REC Intrinsic Value
REC (RECLTD) median intrinsic value is ₹463.75 from 9 valuation models (range ₹183–₹674), vs current price ₹337.00 — +37.6% upside (Trading Below Calculated Value), margin of safety 27.3%. For current market price and key ratios, visit REC share price chart.
RECLTD Valuation Methods Summary — DCF, Graham Number & P/E
REC intrinsic value across 9 models vs current price ₹337.00 — upside/downside and value range per method. Analyse REC shareholding analysis to track promoter, FII and institutional holdings.
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹609.12 | ₹487.30 - ₹730.94 | +80.7% | EPS: ₹50.76, Sector P/E: 12x |
| Book Value Method | asset | ₹213.17 | ₹191.85 - ₹234.49 | -36.7% | Book Value/Share: ₹266.46, P/B: 0.8x |
| Revenue Multiple Method | revenue | ₹182.74 | ₹164.47 - ₹201.01 | -45.8% | Revenue/Share: ₹182.74, P/S: 1.0x |
| EBITDA Multiple Method | earnings | ₹674.00 | ₹606.60 - ₹741.40 | +100.0% | EBITDA: ₹53408.00Cr, EV/EBITDA: 5x |
| PEG Ratio Method | growth | ₹324.86 | ₹292.37 - ₹357.35 | -3.6% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹418.26 | ₹376.43 - ₹460.09 | +24.1% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹592.11 | ₹532.90 - ₹651.32 | +75.7% | ROE: 15.9%, P/E Multiple: 14x |
| Graham Defensive Method | conservative | ₹532.92 | ₹479.63 - ₹586.21 | +58.1% | EPS: ₹50.76, BVPS: ₹266.46 |
| Dividend Yield Method | dividend | ₹463.75 | ₹417.38 - ₹510.13 | +37.6% | DPS: ₹18.55, Target Yield: 4.0% |
RECLTD Intrinsic Value vs Market Price — All Valuation Models
REC fair value range ₹183–₹674 vs current market price ₹337.00 across 9 valuation models. Read RECLTD dividend yield for the complete payout history and dividend yield track record.
RECLTD Intrinsic Value Analysis — Undervalued or Overvalued?
REC median intrinsic value ₹463.75, current price ₹337.00 — Trading Below Calculated Value by 37.6%, margin of safety 27.3%.
What is the intrinsic value of RECLTD?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of REC (RECLTD) is ₹463.75 (median value). With the current market price of ₹337.00, this represents a +37.6% variance from our estimated fair value.
The valuation range spans from ₹182.74 to ₹674.00, indicating ₹182.74 - ₹674.00.
Is RECLTD undervalued or overvalued?
Based on our multi-method analysis, REC (RECLTD) appears to be trading below calculated value by approximately 37.6%.
RECLTD Financial Health — Key Ratios vs Industry Benchmarks
REC financial ratios — ROE, debt-to-equity, profit margins and liquidity vs industry benchmarks and their impact on intrinsic value.
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 0.09 | Industry Standard: 2.0+ | Below 1.5 | Measures short-term liquidity capacity |
| Return on Equity | 15.9% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 92.0% | Industry Standard: 20%+ | Above 20% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.09x | Industry Standard: 1.0x+ | Below 0.5x | Measures asset utilization efficiency |
RECLTD Cash Flow Quality — Operating & Free Cash Flow
REC operating cash flow, free cash flow, quality rating and sustainability score by period — key inputs to DCF intrinsic value calculation.
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2026 | ₹5,972 Cr | ₹4,318 Cr | Positive Free Cash Flow | 8/10 |
| March 2025 | ₹-39,064 Cr | ₹-39,715 Cr | Negative Cash Flow | 3/10 |
| March 2024 | ₹-57,723 Cr | ₹-58,639 Cr | Negative Cash Flow | 3/10 |
| March 2023 | ₹-37,360 Cr | ₹-37,832 Cr | Negative Cash Flow | 3/10 |
| March 2022 | ₹-3,910 Cr | ₹-4,054 Cr | Negative Cash Flow | 3/10 |