Patanjali Foods Intrinsic Value

PATANJALI • FMCG
Current Stock Price
₹502.80
Primary Intrinsic Value
₹228.00
Market Cap
₹3620 Cr
+63.4% Upside
Median Value
₹821.68
Value Range
₹151 - ₹1257
Assessment
Trading Below Calculated Value
Safety Margin
38.8%

PATANJALI Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹228.00 ₹182.40 - ₹273.60 -54.7% EPS: ₹19.00, Sector P/E: 12x
Book Value Method asset ₹1257.00 ₹1131.30 - ₹1382.70 +150.0% Book Value/Share: ₹1579.31, P/B: 1.0x
Revenue Multiple Method revenue ₹1005.60 ₹905.04 - ₹1106.16 +100.0% Revenue/Share: ₹5460.00, P/S: 0.8x
EBITDA Multiple Method earnings ₹1005.60 ₹905.04 - ₹1106.16 +100.0% EBITDA: ₹2412.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹254.02 ₹203.22 - ₹304.82 -49.5% CF Growth: 5.0%, Discount: 15%
PEG Ratio Method growth ₹150.84 ₹135.76 - ₹165.92 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹156.56 ₹140.90 - ₹172.22 -68.9% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹1005.60 ₹905.04 - ₹1106.16 +100.0% ROE: 18.2%, P/E Multiple: 14x
Graham Defensive Method conservative ₹821.68 ₹739.51 - ₹903.85 +63.4% EPS: ₹19.00, BVPS: ₹1579.31
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

PATANJALI Intrinsic Value Analysis

What is the intrinsic value of PATANJALI?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Patanjali Foods (PATANJALI) is ₹821.68 (median value). With the current market price of ₹502.80, this represents a +63.4% variance from our estimated fair value.

The valuation range spans from ₹150.84 to ₹1257.00, indicating ₹150.84 - ₹1257.00.

Is PATANJALI undervalued or overvalued?

Based on our multi-method analysis, Patanjali Foods (PATANJALI) appears to be trading below calculated value by approximately 63.4%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 218.58 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 18.2% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 6.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 2.53x 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 ₹197 Cr ₹190 Cr Positive Free Cash Flow 8/10
March 2019 ₹225 Cr ₹176 Cr Positive Free Cash Flow 8/10
March 2018 ₹979 Cr ₹945 Cr Positive Free Cash Flow 8/10
March 2017 ₹441 Cr ₹441 Cr Positive Free Cash Flow 8/10
March 2016 ₹-412 Cr ₹-412 Cr Negative Cash Flow 3/10