Ram Ratna Wires Valuation

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

RAMRAT (₹588.45) is trading above our estimate of [[fair value]] (₹133.02)

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

Below Fair Value: RAMRAT (₹588.45) is trading above our estimate of fair value (₹133.02)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RAMRAT. This is calculated by dividing RAMRAT's market cap by their current earnings.
What is RAMRAT's PE Ratio?
PE Ratio	43.5x
Earnings	₹597.72m
Market Cap	₹25.96b

RAMRAT 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	0.8x
Enterprise Value/EBITDA	20.9x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RAMRAT 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	68.2x
SPECTRUM Spectrum Electrical Industries	130.4x	n/a	₹26.9b
540795 Dynamic Cables	47.6x	n/a	₹23.3b
HPL HPL Electric & Power	55.5x	31.0%	₹34.5b
PRECWIRE Precision Wires India	39.4x	n/a	₹31.5b
RAMRAT Ram Ratna Wires	43.5x	n/a	₹26.0b

Price-To-Earnings vs Peers: RAMRAT is good value based on its Price-To-Earnings Ratio (43.5x) compared to the peer average (68.2x).

Price to Earnings Ratio vs Industry

How does RAMRAT's PE Ratio compare vs other companies in the IN Electrical Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap
504058 Indo National	2.7x	n/a	US$45.34m
533203 Tarapur Transformers	4.3x	n/a	US$6.66m

No more companies available in this PE range

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: RAMRAT is good value based on its Price-To-Earnings Ratio (43.5x) compared to the Indian Electrical industry average (47.4x).

Price to Earnings Ratio vs Fair Ratio

What is RAMRAT'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.

RAMRAT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	43.5x
Fair PE Ratio	n/a

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