Hindalco Industries Intrinsic Value

HINDALCO • Metals & Mining
Current Stock Price
₹903.95
Primary Intrinsic Value
₹1024.80
Market Cap
₹200.7K Cr
+100.0% Upside
Median Value
₹1807.90
Value Range
₹547 - ₹2712
Assessment
Trading Below Calculated Value
Safety Margin
50.0%

HINDALCO Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹1024.80 ₹819.84 - ₹1229.76 +13.4% EPS: ₹85.40, Sector P/E: 12x
Book Value Method asset ₹2259.88 ₹2033.89 - ₹2485.87 +150.0% Book Value/Share: ₹5573.02, P/B: 1.0x
Revenue Multiple Method revenue ₹1807.90 ₹1627.11 - ₹1988.69 +100.0% Revenue/Share: ₹12030.99, P/S: 0.8x
EBITDA Multiple Method earnings ₹1807.90 ₹1627.11 - ₹1988.69 +100.0% EBITDA: ₹37992.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹2259.88 ₹1807.90 - ₹2711.86 +150.0% CF Growth: 9.1%, Discount: 15%
PEG Ratio Method growth ₹546.56 ₹491.90 - ₹601.22 -39.5% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹703.70 ₹633.33 - ₹774.07 -22.2% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹1807.90 ₹1627.11 - ₹1988.69 +100.0% ROE: 15.3%, P/E Multiple: 14x
Graham Defensive Method conservative ₹2711.85 ₹2440.66 - ₹2983.04 +200.0% EPS: ₹85.40, BVPS: ₹5573.02
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check HINDALCO share price latest .

Valuation Comparison Chart

HINDALCO Intrinsic Value Analysis

What is the intrinsic value of HINDALCO?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Hindalco Industries (HINDALCO) is ₹1807.90 (median value). With the current market price of ₹903.95, this represents a +100.0% variance from our estimated fair value.

The valuation range spans from ₹546.56 to ₹2711.85, indicating ₹546.56 - ₹2711.85.

Is HINDALCO undervalued or overvalued?

Based on our multi-method analysis, Hindalco Industries (HINDALCO) appears to be trading below calculated value by approximately 100.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 1.33 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 2.15 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 15.3% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 13.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.00x 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 ₹24,410 Cr ₹12,106 Cr Positive Free Cash Flow 7/10
March 2024 ₹24,056 Cr ₹16,923 Cr Positive Free Cash Flow 8/10
March 2023 ₹19,208 Cr ₹15,429 Cr Positive Free Cash Flow 8/10
March 2022 ₹16,838 Cr ₹13,452 Cr Positive Free Cash Flow 8/10
March 2021 ₹17,232 Cr ₹4,592 Cr Positive Free Cash Flow 7/10