Rajapalayam Mills Valuation

Q: What is the Fair Price of 532503 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

532503 (₹1007.5) is trading above our estimate of [[fair value]] (₹5.1)

Is 532503 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-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 532503 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 532503 (₹1007.5) is trading above our estimate of fair value (₹5.1)

Significantly Below Fair Value: 532503 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 532503?

Key metric: As 532503 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 532503. This is calculated by dividing 532503's market cap by their current revenue.
What is 532503's PS Ratio?
PS Ratio	1.1x
Sales	₹8.76b
Market Cap	₹9.29b

532503 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	2.3x
Enterprise Value/EBITDA	23x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 532503's PS Ratio compare to its peers?

The above table shows the PS ratio for 532503 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	2x
522122 Voith Paper Fabrics India	5.1x	n/a	₹9.4b
500350 RSWM	0.2x	n/a	₹7.9b
538119 R & B Denims	1.8x	n/a	₹7.3b
PASHUPATI Pashupati Cotspin	1.1x	n/a	₹7.8b
532503 Rajapalayam Mills	1.1x	n/a	₹9.3b

Price-To-Sales vs Peers: 532503 is good value based on its Price-To-Sales Ratio (1.1x) compared to the peer average (2x).

Price to Sales Ratio vs Industry

How does 532503's PS Ratio compare vs other companies in the IN Luxury Industry?

53 Companies	Price / Sales	Estimated Growth	Market Cap
RAJESHEXPO Rajesh Exports	0.02x	15.3%	US$818.70m
500207 Indo Rama Synthetics (India)	0.3x	n/a	US$121.06m
500296 Nahar Spinning Mills	0.3x	n/a	US$102.05m
500350 RSWM	0.2x	n/a	US$93.99m

53 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 532503 is good value based on its Price-To-Sales Ratio (1.1x) compared to the Indian Luxury industry average (1.1x).

Price to Sales Ratio vs Fair Ratio

What is 532503's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

532503 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.1x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 532503's Price-To-Sales 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.