NTPC Intrinsic Value

NTPC • Power
Current Stock Price
₹350.80
Primary Intrinsic Value
₹251.04
Market Cap
₹3401.7K Cr
-28.4% Downside
Median Value
₹251.04
Value Range
₹134 - ₹624
Assessment
Trading Above Calculated Value
Safety Margin
-39.7%

NTPC Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹251.04 ₹200.83 - ₹301.25 -28.4% EPS: ₹20.92, Sector P/E: 12x
Book Value Method asset ₹197.09 ₹177.38 - ₹216.80 -43.8% Book Value/Share: ₹197.09, P/B: 1.0x
Revenue Multiple Method revenue ₹156.81 ₹141.13 - ₹172.49 -55.3% Revenue/Share: ₹196.02, P/S: 0.8x
EBITDA Multiple Method earnings ₹345.15 ₹310.63 - ₹379.67 -1.6% EBITDA: ₹62196.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹623.55 ₹498.84 - ₹748.26 +77.8% CF Growth: 11.7%, Discount: 15%
PEG Ratio Method growth ₹133.89 ₹120.50 - ₹147.28 -61.8% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹172.38 ₹155.14 - ₹189.62 -50.9% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹258.64 ₹232.78 - ₹284.50 -26.3% ROE: 10.9%, P/E Multiple: 12x
Graham Defensive Method conservative ₹304.59 ₹274.13 - ₹335.05 -13.2% EPS: ₹20.92, BVPS: ₹197.09
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

NTPC Intrinsic Value Analysis

What is the intrinsic value of NTPC?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of NTPC (NTPC) is ₹251.04 (median value). With the current market price of ₹350.80, this represents a -28.4% variance from our estimated fair value.

The valuation range spans from ₹133.89 to ₹623.55, indicating ₹133.89 - ₹623.55.

Is NTPC undervalued or overvalued?

Based on our multi-method analysis, NTPC (NTPC) appears to be trading above calculated value by approximately 28.4%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 0.40 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 2.74 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 10.9% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 29.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.36x 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 ₹50,436 Cr ₹27,536 Cr Positive Free Cash Flow 8/10
March 2024 ₹40,099 Cr ₹24,371 Cr Positive Free Cash Flow 8/10
March 2023 ₹47,152 Cr ₹34,080 Cr Positive Free Cash Flow 8/10
March 2022 ₹41,788 Cr ₹30,343 Cr Positive Free Cash Flow 8/10
March 2021 ₹32,444 Cr ₹21,927 Cr Positive Free Cash Flow 8/10