Reliance Power Intrinsic Value
RPOWER Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹10.16 | ₹8.13 - ₹12.19 | -70.0% | EPS: ₹0.84, Sector P/E: 12x |
| Book Value Method | asset | ₹40.67 | ₹36.60 - ₹44.74 | +20.0% | Book Value/Share: ₹40.67, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹16.47 | ₹14.82 - ₹18.12 | -51.4% | Revenue/Share: ₹20.58, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹33.77 | ₹30.39 - ₹37.15 | -0.3% | EBITDA: ₹2844.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹44.79 | ₹35.83 - ₹53.75 | +32.2% | CF Growth: 5.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹10.16 | ₹9.14 - ₹11.18 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹10.16 | ₹9.14 - ₹11.18 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| Graham Defensive Method | conservative | ₹27.72 | ₹24.95 - ₹30.49 | -18.2% | EPS: ₹0.84, BVPS: ₹40.67 |
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Valuation Comparison Chart
RPOWER Intrinsic Value Analysis
What is the intrinsic value of RPOWER?
Based on our comprehensive analysis using 8 different valuation methods, the estimated intrinsic value of Reliance Power (RPOWER) is ₹27.72 (median value). With the current market price of ₹33.88, this represents a -18.2% variance from our estimated fair value.
The valuation range spans from ₹10.16 to ₹44.79, indicating ₹10.16 - ₹44.79.
Is RPOWER undervalued or overvalued?
Based on our multi-method analysis, Reliance Power (RPOWER) appears to be trading above median value by approximately 18.2%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 0.27 | Industry Standard: 2.0+ | Below 1.5 | Measures short-term liquidity capacity |
| Debt to Equity Ratio | 2.53 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| Return on Equity | 2.1% | Industry Standard: 15%+ | Below 10% | Measures shareholder return efficiency |
| Operating Margin | 31.0% | Industry Standard: 20%+ | Above 20% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.20x | Industry Standard: 1.0x+ | Below 0.5x | Measures asset utilization efficiency |
Related Pages for Reliance Power
Additional stock information and data for RPOWER
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹1,938 Cr | ₹1,938 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹3,174 Cr | ₹3,078 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹4,024 Cr | ₹3,847 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹3,613 Cr | ₹3,613 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹4,149 Cr | ₹4,149 Cr | Positive Free Cash Flow | 8/10 |