Hero Motocorp P/B Ratio

HEROMOTOCO • Price-to-Book ratio analysis and book value breakdown
Current P/B Ratio
5.7
High Valuation
Very High - Significant premium, high growth expectations or speculative

Current Valuation Metrics

P/B Ratio 5.7
Current Price ₹6000.00
Book Value/Share ₹4851.00
Exchange NSE

Book Value Breakdown (2025)

Balance Sheet Components
Total Equity ₹19,404 Cr
Share Capital ₹40 Cr
Reserves & Surplus ₹19,232 Cr
Outstanding Shares 40,000,000
Book Value per Share ₹4851.00

Valuation Signal

Signal Overvalued
Historical Avg 0.85
Historical Range 0.59 - 1.19
Percentile 100.0%

Sector Context

Sector Average 0.84
Sector Median 0.97
Sector Rank #11 of 50
Sector Percentile 22.0%

Key P/B Ratio Insights for Hero Motocorp

  • Stock appears overvalued with PB of 5.7, trading at significant premium to book value
  • Trading at high premium to book value - indicates strong growth expectations or asset-light business model
  • Current PB is 567.4% above historical average
  • Trading at premium to sector average PB of 0.84

View the current stock price of Hero Motocorp for more insights.

P/B Ratio Historical Trend for Hero Motocorp

Historical P/B ratio trend based on balance sheet data. P/B below 1.0 may indicate undervaluation, while higher ratios suggest growth expectations or asset-light business models.

Historical P/B Ratio Data

Year P/B Ratio Book Value/Share (₹) Year-end Price (₹) Total Equity (₹ Cr) Valuation
2025 1.19 ₹4851.0 ₹5771.00 ₹19,404 Moderate
2024 0.91 ₹4458.75 ₹4058.75 ₹17,835 Low
2023 0.94 ₹4195.25 ₹3940.65 ₹16,781 Low
2022 0.64 ₹3998.75 ₹2574.25 ₹15,995 Low
2021 0.59 ₹3890.0 ₹2304.30 ₹15,560 Low

Sector P/B Ratio Comparison

Comparing Hero Motocorp with other companies in Automobiles sector
Sector Average
0.84
Sector Median
0.97
Lowest P/B
-3.96
Highest P/B
1.8
Companies
50
Company Symbol P/B Ratio Market Cap (₹ Cr) Valuation
Innovative Tyre & Tube Lt ITTL -3.96 ₹95 Low
Setco Automotive SETCO -0.27 ₹210 Low
India Radiators INRADIA -0.2 ₹1 Low
Spectra Industries SPECTRA -0.06 ₹3 Low
Kairosoft AI Solutions VOLKAI 0.13 ₹5 Low
Nirbhay Colours NIRBHAYIND 0.15 ₹0 Low
Lakshmi Precision Screws LAKPRE 0.26 ₹5 Low
Precision Metaliks PRECISION 0.33 ₹29 Low
Rasandik Engineering Ind… RASANDIK 0.4 ₹35 Low
India Motor Parts & Acce… IMPAL 0.52 ₹1,295 Low