Mercantile Ventures Intrinsic Value

MERCANTILE • Commercial Services
Current Stock Price
₹22.93
Primary Intrinsic Value
₹6.88
Market Cap
₹256.8 Cr
-70.0% Downside
Median Value
₹6.88
Value Range
₹7 - ₹47
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

MERCANTILE Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹6.88 ₹5.50 - ₹8.26 -70.0% EPS: ₹0.52, Sector P/E: 12x
Book Value Method asset ₹30.71 ₹27.64 - ₹33.78 +33.9% Book Value/Share: ₹30.71, P/B: 1.0x
Revenue Multiple Method revenue ₹6.88 ₹6.19 - ₹7.57 -70.0% Revenue/Share: ₹8.57, P/S: 0.8x
Simple DCF (5Y) dcf ₹47.30 ₹37.84 - ₹56.76 +106.3% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹6.88 ₹6.19 - ₹7.57 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹6.88 ₹6.19 - ₹7.57 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
Graham Defensive Method conservative ₹18.96 ₹17.06 - ₹20.86 -17.3% EPS: ₹0.52, BVPS: ₹30.71
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

MERCANTILE Intrinsic Value Analysis

What is the intrinsic value of MERCANTILE?

Based on our comprehensive analysis using 7 different valuation methods, the estimated intrinsic value of Mercantile Ventures (MERCANTILE) is ₹6.88 (median value). With the current market price of ₹22.93, this represents a -70.0% variance from our estimated fair value.

The valuation range spans from ₹6.88 to ₹47.30, indicating ₹6.88 - ₹47.30.

Is MERCANTILE undervalued or overvalued?

Based on our multi-method analysis, Mercantile Ventures (MERCANTILE) appears to be trading above calculated value by approximately 70.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 2.70 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.14 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Operating Margin 2.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 0.25x 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 2024 ₹39 Cr ₹39 Cr Positive Free Cash Flow 8/10
March 2023 ₹-14 Cr ₹-14 Cr Negative Cash Flow 3/10
March 2022 ₹-6 Cr ₹-11 Cr Negative Cash Flow 3/10
March 2021 ₹23 Cr ₹17 Cr Positive Free Cash Flow 8/10
March 2020 ₹-9 Cr ₹-9 Cr Negative Cash Flow 3/10