Akar Auto Industries Intrinsic Value

AAIL • Automobiles
Current Stock Price
₹101.24
Primary Intrinsic Value
₹30.37
Market Cap
₹50.6 Cr
-25.9% Downside
Median Value
₹75.00
Value Range
₹30 - ₹253
Assessment
Trading Above Calculated Value
Safety Margin
-35.0%

AAIL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹30.37 ₹24.30 - ₹36.44 -70.0% EPS: ₹2.50, Sector P/E: 12x
Book Value Method asset ₹100.00 ₹90.00 - ₹110.00 -1.2% Book Value/Share: ₹100.00, P/B: 1.0x
Revenue Multiple Method revenue ₹202.48 ₹182.23 - ₹222.73 +100.0% Revenue/Share: ₹712.00, P/S: 0.8x
EBITDA Multiple Method earnings ₹202.48 ₹182.23 - ₹222.73 +100.0% EBITDA: ₹21.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹253.10 ₹202.48 - ₹303.72 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹30.37 ₹27.33 - ₹33.41 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹30.37 ₹27.33 - ₹33.41 -70.0% Revenue Growth: 7.1%, Adj P/E: 8.3x
ROE Based Valuation profitability ₹60.00 ₹54.00 - ₹66.00 -40.7% ROE: 6.0%, P/E Multiple: 10x
Graham Defensive Method conservative ₹75.00 ₹67.50 - ₹82.50 -25.9% EPS: ₹2.50, BVPS: ₹100.00
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

AAIL Intrinsic Value Analysis

What is the intrinsic value of AAIL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Akar Auto Industries (AAIL) is ₹75.00 (median value). With the current market price of ₹101.24, this represents a -25.9% variance from our estimated fair value.

The valuation range spans from ₹30.37 to ₹253.10, indicating ₹30.37 - ₹253.10.

Is AAIL undervalued or overvalued?

Based on our multi-method analysis, Akar Auto Industries (AAIL) appears to be trading above calculated value by approximately 25.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 6.00 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 6.0% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 6.0% 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

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹26 Cr ₹22 Cr Positive Free Cash Flow 8/10
March 2024 ₹10 Cr ₹2 Cr Positive Free Cash Flow 7/10
March 2023 ₹25 Cr ₹21 Cr Positive Free Cash Flow 8/10
March 2022 ₹16 Cr ₹16 Cr Positive Free Cash Flow 8/10
March 2021 ₹0 Cr ₹-1 Cr Negative Cash Flow 3/10