Hindustan Petroleum Intrinsic Value

HINDPETRO • Petroleum Products
Current Stock Price
₹476.45
Primary Intrinsic Value
₹870.72
Market Cap
₹1013.9K Cr
+25.5% Upside
Median Value
₹597.89
Value Range
₹192 - ₹953
Assessment
Trading Below Calculated Value
Safety Margin
20.3%

HINDPETRO Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹870.72 ₹696.58 - ₹1044.86 +82.8% EPS: ₹72.56, Sector P/E: 12x
Book Value Method asset ₹192.27 ₹173.04 - ₹211.50 -59.6% Book Value/Share: ₹240.34, P/B: 0.8x
Revenue Multiple Method revenue ₹949.71 ₹854.74 - ₹1044.68 +99.3% Revenue/Share: ₹1899.42, P/S: 0.5x
EBITDA Multiple Method earnings ₹478.93 ₹431.04 - ₹526.82 +0.5% EBITDA: ₹28184.00Cr, EV/EBITDA: 4x
Simple DCF (5Y) dcf ₹620.72 ₹496.58 - ₹744.86 +30.3% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹464.38 ₹417.94 - ₹510.82 -2.5% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹597.89 ₹538.10 - ₹657.68 +25.5% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹952.90 ₹857.61 - ₹1048.19 +100.0% ROE: 30.2%, P/E Multiple: 16x
Graham Defensive Method conservative ₹480.68 ₹432.61 - ₹528.75 +0.9% EPS: ₹72.56, BVPS: ₹240.34
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

HINDPETRO Intrinsic Value Analysis

What is the intrinsic value of HINDPETRO?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Hindustan Petroleum (HINDPETRO) is ₹597.89 (median value). With the current market price of ₹476.45, this represents a +25.5% variance from our estimated fair value.

The valuation range spans from ₹192.27 to ₹952.90, indicating ₹192.27 - ₹952.90.

Is HINDPETRO undervalued or overvalued?

Based on our multi-method analysis, Hindustan Petroleum (HINDPETRO) appears to be trading below calculated value by approximately 25.5%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 1.22 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 3.81 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 30.2% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 6.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 2.08x 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 ₹14,228 Cr ₹8,950 Cr Positive Free Cash Flow 8/10
March 2024 ₹23,852 Cr ₹17,343 Cr Positive Free Cash Flow 8/10
March 2023 ₹-3,466 Cr ₹-9,158 Cr Negative Cash Flow 3/10
March 2022 ₹15,810 Cr ₹8,938 Cr Positive Free Cash Flow 8/10
March 2021 ₹17,829 Cr ₹11,690 Cr Positive Free Cash Flow 8/10