Parag Milk Foods Intrinsic Value

PARAGMILK • Food Products
Current Stock Price
₹270.45
Primary Intrinsic Value
₹183.84
Market Cap
₹3218 Cr
-33.6% Downside
Median Value
₹179.50
Value Range
₹86 - ₹276
Assessment
Trading Above Calculated Value
Safety Margin
-50.7%

PARAGMILK Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹183.84 ₹147.07 - ₹220.61 -32.0% EPS: ₹15.32, Sector P/E: 12x
Book Value Method asset ₹85.97 ₹77.37 - ₹94.57 -68.2% Book Value/Share: ₹85.97, P/B: 1.0x
Revenue Multiple Method revenue ₹275.90 ₹248.31 - ₹303.49 +2.0% Revenue/Share: ₹344.87, P/S: 0.8x
EBITDA Multiple Method earnings ₹179.50 ₹161.55 - ₹197.45 -33.6% EBITDA: ₹356.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹241.99 ₹193.59 - ₹290.39 -10.5% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹98.05 ₹88.25 - ₹107.86 -63.7% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹126.24 ₹113.62 - ₹138.86 -53.3% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹216.47 ₹194.82 - ₹238.12 -20.0% ROE: 18.0%, P/E Multiple: 14x
Graham Defensive Method conservative ₹171.93 ₹154.74 - ₹189.12 -36.4% EPS: ₹15.32, BVPS: ₹85.97
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

PARAGMILK Intrinsic Value Analysis

What is the intrinsic value of PARAGMILK?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Parag Milk Foods (PARAGMILK) is ₹179.50 (median value). With the current market price of ₹270.45, this represents a -33.6% variance from our estimated fair value.

The valuation range spans from ₹85.97 to ₹275.90, indicating ₹85.97 - ₹275.90.

Is PARAGMILK undervalued or overvalued?

Based on our multi-method analysis, Parag Milk Foods (PARAGMILK) appears to be trading above calculated value by approximately 33.6%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 4.54 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.99 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 18.0% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 7.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 2.02x 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 ₹212 Cr ₹146 Cr Positive Free Cash Flow 8/10
March 2024 ₹102 Cr ₹76 Cr Positive Free Cash Flow 8/10
March 2023 ₹-190 Cr ₹-234 Cr Negative Cash Flow 3/10
March 2022 ₹-149 Cr ₹-162 Cr Negative Cash Flow 3/10
March 2021 ₹100 Cr ₹77 Cr Positive Free Cash Flow 8/10