AJR Infra and Tolling Valuation

Q: What is the Fair Price of AJRINFRA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

AJRINFRA (₹0.7) is trading below our estimate of [[fair value]] (₹9.66)

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

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AJRINFRA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AJRINFRA (₹0.7) is trading below our estimate of fair value (₹9.66)

Significantly Below Fair Value: AJRINFRA is trading below fair value by more than 20%.

Key Valuation Metric

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

Key metric: As AJRINFRA is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for AJRINFRA. This is calculated by dividing AJRINFRA's market cap by their current revenue.
What is AJRINFRA's PS Ratio?
PS Ratio	0.7x
Sales	₹929.19m
Market Cap	₹659.28m

AJRINFRA 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/Revenue	37.2x
Enterprise Value/EBITDA	135.9x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does AJRINFRA's PS Ratio compare to its peers?

The above table shows the PS ratio for AJRINFRA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	1.4x
532629 McNally Bharat Engineering	0.5x	n/a	₹723.6m
MUKANDENGG Mukand Engineers	1.9x	n/a	₹386.6m
511411 Shristi Infrastructure Development	1.8x	n/a	₹1.1b
AKASH Akash Infra-Projects	1.3x	n/a	₹577.9m
AJRINFRA AJR Infra and Tolling	0.7x	n/a	₹659.3m

Price-To-Sales vs Peers: AJRINFRA is good value based on its Price-To-Sales Ratio (0.7x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does AJRINFRA's PS Ratio compare vs other companies in the IN Construction Industry?

11 Companies	Price / Sales	Estimated Growth	Market Cap
JMCPROJECT JMC Projects (India)	0.3x	n/a	US$243.27m
SADBHAV Sadbhav Engineering	0.4x	n/a	US$55.33m
JPINFRATEC Jaypee Infratech	0.1x	n/a	US$21.08m
533048 Teamo Productions HQ	0.3x	n/a	US$17.14m

11 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: AJRINFRA is good value based on its Price-To-Sales Ratio (0.7x) compared to the Indian Construction industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is AJRINFRA's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AJRINFRA PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.7x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate AJRINFRA's Price-To-Sales 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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