Indo Rama Synthetics Intrinsic Value

INDORAMA • Textiles
Current Stock Price
₹46.65
Primary Intrinsic Value
₹45.12
Market Cap
₹1218 Cr
-3.3% Downside
Median Value
₹45.12
Value Range
₹14 - ₹117
Assessment
Trading Near Calculated Value
Safety Margin
-3.4%

INDORAMA Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹45.12 ₹36.10 - ₹54.14 -3.3% EPS: ₹3.76, Sector P/E: 12x
Book Value Method asset ₹14.10 ₹12.69 - ₹15.51 -69.8% Book Value/Share: ₹14.10, P/B: 1.0x
Revenue Multiple Method revenue ₹93.30 ₹83.97 - ₹102.63 +100.0% Revenue/Share: ₹187.28, P/S: 0.8x
EBITDA Multiple Method earnings ₹60.80 ₹54.72 - ₹66.88 +30.3% EBITDA: ₹280.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹116.62 ₹93.30 - ₹139.94 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹24.06 ₹21.65 - ₹26.47 -48.4% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹30.98 ₹27.88 - ₹34.08 -33.6% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹61.30 ₹55.17 - ₹67.43 +31.4% ROE: 27.2%, P/E Multiple: 16x
Graham Defensive Method conservative ₹28.20 ₹25.38 - ₹31.02 -39.5% EPS: ₹3.76, BVPS: ₹14.10
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

INDORAMA Intrinsic Value Analysis

What is the intrinsic value of INDORAMA?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Indo Rama Synthetics (INDORAMA) is ₹45.12 (median value). With the current market price of ₹46.65, this represents a -3.3% variance from our estimated fair value.

The valuation range spans from ₹14.10 to ₹116.62, indicating ₹14.10 - ₹116.62.

Is INDORAMA undervalued or overvalued?

Based on our multi-method analysis, Indo Rama Synthetics (INDORAMA) appears to be trading near calculated value by approximately 3.3%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 3.23 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 7.98 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 27.2% 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 1.66x 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 ₹391 Cr ₹373 Cr Positive Free Cash Flow 8/10
March 2024 ₹-97 Cr ₹-226 Cr Negative Cash Flow 3/10
March 2023 ₹-81 Cr ₹-255 Cr Negative Cash Flow 3/10
March 2022 ₹200 Cr ₹163 Cr Positive Free Cash Flow 8/10
March 2021 ₹182 Cr ₹173 Cr Positive Free Cash Flow 8/10