Sumitomo Chemical Intrinsic Value

SUMICHEM • Chemicals
Current Stock Price
₹445.45
Primary Intrinsic Value
₹170.88
Market Cap
₹222.3K Cr
-70.0% Downside
Median Value
₹133.63
Value Range
₹89 - ₹228
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

SUMICHEM Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹170.88 ₹136.70 - ₹205.06 -61.6% EPS: ₹14.24, Sector P/E: 12x
Book Value Method asset ₹89.09 ₹80.18 - ₹98.00 -80.0% Book Value/Share: ₹58.22, P/B: 1.0x
Revenue Multiple Method revenue ₹133.63 ₹120.27 - ₹146.99 -70.0% Revenue/Share: ₹77.68, P/S: 0.8x
EBITDA Multiple Method earnings ₹178.18 ₹160.36 - ₹196.00 -60.0% EBITDA: ₹1028.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹178.18 ₹142.54 - ₹213.82 -60.0% CF Growth: 1.6%, Discount: 15%
PEG Ratio Method growth ₹133.63 ₹120.27 - ₹146.99 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹133.63 ₹120.27 - ₹146.99 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹228.30 ₹205.47 - ₹251.13 -48.7% ROE: 24.5%, P/E Multiple: 16x
Graham Defensive Method conservative ₹133.63 ₹120.27 - ₹146.99 -70.0% EPS: ₹14.24, BVPS: ₹58.22
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

SUMICHEM Intrinsic Value Analysis

What is the intrinsic value of SUMICHEM?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Sumitomo Chemical (SUMICHEM) is ₹133.63 (median value). With the current market price of ₹445.45, this represents a -70.0% variance from our estimated fair value.

The valuation range spans from ₹89.09 to ₹228.30, indicating ₹89.09 - ₹228.30.

Is SUMICHEM undervalued or overvalued?

Based on our multi-method analysis, Sumitomo Chemical (SUMICHEM) appears to be trading above calculated value by approximately 70.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 32.13 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.36 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 24.5% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 23.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.98x 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 ₹453 Cr ₹257 Cr Positive Free Cash Flow 8/10
March 2024 ₹757 Cr ₹547 Cr Positive Free Cash Flow 8/10
March 2023 ₹389 Cr ₹226 Cr Positive Free Cash Flow 8/10
March 2022 ₹222 Cr ₹77 Cr Positive Free Cash Flow 7/10
March 2021 ₹425 Cr ₹284 Cr Positive Free Cash Flow 8/10