Force Motors Valuation

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

FORCEMOT (₹6862.45) is trading below our estimate of [[fair value]] (₹23065.02)

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

Below Fair Value: FORCEMOT (₹6862.45) is trading below our estimate of fair value (₹23065.02)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for FORCEMOT. This is calculated by dividing FORCEMOT's market cap by their current earnings.
What is FORCEMOT's PE Ratio?
PE Ratio	19x
Earnings	₹4.76b
Market Cap	₹90.63b

FORCEMOT 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	1.2x
Enterprise Value/EBITDA	8.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for FORCEMOT 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	51.9x
TEXRAIL Texmaco Rail & Engineering	42.6x	16.2%	₹88.9b
531112 Balu Forge Industries	65x	24.7%	₹86.5b
CRAFTSMAN Craftsman Automation	47.1x	33.4%	₹117.9b
TITAGARH Titagarh Rail Systems	52.7x	27.7%	₹160.3b
FORCEMOT Force Motors	19x	n/a	₹90.4b

Price-To-Earnings vs Peers: FORCEMOT is good value based on its Price-To-Earnings Ratio (19x) compared to the peer average (51.9x).

Price to Earnings Ratio vs Industry

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

0 Companies	Price / Earnings	Estimated Growth	Market Cap

No more companies available in this PE range

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: FORCEMOT is good value based on its Price-To-Earnings Ratio (19x) compared to the Indian Machinery industry average (39.5x).

Price to Earnings Ratio vs Fair Ratio

What is FORCEMOT'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.

FORCEMOT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	19x
Fair PE Ratio	n/a

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