HP Cotton Textile Mills Intrinsic Value
HPCOTTON • Textiles
Current Stock Price
₹108.00
Primary Intrinsic Value
₹95.52
Market Cap
₹43.2 Cr
-11.6%
Downside
Median Value
₹95.52
Value Range
₹40 - ₹216
Assessment
Trading Above Median Value
Safety Margin
-13.1%
HPCOTTON Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹95.52 | ₹76.42 - ₹114.62 | -11.6% | EPS: ₹7.96, Sector P/E: 12x |
| Book Value Method | asset | ₹40.00 | ₹36.00 - ₹44.00 | -63.0% | Book Value/Share: ₹40.00, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹216.00 | ₹194.40 - ₹237.60 | +100.0% | Revenue/Share: ₹350.00, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹216.00 | ₹194.40 - ₹237.60 | +100.0% | EBITDA: ₹16.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹162.47 | ₹129.98 - ₹194.96 | +50.4% | CF Growth: 5.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹50.94 | ₹45.85 - ₹56.03 | -52.8% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹65.59 | ₹59.03 - ₹72.15 | -39.3% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹160.00 | ₹144.00 - ₹176.00 | +48.1% | ROE: 25.0%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹80.00 | ₹72.00 - ₹88.00 | -25.9% | EPS: ₹7.96, BVPS: ₹40.00 |
Method Types:
Earnings
Asset
DCF
Growth
Dividend
Conservative
Valuation Comparison Chart
HPCOTTON Intrinsic Value Analysis
What is the intrinsic value of HPCOTTON?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of HP Cotton Textile Mills (HPCOTTON) is ₹95.52 (median value). With the current market price of ₹108.00, this represents a -11.6% variance from our estimated fair value.
The valuation range spans from ₹40.00 to ₹216.00, indicating ₹40.00 - ₹216.00.
Is HPCOTTON undervalued or overvalued?
Based on our multi-method analysis, HP Cotton Textile Mills (HPCOTTON) appears to be trading above median value by approximately 11.6%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 3.25 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Debt to Equity Ratio | 5.81 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| Return on Equity | 25.0% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 8.0% | Industry Standard: 20%+ | Below 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.51x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
Related Pages for HP Cotton Textile Mills
Additional stock information and data for HPCOTTON
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹7 Cr | ₹6 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹12 Cr | ₹12 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹0 Cr | ₹0 Cr | Negative Cash Flow | 3/10 |
| March 2022 | ₹8 Cr | ₹-1 Cr | Positive Operating Cash Flow | 6/10 |