Vardhman Textiles Intrinsic Value
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 |
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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 |
Related Pages for Vardhman Textiles
Additional stock information and data for VTL
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 |