also lend money, but not to random strangers. Loans are typically backed by:
- Shares
- Government bonds
- Gold
- Property
Loan book size is around ₹3.05 lakh (yes, lending is tiny relative to total assets). This is not Bajaj Finance energy. This is “park surplus money safely and earn interest” energy.
c) Real Estate
They buy, sell, lease, and sometimes develop properties — purely from a trading perspective. No township dreams, no Instagram-friendly launches. Real estate here is like optional dessert, not the main course.
So the business model is clear: preserve capital first, grow slowly, avoid stupidity. Question is — do markets reward that mindset?
4. Financials Overview
Quarterly Performance Table (₹ Cr)
| Metric | Latest Qtr (Q3 FY26) | YoY Qtr (Q3 FY25) | Prev Qtr (Q2 FY26) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 5 | 5 | 10 | ~0% | -50% |
| EBITDA | 2 | 2 | 6 | Flat | Down |
| PAT | 13.1 | 6.5 | 20 | +102% | -35% |
| EPS (₹) | 7.81 | 3.88 | 12.17 | +101% | -36% |
