RHI Magnesita Intrinsic Value

RHIM • Industrial Products
Current Stock Price
₹375.25
Primary Intrinsic Value
₹112.58
Market Cap
₹788.0 Cr
+100.0% Upside
Median Value
₹750.50
Value Range
₹113 - ₹938
Assessment
Trading Below Calculated Value
Safety Margin
50.0%

RHIM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹112.58 ₹90.06 - ₹135.10 -70.0% EPS: ₹7.40, Sector P/E: 12x
Book Value Method asset ₹938.12 ₹844.31 - ₹1031.93 +150.0% Book Value/Share: ₹1904.29, P/B: 1.0x
Revenue Multiple Method revenue ₹750.50 ₹675.45 - ₹825.55 +100.0% Revenue/Share: ₹1975.24, P/S: 0.8x
EBITDA Multiple Method earnings ₹750.50 ₹675.45 - ₹825.55 +100.0% EBITDA: ₹444.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹938.12 ₹750.50 - ₹1125.74 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹112.58 ₹101.32 - ₹123.84 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹112.58 ₹101.32 - ₹123.84 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
Graham Defensive Method conservative ₹563.08 ₹506.77 - ₹619.39 +50.1% EPS: ₹7.40, BVPS: ₹1904.29
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

RHIM Intrinsic Value Analysis

What is the intrinsic value of RHIM?

Based on our comprehensive analysis using 8 different valuation methods, the estimated intrinsic value of RHI Magnesita (RHIM) is ₹750.50 (median value). With the current market price of ₹375.25, this represents a +100.0% variance from our estimated fair value.

The valuation range spans from ₹112.58 to ₹938.12, indicating ₹112.58 - ₹938.12.

Is RHIM undervalued or overvalued?

Based on our multi-method analysis, RHI Magnesita (RHIM) appears to be trading below calculated value by approximately 100.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 6.28 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 3.8% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 11.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.80x 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 ₹373 Cr ₹317 Cr Positive Free Cash Flow 8/10
March 2024 ₹271 Cr ₹115 Cr Positive Free Cash Flow 7/10
March 2023 ₹238 Cr ₹-337 Cr Positive Operating Cash Flow 6/10
March 2022 ₹27 Cr ₹-8 Cr Positive Operating Cash Flow 6/10
March 2021 ₹165 Cr ₹126 Cr Positive Free Cash Flow 8/10