We’ve recently updated our valuation analysis.

Vardhman Textiles Valuation

Is 502986 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 502986?

Other financial metrics that can be useful for relative valuation.

502986 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/Revenue0.9x
Enterprise Value/EBITDA4.8x
PEG Ratio1.1x

Price to Earnings Ratio vs Peers

How does 502986's PE Ratio compare to its peers?

The above table shows the PE ratio for 502986 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average33.6x
514162 Welspun India
35.1x57.9%₹75.6b
500330 Raymond
14.3x3.9%₹86.2b
509557 Garware Technical Fibres
40x22.1%₹67.2b
531543 Jindal Worldwide
45.1xn/a₹63.0b
502986 Vardhman Textiles
7.5x6.9%₹96.7b

Price-To-Earnings vs Peers: 502986 is good value based on its Price-To-Earnings Ratio (7.5x) compared to the peer average (33.6x).


Price to Earnings Ratio vs Industry

How does 502986's PE Ratio compare vs other companies in the IN Luxury Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.8%
n/an/an/a

Price-To-Earnings vs Industry: 502986 is good value based on its Price-To-Earnings Ratio (7.5x) compared to the Indian Luxury industry average (14.6x)


Price to Earnings Ratio vs Fair Ratio

What is 502986'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.

502986 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.5x
Fair PE Ratio24.8x

Price-To-Earnings vs Fair Ratio: 502986 is good value based on its Price-To-Earnings Ratio (7.5x) compared to the estimated Fair Price-To-Earnings Ratio (24.8x).


Share Price vs Fair Value

What is the Fair Price of 502986 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 502986 (₹334.65) is trading below our estimate of fair value (₹353.65)

Significantly Below Fair Value: 502986 is trading below fair value, but not by a significant amount.


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 502986 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹334.65
₹368.00
+10.0%
4.3%₹390.00₹355.00n/a3
Nov ’23₹340.35
₹352.33
+3.5%
10.8%₹390.00₹300.00n/a3
Oct ’23₹337.25
₹367.67
+9.0%
15.1%₹436.00₹300.00n/a3
Sep ’23₹327.25
₹367.67
+12.4%
15.1%₹436.00₹300.00n/a3
Aug ’23₹308.75
₹424.70
+37.6%
28.3%₹610.80₹285.00n/a4
Jul ’23₹271.50
₹496.20
+82.8%
26.3%₹610.80₹285.00n/a4
Jun ’23₹284.65
₹496.20
+74.3%
26.3%₹610.80₹285.00n/a4
May ’23₹436.00
₹581.25
+33.3%
10.3%₹635.00₹480.00n/a4
Apr ’23₹436.00
₹581.25
+33.3%
10.3%₹635.00₹480.00n/a4
Mar ’23₹511.40
₹581.25
+13.7%
10.3%₹635.00₹480.00n/a4
Feb ’23₹479.94
₹581.25
+21.1%
10.3%₹635.00₹480.00n/a4
Jan ’23₹461.88
₹465.87
+0.9%
17.3%₹556.60₹361.00n/a3
Dec ’22₹392.73
₹465.87
+18.6%
17.3%₹556.60₹361.00n/a3
Nov ’22₹401.74
₹465.87
+16.0%
17.3%₹556.60₹361.00₹340.353
Oct ’22₹367.77
₹493.00
+34.1%
9.1%₹538.00₹448.00₹337.252
Sep ’22₹363.88
₹493.00
+35.5%
9.1%₹538.00₹448.00₹327.252
Aug ’22₹381.96
₹342.80
-10.3%
15.7%₹396.60₹289.00₹308.752
Jul ’22₹279.09
₹342.80
+22.8%
15.7%₹396.60₹289.00₹271.502
Jun ’22₹254.96
₹342.80
+34.5%
15.7%₹396.60₹289.00₹284.652
May ’22₹235.52
₹286.60
+21.7%
0.8%₹289.00₹284.20₹436.002
Apr ’22₹253.52
₹286.60
+13.0%
0.8%₹289.00₹284.20₹436.002
Mar ’22₹235.09
₹286.60
+21.9%
0.8%₹289.00₹284.20₹511.402
Feb ’22₹206.52
₹286.60
+38.8%
0.8%₹289.00₹284.20₹479.942
Jan ’22₹214.38
₹184.95
-13.7%
22.2%₹242.20₹144.00₹461.884
Dec ’21₹171.21
₹184.95
+8.0%
22.2%₹242.20₹144.00₹392.734
Nov ’21₹152.99
₹179.96
+17.6%
21.2%₹242.20₹144.00₹401.745

Analyst Forecast: Target price is less than 20% higher than the current share price.


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