Atam Valves Intrinsic Value

ATAM • Capital Goods
Current Stock Price
₹82.14
Primary Intrinsic Value
₹61.20
Market Cap
₹98.6 Cr
-27.6% Downside
Median Value
₹59.48
Value Range
₹31 - ₹82
Assessment
Trading Above Calculated Value
Safety Margin
-38.1%

ATAM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹61.20 ₹48.96 - ₹73.44 -25.5% EPS: ₹5.10, Sector P/E: 12x
Book Value Method asset ₹30.83 ₹27.75 - ₹33.91 -62.5% Book Value/Share: ₹30.83, P/B: 1.0x
Revenue Multiple Method revenue ₹37.33 ₹33.60 - ₹41.06 -54.6% Revenue/Share: ₹46.67, P/S: 0.8x
EBITDA Multiple Method earnings ₹50.00 ₹45.00 - ₹55.00 -39.1% EBITDA: ₹10.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹67.92 ₹54.34 - ₹81.50 -17.3% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹81.60 ₹73.44 - ₹89.76 -0.7% EPS Growth: 20.0%, Fair P/E: 16.0x
Growth Adjusted P/E growth ₹43.86 ₹39.47 - ₹48.25 -46.6% Revenue Growth: 15.0%, Adj P/E: 8.6x
ROE Based Valuation profitability ₹70.00 ₹63.00 - ₹77.00 -14.8% ROE: 16.2%, P/E Multiple: 14x
Graham Defensive Method conservative ₹59.48 ₹53.53 - ₹65.43 -27.6% EPS: ₹5.10, BVPS: ₹30.83
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

ATAM Intrinsic Value Analysis

What is the intrinsic value of ATAM?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Atam Valves (ATAM) is ₹59.48 (median value). With the current market price of ₹82.14, this represents a -27.6% variance from our estimated fair value.

The valuation range spans from ₹30.83 to ₹81.60, indicating ₹30.83 - ₹81.60.

Is ATAM undervalued or overvalued?

Based on our multi-method analysis, Atam Valves (ATAM) appears to be trading above calculated value by approximately 27.6%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 50.00 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.46 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 16.2% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 17.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.04x 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 ₹-7 Cr ₹-8 Cr Negative Cash Flow 3/10
March 2024 ₹6 Cr ₹6 Cr Positive Free Cash Flow 8/10
March 2023 ₹-7 Cr ₹-7 Cr Negative Cash Flow 3/10
March 2022 ₹0 Cr ₹0 Cr Negative Cash Flow 3/10
March 2021 ₹2 Cr ₹1 Cr Positive Free Cash Flow 7/10