Sambandam Spinning Mills Intrinsic Value

SAMBANDAM • Textiles
Current Stock Price
₹100.05
Primary Intrinsic Value
₹215.00
Market Cap
₹40.0 Cr
+114.9% Upside
Median Value
₹215.00
Value Range
₹200 - ₹250
Assessment
Trading Below Calculated Value
Safety Margin
53.5%

SAMBANDAM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
Book Value Method asset ₹215.00 ₹193.50 - ₹236.50 +114.9% Book Value/Share: ₹215.00, P/B: 1.0x
Revenue Multiple Method revenue ₹200.10 ₹180.09 - ₹220.11 +100.0% Revenue/Share: ₹670.00, P/S: 0.8x
EBITDA Multiple Method earnings ₹200.10 ₹180.09 - ₹220.11 +100.0% EBITDA: ₹16.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹250.12 ₹200.10 - ₹300.14 +150.0% CF Growth: 5.0%, Discount: 15%
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

SAMBANDAM Intrinsic Value Analysis

What is the intrinsic value of SAMBANDAM?

Based on our comprehensive analysis using 4 different valuation methods, the estimated intrinsic value of Sambandam Spinning Mills (SAMBANDAM) is ₹215.00 (median value). With the current market price of ₹100.05, this represents a +114.9% variance from our estimated fair value.

The valuation range spans from ₹200.10 to ₹250.12, indicating ₹200.10 - ₹250.12.

Is SAMBANDAM undervalued or overvalued?

Based on our multi-method analysis, Sambandam Spinning Mills (SAMBANDAM) appears to be trading below calculated value by approximately 114.9%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 2.48 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 2.94 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity -4.7% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 6.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 1.06x 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 ₹17 Cr ₹17 Cr Positive Free Cash Flow 8/10
March 2024 ₹26 Cr ₹26 Cr Positive Free Cash Flow 8/10
March 2023 ₹29 Cr ₹20 Cr Positive Free Cash Flow 8/10
March 2022 ₹29 Cr ₹6 Cr Positive Free Cash Flow 7/10
March 2021 ₹0 Cr ₹-1 Cr Negative Cash Flow 3/10