RMC Switchgears Limited

BSE:540358 Stock Report

Market Cap: ₹8.1b

RMC Switchgears Valuation

Is 540358 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 540358 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 540358 (₹782.75) is trading above our estimate of fair value (₹21.45)

Significantly Below Fair Value: 540358 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 540358?

Key metric: As 540358 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 540358. This is calculated by dividing 540358's market cap by their current earnings.
What is 540358's PE Ratio?
PE Ratio47.4x
Earnings₹170.22m
Market Cap₹8.07b

Price to Earnings Ratio vs Peers

How does 540358's PE Ratio compare to its peers?

The above table shows the PE ratio for 540358 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average55x
517273 S&S Power Switchgear
127.7xn/a₹5.8b
JAYBEE Jay Bee Laminations
36xn/a₹8.7b
SUPREMEPWR Supreme Power Equipment
36.7xn/a₹5.4b
540614 G G Engineering
19.5xn/a₹3.0b
540358 RMC Switchgears
47.4xn/a₹8.1b

Price-To-Earnings vs Peers: 540358 is good value based on its Price-To-Earnings Ratio (47.4x) compared to the peer average (55x).


Price to Earnings Ratio vs Industry

How does 540358's PE Ratio compare vs other companies in the IN Electrical Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
504058 Indo National
2.7xn/aUS$45.52m
533203 Tarapur Transformers
4.2xn/aUS$6.67m
No more companies available in this PE range
540358 47.4xIndustry Avg. 47.2xNo. of Companies13PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 540358 is expensive based on its Price-To-Earnings Ratio (47.4x) compared to the Indian Electrical industry average (47.2x).


Price to Earnings Ratio vs Fair Ratio

What is 540358'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.

540358 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio47.4x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 540358'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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