Railtel Corporation of India Intrinsic Value
RAILTEL • Telecom
Current Stock Price
₹263.55
Primary Intrinsic Value
₹101.76
Market Cap
₹8460 Cr
-62.4%
Downside
Median Value
₹99.00
Value Range
₹53 - ₹132
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%
RAILTEL Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹101.76 | ₹81.41 - ₹122.11 | -61.4% | EPS: ₹8.48, Sector P/E: 12x |
| Book Value Method | asset | ₹52.71 | ₹47.44 - ₹57.98 | -80.0% | Book Value/Share: ₹51.37, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹79.06 | ₹71.15 - ₹86.97 | -70.0% | Revenue/Share: ₹76.39, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹105.42 | ₹94.88 - ₹115.96 | -60.0% | EBITDA: ₹516.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹105.42 | ₹84.34 - ₹126.50 | -60.0% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹79.06 | ₹71.15 - ₹86.97 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹79.06 | ₹71.15 - ₹86.97 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹131.78 | ₹118.60 - ₹144.96 | -50.0% | ROE: 16.5%, P/E Multiple: 14x |
| Graham Defensive Method | conservative | ₹99.00 | ₹89.10 - ₹108.90 | -62.4% | EPS: ₹8.48, BVPS: ₹51.37 |
Method Types:
Earnings
Asset
DCF
Growth
Dividend
Conservative
Valuation Comparison Chart
RAILTEL Intrinsic Value Analysis
What is the intrinsic value of RAILTEL?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Railtel Corporation of India (RAILTEL) is ₹99.00 (median value). With the current market price of ₹263.55, this represents a -62.4% variance from our estimated fair value.
The valuation range spans from ₹52.71 to ₹131.78, indicating ₹52.71 - ₹131.78.
Is RAILTEL undervalued or overvalued?
Based on our multi-method analysis, Railtel Corporation of India (RAILTEL) appears to be trading above calculated value by approximately 62.4%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 11.78 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Return on Equity | 16.5% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 19.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.73x | Industry Standard: 1.0x+ | Above 0.5x | Measures asset utilization efficiency |
Related Pages for Railtel Corporation of India
Additional stock information and data for RAILTEL
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2023 | ₹230 Cr | ₹155 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹250 Cr | ₹146 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹348 Cr | ₹287 Cr | Positive Free Cash Flow | 8/10 |
| March 2020 | ₹173 Cr | ₹149 Cr | Positive Free Cash Flow | 8/10 |
| March 2019 | ₹35 Cr | ₹35 Cr | Positive Free Cash Flow | 8/10 |