ABB India Valuation

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

Discounted Cash Flow
Simply Wall St
₹1.13k
Fair Value
420.7% overvalued intrinsic discount
23
Number of Analysts

Below Fair Value: ABB (₹5886.5) is trading above our estimate of fair value (₹1130.53)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ABB. This is calculated by dividing ABB's market cap by their current earnings.
What is ABB's PE Ratio?
PE Ratio66x
Earnings₹18.89b
Market Cap₹1.22t

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ABB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average130.9x
SUZLON Suzlon Energy
73.1x39.12%₹823.7b
POWERINDIA Hitachi Energy India
192.7x41.51%₹708.2b
500103 Bharat Heavy Electricals
161.4x53.25%₹851.2b
522275 GE Vernova T&D India
96.6x31.79%₹456.9b
ABB ABB India
66x10.75%₹1.2t

Price-To-Earnings vs Peers: ABB is good value based on its Price-To-Earnings Ratio (66x) compared to the peer average (130.9x).


Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
504058 Indo National
3.1xn/aUS$45.62m
533203 Tarapur Transformers
3.3xn/aUS$6.17m
No more companies available in this PE range
ABB 66.0xIndustry Avg. 39.2xNo. of Companies16PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ABB is expensive based on its Price-To-Earnings Ratio (66x) compared to the Indian Electrical industry average (39.2x).


Price to Earnings Ratio vs Fair Ratio

What is ABB'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.

ABB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio66x
Fair PE Ratio34x

Price-To-Earnings vs Fair Ratio: ABB is expensive based on its Price-To-Earnings Ratio (66x) compared to the estimated Fair Price-To-Earnings Ratio (34x).


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 ABB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹5,886.50
₹6,048.91
+2.76%
9.84%₹7,040.00₹4,970.00n/a23
May ’26₹5,522.50
₹6,075.68
+10.02%
11.65%₹7,585.00₹4,970.00n/a22
Apr ’26₹5,399.15
₹6,178.73
+14.44%
13.93%₹8,450.00₹4,970.00n/a22
Mar ’26₹4,935.40
₹6,174.09
+25.10%
13.98%₹8,450.00₹4,970.00n/a22
Feb ’26₹5,499.50
₹7,728.52
+40.53%
11.66%₹9,050.00₹5,608.00n/a23
Jan ’26₹6,928.45
₹7,721.13
+11.44%
11.80%₹9,050.00₹5,608.00n/a23
Dec ’25₹7,421.25
₹7,721.13
+4.04%
11.80%₹9,050.00₹5,608.00n/a23
Nov ’25₹7,430.40
₹8,242.35
+10.93%
13.37%₹9,884.00₹5,608.00n/a23
Oct ’25₹8,268.10
₹8,207.25
-0.74%
13.43%₹9,884.00₹5,608.00n/a24
Sep ’25₹7,936.05
₹8,207.25
+3.42%
13.43%₹9,884.00₹5,608.00n/a24
Aug ’25₹7,769.80
₹7,856.71
+1.12%
16.44%₹9,884.00₹5,163.00n/a24
Jul ’25₹8,587.40
₹7,701.92
-10.31%
15.47%₹9,884.00₹4,940.00n/a24
Jun ’25₹8,317.95
₹7,543.13
-9.32%
17.07%₹9,250.00₹4,640.00n/a24
May ’25₹6,540.75
₹5,549.17
-15.16%
20.84%₹7,550.00₹1,979.00₹5,522.5024
Apr ’25₹6,504.65
₹5,297.96
-18.55%
18.71%₹7,550.00₹1,967.00₹5,399.1523
Mar ’25₹5,489.85
₹5,147.50
-6.24%
16.43%₹6,250.00₹1,967.00₹4,935.4022
Feb ’25₹4,546.05
₹4,699.75
+3.38%
20.00%₹6,167.00₹1,967.00₹5,499.5020
Jan ’25₹4,682.20
₹4,579.48
-2.19%
17.54%₹5,380.00₹1,967.00₹6,928.4521
Dec ’24₹4,387.25
₹4,456.30
+1.57%
17.70%₹5,380.00₹1,967.00₹7,421.2523
Nov ’24₹4,055.00
₹4,260.65
+5.07%
19.16%₹5,388.00₹1,915.00₹7,430.4023
Oct ’24₹4,098.25
₹4,288.67
+4.65%
18.96%₹5,400.00₹1,915.00₹8,268.1024
Sep ’24₹4,291.45
₹4,267.25
-0.56%
19.72%₹5,400.00₹1,915.00₹7,936.0525
Aug ’24₹4,519.65
₹3,872.59
-14.32%
18.37%₹5,000.00₹1,779.00₹7,769.8027
Jul ’24₹4,423.00
₹3,742.52
-15.39%
16.55%₹5,000.00₹1,718.00₹8,587.4027
Jun ’24₹3,944.65
₹3,651.89
-7.42%
16.57%₹4,700.00₹1,718.00₹8,317.9528
May ’24₹3,417.95
₹3,269.74
-4.34%
14.00%₹3,784.00₹1,718.00₹6,540.7527
AnalystConsensusTarget
Consensus Narrative from 23 Analysts
₹6.05k
Fair Value
2.7% undervalued intrinsic discount
23
Number of Analysts

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


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/05/21 11:35
End of Day Share Price 2025/05/21 00:00
Earnings2025/03/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

ABB India Limited is covered by 60 analysts. 23 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Manoj RawatAnand Rathi Shares and Stock Brokers Limited
null nullAnand Rathi Shares and Stock Brokers Limited
Puneet BambhaAngel Broking Private Limited