Praj Industries Limited

NSEI:PRAJIND Stock Report

Mkt Cap: ₹68.8b

We’ve recently updated our valuation analysis.

Praj Industries Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

PRAJIND 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/Revenue1.8x
Enterprise Value/EBITDA18.4x
PEG Ratio1.9x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PRAJIND vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.1x
IRCON Ircon International
10xn/a₹76.5b
11.7x10.4%₹71.3b
HGINFRA H.G. Infra Engineering
11.9x5.8%₹58.6b
532942 KNR Constructions
15x7.4%₹67.3b
PRAJIND Praj Industries
28.7x15.2%₹68.8b

Price-To-Earnings vs Peers: PRAJIND is expensive based on its Price-To-Earnings Ratio (28.7x) compared to the peer average (12.1x).


Price to Earnings Ratio vs Industry

How does PRAJIND's PE Ratio compare vs other companies in the IN Construction Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.6%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.6%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: PRAJIND is expensive based on its Price-To-Earnings Ratio (28.7x) compared to the Indian Construction industry average (20.1x)


Price to Earnings Ratio vs Fair Ratio

What is PRAJIND'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.

PRAJIND PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio28.7x
Fair PE Ratio26.4x

Price-To-Earnings vs Fair Ratio: PRAJIND is expensive based on its Price-To-Earnings Ratio (28.7x) compared to the estimated Fair Price-To-Earnings Ratio (26.4x).


Share Price vs Fair Value

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

Below Fair Value: PRAJIND (₹374.3) is trading above our estimate of fair value (₹61.14)

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


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 PRAJIND forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹374.30
₹484.75
+29.5%
7.8%₹542.00₹450.00n/a4
May ’24₹355.45
₹482.25
+35.7%
7.0%₹532.00₹450.00n/a4
Apr ’24₹341.00
₹488.50
+43.3%
7.7%₹532.00₹450.00n/a4
Mar ’24₹348.70
₹488.50
+40.1%
7.7%₹532.00₹450.00n/a4
Feb ’24₹345.15
₹510.75
+48.0%
3.4%₹532.00₹485.00n/a4
Jan ’24₹356.15
₹510.75
+43.4%
3.4%₹532.00₹485.00n/a4
Dec ’23₹386.20
₹510.75
+32.3%
3.4%₹532.00₹485.00n/a4
Nov ’23₹409.90
₹510.75
+24.6%
3.4%₹532.00₹485.00n/a4
Oct ’23₹417.15
₹483.50
+15.9%
6.2%₹508.00₹434.00n/a4
Sep ’23₹426.30
₹483.50
+13.4%
6.2%₹508.00₹434.00n/a4
Aug ’23₹395.70
₹395.00
-0.2%
0%₹395.00₹395.00n/a1
Jul ’23₹358.45
₹395.00
+10.2%
0%₹395.00₹395.00n/a1
Jun ’23₹338.50
₹395.00
+16.7%
0%₹395.00₹395.00n/a1
May ’23₹408.80
₹449.00
+9.8%
0%₹449.00₹449.00₹355.451
Apr ’23₹395.00
₹449.00
+13.7%
0%₹449.00₹449.00₹341.001
Mar ’23₹339.55
₹469.00
+38.1%
0%₹469.00₹469.00₹348.701
Feb ’23₹418.85
₹489.00
+16.7%
0%₹489.00₹489.00₹345.151
Jan ’23₹334.95
₹489.00
+46.0%
0%₹489.00₹489.00₹356.151
Dec ’22₹329.05
₹489.00
+48.6%
0%₹489.00₹489.00₹386.201
Nov ’22₹342.00
₹489.00
+43.0%
0%₹489.00₹489.00₹409.901
Oct ’22₹349.45
₹433.00
+23.9%
0%₹433.00₹433.00₹417.151
Sep ’22₹339.40
₹433.00
+27.6%
0%₹433.00₹433.00₹426.301
Aug ’22₹366.85
₹400.00
+9.0%
0%₹400.00₹400.00₹395.701
Jul ’22₹367.25
₹300.00
-18.3%
0%₹300.00₹300.00₹358.451
Jun ’22₹326.80
₹300.00
-8.2%
0%₹300.00₹300.00₹338.501
May ’22₹234.65
₹191.00
-18.6%
0%₹191.00₹191.00₹408.801

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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