Steel Strips Wheels Valuation

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

SSWL (₹204.12) is trading above our estimate of [[fair value]] (₹133.18)

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

Valuation Score

3/6

Valuation Score 3/6

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

Share Price vs Fair Value

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

Below Fair Value: SSWL (₹204.12) is trading above our estimate of fair value (₹133.18)

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

Key Valuation Metric

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

Key metric: As SSWL is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SSWL. This is calculated by dividing SSWL's market cap by their current earnings.
What is SSWL's PE Ratio?
PE Ratio	4.8x
Earnings	₹6.62b
Market Cap	₹31.58b

SSWL 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	0.9x
Enterprise Value/EBITDA	8.9x
PEG Ratio	-0.2x

Price to Earnings Ratio vs Peers

How does SSWL's PE Ratio compare to its peers?

The above table shows the PE ratio for SSWL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	28.4x
SANDHAR Sandhar Technologies	23.6x	17.2%	₹30.0b
505800 Rane Holdings	9.8x	n/a	₹25.4b
PRECAM Precision Camshafts	59x	n/a	₹28.2b
FIEMIND Fiem Industries	21.2x	15.9%	₹38.3b
SSWL Steel Strips Wheels	4.8x	-31.3%	₹31.6b

Price-To-Earnings vs Peers: SSWL is good value based on its Price-To-Earnings Ratio (4.8x) compared to the peer average (28.4x).

Price to Earnings Ratio vs Industry

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

5 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	31.2x	19.3%
SSWL Steel Strips Wheels	4.8x	-31.3%	US$373.77m
513262 Steel Strips Wheels	4.8x	-31.3%	US$373.77m
INNOVATIVE Innovative Tyres & Tubes	0.3x	n/a	US$1.22m

5 Companies		Estimated Growth	Market Cap
Industry Avg.	31.2x	19.3%
SSWL Steel Strips Wheels	4.8x	-31.3%	US$373.77m

No more companies

Price-To-Earnings vs Industry: SSWL is good value based on its Price-To-Earnings Ratio (4.8x) compared to the Indian Auto Components industry average (31.2x).

Price to Earnings Ratio vs Fair Ratio

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

SSWL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	4.8x
Fair PE Ratio	10.2x

Price-To-Earnings vs Fair Ratio: SSWL is good value based on its Price-To-Earnings Ratio (4.8x) compared to the estimated Fair Price-To-Earnings Ratio (10.2x).

Analyst Price Targets

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

The above table shows the analyst SSWL forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	₹204.12	₹317.50 +55.5%	3.9%	₹330.00	₹305.00	n/a	2
Nov ’25	₹206.87	₹321.50 +55.4%	2.6%	₹330.00	₹313.00	n/a	2
Oct ’25	₹216.26	₹321.50 +48.7%	2.6%	₹330.00	₹313.00	n/a	2
Sep ’25	₹227.21	₹321.50 +41.5%	2.6%	₹330.00	₹313.00	n/a	2
Aug ’25	₹234.83	₹324.33 +38.1%	2.5%	₹330.00	₹313.00	n/a	3
Jul ’25	₹224.63	₹328.33 +46.2%	3.1%	₹340.00	₹315.00	n/a	3
Jun ’25	₹214.80	₹328.33 +52.9%	3.1%	₹340.00	₹315.00	n/a	3
May ’25	₹231.90	₹352.67 +52.1%	7.2%	₹388.00	₹330.00	n/a	3
Apr ’25	₹233.90	₹352.67 +50.8%	7.2%	₹388.00	₹330.00	n/a	3
Mar ’25	₹254.75	₹352.67 +38.4%	7.2%	₹388.00	₹330.00	n/a	3
Feb ’25	₹276.15	₹352.67 +27.7%	7.2%	₹388.00	₹330.00	n/a	3
Jan ’25	₹264.55	₹356.50 +34.8%	2.1%	₹364.00	₹349.00	n/a	2
Dec ’24	₹281.40	₹356.50 +26.7%	2.1%	₹364.00	₹349.00	n/a	2
Nov ’24	₹262.10	₹356.50 +36.0%	2.1%	₹364.00	₹349.00	₹206.87	2

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

Discover undervalued companies

JK Tyre & Industries

₹99.1b

Engages in the developing, manufacturing, marketing, and distribution of automotive tyres, tubes, flaps, and retreads in India, Mexico, and internationally.

530007

₹361.45

-1.2%

6.3%

Tata Motors

₹2.8t

Designs, develops, manufactures, and sells various automotive vehicles.

500570

₹791.25

2.2%

17.5%

Shivam Autotech

₹4.7b

Manufactures and sells auto transmission components for original equipment manufacturers in India and internationally.

SHIVAMAUTO

₹37.57

5.9%

27.1%