MRF Intrinsic Value

MRF • Automobiles
Current Stock Price
₹126390.00
Primary Intrinsic Value
₹59490.24
Market Cap
₹505.6K Cr
-52.9% Downside
Median Value
₹59490.24
Value Range
₹37917 - ₹74040
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

MRF Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹59490.24 ₹47592.19 - ₹71388.29 -52.9% EPS: ₹4957.52, Sector P/E: 12x
Book Value Method asset ₹46222.50 ₹41600.25 - ₹50844.75 -63.4% Book Value/Share: ₹46222.50, P/B: 1.0x
Revenue Multiple Method revenue ₹59896.00 ₹53906.40 - ₹65885.60 -52.6% Revenue/Share: ₹74870.00, P/S: 0.8x
EBITDA Multiple Method earnings ₹74040.00 ₹66636.00 - ₹81444.00 -41.4% EBITDA: ₹4936.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹50556.00 ₹40444.80 - ₹60667.20 -60.0% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹37917.00 ₹34125.30 - ₹41708.70 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹40849.96 ₹36764.96 - ₹44934.96 -67.7% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹63195.00 ₹56875.50 - ₹69514.50 -50.0% ROE: 11.4%, P/E Multiple: 12x
Graham Defensive Method conservative ₹71804.26 ₹64623.83 - ₹78984.69 -43.2% EPS: ₹4957.52, BVPS: ₹46222.50
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

MRF Intrinsic Value Analysis

What is the intrinsic value of MRF?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of MRF (MRF) is ₹59490.24 (median value). With the current market price of ₹126390.00, this represents a -52.9% variance from our estimated fair value.

The valuation range spans from ₹37917.00 to ₹74040.00, indicating ₹37917.00 - ₹74040.00.

Is MRF undervalued or overvalued?

Based on our multi-method analysis, MRF (MRF) appears to be trading above calculated value by approximately 52.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 6.32 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 11.4% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 15.0% 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 ₹1,868 Cr ₹827 Cr Positive Free Cash Flow 7/10
March 2024 ₹3,301 Cr ₹2,112 Cr Positive Free Cash Flow 8/10
March 2023 ₹2,756 Cr ₹1,795 Cr Positive Free Cash Flow 8/10
March 2022 ₹-578 Cr ₹-578 Cr Negative Cash Flow 3/10
March 2021 ₹4,325 Cr ₹1,782 Cr Positive Free Cash Flow 7/10