Transrail Lighting Intrinsic Value

TRANSRAILL • Capital Goods
Current Stock Price
₹540.25
Primary Intrinsic Value
₹325.44
Market Cap
₹1459 Cr
+29.0% Upside
Median Value
₹696.67
Value Range
₹174 - ₹1351
Assessment
Trading Below Calculated Value
Safety Margin
22.5%

TRANSRAILL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹325.44 ₹260.35 - ₹390.53 -39.8% EPS: ₹27.12, Sector P/E: 12x
Book Value Method asset ₹696.67 ₹627.00 - ₹766.34 +29.0% Book Value/Share: ₹696.67, P/B: 1.0x
Revenue Multiple Method revenue ₹1080.50 ₹972.45 - ₹1188.55 +100.0% Revenue/Share: ₹2297.78, P/S: 0.8x
EBITDA Multiple Method earnings ₹1080.50 ₹972.45 - ₹1188.55 +100.0% EBITDA: ₹692.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1350.62 ₹1080.50 - ₹1620.74 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹173.57 ₹156.21 - ₹190.93 -67.9% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹223.47 ₹201.12 - ₹245.82 -58.6% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹1080.50 ₹972.45 - ₹1188.55 +100.0% ROE: 19.4%, P/E Multiple: 14x
Graham Defensive Method conservative ₹652.00 ₹586.80 - ₹717.20 +20.7% EPS: ₹27.12, BVPS: ₹696.67
Method Types: Earnings Asset DCF Growth Dividend Conservative

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Valuation Comparison Chart

TRANSRAILL Intrinsic Value Analysis

What is the intrinsic value of TRANSRAILL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Transrail Lighting (TRANSRAILL) is ₹696.67 (median value). With the current market price of ₹540.25, this represents a +29.0% variance from our estimated fair value.

The valuation range spans from ₹173.57 to ₹1350.62, indicating ₹173.57 - ₹1350.62.

Is TRANSRAILL undervalued or overvalued?

Based on our multi-method analysis, Transrail Lighting (TRANSRAILL) appears to be trading below calculated value by approximately 29.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 47.04 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 3.31 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 19.4% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 10.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.00x 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 ₹287 Cr ₹38 Cr Positive Free Cash Flow 7/10
March 2024 ₹36 Cr ₹-3 Cr Positive Operating Cash Flow 6/10
March 2023 ₹143 Cr ₹91 Cr Positive Free Cash Flow 8/10
March 2022 ₹50 Cr ₹10 Cr Positive Free Cash Flow 7/10
March 2021 ₹65 Cr ₹64 Cr Positive Free Cash Flow 8/10