Isgec Heavy Engineering Intrinsic Value

ISGEC • Construction
Current Stock Price
₹913.25
Primary Intrinsic Value
₹287.04
Market Cap
₹639.3 Cr
+68.5% Upside
Median Value
₹1538.46
Value Range
₹274 - ₹2283
Assessment
Trading Below Calculated Value
Safety Margin
40.6%

ISGEC Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹287.04 ₹229.63 - ₹344.45 -68.6% EPS: ₹23.92, Sector P/E: 12x
Book Value Method asset ₹2283.12 ₹2054.81 - ₹2511.43 +150.0% Book Value/Share: ₹4070.00, P/B: 1.0x
Revenue Multiple Method revenue ₹1826.50 ₹1643.85 - ₹2009.15 +100.0% Revenue/Share: ₹9862.86, P/S: 0.8x
EBITDA Multiple Method earnings ₹1826.50 ₹1643.85 - ₹2009.15 +100.0% EBITDA: ₹560.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1538.46 ₹1230.77 - ₹1846.15 +68.5% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹273.97 ₹246.57 - ₹301.37 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹273.97 ₹246.57 - ₹301.37 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹1826.50 ₹1643.85 - ₹2009.15 +100.0% ROE: 7.9%, P/E Multiple: 10x
Graham Defensive Method conservative ₹1480.02 ₹1332.02 - ₹1628.02 +62.1% EPS: ₹23.92, BVPS: ₹4070.00
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

ISGEC Intrinsic Value Analysis

What is the intrinsic value of ISGEC?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Isgec Heavy Engineering (ISGEC) is ₹1538.46 (median value). With the current market price of ₹913.25, this represents a +68.5% variance from our estimated fair value.

The valuation range spans from ₹273.97 to ₹2283.12, indicating ₹273.97 - ₹2283.12.

Is ISGEC undervalued or overvalued?

Based on our multi-method analysis, Isgec Heavy Engineering (ISGEC) appears to be trading below calculated value by approximately 68.5%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 6.96 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 7.9% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 6.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 0.86x Industry Standard: 1.0x+ Above 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹116 Cr ₹-21 Cr Positive Operating Cash Flow 6/10
March 2024 ₹735 Cr ₹598 Cr Positive Free Cash Flow 8/10
March 2023 ₹208 Cr ₹187 Cr Positive Free Cash Flow 8/10
March 2022 ₹-70 Cr ₹-150 Cr Negative Cash Flow 3/10
March 2021 ₹228 Cr ₹146 Cr Positive Free Cash Flow 8/10