Bajaj Auto Intrinsic Value
BAJAJ-AUTO Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹3648.00 | ₹2918.40 - ₹4377.60 | -62.8% | EPS: ₹304.00, Sector P/E: 12x |
| Book Value Method | asset | ₹1961.40 | ₹1765.26 - ₹2157.54 | -80.0% | Book Value/Share: ₹1261.25, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹2942.10 | ₹2647.89 - ₹3236.31 | -70.0% | Revenue/Share: ₹2269.39, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹3922.80 | ₹3530.52 - ₹4315.08 | -60.0% | EBITDA: ₹11692.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹3922.80 | ₹3138.24 - ₹4707.36 | -60.0% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹2942.10 | ₹2647.89 - ₹3236.31 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹2942.10 | ₹2647.89 - ₹3236.31 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹4903.50 | ₹4413.15 - ₹5393.85 | -50.0% | ROE: 24.1%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹2942.10 | ₹2647.89 - ₹3236.31 | -70.0% | EPS: ₹304.00, BVPS: ₹1261.25 |
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Valuation Comparison Chart
BAJAJ-AUTO Intrinsic Value Analysis
What is the intrinsic value of BAJAJ-AUTO?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Bajaj Auto (BAJAJ-AUTO) is ₹2942.10 (median value). With the current market price of ₹9807.00, this represents a -70.0% variance from our estimated fair value.
The valuation range spans from ₹1961.40 to ₹4903.50, indicating ₹1961.40 - ₹4903.50.
Is BAJAJ-AUTO undervalued or overvalued?
Based on our multi-method analysis, Bajaj Auto (BAJAJ-AUTO) appears to be trading above calculated value by approximately 70.0%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 2.62 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Debt to Equity Ratio | 1.54 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| Return on Equity | 24.1% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 15.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.17x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
Related Pages for Bajaj Auto
Additional stock information and data for BAJAJ-AUTO
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹-1,406 Cr | ₹-1,933 Cr | Negative Cash Flow | 3/10 |
| March 2024 | ₹6,558 Cr | ₹6,522 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹5,277 Cr | ₹5,277 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹4,197 Cr | ₹4,197 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹3,120 Cr | ₹1,686 Cr | Positive Free Cash Flow | 8/10 |