Indian Hotels Company Intrinsic Value

INDHOTEL • Leisure Services
Current Stock Price
₹726.40
Primary Intrinsic Value
₹217.92
Market Cap
₹103.1K Cr
-34.1% Downside
Median Value
₹478.65
Value Range
₹218 - ₹1816
Assessment
Trading Above Calculated Value
Safety Margin
-51.8%

INDHOTEL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹217.92 ₹174.34 - ₹261.50 -70.0% EPS: ₹8.00, Sector P/E: 12x
Book Value Method asset ₹874.37 ₹786.93 - ₹961.81 +20.4% Book Value/Share: ₹874.37, P/B: 1.0x
Revenue Multiple Method revenue ₹478.65 ₹430.78 - ₹526.51 -34.1% Revenue/Share: ₹598.31, P/S: 0.8x
EBITDA Multiple Method earnings ₹1024.73 ₹922.26 - ₹1127.20 +41.1% EBITDA: ₹2616.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1816.00 ₹1452.80 - ₹2179.20 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹217.92 ₹196.13 - ₹239.71 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹217.92 ₹196.13 - ₹239.71 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹1074.93 ₹967.44 - ₹1182.42 +48.0% ROE: 10.2%, P/E Multiple: 12x
Graham Defensive Method conservative ₹396.72 ₹357.05 - ₹436.39 -45.4% EPS: ₹8.00, BVPS: ₹874.37
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

INDHOTEL Intrinsic Value Analysis

What is the intrinsic value of INDHOTEL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Indian Hotels Company (INDHOTEL) is ₹478.65 (median value). With the current market price of ₹726.40, this represents a -34.1% variance from our estimated fair value.

The valuation range spans from ₹217.92 to ₹1816.00, indicating ₹217.92 - ₹1816.00.

Is INDHOTEL undervalued or overvalued?

Based on our multi-method analysis, Indian Hotels Company (INDHOTEL) appears to be trading above calculated value by approximately 34.1%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 1.27 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 1.43 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 10.2% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 28.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.48x Industry Standard: 1.0x+ Below 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹2,194 Cr ₹1,259 Cr Positive Free Cash Flow 8/10
March 2024 ₹1,935 Cr ₹1,331 Cr Positive Free Cash Flow 8/10
March 2023 ₹1,619 Cr ₹1,550 Cr Positive Free Cash Flow 8/10
March 2022 ₹672 Cr ₹-149 Cr Positive Operating Cash Flow 6/10
March 2021 ₹-319 Cr ₹-378 Cr Negative Cash Flow 3/10