Mahanagar Gas Intrinsic Value

MGL • Oil & Gas
Current Stock Price
₹1121.00
Primary Intrinsic Value
₹929.76
Market Cap
₹111.0K Cr
-25.9% Downside
Median Value
₹830.80
Value Range
₹496 - ₹1929
Assessment
Trading Above Calculated Value
Safety Margin
-34.9%

MGL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹929.76 ₹743.81 - ₹1115.71 -17.1% EPS: ₹77.48, Sector P/E: 12x
Book Value Method asset ₹595.45 ₹535.91 - ₹655.00 -46.9% Book Value/Share: ₹595.45, P/B: 1.0x
Revenue Multiple Method revenue ₹672.00 ₹604.80 - ₹739.20 -40.1% Revenue/Share: ₹840.00, P/S: 0.8x
EBITDA Multiple Method earnings ₹830.80 ₹747.72 - ₹913.88 -25.9% EBITDA: ₹1460.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1929.11 ₹1543.29 - ₹2314.93 +72.1% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹495.87 ₹446.28 - ₹545.46 -55.8% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹638.44 ₹574.60 - ₹702.28 -43.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹926.06 ₹833.45 - ₹1018.67 -17.4% ROE: 13.0%, P/E Multiple: 12x
Graham Defensive Method conservative ₹1018.85 ₹916.97 - ₹1120.74 -9.1% EPS: ₹77.48, BVPS: ₹595.45
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

MGL Intrinsic Value Analysis

What is the intrinsic value of MGL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Mahanagar Gas (MGL) is ₹830.80 (median value). With the current market price of ₹1121.00, this represents a -25.9% variance from our estimated fair value.

The valuation range spans from ₹495.87 to ₹1929.11, indicating ₹495.87 - ₹1929.11.

Is MGL undervalued or overvalued?

Based on our multi-method analysis, Mahanagar Gas (MGL) appears to be trading above calculated value by approximately 25.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 3.88 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.40 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 13.0% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 16.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.01x 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 ₹1,406 Cr ₹880 Cr Positive Free Cash Flow 8/10
March 2024 ₹1,568 Cr ₹1,040 Cr Positive Free Cash Flow 8/10
March 2023 ₹969 Cr ₹645 Cr Positive Free Cash Flow 8/10