Elgi Equipments Intrinsic Value

ELGIEQUIP • Industrial Products
Current Stock Price
₹499.00
Primary Intrinsic Value
₹184.80
Market Cap
₹1597 Cr
+16.9% Upside
Median Value
₹583.12
Value Range
₹150 - ₹1248
Assessment
Trading Below Median Value
Safety Margin
14.4%

ELGIEQUIP Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹184.80 ₹147.84 - ₹221.76 -63.0% EPS: ₹15.40, Sector P/E: 12x
Book Value Method asset ₹583.12 ₹524.81 - ₹641.43 +16.9% Book Value/Share: ₹583.12, P/B: 1.0x
Revenue Multiple Method revenue ₹998.00 ₹898.20 - ₹1097.80 +100.0% Revenue/Share: ₹1278.75, P/S: 0.8x
EBITDA Multiple Method earnings ₹998.00 ₹898.20 - ₹1097.80 +100.0% EBITDA: ₹780.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1247.50 ₹998.00 - ₹1497.00 +150.0% CF Growth: 13.0%, Discount: 15%
PEG Ratio Method growth ₹149.70 ₹134.73 - ₹164.67 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹149.70 ₹134.73 - ₹164.67 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹998.00 ₹898.20 - ₹1097.80 +100.0% ROE: 25.9%, P/E Multiple: 16x
Graham Defensive Method conservative ₹449.50 ₹404.55 - ₹494.45 -9.9% EPS: ₹15.40, BVPS: ₹583.12
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

ELGIEQUIP Intrinsic Value Analysis

What is the intrinsic value of ELGIEQUIP?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Elgi Equipments (ELGIEQUIP) is ₹583.12 (median value). With the current market price of ₹499.00, this represents a +16.9% variance from our estimated fair value.

The valuation range spans from ₹149.70 to ₹1247.50, indicating ₹149.70 - ₹1247.50.

Is ELGIEQUIP undervalued or overvalued?

Based on our multi-method analysis, Elgi Equipments (ELGIEQUIP) appears to be trading below median value by approximately 16.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 24.22 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 25.9% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 14.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.35x 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 ₹391 Cr ₹250 Cr Positive Free Cash Flow 8/10
March 2024 ₹285 Cr ₹235 Cr Positive Free Cash Flow 8/10
March 2023 ₹166 Cr ₹58 Cr Positive Free Cash Flow 7/10
March 2022 ₹69 Cr ₹69 Cr Positive Free Cash Flow 8/10
March 2021 ₹240 Cr ₹185 Cr Positive Free Cash Flow 8/10