Welspun Enterprises Intrinsic Value

WELENT • Construction
Current Stock Price
₹439.20
Primary Intrinsic Value
₹317.28
Market Cap
₹6017 Cr
-27.8% Downside
Median Value
₹317.28
Value Range
₹169 - ₹343
Assessment
Trading Above Calculated Value
Safety Margin
-38.4%

WELENT Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹317.28 ₹253.82 - ₹380.74 -27.8% EPS: ₹26.44, Sector P/E: 12x
Book Value Method asset ₹197.74 ₹177.97 - ₹217.51 -55.0% Book Value/Share: ₹197.74, P/B: 1.0x
Revenue Multiple Method revenue ₹188.26 ₹169.43 - ₹207.09 -57.1% Revenue/Share: ₹235.33, P/S: 0.8x
EBITDA Multiple Method earnings ₹339.85 ₹305.87 - ₹373.84 -22.6% EBITDA: ₹776.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹342.06 ₹273.65 - ₹410.47 -22.1% CF Growth: 15.0%, Discount: 15%
PEG Ratio Method growth ₹169.22 ₹152.30 - ₹186.14 -61.5% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹217.87 ₹196.08 - ₹239.66 -50.4% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹343.36 ₹309.02 - ₹377.70 -21.8% ROE: 14.5%, P/E Multiple: 12x
Graham Defensive Method conservative ₹342.98 ₹308.68 - ₹377.28 -21.9% EPS: ₹26.44, BVPS: ₹197.74
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

WELENT Intrinsic Value Analysis

What is the intrinsic value of WELENT?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Welspun Enterprises (WELENT) is ₹317.28 (median value). With the current market price of ₹439.20, this represents a -27.8% variance from our estimated fair value.

The valuation range spans from ₹169.22 to ₹343.36, indicating ₹169.22 - ₹343.36.

Is WELENT undervalued or overvalued?

Based on our multi-method analysis, Welspun Enterprises (WELENT) appears to be trading above calculated value by approximately 27.8%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 2.47 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 14.5% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin 22.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 0.53x 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 ₹-274 Cr ₹-283 Cr Negative Cash Flow 3/10
March 2024 ₹-345 Cr ₹-374 Cr Negative Cash Flow 3/10
March 2023 ₹345 Cr ₹345 Cr Positive Free Cash Flow 8/10
March 2022 ₹287 Cr ₹44 Cr Positive Free Cash Flow 7/10
March 2021 ₹9 Cr ₹-450 Cr Positive Operating Cash Flow 6/10