Vardhman Textiles Intrinsic Value

VTL • Textiles
Current Stock Price
₹425.50
Primary Intrinsic Value
₹315.36
Market Cap
₹2425 Cr
+100.0% Upside
Median Value
₹851.00
Value Range
₹168 - ₹1064
Assessment
Trading Below Calculated Value
Safety Margin
50.0%

VTL Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹315.36 ₹252.29 - ₹378.43 -25.9% EPS: ₹26.28, Sector P/E: 12x
Book Value Method asset ₹1063.75 ₹957.38 - ₹1170.12 +150.0% Book Value/Share: ₹1748.42, P/B: 1.0x
Revenue Multiple Method revenue ₹851.00 ₹765.90 - ₹936.10 +100.0% Revenue/Share: ₹1774.74, P/S: 0.8x
EBITDA Multiple Method earnings ₹851.00 ₹765.90 - ₹936.10 +100.0% EBITDA: ₹1536.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1063.75 ₹851.00 - ₹1276.50 +150.0% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹168.19 ₹151.37 - ₹185.01 -60.5% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹216.55 ₹194.90 - ₹238.21 -49.1% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹851.00 ₹765.90 - ₹936.10 +100.0% ROE: 7.5%, P/E Multiple: 10x
Graham Defensive Method conservative ₹1016.78 ₹915.10 - ₹1118.46 +139.0% EPS: ₹26.28, BVPS: ₹1748.42
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check VTL share price latest .

Valuation Comparison Chart

VTL Intrinsic Value Analysis

What is the intrinsic value of VTL?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Vardhman Textiles (VTL) is ₹851.00 (median value). With the current market price of ₹425.50, this represents a +100.0% variance from our estimated fair value.

The valuation range spans from ₹168.19 to ₹1063.75, indicating ₹168.19 - ₹1063.75.

Is VTL undervalued or overvalued?

Based on our multi-method analysis, Vardhman Textiles (VTL) appears to be trading below calculated value by approximately 100.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 5.71 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.25 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 7.5% Industry Standard: 15%+ Below 10% Measures shareholder return efficiency
Operating Margin 13.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 0.81x 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 ₹1,644 Cr ₹1,198 Cr Positive Free Cash Flow 8/10
March 2024 ₹-1,055 Cr ₹-1,055 Cr Negative Cash Flow 3/10
March 2023 ₹1,853 Cr ₹1,131 Cr Positive Free Cash Flow 8/10
March 2022 ₹1,445 Cr ₹996 Cr Positive Free Cash Flow 8/10
March 2021 ₹168 Cr ₹110 Cr Positive Free Cash Flow 8/10