DCM Shriram Consolidated Intrinsic Value

DCMSHRIRAM • Diversified
Current Stock Price
₹1180.70
Primary Intrinsic Value
₹486.72
Market Cap
₹3660 Cr
+73.8% Upside
Median Value
₹2051.61
Value Range
₹354 - ₹2952
Assessment
Trading Below Calculated Value
Safety Margin
42.5%

DCMSHRIRAM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹486.72 ₹389.38 - ₹584.06 -58.8% EPS: ₹40.56, Sector P/E: 12x
Book Value Method asset ₹2259.35 ₹2033.41 - ₹2485.29 +91.4% Book Value/Share: ₹2259.35, P/B: 1.0x
Revenue Multiple Method revenue ₹2361.40 ₹2125.26 - ₹2597.54 +100.0% Revenue/Share: ₹4327.74, P/S: 0.8x
EBITDA Multiple Method earnings ₹2361.40 ₹2125.26 - ₹2597.54 +100.0% EBITDA: ₹1564.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹2951.75 ₹2361.40 - ₹3542.10 +150.0% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹354.21 ₹318.79 - ₹389.63 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹354.21 ₹318.79 - ₹389.63 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹2051.61 ₹1846.45 - ₹2256.77 +73.8% ROE: 9.1%, P/E Multiple: 10x
Graham Defensive Method conservative ₹1435.93 ₹1292.34 - ₹1579.52 +21.6% EPS: ₹40.56, BVPS: ₹2259.35
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

DCMSHRIRAM Intrinsic Value Analysis

What is the intrinsic value of DCMSHRIRAM?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of DCM Shriram Consolidated (DCMSHRIRAM) is ₹2051.61 (median value). With the current market price of ₹1180.70, this represents a +73.8% variance from our estimated fair value.

The valuation range spans from ₹354.21 to ₹2951.75, indicating ₹354.21 - ₹2951.75.

Is DCMSHRIRAM undervalued or overvalued?

Based on our multi-method analysis, DCM Shriram Consolidated (DCMSHRIRAM) appears to be trading below calculated value by approximately 73.8%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 2.04 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.82 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 9.1% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 9.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 1.05x 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 ₹1,128 Cr ₹703 Cr Positive Free Cash Flow 8/10
March 2024 ₹794 Cr ₹259 Cr Positive Free Cash Flow 7/10
March 2023 ₹1,296 Cr ₹525 Cr Positive Free Cash Flow 7/10
March 2022 ₹1,224 Cr ₹780 Cr Positive Free Cash Flow 8/10
March 2021 ₹1,887 Cr ₹1,566 Cr Positive Free Cash Flow 8/10