Ram Ratna Wires Intrinsic Value

RAMRAT • Capital Goods
Current Stock Price
₹303.10
Primary Intrinsic Value
₹219.36
Market Cap
₹666.8 Cr
-0.3% Downside
Median Value
₹302.05
Value Range
₹117 - ₹758
Assessment
Trading Near Calculated Value
Safety Margin
-0.3%

RAMRAT Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹219.36 ₹175.49 - ₹263.23 -27.6% EPS: ₹18.28, Sector P/E: 12x
Book Value Method asset ₹221.82 ₹199.64 - ₹244.00 -26.8% Book Value/Share: ₹221.82, P/B: 1.0x
Revenue Multiple Method revenue ₹606.20 ₹545.58 - ₹666.82 +100.0% Revenue/Share: ₹2123.64, P/S: 0.8x
EBITDA Multiple Method earnings ₹606.20 ₹545.58 - ₹666.82 +100.0% EBITDA: ₹232.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹757.75 ₹606.20 - ₹909.30 +150.0% CF Growth: 14.6%, Discount: 15%
PEG Ratio Method growth ₹116.99 ₹105.29 - ₹128.69 -61.4% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹150.63 ₹135.57 - ₹165.69 -50.3% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹560.00 ₹504.00 - ₹616.00 +84.8% ROE: 18.0%, P/E Multiple: 14x
Graham Defensive Method conservative ₹302.05 ₹271.85 - ₹332.26 -0.3% EPS: ₹18.28, BVPS: ₹221.82
Method Types: Earnings Asset DCF Growth Dividend Conservative

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

Valuation Comparison Chart

RAMRAT Intrinsic Value Analysis

What is the intrinsic value of RAMRAT?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Ram Ratna Wires (RAMRAT) is ₹302.05 (median value). With the current market price of ₹303.10, this represents a -0.3% variance from our estimated fair value.

The valuation range spans from ₹116.99 to ₹757.75, indicating ₹116.99 - ₹757.75.

Is RAMRAT undervalued or overvalued?

Based on our multi-method analysis, Ram Ratna Wires (RAMRAT) appears to be trading near calculated value by approximately 0.3%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 3.31 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 2.66 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 5.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 3.59x 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 ₹227 Cr ₹93 Cr Positive Free Cash Flow 7/10
March 2024 ₹138 Cr ₹135 Cr Positive Free Cash Flow 8/10
March 2023 ₹65 Cr ₹55 Cr Positive Free Cash Flow 8/10
March 2022 ₹151 Cr ₹142 Cr Positive Free Cash Flow 8/10
March 2021 ₹-26 Cr ₹-33 Cr Negative Cash Flow 3/10