Praj Industries Intrinsic Value

PRAJIND • Capital Goods
Current Stock Price
₹321.85
Primary Intrinsic Value
₹96.56
Market Cap
₹1191 Cr
-41.6% Downside
Median Value
₹187.88
Value Range
₹97 - ₹644
Assessment
Trading Above Calculated Value
Safety Margin
-71.3%

PRAJIND Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹96.56 ₹77.25 - ₹115.87 -70.0% EPS: ₹4.20, Sector P/E: 12x
Book Value Method asset ₹373.51 ₹336.16 - ₹410.86 +16.1% Book Value/Share: ₹373.51, P/B: 1.0x
Revenue Multiple Method revenue ₹643.70 ₹579.33 - ₹708.07 +100.0% Revenue/Share: ₹915.68, P/S: 0.8x
EBITDA Multiple Method earnings ₹395.68 ₹356.11 - ₹435.25 +22.9% EBITDA: ₹244.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹128.74 ₹102.99 - ₹154.49 -60.0% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹96.56 ₹86.90 - ₹106.22 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹96.56 ₹86.90 - ₹106.22 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹205.41 ₹184.87 - ₹225.95 -36.2% ROE: 5.5%, P/E Multiple: 10x
Graham Defensive Method conservative ₹187.88 ₹169.09 - ₹206.67 -41.6% EPS: ₹4.20, BVPS: ₹373.51
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

PRAJIND Intrinsic Value Analysis

What is the intrinsic value of PRAJIND?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Praj Industries (PRAJIND) is ₹187.88 (median value). With the current market price of ₹321.85, this represents a -41.6% variance from our estimated fair value.

The valuation range spans from ₹96.56 to ₹643.70, indicating ₹96.56 - ₹643.70.

Is PRAJIND undervalued or overvalued?

Based on our multi-method analysis, Praj Industries (PRAJIND) appears to be trading above calculated value by approximately 41.6%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 13.97 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 2.29 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 5.5% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 7.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 1.07x 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 ₹43 Cr ₹43 Cr Positive Free Cash Flow 8/10
March 2024 ₹199 Cr ₹196 Cr Positive Free Cash Flow 8/10
March 2023 ₹162 Cr ₹123 Cr Positive Free Cash Flow 8/10
March 2022 ₹175 Cr ₹113 Cr Positive Free Cash Flow 8/10
March 2021 ₹225 Cr ₹143 Cr Positive Free Cash Flow 8/10