Amara Raja Energy & Mobility Intrinsic Value
Amara Raja Energy & Mobility (ARE&M) median intrinsic value is ₹1618.30 from 9 valuation models (range ₹387–₹2363), vs current price ₹809.15 — +100.0% upside (Trading Below Calculated Value), margin of safety 50.0%. Browse ARE&M financial statements for revenue, profit, balance sheet and cash flow data.
ARE&M Valuation Methods Summary — DCF, Graham Number & P/E
Amara Raja Energy & Mobility intrinsic value across 9 models vs current price ₹809.15 — upside/downside and value range per method. Also explore Amara Raja Energy & Mobility share price performance to track price trends across different timeframes.
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹725.28 | ₹580.22 - ₹870.34 | -10.4% | EPS: ₹60.44, Sector P/E: 12x |
| Book Value Method | asset | ₹2022.88 | ₹1820.59 - ₹2225.17 | +150.0% | Book Value/Share: ₹4105.00, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹1618.30 | ₹1456.47 - ₹1780.13 | +100.0% | Revenue/Share: ₹8037.78, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹1618.30 | ₹1456.47 - ₹1780.13 | +100.0% | EBITDA: ₹2096.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹2022.88 | ₹1618.30 - ₹2427.46 | +150.0% | CF Growth: 13.9%, Discount: 15% |
| PEG Ratio Method | growth | ₹386.82 | ₹348.14 - ₹425.50 | -52.2% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹498.03 | ₹448.23 - ₹547.83 | -38.5% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹1618.30 | ₹1456.47 - ₹1780.13 | +100.0% | ROE: 15.0%, P/E Multiple: 12x |
| Graham Defensive Method | conservative | ₹2362.71 | ₹2126.44 - ₹2598.98 | +192.0% | EPS: ₹60.44, BVPS: ₹4105.00 |
ARE&M Intrinsic Value vs Market Price — All Valuation Models
Amara Raja Energy & Mobility fair value range ₹387–₹2363 vs current market price ₹809.15 across 9 valuation models. For current market price and key ratios, visit Amara Raja Energy & Mobility share price screener.
ARE&M Intrinsic Value Analysis — Undervalued or Overvalued?
Amara Raja Energy & Mobility median intrinsic value ₹1618.30, current price ₹809.15 — Trading Below Calculated Value by 100.0%, margin of safety 50.0%.
What is the intrinsic value of ARE&M?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Amara Raja Energy & Mobility (ARE&M) is ₹1618.30 (median value). With the current market price of ₹809.15, this represents a +100.0% variance from our estimated fair value.
The valuation range spans from ₹386.82 to ₹2362.71, indicating ₹386.82 - ₹2362.71.
Is ARE&M undervalued or overvalued?
Based on our multi-method analysis, Amara Raja Energy & Mobility (ARE&M) appears to be trading below calculated value by approximately 100.0%.
ARE&M Financial Health — Key Ratios vs Industry Benchmarks
Amara Raja Energy & Mobility financial ratios — ROE, debt-to-equity, profit margins and liquidity vs industry benchmarks and their impact on intrinsic value.
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 9.11 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Return on Equity | 15.0% | Industry Standard: 15%+ | Above 10% | Measures shareholder return efficiency |
| Operating Margin | 11.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.42x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
ARE&M Cash Flow Quality — Operating & Free Cash Flow
Amara Raja Energy & Mobility operating cash flow, free cash flow, quality rating and sustainability score by period — key inputs to DCF intrinsic value calculation.
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹1,351 Cr | ₹785 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹1,266 Cr | ₹756 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹945 Cr | ₹559 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹633 Cr | ₹392 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹802 Cr | ₹494 Cr | Positive Free Cash Flow | 8/10 |