ABB India Valuation

Is 500002 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • 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 500002 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 500002 (₹6767.15) is trading above our estimate of fair value (₹1544.21)

Significantly Below Fair Value: 500002 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 500002?

Key metric: As 500002 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 500002. This is calculated by dividing 500002's market cap by their current earnings.
What is 500002's PE Ratio?
PE Ratio85x
Earnings₹16.88b
Market Cap₹1.42t

Price to Earnings Ratio vs Peers

How does 500002's PE Ratio compare to its peers?

The above table shows the PE ratio for 500002 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average116.1x
SUZLON Suzlon Energy
92.9x39.4%₹849.1b
500103 Bharat Heavy Electricals
178.5x67.0%₹787.1b
522275 GE Vernova T&D India
122.8x34.8%₹484.0b
533655 Triveni Turbine
70.3x20.5%₹219.6b
500002 ABB India
85x15.8%₹1.4t

Price-To-Earnings vs Peers: 500002 is good value based on its Price-To-Earnings Ratio (85x) compared to the peer average (116.1x).


Price to Earnings Ratio vs Industry

How does 500002's PE Ratio compare vs other companies in the IN Electrical Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
504058 Indo National
2.7xn/aUS$45.01m
533203 Tarapur Transformers
4.5xn/aUS$7.21m
No more companies available in this PE range
500002 85.0xIndustry Avg. 45.1xNo. of Companies11PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 500002 is expensive based on its Price-To-Earnings Ratio (85x) compared to the Indian Electrical industry average (45.1x).


Price to Earnings Ratio vs Fair Ratio

What is 500002'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.

500002 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio85x
Fair PE Ratio47.9x

Price-To-Earnings vs Fair Ratio: 500002 is expensive based on its Price-To-Earnings Ratio (85x) compared to the estimated Fair Price-To-Earnings Ratio (47.9x).


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 500002 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹6,767.15
₹7,721.13
+14.1%
11.8%₹9,050.00₹5,608.00n/a23
Nov ’25₹7,427.85
₹8,242.35
+11.0%
13.4%₹9,884.00₹5,608.00n/a23
Oct ’25₹8,265.60
₹8,207.25
-0.7%
13.4%₹9,884.00₹5,608.00n/a24
Sep ’25₹7,942.40
₹8,207.25
+3.3%
13.4%₹9,884.00₹5,608.00n/a24
Aug ’25₹7,767.45
₹7,856.71
+1.1%
16.4%₹9,884.00₹5,163.00n/a24
Jul ’25₹8,581.70
₹7,701.92
-10.3%
15.5%₹9,884.00₹4,940.00n/a24
Jun ’25₹8,316.85
₹7,543.13
-9.3%
17.1%₹9,250.00₹4,640.00n/a24
May ’25₹6,542.35
₹5,549.17
-15.2%
20.8%₹7,550.00₹1,979.00n/a24
Apr ’25₹6,508.35
₹5,297.96
-18.6%
18.7%₹7,550.00₹1,967.00n/a23
Mar ’25₹5,485.65
₹5,147.50
-6.2%
16.4%₹6,250.00₹1,967.00n/a22
Feb ’25₹4,532.55
₹4,699.75
+3.7%
20.0%₹6,167.00₹1,967.00n/a20
Jan ’25₹4,678.55
₹4,579.48
-2.1%
17.5%₹5,380.00₹1,967.00n/a21
Dec ’24₹4,386.70
₹4,456.30
+1.6%
17.7%₹5,380.00₹1,967.00n/a23
Nov ’24₹4,053.10
₹4,260.65
+5.1%
19.2%₹5,388.00₹1,915.00₹7,427.8523
Oct ’24₹4,100.35
₹4,288.67
+4.6%
19.0%₹5,400.00₹1,915.00₹8,265.6024
Sep ’24₹4,291.10
₹4,267.25
-0.6%
19.7%₹5,400.00₹1,915.00₹7,942.4025
Aug ’24₹4,519.70
₹3,872.59
-14.3%
18.4%₹5,000.00₹1,779.00₹7,767.4527
Jul ’24₹4,421.25
₹3,742.52
-15.4%
16.5%₹5,000.00₹1,718.00₹8,581.7027
Jun ’24₹3,943.70
₹3,651.89
-7.4%
16.6%₹4,700.00₹1,718.00₹8,316.8528
May ’24₹3,417.50
₹3,269.74
-4.3%
14.0%₹3,784.00₹1,718.00₹6,542.3527
Apr ’24₹3,365.50
₹3,204.12
-4.8%
15.1%₹3,735.00₹1,718.00₹6,508.3526
Mar ’24₹3,312.30
₹3,196.85
-3.5%
14.9%₹3,735.00₹1,718.00₹5,485.6527
Feb ’24₹2,793.50
₹3,061.16
+9.6%
14.4%₹3,775.00₹1,718.00₹4,532.5525
Jan ’24₹2,683.15
₹3,062.88
+14.2%
14.7%₹3,775.00₹1,718.00₹4,678.5524
Dec ’23₹2,990.65
₹3,146.86
+5.2%
11.1%₹3,775.00₹2,270.00₹4,386.7022
Nov ’23₹3,153.55
₹2,942.64
-6.7%
11.6%₹3,400.00₹2,270.00₹4,053.1022

Analyst Forecast: Target price is less than 20% higher than the current share price.


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