Atam Valves Valuation

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

ATAM (₹147.26) is trading above our estimate of [[fair value]] (₹145.6)

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

Below Fair Value: ATAM (₹147.26) is trading above our estimate of fair value (₹145.6)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ATAM. This is calculated by dividing ATAM's market cap by their current earnings.
What is ATAM's PE Ratio?
PE Ratio	27x
Earnings	₹62.65m
Market Cap	₹1.69b

ATAM 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	3.1x
Enterprise Value/EBITDA	17.8x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ATAM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	38.9x
522091 United Van Der Horst	56x	n/a	₹1.7b
HILTON Hilton Metal Forging	50.5x	n/a	₹1.9b
539479 GTV Engineering	24.4x	n/a	₹1.6b
UHTL United Heat Transfer	24.6x	n/a	₹1.5b
ATAM Atam Valves	27x	n/a	₹1.7b

Price-To-Earnings vs Peers: ATAM is good value based on its Price-To-Earnings Ratio (27x) compared to the peer average (38.9x).

Price to Earnings Ratio vs Industry

How does ATAM's PE Ratio compare vs other companies in the IN Machinery Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
504220 W.S. Industries (India)	4.9x	n/a	US$90.09m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: ATAM is good value based on its Price-To-Earnings Ratio (27x) compared to the Indian Machinery industry average (37.5x).

Price to Earnings Ratio vs Fair Ratio

What is ATAM'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.

ATAM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	27x
Fair PE Ratio	n/a

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