Tamilnad Mercantile Bank Intrinsic Value
Tamilnad Mercantile Bank (TMB) median intrinsic value is ₹767.30 from 10 valuation models (range ₹313–₹1633), vs current price ₹878.55 — -12.7% downside (Trading Above Median Value), margin of safety -14.5%. For current market price and key ratios, visit Tamilnad Mercantile Bank share price chart.
TMB Valuation Methods Summary — DCF, Graham Number & P/E
Tamilnad Mercantile Bank intrinsic value across 10 models vs current price ₹878.55 — upside/downside and value range per method. Read TMB dividend track record for the complete payout history and dividend yield track record.
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹1094.40 | ₹875.52 - ₹1313.28 | +24.6% | EPS: ₹91.20, Sector P/E: 12x |
| Book Value Method | asset | ₹511.90 | ₹460.71 - ₹563.09 | -41.7% | Book Value/Share: ₹639.87, P/B: 0.8x |
| Revenue Multiple Method | revenue | ₹441.77 | ₹397.59 - ₹485.95 | -49.7% | Revenue/Share: ₹441.77, P/S: 1.0x |
| EBITDA Multiple Method | earnings | ₹620.25 | ₹558.23 - ₹682.28 | -29.4% | EBITDA: ₹1960.00Cr, EV/EBITDA: 5x |
| Simple DCF (5Y) | dcf | ₹1632.58 | ₹1306.06 - ₹1959.10 | +85.8% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹553.84 | ₹498.46 - ₹609.22 | -37.0% | EPS Growth: 7.6%, Fair P/E: 6.1x |
| Growth Adjusted P/E | growth | ₹767.30 | ₹690.57 - ₹844.03 | -12.7% | Revenue Growth: 10.3%, Adj P/E: 8.4x |
| ROE Based Valuation | profitability | ₹1096.71 | ₹987.04 - ₹1206.38 | +24.8% | ROE: 14.3%, P/E Multiple: 12x |
| Graham Defensive Method | conservative | ₹1145.87 | ₹1031.28 - ₹1260.46 | +30.4% | EPS: ₹91.20, BVPS: ₹639.87 |
| Dividend Yield Method | dividend | ₹312.50 | ₹281.25 - ₹343.75 | -64.4% | DPS: ₹12.50, Target Yield: 4.0% |
TMB Intrinsic Value vs Market Price — All Valuation Models
Tamilnad Mercantile Bank fair value range ₹313–₹1633 vs current market price ₹878.55 across 10 valuation models. Compare with TMB fair value estimate to assess whether the stock is under or overvalued.
TMB Intrinsic Value Analysis — Undervalued or Overvalued?
Tamilnad Mercantile Bank median intrinsic value ₹767.30, current price ₹878.55 — Trading Above Median Value by 12.7%, margin of safety -14.5%.
What is the intrinsic value of TMB?
Based on our comprehensive analysis using 10 different valuation methods, the estimated intrinsic value of Tamilnad Mercantile Bank (TMB) is ₹767.30 (median value). With the current market price of ₹878.55, this represents a -12.7% variance from our estimated fair value.
The valuation range spans from ₹312.50 to ₹1632.58, indicating ₹312.50 - ₹1632.58.
Is TMB undervalued or overvalued?
Based on our multi-method analysis, Tamilnad Mercantile Bank (TMB) appears to be trading above median value by approximately 12.7%.
TMB Financial Health — Key Ratios vs Industry Benchmarks
Tamilnad Mercantile Bank financial ratios — ROE, debt-to-equity, profit margins and liquidity vs industry benchmarks and their impact on intrinsic value.
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 0.08 | Industry Standard: 2.0+ | Below 1.5 | Measures short-term liquidity capacity |
| Return on Equity | 14.3% | Industry Standard: 15%+ | Above 10% | Measures shareholder return efficiency |
| Operating Margin | 73.0% | Industry Standard: 20%+ | Above 20% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.09x | Industry Standard: 1.0x+ | Below 0.5x | Measures asset utilization efficiency |
TMB Cash Flow Quality — Operating & Free Cash Flow
Tamilnad Mercantile Bank operating cash flow, free cash flow, quality rating and sustainability score by period — key inputs to DCF intrinsic value calculation.
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2026 | ₹-101 Cr | ₹-160 Cr | Negative Cash Flow | 3/10 |
| March 2025 | ₹1,899 Cr | ₹1,850 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹-611 Cr | ₹-661 Cr | Negative Cash Flow | 3/10 |
| March 2023 | ₹-1,270 Cr | ₹-1,315 Cr | Negative Cash Flow | 3/10 |
| March 2022 | ₹1,325 Cr | ₹1,272 Cr | Positive Free Cash Flow | 8/10 |