Electrosteel Castings Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: ELECTCAST (₹143.95) is trading below our estimate of fair value (₹185.58)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ELECTCAST. This is calculated by dividing ELECTCAST's market cap by their current earnings.
What is ELECTCAST's PE Ratio?
PE Ratio	10.2x
Earnings	₹8.72b
Market Cap	₹91.06b

ELECTCAST 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	1.4x
Enterprise Value/EBITDA	7.9x
PEG Ratio	1.2x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ELECTCAST 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	42x
532443 Cera Sanitaryware	37.2x	12.3%	₹92.0b
GREENLAM Greenlam Industries	53.8x	39.5%	₹65.2b
500233 Kajaria Ceramics	47.7x	22.4%	₹185.7b
526951 Stylam Industries	29.2x	20.3%	₹38.1b
ELECTCAST Electrosteel Castings	10.2x	8.6%	₹91.1b

Price-To-Earnings vs Peers: ELECTCAST is good value based on its Price-To-Earnings Ratio (10.2x) compared to the peer average (42x).

Price to Earnings Ratio vs Industry

How does ELECTCAST's PE Ratio compare vs other companies in the IN Building Industry?

3 Companies	Price / Earnings	Estimated Growth	Market Cap
526193 Royal Cushion Vinyl Products	1.8x	n/a	US$12.18m
505685 Taparia Tools	0.1x	n/a	US$1.57m
539223 Ambition Mica	2.3x	n/a	US$523.09k

No more companies available in this PE range

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: ELECTCAST is good value based on its Price-To-Earnings Ratio (10.2x) compared to the Indian Building industry average (30x).

Price to Earnings Ratio vs Fair Ratio

What is ELECTCAST'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.

ELECTCAST PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	10.2x
Fair PE Ratio	30.5x

Price-To-Earnings vs Fair Ratio: ELECTCAST is good value based on its Price-To-Earnings Ratio (10.2x) compared to the estimated Fair Price-To-Earnings Ratio (30.4x).

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.

Discover undervalued companies

ITD Cementation India

₹89.4b

Provides construction and civil engineering contracting services in India.

509496

₹494.70

-4.5%

80.3%

Jamna Auto Industries

₹40.0b

Engages in the manufacture and sale of tapered leaf, parabolic springs, and lift axles under the JAI brand in India and internationally.

520051

₹97.20

-6.7%

-15.5%

Jamna Auto Industries

₹40.0b

Engages in the manufacture and sale of tapered leaf, parabolic springs, and lift axles under the JAI brand in India and internationally.

JAMNAAUTO

₹97.17

-6.8%

-15.6%