ABB India Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • 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.

Below Fair Value: ABB (₹6698.55) is trading above our estimate of fair value (₹879.83)

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?

Other financial metrics that can be useful for relative valuation.

ABB 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/Revenue13.1x
Enterprise Value/EBITDA91x
PEG Ratio7.6x

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 Average57.9x
SUZLON Suzlon Energy
82x53.6%₹562.9b
533655 Triveni Turbine
73.8x21.1%₹183.6b
505700 Elecon Engineering
34.8xn/a₹123.6b
533553 TD Power Systems
40.8xn/a₹50.9b
ABB ABB India
113.7x15.0%₹1.4t

Price-To-Earnings vs Peers: ABB is expensive based on its Price-To-Earnings Ratio (113.7x) compared to the peer average (57.9x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a36.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a36.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: ABB is expensive based on its Price-To-Earnings Ratio (113.7x) compared to the Indian Electrical industry average (44.7x).


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 Ratio113.7x
Fair PE Ratio45.3x

Price-To-Earnings vs Fair Ratio: ABB is expensive based on its Price-To-Earnings Ratio (113.7x) compared to the estimated Fair Price-To-Earnings Ratio (45.3x).


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₹6,698.55
₹5,549.17
-17.2%
20.8%₹7,550.00₹1,979.00n/a24
Apr ’25₹6,504.65
₹5,297.96
-18.6%
18.7%₹7,550.00₹1,967.00n/a23
Mar ’25₹5,489.85
₹5,147.50
-6.2%
16.4%₹6,250.00₹1,967.00n/a22
Feb ’25₹4,546.05
₹4,699.75
+3.4%
20.0%₹6,167.00₹1,967.00n/a20
Jan ’25₹4,682.20
₹4,579.48
-2.2%
17.5%₹5,380.00₹1,967.00n/a21
Dec ’24₹4,387.25
₹4,456.30
+1.6%
17.7%₹5,380.00₹1,967.00n/a23
Nov ’24₹4,055.00
₹4,260.65
+5.1%
19.2%₹5,388.00₹1,915.00n/a23
Oct ’24₹4,098.25
₹4,288.67
+4.6%
19.0%₹5,400.00₹1,915.00n/a24
Sep ’24₹4,291.45
₹4,267.25
-0.6%
19.7%₹5,400.00₹1,915.00n/a25
Aug ’24₹4,519.65
₹3,872.59
-14.3%
18.4%₹5,000.00₹1,779.00n/a27
Jul ’24₹4,423.00
₹3,742.52
-15.4%
16.5%₹5,000.00₹1,718.00n/a27
Jun ’24₹3,944.65
₹3,651.89
-7.4%
16.6%₹4,700.00₹1,718.00n/a28
May ’24₹3,417.95
₹3,269.74
-4.3%
14.0%₹3,784.00₹1,718.00₹6,540.7527
Apr ’24₹3,365.15
₹3,204.12
-4.8%
15.1%₹3,735.00₹1,718.00₹6,504.6526
Mar ’24₹3,311.45
₹3,196.85
-3.5%
14.9%₹3,735.00₹1,718.00₹5,489.8527
Feb ’24₹2,789.10
₹3,061.16
+9.8%
14.4%₹3,775.00₹1,718.00₹4,546.0525
Jan ’24₹2,683.00
₹3,062.88
+14.2%
14.7%₹3,775.00₹1,718.00₹4,682.2024
Dec ’23₹2,993.85
₹3,146.86
+5.1%
11.1%₹3,775.00₹2,270.00₹4,387.2522
Nov ’23₹3,152.15
₹2,942.64
-6.6%
11.6%₹3,400.00₹2,270.00₹4,055.0022
Oct ’23₹3,088.40
₹2,909.50
-5.8%
11.3%₹3,400.00₹2,270.00₹4,098.2522
Sep ’23₹3,403.70
₹2,870.52
-15.7%
11.9%₹3,400.00₹2,263.00₹4,291.4523
Aug ’23₹2,745.65
₹2,429.35
-11.5%
9.5%₹2,900.00₹1,975.00₹4,519.6523
Jul ’23₹2,275.45
₹2,374.41
+4.3%
11.5%₹2,900.00₹1,620.00₹4,423.0022
Jun ’23₹2,456.35
₹2,328.04
-5.2%
14.8%₹2,900.00₹1,308.00₹3,944.6523
May ’23₹2,096.55
₹2,173.91
+3.7%
18.7%₹2,650.00₹1,030.00₹3,417.9523

Analyst Forecast: Target price is lower than the current share price.


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