Torrent Pharmaceuticals Intrinsic Value
TORNTPHARM • Healthcare
Current Stock Price
₹4029.20
Primary Intrinsic Value
₹1543.52
Market Cap
₹680.9K Cr
-62.2%
Downside
Median Value
₹1523.79
Value Range
₹898 - ₹2336
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%
TORNTPHARM Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹1543.52 | ₹1234.82 - ₹1852.22 | -61.7% | EPS: ₹70.16, Sector P/E: 22x |
| Book Value Method | asset | ₹898.34 | ₹808.51 - ₹988.17 | -77.7% | Book Value/Share: ₹449.17, P/B: 2.0x |
| Revenue Multiple Method | revenue | ₹1523.79 | ₹1371.41 - ₹1676.17 | -62.2% | Revenue/Share: ₹761.89, P/S: 2.0x |
| EBITDA Multiple Method | earnings | ₹2336.09 | ₹2102.48 - ₹2569.70 | -42.0% | EBITDA: ₹3948.00Cr, EV/EBITDA: 10x |
| Simple DCF (5Y) | dcf | ₹1611.68 | ₹1289.34 - ₹1934.02 | -60.0% | CF Growth: 6.6%, Discount: 15% |
| PEG Ratio Method | growth | ₹1208.76 | ₹1087.88 - ₹1329.64 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹1208.76 | ₹1087.88 - ₹1329.64 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 15.5x |
| ROE Based Valuation | profitability | ₹2238.11 | ₹2014.30 - ₹2461.92 | -44.5% | ROE: 31.1%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹1208.76 | ₹1087.88 - ₹1329.64 | -70.0% | EPS: ₹70.16, BVPS: ₹449.17 |
Method Types:
Earnings
Asset
DCF
Growth
Dividend
Conservative
Valuation Comparison Chart
TORNTPHARM Intrinsic Value Analysis
What is the intrinsic value of TORNTPHARM?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Torrent Pharmaceuticals (TORNTPHARM) is ₹1523.79 (median value). With the current market price of ₹4029.20, this represents a -62.2% variance from our estimated fair value.
The valuation range spans from ₹898.34 to ₹2336.09, indicating ₹898.34 - ₹2336.09.
Is TORNTPHARM undervalued or overvalued?
Based on our multi-method analysis, Torrent Pharmaceuticals (TORNTPHARM) appears to be trading above calculated value by approximately 62.2%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 2.10 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Return on Equity | 31.1% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 31.0% | Industry Standard: 20%+ | Above 20% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.86x | Industry Standard: 1.0x+ | Above 0.5x | Measures asset utilization efficiency |
Related Pages for Torrent Pharmaceuticals
Additional stock information and data for TORNTPHARM
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹2,585 Cr | ₹2,311 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹3,266 Cr | ₹3,186 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹2,368 Cr | ₹1,201 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹1,803 Cr | ₹1,705 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹2,005 Cr | ₹1,783 Cr | Positive Free Cash Flow | 8/10 |