L.G. Balakrishnan & Bros Limited

NSEI:LGBBROSLTD Stock Report

Market Cap: ₹38.7b

L.G. Balakrishnan & Bros Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: LGBBROSLTD (₹1231.7) is trading above our estimate of fair value (₹904.58)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for LGBBROSLTD. This is calculated by dividing LGBBROSLTD's market cap by their current earnings.
What is LGBBROSLTD's PE Ratio?
PE Ratio13.7x
Earnings₹2.83b
Market Cap₹38.67b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for LGBBROSLTD vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average81.6x
522257 Rajoo Engineers
182.2xn/a₹48.4b
HARSHA Harsha Engineers International
33.3x20.8%₹43.7b
JNKINDIA JNK India
56.1x38.4%₹34.0b
501455 Greaves Cotton
54.8xn/a₹40.6b
LGBBROSLTD L.G. Balakrishnan & Bros
13.7x7.5%₹38.7b

Price-To-Earnings vs Peers: LGBBROSLTD is good value based on its Price-To-Earnings Ratio (13.7x) compared to the peer average (81.6x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
504220 W.S. Industries (India)
4.8xn/aUS$87.63m
No more companies available in this PE range
LGBBROSLTD 13.7xIndustry Avg. 35.5xNo. of Companies24PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LGBBROSLTD is good value based on its Price-To-Earnings Ratio (13.7x) compared to the Indian Machinery industry average (36x).

Price to Earnings Ratio vs Fair Ratio

What is LGBBROSLTD'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.

LGBBROSLTD PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.7x
Fair PE Ratio23.9x

Price-To-Earnings vs Fair Ratio: LGBBROSLTD is good value based on its Price-To-Earnings Ratio (13.7x) compared to the estimated Fair Price-To-Earnings Ratio (23.9x).

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 LGBBROSLTD forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,231.70
₹1,616.00
+31.2%
8.2%₹1,748.00₹1,484.00n/a2
Nov ’25₹1,358.95
₹1,616.00
+18.9%
8.2%₹1,748.00₹1,484.00n/a2
Oct ’25₹1,392.45
₹1,585.50
+13.9%
6.4%₹1,687.00₹1,484.00n/a2
Sep ’25₹1,378.10
₹1,585.50
+15.0%
6.4%₹1,687.00₹1,484.00n/a2
Aug ’25₹1,392.00
₹1,508.00
+8.3%
11.9%₹1,687.00₹1,329.00n/a2
Jul ’25₹1,472.45
₹1,500.00
+1.9%
9.8%₹1,687.00₹1,329.00n/a3
Jun ’25₹1,239.90
₹1,500.00
+21.0%
9.8%₹1,687.00₹1,329.00n/a3
May ’25₹1,280.20
₹1,500.00
+17.2%
9.8%₹1,687.00₹1,329.00n/a3
Apr ’25₹1,250.40
₹1,434.67
+14.7%
5.2%₹1,491.00₹1,329.00n/a3
Mar ’25₹1,178.45
₹1,487.50
+26.2%
0.2%₹1,491.00₹1,484.00n/a2
Feb ’25₹1,289.00
₹1,487.50
+15.4%
0.2%₹1,491.00₹1,484.00n/a2
Jan ’25₹1,246.70
₹1,479.50
+18.7%
0.3%₹1,484.00₹1,475.00n/a2
Sep ’24₹1,059.25
₹1,091.00
+3.0%
32.3%₹1,443.00₹739.00₹1,378.102
Aug ’24₹1,077.90
₹1,091.00
+1.2%
32.3%₹1,443.00₹739.00₹1,392.002
Jul ’24₹1,142.60
₹850.50
-25.6%
13.1%₹962.00₹739.00₹1,472.452
Jun ’24₹798.25
₹850.50
+6.5%
13.1%₹962.00₹739.00₹1,239.902
May ’24₹869.75
₹848.00
-2.5%
12.9%₹957.00₹739.00₹1,280.202
Apr ’24₹742.30
₹848.00
+14.2%
12.9%₹957.00₹739.00₹1,250.402
Mar ’24₹688.45
₹848.00
+23.2%
12.9%₹957.00₹739.00₹1,178.452
Dec ’23₹709.60
₹818.00
+15.3%
16.6%₹954.00₹682.00₹1,185.052
Nov ’23₹731.85
₹818.00
+11.8%
16.6%₹954.00₹682.00₹1,088.102

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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