Arvind SmartSpaces Ltd. (ARVSMART) AI Stock Analysis

• Market Cap: ₹23.68B
• Dividend Yield: 0.98%
• Average Volume (3M): 1.39K
• Price to Earnings (P/E): 34.0
• Beta (1Y): 1.78
• Revenue Growth: 13.62%
• EPS Growth: 34.30%
• Country: IN
• Employees: 415
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 6.30
• Shares Outstanding: 45,866,978
• 10 Day Avg. Volume: 1,273
• 30 Day Avg. Volume: 1,385
• PEG Ratio: 0.18
• Price to Book (P/B): 5.49
• Price to Sales (P/S): 4.60
• P/FCF Ratio: -28.43
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹750.00
• Price Target Upside: 26.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 22.55
• Revenue Forecast (FY): ₹7.56B

• Rating: 63 Neutral
• Price Target: ₹550.00 ▼(-7.44% Downside)
• Action: Reiterated Date: 10/29/25
• Date: Action: Reiterated 10/29/25

Arvind SmartSpaces Ltd. demonstrates strong financial performance with robust revenue growth and profitability, though liquidity risks from negative cash flow are concerning. Technical indicators suggest a neutral to slightly bearish trend, and the valuation appears fair with a reasonable P/E ratio. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Robust gross margin

A 43.5% gross margin indicates durable pricing power and effective project-level cost control in development activities. High project margins provide a buffer against input cost inflation, support funding of new launches and marketing, and underpin long-term profitability even if sales mix shifts.

Strong return on equity

An 18.5% ROE signals efficient use of shareholders' capital in generating profits from development projects. Sustained ROE supports reinvestment into new projects, facilitates organic growth without excessive equity issuance, and indicates the business model converts capital into attractive long-term returns.

Moderate leverage

A debt-to-equity of ~0.48 reflects a balanced capital structure that allows use of project finance while limiting overleverage. This provides flexibility to fund land acquisitions or construction through debt when needed, helping sustain growth without excessive financial strain if cash generation stabilizes.

Negative Factors

Negative operating cash flow

Negative operating cash flow indicates collections are lagging construction and operating outflows, creating a structural liquidity gap. Over months this can force reliance on external financing, slow project launches, or increase borrowing costs, undermining the firm's ability to self-fund growth and sustain margins.

Low equity ratio / high liabilities

An equity ratio of 22.4% means a large portion of assets is funded by liabilities, raising refinancing and covenant risk in downturns. This structural exposure can limit strategic flexibility, increase sensitivity to interest rate moves, and reduce the company's ability to absorb cost overruns or delays in project monetization.

Pressure on operating margins

Despite strong gross margins, falling EBIT/EBITDA margins point to rising overheads or weaker operational efficiency. If persistent, this will reduce operating leverage from revenue growth, compress free cash flow generation and hinder the company's capacity to reinvest in projects or deleverage over the medium term.

Arvind SmartSpaces Ltd. Business Overview & Revenue Model

Company Description

Arvind SmartSpaces Limited engages in the development of real estate projects in India. It develops residential, commercial, and industrial projects located in Ahmedabad, Gandhinagar, Bengaluru, and Pune. The company was formerly known as Arvind Infrastructure Limited and changed its name to Arvind SmartSpaces Limited in November 2016. Arvind SmartSpaces Limited was incorporated in 2008 and is headquartered in Ahmedabad, India.

How the Company Makes Money

Arvind SmartSpaces generates revenue primarily through the sale and leasing of residential and commercial properties. The company develops projects that are marketed to individual homebuyers, investors, and businesses looking for office or retail space. Key revenue streams include direct sales from completed properties, leasing income from commercial spaces, and revenue from joint ventures and partnerships with other real estate developers and financial institutions. Additionally, Arvind SmartSpaces may benefit from strategic collaborations that enhance its market reach and operational efficiency, contributing positively to its financial performance.

Arvind SmartSpaces Ltd. Financial Statement Overview

Summary

Arvind SmartSpaces Ltd. shows strong revenue growth and profitability improvements, with a robust gross profit margin. The balance sheet is stable with a moderate debt-to-equity ratio and strong return on equity. However, high liabilities relative to assets and negative operating cash flow pose liquidity risks.

Income Statement

Arvind SmartSpaces has demonstrated strong revenue growth, with a significant increase in total revenue over the past year. The gross profit margin is robust at 43.5%, indicating good cost management. The net profit margin has improved to 15.5%, reflecting increased profitability. However, EBIT and EBITDA margins have slightly declined, showing some pressure on operational efficiency.

Balance Sheet

The company’s debt-to-equity ratio stands moderately at 0.48, suggesting a balanced capital structure. The return on equity is strong at 18.5%, indicating efficient use of equity capital. However, the equity ratio is 22.4%, showing a relatively high level of liabilities compared to assets, which could pose a risk if not managed carefully.

Cash Flow

Cash flow from operations has turned negative, which is a concern for liquidity management. The free cash flow has also decreased significantly, indicating potential challenges in covering operational and capital expenses. Nonetheless, the company has a reasonable free cash flow to net income ratio, showing some ability to generate cash relative to its income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	7.41B	7.13B	3.41B	2.56B	2.57B	1.49B
Gross Profit	3.27B	3.10B	2.49B	1.30B	1.31B	713.77M
EBITDA	2.05B	1.91B	1.21B	504.19M	543.53M	425.02M
Net Income	1.19B	1.10B	415.71M	256.07M	250.58M	87.47M
Balance Sheet
Total Assets	0.00	26.71B	21.02B	15.11B	11.36B	9.26B
Cash, Cash Equivalents and Short-Term Investments	2.41B	2.43B	1.66B	1.48B	1.53B	366.47M
Total Debt	0.00	2.85B	1.10B	1.46B	301.68M	1.89B
Total Liabilities	-8.08B	18.63B	14.76B	10.15B	6.59B	5.76B
Stockholders Equity	8.08B	5.98B	4.95B	4.66B	4.39B	3.11B
Cash Flow
Free Cash Flow	0.00	-1.15B	145.68M	-1.12B	1.51B	789.15M
Operating Cash Flow	0.00	-999.38M	305.01M	-1.01B	1.61B	910.15M
Investing Cash Flow	0.00	-419.30M	-277.64M	-815.18M	292.93M	-420.42M
Financing Cash Flow	0.00	1.34B	-33.18M	952.64M	-740.09M	-194.23M

Arvind SmartSpaces Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 594.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ARVSMART, the sentiment is Negative. The current price of 594.2 is above the 20-day moving average (MA) of 561.20, above the 50-day MA of 567.39, and below the 200-day MA of 617.50, indicating a bearish trend. The MACD of -9.62 indicates Positive momentum. The RSI at 37.72 is Neutral, neither overbought nor oversold. The STOCH value of 22.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ARVSMART.

Arvind SmartSpaces Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ARVSMART	63 Neutral	₹23.68B	33.97	―	0.98%	13.62%	34.30%
MARATHON	62 Neutral	₹28.21B	11.61	―	0.19%	-21.43%	18.96%
KOLTEPATIL	57 Neutral	₹30.71B	60.68	―	1.01%	3.05%	―
AJMERA	56 Neutral	₹25.46B	21.15	―	0.47%	-1.25%	-5.48%
ASHIANA	56 Neutral	₹32.31B	27.99	―	0.85%	24.58%	122.16%
HUBTOWN	55 Neutral	₹29.39B	22.07	―	―	64.29%	―

Arvind SmartSpaces Ltd. Corporate Events

Arvind SmartSpaces Publishes Notice on Special Window for Demat of Physical Shares

Arvind SmartSpaces Ltd. has notified the stock exchanges that it has published newspaper advertisements on February 28, 2026, in the Financial Express (all-India English edition) and its Gujarati Ahmedabad edition. The advertisements relate to a special window for transfer and dematerialisation of physical shares, in line with a recent SEBI circular on share demat and transfer compliance.

By formally documenting these publications under Regulation 47 of the SEBI Listing Obligations and Disclosure Requirements, the company is reinforcing regulatory compliance and providing clarity to shareholders holding physical share certificates. This move supports the broader market transition toward dematerialised securities and may help streamline share transfers and reduce operational and settlement risks for investors and the company alike.

Arvind SmartSpaces to Join Small Cap Showcase Conference on 16 February 2026

Arvind SmartSpaces Ltd. has informed the stock exchanges that its management will participate in the Small Cap Showcase Conference organized by Avendus Spark on 16 February 2026. The company noted that the meeting schedule is subject to change based on any exigencies from either investors or the company, signaling ongoing engagement efforts with the investor and analyst community.

By taking part in this conference, Arvind SmartSpaces is seeking to enhance its visibility among small-cap focused investors and analysts, potentially supporting its capital markets profile and valuation. The disclosure underscores the company’s adherence to regulatory requirements on timely information sharing with stakeholders.