Polycab Intrinsic Value
POLYCAB Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹2305.50 | ₹1844.40 - ₹2766.60 | -70.0% | EPS: ₹182.16, Sector P/E: 12x |
| Book Value Method | asset | ₹1537.00 | ₹1383.30 - ₹1690.70 | -80.0% | Book Value/Share: ₹660.47, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹2305.50 | ₹2074.95 - ₹2536.05 | -70.0% | Revenue/Share: ₹1739.47, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹3074.00 | ₹2766.60 - ₹3381.40 | -60.0% | EBITDA: ₹4264.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹3074.00 | ₹2459.20 - ₹3688.80 | -60.0% | CF Growth: 9.6%, Discount: 15% |
| PEG Ratio Method | growth | ₹2305.50 | ₹2074.95 - ₹2536.05 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹2305.50 | ₹2074.95 - ₹2536.05 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹3842.50 | ₹3458.25 - ₹4226.75 | -50.0% | ROE: 28.0%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹2305.50 | ₹2074.95 - ₹2536.05 | -70.0% | EPS: ₹182.16, BVPS: ₹660.47 |
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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 ₹2305.50 (median value). With the current market price of ₹7685.00, this represents a -70.0% variance from our estimated fair value.
The valuation range spans from ₹1537.00 to ₹3842.50, indicating ₹1537.00 - ₹3842.50.
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 |
| Debt to Equity Ratio | 1.39 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| 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 |