Natco Pharma Intrinsic Value

NATCOPHARM • Healthcare
Current Stock Price
₹890.20
Primary Intrinsic Value
₹2546.72
Market Cap
₹3205 Cr
+100.9% Upside
Median Value
₹1788.49
Value Range
₹741 - ₹2547
Assessment
Trading Below Calculated Value
Safety Margin
50.2%

NATCOPHARM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹2546.72 ₹2037.38 - ₹3056.06 +186.1% EPS: ₹115.76, Sector P/E: 22x
Book Value Method asset ₹2225.50 ₹2002.95 - ₹2448.05 +150.0% Book Value/Share: ₹2114.44, P/B: 2.0x
Revenue Multiple Method revenue ₹1780.40 ₹1602.36 - ₹1958.44 +100.0% Revenue/Share: ₹1625.56, P/S: 2.0x
EBITDA Multiple Method earnings ₹1780.40 ₹1602.36 - ₹1958.44 +100.0% EBITDA: ₹2716.00Cr, EV/EBITDA: 10x
Simple DCF (5Y) dcf ₹2225.50 ₹1780.40 - ₹2670.60 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹740.86 ₹666.77 - ₹814.95 -16.8% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹1788.49 ₹1609.64 - ₹1967.34 +100.9% Revenue Growth: 6.0%, Adj P/E: 15.5x
ROE Based Valuation profitability ₹1780.40 ₹1602.36 - ₹1958.44 +100.0% ROE: 27.2%, P/E Multiple: 16x
Graham Defensive Method conservative ₹2346.76 ₹2112.08 - ₹2581.44 +163.6% EPS: ₹115.76, BVPS: ₹2114.44
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

NATCOPHARM Intrinsic Value Analysis

What is the intrinsic value of NATCOPHARM?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Natco Pharma (NATCOPHARM) is ₹1788.49 (median value). With the current market price of ₹890.20, this represents a +100.9% variance from our estimated fair value.

The valuation range spans from ₹740.86 to ₹2546.72, indicating ₹740.86 - ₹2546.72.

Is NATCOPHARM undervalued or overvalued?

Based on our multi-method analysis, Natco Pharma (NATCOPHARM) appears to be trading below calculated value by approximately 100.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 70.27 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.13 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 42.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.68x 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 ₹1,697 Cr ₹979 Cr Positive Free Cash Flow 8/10
March 2024 ₹1,212 Cr ₹699 Cr Positive Free Cash Flow 8/10
March 2023 ₹849 Cr ₹617 Cr Positive Free Cash Flow 8/10
March 2022 ₹47 Cr ₹47 Cr Positive Free Cash Flow 8/10
March 2021 ₹299 Cr ₹246 Cr Positive Free Cash Flow 8/10