ABB Intrinsic Value

ABB • Capital Goods
Current Stock Price
₹5093.00
Primary Intrinsic Value
₹1527.90
Market Cap
₹213.9K Cr
-66.4% Downside
Median Value
₹1711.00
Value Range
₹1528 - ₹6232
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

ABB Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹1527.90 ₹1222.32 - ₹1833.48 -70.0% EPS: ₹77.24, Sector P/E: 12x
Book Value Method asset ₹1684.52 ₹1516.07 - ₹1852.97 -66.9% Book Value/Share: ₹1684.52, P/B: 1.0x
Revenue Multiple Method revenue ₹2566.86 ₹2310.17 - ₹2823.55 -49.6% Revenue/Share: ₹3208.57, P/S: 0.8x
EBITDA Multiple Method earnings ₹3194.29 ₹2874.86 - ₹3513.72 -37.3% EBITDA: ₹2236.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹4307.86 ₹3446.29 - ₹5169.43 -15.4% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹1527.90 ₹1375.11 - ₹1680.69 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹1527.90 ₹1375.11 - ₹1680.69 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹6232.38 ₹5609.14 - ₹6855.62 +22.4% ROE: 23.1%, P/E Multiple: 16x
Graham Defensive Method conservative ₹1711.00 ₹1539.90 - ₹1882.10 -66.4% EPS: ₹77.24, BVPS: ₹1684.52
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

ABB Intrinsic Value Analysis

What is the intrinsic value of ABB?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of ABB (ABB) is ₹1711.00 (median value). With the current market price of ₹5093.00, this represents a -66.4% variance from our estimated fair value.

The valuation range spans from ₹1527.90 to ₹6232.38, indicating ₹1527.90 - ₹6232.38.

Is ABB undervalued or overvalued?

Based on our multi-method analysis, ABB (ABB) appears to be trading above calculated value by approximately 66.4%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 256.26 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.75 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 23.1% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 14.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.09x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2024 ₹1,332 Cr ₹1,081 Cr Positive Free Cash Flow 8/10
March 2023 ₹1,352 Cr ₹-324 Cr Positive Operating Cash Flow 6/10
March 2022 ₹742 Cr ₹742 Cr Positive Free Cash Flow 8/10
March 2021 ₹650 Cr ₹-354 Cr Positive Operating Cash Flow 6/10
March 2020 ₹318 Cr ₹318 Cr Positive Free Cash Flow 8/10