Novartis Intrinsic Value

NOVARTIND • Healthcare
Current Stock Price
₹1001.70
Primary Intrinsic Value
₹866.80
Market Cap
₹1202 Cr
-15.2% Downside
Median Value
₹848.96
Value Range
₹301 - ₹1308
Assessment
Trading Above Median Value
Safety Margin
-18.0%

NOVARTIND Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹866.80 ₹693.44 - ₹1040.16 -13.5% EPS: ₹39.40, Sector P/E: 22x
Book Value Method asset ₹1308.33 ₹1177.50 - ₹1439.16 +30.6% Book Value/Share: ₹654.17, P/B: 2.0x
Revenue Multiple Method revenue ₹645.00 ₹580.50 - ₹709.50 -35.6% Revenue/Share: ₹322.50, P/S: 2.0x
EBITDA Multiple Method earnings ₹1141.67 ₹1027.50 - ₹1255.84 +14.0% EBITDA: ₹137.00Cr, EV/EBITDA: 10x
Simple DCF (5Y) dcf ₹848.96 ₹679.17 - ₹1018.75 -15.2% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹300.51 ₹270.46 - ₹330.56 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹582.82 ₹524.54 - ₹641.10 -41.8% Revenue Growth: -2.8%, Adj P/E: 14.8x
ROE Based Valuation profitability ₹970.00 ₹873.00 - ₹1067.00 -3.2% ROE: 12.4%, P/E Multiple: 12x
Graham Defensive Method conservative ₹761.52 ₹685.37 - ₹837.67 -24.0% EPS: ₹39.40, BVPS: ₹654.17
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

NOVARTIND Intrinsic Value Analysis

What is the intrinsic value of NOVARTIND?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Novartis (NOVARTIND) is ₹848.96 (median value). With the current market price of ₹1001.70, this represents a -15.2% variance from our estimated fair value.

The valuation range spans from ₹300.51 to ₹1308.33, indicating ₹300.51 - ₹1308.33.

Is NOVARTIND undervalued or overvalued?

Based on our multi-method analysis, Novartis (NOVARTIND) appears to be trading above median value by approximately 15.2%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 35.52 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 12.4% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 28.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.41x 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 2025 ₹75 Cr ₹74 Cr Positive Free Cash Flow 8/10
March 2024 ₹113 Cr ₹113 Cr Positive Free Cash Flow 8/10
March 2023 ₹45 Cr ₹-32 Cr Positive Operating Cash Flow 6/10
March 2022 ₹39 Cr ₹39 Cr Positive Free Cash Flow 8/10
March 2021 ₹-69 Cr ₹-69 Cr Negative Cash Flow 3/10