Aaron Industries Intrinsic Value
AARON Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹72.00 | ₹57.60 - ₹86.40 | -57.3% | EPS: ₹6.00, Sector P/E: 12x |
| Book Value Method | asset | ₹39.09 | ₹35.18 - ₹43.00 | -76.8% | Book Value/Share: ₹39.09, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹61.09 | ₹54.98 - ₹67.20 | -63.8% | Revenue/Share: ₹76.36, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹83.14 | ₹74.83 - ₹91.45 | -50.7% | EBITDA: ₹16.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹111.14 | ₹88.91 - ₹133.37 | -34.2% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹61.66 | ₹55.49 - ₹67.83 | -63.5% | EPS Growth: 12.8%, Fair P/E: 10.3x |
| Growth Adjusted P/E | growth | ₹51.60 | ₹46.44 - ₹56.76 | -69.4% | Revenue Growth: 15.0%, Adj P/E: 8.6x |
| ROE Based Valuation | profitability | ₹89.09 | ₹80.18 - ₹98.00 | -47.2% | ROE: 16.3%, P/E Multiple: 14x |
| Graham Defensive Method | conservative | ₹72.64 | ₹65.38 - ₹79.90 | -57.0% | EPS: ₹6.00, BVPS: ₹39.09 |
| Dividend Yield Method | dividend | ₹50.64 | ₹45.58 - ₹55.70 | -70.0% | DPS: ₹1.20, Target Yield: 3.5% |
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Valuation Comparison Chart
AARON Intrinsic Value Analysis
What is the intrinsic value of AARON?
Based on our comprehensive analysis using 10 different valuation methods, the estimated intrinsic value of Aaron Industries (AARON) is ₹72.00 (median value). With the current market price of ₹168.79, this represents a -57.3% variance from our estimated fair value.
The valuation range spans from ₹39.09 to ₹111.14, indicating ₹39.09 - ₹111.14.
Is AARON undervalued or overvalued?
Based on our multi-method analysis, Aaron Industries (AARON) appears to be trading above calculated value by approximately 57.3%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 1.25 | Industry Standard: 2.0+ | Below 1.5 | Measures short-term liquidity capacity |
| Debt to Equity Ratio | 1.93 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| Return on Equity | 16.3% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 19.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.01x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
Related Pages for Aaron Industries
Additional stock information and data for AARON
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹9 Cr | ₹5 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹6 Cr | ₹-11 Cr | Positive Operating Cash Flow | 6/10 |
| March 2023 | ₹4 Cr | ₹2 Cr | Positive Free Cash Flow | 7/10 |
| March 2022 | ₹1 Cr | ₹-1 Cr | Positive Operating Cash Flow | 6/10 |
| March 2021 | ₹3 Cr | ₹1 Cr | Positive Free Cash Flow | 7/10 |