Aarti Pharma Labs Intrinsic Value

AARTIPHARM • Healthcare
Current Stock Price
₹730.35
Primary Intrinsic Value
₹271.04
Market Cap
₹3287 Cr
-50.0% Downside
Median Value
₹365.18
Value Range
₹219 - ₹1002
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

AARTIPHARM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹271.04 ₹216.83 - ₹325.25 -62.9% EPS: ₹12.32, Sector P/E: 22x
Book Value Method asset ₹884.44 ₹796.00 - ₹972.88 +21.1% Book Value/Share: ₹442.22, P/B: 2.0x
Revenue Multiple Method revenue ₹743.11 ₹668.80 - ₹817.42 +1.7% Revenue/Share: ₹371.56, P/S: 2.0x
EBITDA Multiple Method earnings ₹637.27 ₹573.54 - ₹701.00 -12.7% EBITDA: ₹296.00Cr, EV/EBITDA: 10x
Simple DCF (5Y) dcf ₹1002.15 ₹801.72 - ₹1202.58 +37.2% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹219.10 ₹197.19 - ₹241.01 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹219.10 ₹197.19 - ₹241.01 -70.0% Revenue Growth: 6.0%, Adj P/E: 15.5x
ROE Based Valuation profitability ₹365.18 ₹328.66 - ₹401.70 -50.0% ROE: 5.6%, P/E Multiple: 10x
Graham Defensive Method conservative ₹350.12 ₹315.11 - ₹385.13 -52.1% EPS: ₹12.32, BVPS: ₹442.22
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check AARTIPHARM share price latest .

Valuation Comparison Chart

AARTIPHARM Intrinsic Value Analysis

What is the intrinsic value of AARTIPHARM?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Aarti Pharma Labs (AARTIPHARM) is ₹365.18 (median value). With the current market price of ₹730.35, this represents a -50.0% variance from our estimated fair value.

The valuation range spans from ₹219.10 to ₹1002.15, indicating ₹219.10 - ₹1002.15.

Is AARTIPHARM undervalued or overvalued?

Based on our multi-method analysis, Aarti Pharma Labs (AARTIPHARM) appears to be trading above calculated value by approximately 50.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 5.10 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.46 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 5.6% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 18.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.58x Industry Standard: 1.0x+ Above 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹332 Cr ₹125 Cr Positive Free Cash Flow 7/10
March 2024 ₹216 Cr ₹109 Cr Positive Free Cash Flow 8/10
March 2023 ₹250 Cr ₹171 Cr Positive Free Cash Flow 8/10
March 2022 ₹-44 Cr ₹-114 Cr Negative Cash Flow 3/10
March 2021 ₹0 Cr ₹0 Cr Negative Cash Flow 3/10