Strides Pharma Science Intrinsic Value

STAR • Healthcare
Current Stock Price
₹994.10
Primary Intrinsic Value
₹1217.92
Market Cap
₹9146 Cr
-7.6% Downside
Median Value
₹918.26
Value Range
₹354 - ₹1218
Assessment
Trading Near Calculated Value
Safety Margin
-8.3%

STAR Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹1217.92 ₹974.34 - ₹1461.50 +22.5% EPS: ₹55.36, Sector P/E: 22x
Book Value Method asset ₹562.39 ₹506.15 - ₹618.63 -43.4% Book Value/Share: ₹281.20, P/B: 2.0x
Revenue Multiple Method revenue ₹1085.22 ₹976.70 - ₹1193.74 +9.2% Revenue/Share: ₹542.61, P/S: 2.0x
EBITDA Multiple Method earnings ₹1082.61 ₹974.35 - ₹1190.87 +8.9% EBITDA: ₹996.00Cr, EV/EBITDA: 10x
Simple DCF (5Y) dcf ₹918.30 ₹734.64 - ₹1101.96 -7.6% CF Growth: 12.5%, Discount: 15%
PEG Ratio Method growth ₹354.30 ₹318.87 - ₹389.73 -64.4% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹855.31 ₹769.78 - ₹940.84 -14.0% Revenue Growth: 6.0%, Adj P/E: 15.5x
ROE Based Valuation profitability ₹918.26 ₹826.43 - ₹1010.09 -7.6% ROE: 20.4%, P/E Multiple: 16x
Graham Defensive Method conservative ₹562.39 ₹506.15 - ₹618.63 -43.4% EPS: ₹55.36, BVPS: ₹281.20
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

STAR Intrinsic Value Analysis

What is the intrinsic value of STAR?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Strides Pharma Science (STAR) is ₹918.26 (median value). With the current market price of ₹994.10, this represents a -7.6% variance from our estimated fair value.

The valuation range spans from ₹354.30 to ₹1217.92, indicating ₹354.30 - ₹1217.92.

Is STAR undervalued or overvalued?

Based on our multi-method analysis, Strides Pharma Science (STAR) appears to be trading near calculated value by approximately 7.6%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 3.56 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 20.4% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 18.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.83x Industry Standard: 1.0x+ Above 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹684 Cr ₹639 Cr Positive Free Cash Flow 8/10
March 2024 ₹701 Cr ₹626 Cr Positive Free Cash Flow 8/10
March 2023 ₹44 Cr ₹44 Cr Positive Free Cash Flow 8/10
March 2022 ₹-258 Cr ₹-318 Cr Negative Cash Flow 3/10
March 2021 ₹481 Cr ₹220 Cr Positive Free Cash Flow 7/10