Anand Rayons Intrinsic Value

ARL • Textiles
Current Stock Price
₹75.00
Primary Intrinsic Value
₹55.20
Market Cap
₹135.0 Cr
-18.5% Downside
Median Value
₹61.12
Value Range
₹38 - ₹150
Assessment
Trading Above Median Value
Safety Margin
-22.7%

ARL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹55.20 ₹44.16 - ₹66.24 -26.4% EPS: ₹4.60, Sector P/E: 12x
Book Value Method asset ₹42.78 ₹38.50 - ₹47.06 -43.0% Book Value/Share: ₹42.78, P/B: 1.0x
Revenue Multiple Method revenue ₹150.00 ₹135.00 - ₹165.00 +100.0% Revenue/Share: ₹223.33, P/S: 0.8x
EBITDA Multiple Method earnings ₹40.00 ₹36.00 - ₹44.00 -46.7% EBITDA: ₹12.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹61.12 ₹48.90 - ₹73.34 -18.5% CF Growth: 6.9%, Discount: 15%
PEG Ratio Method growth ₹73.60 ₹66.24 - ₹80.96 -1.9% EPS Growth: 20.0%, Fair P/E: 16.0x
Growth Adjusted P/E growth ₹37.67 ₹33.90 - ₹41.44 -49.8% Revenue Growth: 4.7%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹66.67 ₹60.00 - ₹73.34 -11.1% ROE: 13.0%, P/E Multiple: 12x
Graham Defensive Method conservative ₹66.54 ₹59.89 - ₹73.19 -11.3% EPS: ₹4.60, BVPS: ₹42.78
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

ARL Intrinsic Value Analysis

What is the intrinsic value of ARL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Anand Rayons (ARL) is ₹61.12 (median value). With the current market price of ₹75.00, this represents a -18.5% variance from our estimated fair value.

The valuation range spans from ₹37.67 to ₹150.00, indicating ₹37.67 - ₹150.00.

Is ARL undervalued or overvalued?

Based on our multi-method analysis, Anand Rayons (ARL) appears to be trading above median value by approximately 18.5%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 24.25 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 13.0% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 2.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 4.06x 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 ₹11 Cr ₹-1 Cr Positive Operating Cash Flow 6/10
March 2024 ₹16 Cr ₹16 Cr Positive Free Cash Flow 8/10
March 2023 ₹7 Cr ₹6 Cr Positive Free Cash Flow 8/10
March 2022 ₹9 Cr ₹9 Cr Positive Free Cash Flow 8/10
March 2021 ₹0 Cr ₹0 Cr Negative Cash Flow 3/10