Aarey Drugs & Pharmaceuticals Intrinsic Value
AAREYDRUGS Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹28.60 | ₹22.88 - ₹34.32 | -58.8% | EPS: ₹1.30, Sector P/E: 22x |
| Book Value Method | asset | ₹95.86 | ₹86.27 - ₹105.45 | +38.2% | Book Value/Share: ₹47.93, P/B: 2.0x |
| Revenue Multiple Method | revenue | ₹138.74 | ₹124.87 - ₹152.61 | +100.0% | Revenue/Share: ₹151.38, P/S: 2.0x |
| EBITDA Multiple Method | earnings | ₹44.83 | ₹40.35 - ₹49.31 | -35.4% | EBITDA: ₹13.00Cr, EV/EBITDA: 10x |
| Simple DCF (5Y) | dcf | ₹46.84 | ₹37.47 - ₹56.21 | -32.5% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹20.81 | ₹18.73 - ₹22.89 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹20.81 | ₹18.73 - ₹22.89 | -70.0% | Revenue Growth: -3.0%, Adj P/E: 14.8x |
| Graham Defensive Method | conservative | ₹37.44 | ₹33.70 - ₹41.18 | -46.0% | EPS: ₹1.30, BVPS: ₹47.93 |
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Valuation Comparison Chart
AAREYDRUGS Intrinsic Value Analysis
What is the intrinsic value of AAREYDRUGS?
Based on our comprehensive analysis using 8 different valuation methods, the estimated intrinsic value of Aarey Drugs & Pharmaceuticals (AAREYDRUGS) is ₹44.83 (median value). With the current market price of ₹69.37, this represents a -35.4% variance from our estimated fair value.
The valuation range spans from ₹20.81 to ₹138.74, indicating ₹20.81 - ₹138.74.
Is AAREYDRUGS undervalued or overvalued?
Based on our multi-method analysis, Aarey Drugs & Pharmaceuticals (AAREYDRUGS) appears to be trading above calculated value by approximately 35.4%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 88.67 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Debt to Equity Ratio | 2.09 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| Return on Equity | 2.9% | Industry Standard: 15%+ | Below 10% | Measures shareholder return efficiency |
| Operating Margin | 1.0% | Industry Standard: 20%+ | Below 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.51x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
Related Pages for Aarey Drugs & Pharmaceuticals
Additional stock information and data for AAREYDRUGS
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹10 Cr | ₹7 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹-3 Cr | ₹-4 Cr | Negative Cash Flow | 3/10 |
| March 2023 | ₹-1 Cr | ₹-1 Cr | Negative Cash Flow | 3/10 |
| March 2022 | ₹1 Cr | ₹-1 Cr | Positive Operating Cash Flow | 6/10 |
| March 2021 | ₹6 Cr | ₹5 Cr | Positive Free Cash Flow | 8/10 |