Puravankara Limited (PURVA) AI Stock Analysis

• Market Cap: ₹56.37B
• Dividend Yield: N/A
• Average Volume (3M): 17.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.90
• Revenue Growth: -23.33%
• EPS Growth: -512.89%
• Country: IN
• Employees: 788
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): -1.76
• Shares Outstanding: 237,149,670
• 10 Day Avg. Volume: 15,730
• 30 Day Avg. Volume: 17,911
• PEG Ratio: 0.06
• Price to Book (P/B): 3.42
• Price to Sales (P/S): 2.94
• P/FCF Ratio: -5.63
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: ₹221.00 ▼(-7.99% Downside)

The score is primarily constrained by weak financial performance—declining revenue, losses (negative net margin and ROE), high leverage, and stressed cash flow metrics. Technicals are mixed (some near-term strength but still below key longer-term averages with a negative MACD), while valuation is difficult to support given the negative P/E and no dividend yield data.

Positive Factors

High gross margin (55.3% TTM)

A sustained gross margin of 55.3% TTM indicates project-level pricing strength and construction cost control. This margin provides a structural buffer to absorb input-cost inflation and supports recovery of profitability as sales normalize, aiding long-term project economics and financing capacity.

Positive operating margins

EBIT and EBITDA margins near mid-teens show core operations are cash-generative before financing and non-recurring items. Sustained operating profitability improves resilience through cycles, enabling the company to fund project execution and reduce reliance on external capital as sales recover over months.

Dual brands plus JDA sourcing

Having both premium (Purva) and affordable (Provident) brands diversifies demand exposure across segments. Use of joint-development agreements (JDAs) lowers upfront land capital needs and spreads execution risk, reducing balance-sheet intensity and enabling more frequent project launches when market conditions permit.

Negative Factors

Significant revenue decline

A sharp revenue contraction undermines the conversion of healthy project-level margins into net profits and free cash flow. Persisting lower sales reduce collections needed to fund ongoing construction, slow deleveraging, and can prolong reliance on external financing across the next several quarters.

High leverage

A debt-to-equity ratio of 2.50 and low equity ratio constrain financial flexibility and increase sensitivity to rising interest costs. High leverage limits the firm's ability to weather slower sales, elevates refinancing risk, and can force prioritization of debt service over project investment during prolonged weak demand.

Weak cash generation

Negative free cash flow and weak operating cash conversion indicate the business is not generating sufficient cash from operations to fund capex or service debt. This structural cash shortfall necessitates external financing or asset sales, constraining growth and increasing vulnerability to market funding shocks.

Puravankara Limited Business Overview & Revenue Model

Company Description

Puravankara Limited, together with its subsidiaries, develops residential and commercial properties in India and internationally. The company develops affordable homes, as well as amenities and facilities, such as swimming pools, club houses, and multipurpose halls. It markets its projects under the Purva, Puravankara, and Provident brand names. The company was formerly known as Puravankara Projects Limited and changed its name to Puravankara Limited in December 2016. Puravankara Limited was founded in 1975 and is headquartered in Bengaluru, India.

How the Company Makes Money

Puravankara Limited generates revenue primarily through the sale of residential and commercial properties. The company's revenue model is based on the development and sale of real estate projects, where it earns money from the pre-launch, launch, and sale of units in their developments. Key revenue streams include the sale of apartments, villas, and commercial spaces, as well as revenue from leasing commercial properties. The company also engages in joint ventures, which can provide additional income through sharing profits from collaborative projects. Furthermore, strategic partnerships with local and international firms for financing and development provide essential capital and expertise, contributing to overall earnings. Additionally, the company may benefit from ancillary services such as property management and customer service packages for homeowners.

Puravankara Limited Financial Statement Overview

Summary

Overall fundamentals are weak: revenue has declined significantly in the most recent year, net margin is negative (-8.6% TTM) and ROE is negative (-10.4% TTM). Leverage is high (debt-to-equity 2.50; equity ratio 12.2%), and cash generation is challenged with negative free cash flow trends and weak operating cash flow metrics, partially offset by improved gross margin (55.3% TTM) and positive EBIT/EBITDA margins (16.0%/17.7% TTM).

Income Statement

Puravankara Limited exhibits fluctuating revenue with a significant decline in the most recent year. The gross profit margin improved to 55.3% TTM (Trailing-Twelve-Months), but the company is experiencing a negative net profit margin of -8.6% TTM. The EBIT margin stands at 16.0%, with EBITDA margin at 17.7% TTM, reflecting some operational efficiency despite the net loss.

Balance Sheet

The company maintains a high debt-to-equity ratio of 2.50, indicating significant leverage which could pose risks in a rising interest rate environment. The equity ratio is 12.2%, suggesting a lower proportion of equity financing. Return on equity is negative at -10.4% TTM, reflecting the net losses and indicating a need for profitability improvement.

Cash Flow

Puravankara Limited reported negative free cash flow growth and a negative operating cash flow to net income ratio TTM, highlighting cash flow challenges. The free cash flow to net income ratio is negative, indicating insufficient cash generation relative to net income.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	18.84B	20.18B	11.87B	22.00B	9.27B	9.41B
Gross Profit	10.29B	10.82B	7.26B	11.18B	5.89B	5.48B
EBITDA	3.10B	3.70B	2.51B	5.26B	2.38B	3.01B
Net Income	-2.63B	-1.80B	664.80M	422.60M	1.48B	-39.70M
Balance Sheet
Total Assets	0.00	142.45B	100.55B	117.27B	86.23B	84.29B
Cash, Cash Equivalents and Short-Term Investments	7.32B	7.40B	3.99B	9.36B	3.09B	1.73B
Total Debt	0.00	43.32B	29.44B	33.25B	26.27B	28.35B
Total Liabilities	-17.36B	125.09B	80.62B	98.37B	65.75B	65.35B
Stockholders Equity	17.36B	17.31B	19.87B	18.83B	20.42B	18.96B
Cash Flow
Free Cash Flow	-8.61B	-10.53B	1.13B	8.41B	1.24B	2.40B
Operating Cash Flow	-8.18B	-10.10B	1.45B	8.96B	1.34B	2.44B
Investing Cash Flow	8.71B	-988.70M	947.90M	129.20M	5.25B	238.80M
Financing Cash Flow	-3.13B	8.58B	-1.41B	-3.13B	-5.29B	-2.13B

Puravankara Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 240.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PURVA, the sentiment is Neutral. The current price of 240.2 is above the 20-day moving average (MA) of 233.84, above the 50-day MA of 239.20, and below the 200-day MA of 263.57, indicating a neutral trend. The MACD of -2.41 indicates Negative momentum. The RSI at 52.24 is Neutral, neither overbought nor oversold. The STOCH value of 70.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:PURVA.

Puravankara Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUNTECK	69 Neutral	₹60.90B	31.34	―	0.36%	-14.25%	17.95%
GANESHHOUC	68 Neutral	₹63.15B	11.64	―	0.63%	-8.37%	8.49%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MAHLIFE	56 Neutral	₹79.58B	25.32	―	0.70%	-22.59%	17.35%
RUSTOMJEE	53 Neutral	₹61.93B	70.01	―	0.28%	-20.38%	-36.03%
MAXESTATES	51 Neutral	₹62.92B	111.86	―	―	79.32%	―
PURVA	46 Neutral	₹56.37B	-19.59	―	―	-23.33%	-512.89%

Puravankara Limited Corporate Events

Puravankara Extends Rs. 25 Crore Corporate Guarantee to Subsidiary

Puravankara Limited has announced that it has provided a corporate guarantee of Rs. 25 crore to its wholly owned subsidiary, Starworth Infrastructure & Construction Limited, in favor of IDFC First Bank Limited. This guarantee, aimed at facilitating construction equipment purchases, is a contingent liability for Puravankara, but currently has no impact on the company’s financial standing. The move underscores Puravankara’s commitment to supporting its subsidiary’s operational needs, potentially enhancing its market positioning and operational capabilities.

Puravankara Limited Announces Upcoming Investors’ Meeting

Puravankara Limited has announced its participation in an upcoming investors’ meeting scheduled for December 17, 2025. The meeting will be held virtually and will not include any unpublished price-sensitive information, focusing instead on publicly available data. This initiative reflects Puravankara’s commitment to transparency and engagement with investors, potentially enhancing its market reputation and stakeholder relations.

Puravankara Limited Allots 750 Non-Convertible Debentures in Second Tranche

Puravankara Limited has announced the allotment of 750 non-convertible debentures (NCDs) with a face value of INR 10 lakhs each, totaling INR 75 crores, as part of a private placement. This move follows a previous allotment of 500 NCDs and is part of a larger fund-raising effort to issue NCDs up to INR 300 crores. The issuance of these debentures is aimed at raising capital for the company’s operations, potentially enhancing its financial flexibility and market position.