Star Health Insurance Intrinsic Value

STARHEALTH • Insurance
Current Stock Price
₹463.60
Primary Intrinsic Value
₹139.08
Market Cap
₹272.6K Cr
-69.1% Downside
Median Value
₹143.28
Value Range
₹120 - ₹280
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

STARHEALTH Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹139.08 ₹111.26 - ₹166.90 -70.0% EPS: ₹7.60, Sector P/E: 12x
Book Value Method asset ₹120.05 ₹108.05 - ₹132.06 -74.1% Book Value/Share: ₹120.05, P/B: 1.0x
Revenue Multiple Method revenue ₹234.97 ₹211.47 - ₹258.47 -49.3% Revenue/Share: ₹293.71, P/S: 0.8x
EBITDA Multiple Method earnings ₹185.44 ₹166.90 - ₹203.98 -60.0% EBITDA: ₹602.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹280.18 ₹224.14 - ₹336.22 -39.6% CF Growth: 11.6%, Discount: 15%
PEG Ratio Method growth ₹139.08 ₹125.17 - ₹152.99 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹139.08 ₹125.17 - ₹152.99 -70.0% Revenue Growth: 13.0%, Adj P/E: 8.5x
ROE Based Valuation profitability ₹231.80 ₹208.62 - ₹254.98 -50.0% ROE: 6.3%, P/E Multiple: 10x
Graham Defensive Method conservative ₹143.28 ₹128.95 - ₹157.61 -69.1% EPS: ₹7.60, BVPS: ₹120.05
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

STARHEALTH Intrinsic Value Analysis

What is the intrinsic value of STARHEALTH?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Star Health Insurance (STARHEALTH) is ₹143.28 (median value). With the current market price of ₹463.60, this represents a -69.1% variance from our estimated fair value.

The valuation range spans from ₹120.05 to ₹280.18, indicating ₹120.05 - ₹280.18.

Is STARHEALTH undervalued or overvalued?

Based on our multi-method analysis, Star Health Insurance (STARHEALTH) appears to be trading above calculated value by approximately 69.1%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 4.49 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 6.3% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin -4.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 2.28x 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 ₹1,379 Cr ₹804 Cr Positive Free Cash Flow 8/10
March 2024 ₹1,310 Cr ₹722 Cr Positive Free Cash Flow 8/10
March 2023 ₹1,276 Cr ₹728 Cr Positive Free Cash Flow 8/10
March 2022 ₹56 Cr ₹-1,837 Cr Positive Operating Cash Flow 6/10
March 2021 ₹890 Cr ₹-319 Cr Positive Operating Cash Flow 6/10