Ram Ratna Wires Limited

BSE:522281 Stock Report

Market Cap: ₹26.1b

Ram Ratna Wires Valuation

Is 522281 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-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 522281 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 522281 (₹594.05) is trading above our estimate of fair value (₹133.67)

Significantly Below Fair Value: 522281 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 522281?

Key metric: As 522281 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 522281. This is calculated by dividing 522281's market cap by their current earnings.
What is 522281's PE Ratio?
PE Ratio43.7x
Earnings₹597.72m
Market Cap₹26.14b

Price to Earnings Ratio vs Peers

How does 522281's PE Ratio compare to its peers?

The above table shows the PE ratio for 522281 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average64.2x
SPECTRUM Spectrum Electrical Industries
123.4xn/a₹26.8b
PRECWIRE Precision Wires India
38.1xn/a₹31.0b
HPL HPL Electric & Power
48.3x42.4%₹31.0b
INDOTECH Indo Tech Transformers
47.1xn/a₹28.2b
522281 Ram Ratna Wires
43.7xn/a₹26.1b

Price-To-Earnings vs Peers: 522281 is good value based on its Price-To-Earnings Ratio (43.7x) compared to the peer average (64.2x).

Price to Earnings Ratio vs Industry

How does 522281's PE Ratio compare vs other companies in the IN Electrical Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
504058 Indo National
2.7xn/aUS$45.56m
533203 Tarapur Transformers
4.4xn/aUS$6.93m
No more companies available in this PE range
522281 43.7xIndustry Avg. 47.1xNo. of Companies12PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 522281 is good value based on its Price-To-Earnings Ratio (43.7x) compared to the Indian Electrical industry average (45.4x).

Price to Earnings Ratio vs Fair Ratio

What is 522281'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.

522281 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio43.7x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 522281's Price-To-Earnings 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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