Alkem Laboratories Intrinsic Value
Alkem Laboratories intrinsic value. Alkem Laboratories (ALKEM) median intrinsic value is ₹4183.33 from 10 valuation models (range ₹1504–₹11958), vs current price ₹5013.50 — -16.6% downside (Trading Above Median Value), margin of safety -19.8%. Compare with ALKEM DCF valuation to assess whether the stock is under or overvalued.
ALKEM Valuation Methods Summary — DCF, Graham Number & P/E
Alkem Laboratories intrinsic value across 10 models vs current price ₹5013.50 — upside/downside and value range per method. Read Alkem Laboratories dividend policy for the complete payout history and dividend yield track record.
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹1739.76 | ₹1391.81 - ₹2087.71 | -65.3% | EPS: ₹79.08, Sector P/E: 22x |
| Book Value Method | asset | ₹11957.50 | ₹10761.75 - ₹13153.25 | +138.5% | Book Value/Share: ₹5978.75, P/B: 2.0x |
| Revenue Multiple Method | revenue | ₹10027.00 | ₹9024.30 - ₹11029.70 | +100.0% | Revenue/Share: ₹6338.33, P/S: 2.0x |
| EBITDA Multiple Method | earnings | ₹9716.67 | ₹8745.00 - ₹10688.34 | +93.8% | EBITDA: ₹2332.00Cr, EV/EBITDA: 10x |
| Simple DCF (5Y) | dcf | ₹11110.03 | ₹8888.02 - ₹13332.04 | +121.6% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹1504.05 | ₹1353.64 - ₹1654.46 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹1504.05 | ₹1353.64 - ₹1654.46 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 15.5x |
| ROE Based Valuation | profitability | ₹4183.33 | ₹3765.00 - ₹4601.66 | -16.6% | ROE: 7.0%, P/E Multiple: 10x |
| Graham Defensive Method | conservative | ₹3261.59 | ₹2935.43 - ₹3587.75 | -34.9% | EPS: ₹79.08, BVPS: ₹5978.75 |
| Dividend Yield Method | dividend | ₹2120.00 | ₹1908.00 - ₹2332.00 | -57.7% | DPS: ₹53.00, Target Yield: 2.5% |
ALKEM Intrinsic Value vs Market Price — All Valuation Models
Alkem Laboratories fair value range ₹1504–₹11958 vs current market price ₹5013.50 across 10 valuation models. For current market price and key ratios, visit Alkem Laboratories share price today.
ALKEM Intrinsic Value Analysis — Undervalued or Overvalued?
Alkem Laboratories median intrinsic value ₹4183.33, current price ₹5013.50 — Trading Above Median Value by 16.6%, margin of safety -19.8%.
What is the intrinsic value of ALKEM?
Based on our comprehensive analysis using 10 different valuation methods, the estimated intrinsic value of Alkem Laboratories (ALKEM) is ₹4183.33 (median value). With the current market price of ₹5013.50, this represents a -16.6% variance from our estimated fair value.
The valuation range spans from ₹1504.05 to ₹11957.50, indicating ₹1504.05 - ₹11957.50.
Is ALKEM undervalued or overvalued?
Based on our multi-method analysis, Alkem Laboratories (ALKEM) appears to be trading above median value by approximately 16.6%.
ALKEM Financial Health — Key Ratios vs Industry Benchmarks
Alkem Laboratories financial ratios — ROE, debt-to-equity, profit margins and liquidity vs industry benchmarks and their impact on intrinsic value.
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Return on Equity | 7.0% | Industry Standard: 15%+ | Below 10% | Measures shareholder return efficiency |
| Operating Margin | 11.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.73x | Industry Standard: 1.0x+ | Above 0.5x | Measures asset utilization efficiency |
ALKEM Cash Flow Quality — Operating & Free Cash Flow
Alkem Laboratories operating cash flow, free cash flow, quality rating and sustainability score by period — key inputs to DCF intrinsic value calculation.
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2026 | ₹1,963 Cr | ₹1,122 Cr | Positive Free Cash Flow | 8/10 |
| March 2025 | ₹1,913 Cr | ₹1,269 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹1,948 Cr | ₹1,443 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹1,683 Cr | ₹1,683 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹1,111 Cr | ₹395 Cr | Positive Free Cash Flow | 7/10 |