PPAP Automotive Valuation

Is PPAP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PPAP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PPAP (₹204.53) is trading above our estimate of fair value (₹10.13)

Significantly Below Fair Value: PPAP is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PPAP?

Key metric: As PPAP is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for PPAP. This is calculated by dividing PPAP's market cap by their current revenue.
What is PPAP's PS Ratio?
PS Ratio	0.5x
Sales	₹5.26b
Market Cap	₹2.88b

PPAP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.8x
Enterprise Value/EBITDA	9.4x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does PPAP's PS Ratio compare to its peers?

The above table shows the PS ratio for PPAP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	0.7x
538987 Talbros Engineering	0.7x	n/a	₹3.0b
513252 Jay Ushin	0.4x	n/a	₹2.8b
SUNDRMBRAK Sundaram Brake Linings	0.9x	n/a	₹3.2b
523638 IP Rings	0.8x	n/a	₹2.5b
PPAP PPAP Automotive	0.5x	n/a	₹2.9b

Price-To-Sales vs Peers: PPAP is good value based on its Price-To-Sales Ratio (0.5x) compared to the peer average (0.7x).

Price to Sales Ratio vs Industry

How does PPAP's PS Ratio compare vs other companies in the IN Auto Components Industry?

3 Companies	Price / Sales	Estimated Growth	Market Cap
BHARATGEAR Bharat Gears	0.2x	n/a	US$17.95m
505075 Setco Automotive	0.2x	n/a	US$16.27m
523415 Coventry Coil-O-Matic (Haryana)	0.01x	n/a	US$88.40k

No more companies available in this PS range

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: PPAP is good value based on its Price-To-Sales Ratio (0.5x) compared to the Indian Auto Components industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is PPAP's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PPAP PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.5x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate PPAP's Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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