Amara Raja Energy & Mobility Intrinsic Value
Amara Raja Energy & Mobility (ARE&M) median intrinsic value is ₹1811.90 from 9 valuation models (range ₹440–₹2637), vs current price ₹905.95 — +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 ₹905.95 — 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 | ₹824.16 | ₹659.33 - ₹988.99 | -9.0% | EPS: ₹68.68, Sector P/E: 12x |
| Book Value Method | asset | ₹2264.88 | ₹2038.39 - ₹2491.37 | +150.0% | Book Value/Share: ₹4499.44, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹1811.90 | ₹1630.71 - ₹1993.09 | +100.0% | Revenue/Share: ₹8320.00, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹1811.90 | ₹1630.71 - ₹1993.09 | +100.0% | EBITDA: ₹2376.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹2264.88 | ₹1811.90 - ₹2717.86 | +150.0% | CF Growth: 13.9%, Discount: 15% |
| PEG Ratio Method | growth | ₹439.55 | ₹395.60 - ₹483.51 | -51.5% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹565.92 | ₹509.33 - ₹622.51 | -37.5% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹1811.90 | ₹1630.71 - ₹1993.09 | +100.0% | ROE: 15.5%, P/E Multiple: 14x |
| Graham Defensive Method | conservative | ₹2636.85 | ₹2373.16 - ₹2900.54 | +191.1% | EPS: ₹68.68, BVPS: ₹4499.44 |
ARE&M Intrinsic Value vs Market Price — All Valuation Models
Amara Raja Energy & Mobility fair value range ₹440–₹2637 vs current market price ₹905.95 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 ₹1811.90, current price ₹905.95 — 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 ₹1811.90 (median value). With the current market price of ₹905.95, this represents a +100.0% variance from our estimated fair value.
The valuation range spans from ₹439.55 to ₹2636.85, indicating ₹439.55 - ₹2636.85.
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 | 7.62 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Return on Equity | 15.5% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 11.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.31x | 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 |