Covance Softsol Intrinsic Value
COVANCE Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹238.08 | ₹190.46 - ₹285.70 | +93.5% | EPS: ₹19.84, Sector P/E: 12x |
| Book Value Method | asset | ₹60.67 | ₹54.60 - ₹66.74 | -50.7% | Book Value/Share: ₹60.67, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹76.80 | ₹69.12 - ₹84.48 | -37.6% | Revenue/Share: ₹96.00, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹176.00 | ₹158.40 - ₹193.60 | +43.0% | EBITDA: ₹44.00Cr, EV/EBITDA: 6x |
| PEG Ratio Method | growth | ₹126.98 | ₹114.28 - ₹139.68 | +3.2% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹163.48 | ₹147.13 - ₹179.83 | +32.9% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹246.08 | ₹221.47 - ₹270.69 | +100.0% | ROE: 35.2%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹121.33 | ₹109.20 - ₹133.46 | -1.4% | EPS: ₹19.84, BVPS: ₹60.67 |
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Valuation Comparison Chart
COVANCE Intrinsic Value Analysis
What is the intrinsic value of COVANCE?
Based on our comprehensive analysis using 8 different valuation methods, the estimated intrinsic value of Covance Softsol (COVANCE) is ₹163.48 (median value). With the current market price of ₹123.04, this represents a +32.9% variance from our estimated fair value.
The valuation range spans from ₹60.67 to ₹246.08, indicating ₹60.67 - ₹246.08.
Is COVANCE undervalued or overvalued?
Based on our multi-method analysis, Covance Softsol (COVANCE) appears to be trading below calculated value by approximately 32.9%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 2.23 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Debt to Equity Ratio | 2.15 | Industry Standard: <0.5 | Above 1.0 | Indicates financial leverage level |
| Return on Equity | 35.2% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 26.0% | Industry Standard: 20%+ | Above 20% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.73x | Industry Standard: 1.0x+ | Above 0.5x | Measures asset utilization efficiency |
Related Pages for Covance Softsol
Additional stock information and data for COVANCE
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹18 Cr | ₹14 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹-10 Cr | ₹-10 Cr | Negative Cash Flow | 3/10 |