Polycab Intrinsic Value
POLYCAB • Industrial Products
Current Stock Price
₹7600.50
Primary Intrinsic Value
₹2280.15
Market Cap
₹1140.1K Cr
-70.0%
Downside
Median Value
₹2280.15
Value Range
₹1520 - ₹3800
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%
POLYCAB Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹2280.15 | ₹1824.12 - ₹2736.18 | -70.0% | EPS: ₹182.16, Sector P/E: 12x |
| Book Value Method | asset | ₹1520.10 | ₹1368.09 - ₹1672.11 | -80.0% | Book Value/Share: ₹660.47, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹2280.15 | ₹2052.14 - ₹2508.17 | -70.0% | Revenue/Share: ₹1739.47, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹3040.20 | ₹2736.18 - ₹3344.22 | -60.0% | EBITDA: ₹4264.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹3040.20 | ₹2432.16 - ₹3648.24 | -60.0% | CF Growth: 9.6%, Discount: 15% |
| PEG Ratio Method | growth | ₹2280.15 | ₹2052.14 - ₹2508.17 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹2280.15 | ₹2052.14 - ₹2508.17 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹3800.25 | ₹3420.22 - ₹4180.28 | -50.0% | ROE: 28.0%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹2280.15 | ₹2052.14 - ₹2508.17 | -70.0% | EPS: ₹182.16, BVPS: ₹660.47 |
Method Types:
Earnings
Asset
DCF
Growth
Dividend
Conservative
Valuation Comparison Chart
POLYCAB Intrinsic Value Analysis
What is the intrinsic value of POLYCAB?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Polycab (POLYCAB) is ₹2280.15 (median value). With the current market price of ₹7600.50, this represents a -70.0% variance from our estimated fair value.
The valuation range spans from ₹1520.10 to ₹3800.25, indicating ₹1520.10 - ₹3800.25.
Is POLYCAB undervalued or overvalued?
Based on our multi-method analysis, Polycab (POLYCAB) appears to be trading above calculated value by approximately 70.0%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 26.18 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Return on Equity | 28.0% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 16.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.89x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
Related Pages for Polycab
Additional stock information and data for POLYCAB
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹1,809 Cr | ₹1,190 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹1,296 Cr | ₹920 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹1,428 Cr | ₹827 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹512 Cr | ₹299 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹1,252 Cr | ₹746 Cr | Positive Free Cash Flow | 8/10 |