Southern Magnesium & Chemicals Intrinsic Value

SOUTHMG • Metals & Mining
Current Stock Price
₹88.36
Primary Intrinsic Value
₹26.51
Market Cap
₹26.5 Cr
-60.0% Downside
Median Value
₹35.34
Value Range
₹27 - ₹221
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

SOUTHMG Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹26.51 ₹21.21 - ₹31.81 -70.0% EPS: ₹1.30, Sector P/E: 12x
Book Value Method asset ₹43.33 ₹39.00 - ₹47.66 -51.0% Book Value/Share: ₹43.33, P/B: 1.0x
Revenue Multiple Method revenue ₹26.51 ₹23.86 - ₹29.16 -70.0% Revenue/Share: ₹16.67, P/S: 0.8x
EBITDA Multiple Method earnings ₹35.34 ₹31.81 - ₹38.87 -60.0% EBITDA: ₹1.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹220.90 ₹176.72 - ₹265.08 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹26.51 ₹23.86 - ₹29.16 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹26.51 ₹23.86 - ₹29.16 -70.0% Revenue Growth: 15.0%, Adj P/E: 8.6x
Graham Defensive Method conservative ₹35.60 ₹32.04 - ₹39.16 -59.7% EPS: ₹1.30, BVPS: ₹43.33
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check SOUTHMG share price latest .

Valuation Comparison Chart

SOUTHMG Intrinsic Value Analysis

What is the intrinsic value of SOUTHMG?

Based on our comprehensive analysis using 8 different valuation methods, the estimated intrinsic value of Southern Magnesium & Chemicals (SOUTHMG) is ₹35.34 (median value). With the current market price of ₹88.36, this represents a -60.0% variance from our estimated fair value.

The valuation range spans from ₹26.51 to ₹220.90, indicating ₹26.51 - ₹220.90.

Is SOUTHMG undervalued or overvalued?

Based on our multi-method analysis, Southern Magnesium & Chemicals (SOUTHMG) appears to be trading above calculated value by approximately 60.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Debt to Equity Ratio 1.54 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Operating Margin -12.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 0.25x Industry Standard: 1.0x+ Below 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹5 Cr ₹3 Cr Positive Free Cash Flow 7/10
March 2024 ₹-3 Cr ₹-3 Cr Negative Cash Flow 3/10
March 2023 ₹2 Cr ₹2 Cr Positive Free Cash Flow 8/10
March 2022 ₹0 Cr ₹0 Cr Negative Cash Flow 3/10
March 2021 ₹0 Cr ₹-1 Cr Negative Cash Flow 3/10