Happy Forgings Intrinsic Value

HAPPYFORGE • Industrial Products
Current Stock Price
₹1280.10
Primary Intrinsic Value
₹384.03
Market Cap
₹2432 Cr
-35.5% Downside
Median Value
₹826.23
Value Range
₹384 - ₹2152
Assessment
Trading Above Calculated Value
Safety Margin
-54.9%

HAPPYFORGE Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹384.03 ₹307.22 - ₹460.84 -70.0% EPS: ₹31.16, Sector P/E: 12x
Book Value Method asset ₹973.68 ₹876.31 - ₹1071.05 -23.9% Book Value/Share: ₹973.68, P/B: 1.0x
Revenue Multiple Method revenue ₹646.74 ₹582.07 - ₹711.41 -49.5% Revenue/Share: ₹808.42, P/S: 0.8x
EBITDA Multiple Method earnings ₹1541.05 ₹1386.94 - ₹1695.16 +20.4% EBITDA: ₹488.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹2087.54 ₹1670.03 - ₹2505.05 +63.1% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹384.03 ₹345.63 - ₹422.43 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹384.03 ₹345.63 - ₹422.43 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹2151.58 ₹1936.42 - ₹2366.74 +68.1% ROE: 15.8%, P/E Multiple: 14x
Graham Defensive Method conservative ₹826.23 ₹743.61 - ₹908.85 -35.5% EPS: ₹31.16, BVPS: ₹973.68
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

HAPPYFORGE Intrinsic Value Analysis

What is the intrinsic value of HAPPYFORGE?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Happy Forgings (HAPPYFORGE) is ₹826.23 (median value). With the current market price of ₹1280.10, this represents a -35.5% variance from our estimated fair value.

The valuation range spans from ₹384.03 to ₹2151.58, indicating ₹384.03 - ₹2151.58.

Is HAPPYFORGE undervalued or overvalued?

Based on our multi-method analysis, Happy Forgings (HAPPYFORGE) appears to be trading above calculated value by approximately 35.5%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 23.56 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 15.8% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 31.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.69x 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 ₹292 Cr ₹132 Cr Positive Free Cash Flow 7/10
March 2024 ₹189 Cr ₹-46 Cr Positive Operating Cash Flow 6/10
March 2023 ₹210 Cr ₹124 Cr Positive Free Cash Flow 8/10
March 2022 ₹80 Cr ₹-3 Cr Positive Operating Cash Flow 6/10
March 2021 ₹60 Cr ₹31 Cr Positive Free Cash Flow 8/10