Piramal Enterprises Limited

NSEI:PEL Stock Report

Market Cap: ₹266.1b

Piramal Enterprises Valuation

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

Below Fair Value: Insufficient data to calculate PEL's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate PEL's fair value for valuation analysis.

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for PEL. This is calculated by dividing PEL's market cap by their current revenue.
What is PEL's PS Ratio?
PS Ratio6.1x
Sales₹43.26b
Market Cap₹266.05b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for PEL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average19x
IREDA Indian Renewable Energy Development Agency
26.4x18.0%₹560.2b
HUDCO Housing and Urban Development
12.5xn/a₹455.8b
RECLTD REC
7x13.6%₹1.4t
IRFC Indian Railway Finance
30.1x2.0%₹2.0t
PEL Piramal Enterprises
6.1x20.6%₹266.1b

Price-To-Sales vs Peers: PEL is good value based on its Price-To-Sales Ratio (6.1x) compared to the peer average (19x).

Price to Sales Ratio vs Industry

How does PEL's PS Ratio compare vs other companies in the IN Diversified Financial Industry?

19 CompaniesPrice / SalesEstimated GrowthMarket Cap
ABCAPITAL Aditya Birla Capital
1.7x16.0%US$5.98b
AGSTRA AGS Transact Technologies
0.7xn/aUS$115.35m
530499 A. K. Capital Services
1.7xn/aUS$100.65m
530585 Swastika Investmart
1.9xn/aUS$30.94m
PEL 6.1xIndustry Avg. 10.1xNo. of Companies20PS0816243240+
19 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: PEL is good value based on its Price-To-Sales Ratio (6.1x) compared to the Indian Diversified Financial industry average (9.6x).

Price to Sales Ratio vs Fair Ratio

What is PEL'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.

PEL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio6.1x
Fair PS Ratio9.2x

Price-To-Sales vs Fair Ratio: PEL is good value based on its Price-To-Sales Ratio (6.1x) compared to the estimated Fair Price-To-Sales Ratio (9.2x).

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 PEL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,180.00
₹961.43
-18.5%
12.5%₹1,150.00₹800.00n/a7
Nov ’25₹1,065.95
₹961.43
-9.8%
12.5%₹1,150.00₹800.00n/a7
Oct ’25₹1,103.30
₹908.57
-17.6%
8.8%₹1,000.00₹800.00n/a7
Sep ’25₹1,043.45
₹901.43
-13.6%
8.2%₹1,000.00₹800.00n/a7
Aug ’25₹1,023.10
₹903.57
-11.7%
9.9%₹1,000.00₹750.00n/a7
Jul ’25₹922.90
₹903.57
-2.1%
9.9%₹1,000.00₹750.00n/a7
Jun ’25₹794.85
₹899.29
+13.1%
10.8%₹1,000.00₹720.00n/a7
May ’25₹924.70
₹989.29
+7.0%
14.7%₹1,250.00₹775.00n/a7
Apr ’25₹859.50
₹993.57
+15.6%
14.7%₹1,250.00₹775.00n/a7
Mar ’25₹935.65
₹993.57
+6.2%
14.7%₹1,250.00₹775.00n/a7
Feb ’25₹894.75
₹993.57
+11.0%
14.7%₹1,250.00₹775.00n/a7
Jan ’25₹934.20
₹1,065.00
+14.0%
11.6%₹1,250.00₹855.00n/a7
Dec ’24₹929.15
₹1,079.29
+16.2%
12.0%₹1,250.00₹855.00n/a7
Nov ’24₹966.75
₹1,155.71
+19.5%
11.1%₹1,280.00₹920.00₹1,065.957
Oct ’24₹1,049.35
₹1,136.43
+8.3%
10.8%₹1,280.00₹920.00₹1,103.307
Sep ’24₹1,078.25
₹1,131.25
+4.9%
10.2%₹1,280.00₹920.00₹1,043.458
Aug ’24₹1,003.25
₹1,144.93
+14.1%
9.0%₹1,260.00₹920.00₹1,023.108
Jul ’24₹942.30
₹1,074.31
+14.0%
10.0%₹1,230.00₹850.00₹922.908
Jun ’24₹782.45
₹1,024.31
+30.9%
9.2%₹1,139.48₹850.00₹794.858
May ’24₹736.75
₹1,085.56
+47.3%
10.8%₹1,300.00₹900.00₹924.708
Apr ’24₹678.35
₹1,104.31
+62.8%
9.5%₹1,300.00₹900.00₹859.508
Mar ’24₹778.50
₹1,104.31
+41.9%
9.5%₹1,300.00₹900.00₹935.658
Feb ’24₹844.80
₹1,099.06
+30.1%
8.6%₹1,200.00₹900.00₹894.758
Jan ’24₹828.40
₹1,188.05
+43.4%
22.5%₹1,900.00₹900.00₹934.209
Dec ’23₹863.40
₹1,188.05
+37.6%
22.5%₹1,900.00₹900.00₹929.159
Nov ’23₹852.20
₹1,475.05
+73.1%
27.9%₹2,475.00₹1,139.48₹966.759

Analyst Forecast: Target price is lower than the current share price.

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