Relaxo Footwears Intrinsic Value

RELAXO • Consumer Goods
Current Stock Price
₹280.13
Primary Intrinsic Value
₹167.50
Market Cap
₹700.3 Cr
+100.0% Upside
Median Value
₹560.26
Value Range
₹84 - ₹700
Assessment
Trading Below Calculated Value
Safety Margin
50.0%

RELAXO Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹167.50 ₹134.00 - ₹201.00 -40.2% EPS: ₹6.70, Sector P/E: 25x
Book Value Method asset ₹700.33 ₹630.30 - ₹770.36 +150.0% Book Value/Share: ₹839.20, P/B: 2.5x
Revenue Multiple Method revenue ₹560.26 ₹504.23 - ₹616.29 +100.0% Revenue/Share: ₹1075.60, P/S: 1.5x
EBITDA Multiple Method earnings ₹560.26 ₹504.23 - ₹616.29 +100.0% EBITDA: ₹405.00Cr, EV/EBITDA: 12x
Simple DCF (5Y) dcf ₹700.33 ₹560.26 - ₹840.40 +150.0% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹84.04 ₹75.64 - ₹92.44 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹120.67 ₹108.60 - ₹132.74 -56.9% Revenue Growth: 0.1%, Adj P/E: 18.0x
ROE Based Valuation profitability ₹560.26 ₹504.23 - ₹616.29 +100.0% ROE: 8.0%, P/E Multiple: 10x
Graham Defensive Method conservative ₹355.68 ₹320.11 - ₹391.25 +27.0% EPS: ₹6.70, BVPS: ₹839.20
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

RELAXO Intrinsic Value Analysis

What is the intrinsic value of RELAXO?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Relaxo Footwears (RELAXO) is ₹560.26 (median value). With the current market price of ₹280.13, this represents a +100.0% variance from our estimated fair value.

The valuation range spans from ₹84.04 to ₹700.33, indicating ₹84.04 - ₹700.33.

Is RELAXO undervalued or overvalued?

Based on our multi-method analysis, Relaxo Footwears (RELAXO) appears to be trading below calculated value by approximately 100.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 5.77 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 8.0% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 14.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.97x Industry Standard: 1.0x+ Above 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹406 Cr ₹275 Cr Positive Free Cash Flow 8/10
March 2024 ₹235 Cr ₹186 Cr Positive Free Cash Flow 8/10
March 2023 ₹400 Cr ₹271 Cr Positive Free Cash Flow 8/10
March 2022 ₹56 Cr ₹56 Cr Positive Free Cash Flow 8/10
March 2021 ₹513 Cr ₹287 Cr Positive Free Cash Flow 8/10