Atam Valves Intrinsic Value

ATAM • Capital Goods
Current Stock Price
₹62.82
Primary Intrinsic Value
₹38.40
Market Cap
₹75.4 Cr
-38.9% Downside
Median Value
₹38.40
Value Range
₹28 - ₹68
Assessment
Trading Above Calculated Value
Safety Margin
-63.6%

ATAM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹38.40 ₹30.72 - ₹46.08 -38.9% EPS: ₹3.20, Sector P/E: 12x
Book Value Method asset ₹30.83 ₹27.75 - ₹33.91 -50.9% Book Value/Share: ₹30.83, P/B: 1.0x
Revenue Multiple Method revenue ₹32.67 ₹29.40 - ₹35.94 -48.0% Revenue/Share: ₹40.83, P/S: 0.8x
EBITDA Multiple Method earnings ₹35.00 ₹31.50 - ₹38.50 -44.3% EBITDA: ₹7.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹67.92 ₹54.34 - ₹81.50 +8.1% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹51.20 ₹46.08 - ₹56.32 -18.5% EPS Growth: 20.0%, Fair P/E: 16.0x
Growth Adjusted P/E growth ₹27.52 ₹24.77 - ₹30.27 -56.2% Revenue Growth: 15.0%, Adj P/E: 8.6x
ROE Based Valuation profitability ₹40.00 ₹36.00 - ₹44.00 -36.3% ROE: 10.8%, P/E Multiple: 12x
Graham Defensive Method conservative ₹47.12 ₹42.41 - ₹51.83 -25.0% EPS: ₹3.20, 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 ₹38.40 (median value). With the current market price of ₹62.82, this represents a -38.9% variance from our estimated fair value.

The valuation range spans from ₹27.52 to ₹67.92, indicating ₹27.52 - ₹67.92.

Is ATAM undervalued or overvalued?

Based on our multi-method analysis, Atam Valves (ATAM) appears to be trading above calculated value by approximately 38.9%.

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
Return on Equity 10.8% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 13.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.91x Industry Standard: 1.0x+ Above 0.5x 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