Finolex Industries Limited

BSE:500940 Stock Report

Market Cap: ₹147.5b

Finolex Industries Valuation

Is 500940 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 500940 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 500940 (₹238.75) is trading above our estimate of fair value (₹117.18)

Significantly Below Fair Value: 500940 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 500940?

Key metric: As 500940 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 500940. This is calculated by dividing 500940's market cap by their current earnings.
What is 500940's PE Ratio?
PE Ratio18.4x
Earnings₹8.02b
Market Cap₹147.47b

Price to Earnings Ratio vs Peers

How does 500940's PE Ratio compare to its peers?

The above table shows the PE ratio for 500940 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30.7x
500870 Castrol India
22.1x9.5%₹198.4b
EPIGRAL Epigral
28.9x19.1%₹84.8b
500165 Kansai Nerolac Paints
34x11.7%₹212.1b
500655 Garware Hi-Tech Films
37.9xn/a₹116.1b
500940 Finolex Industries
18.4x-0.5%₹147.5b

Price-To-Earnings vs Peers: 500940 is good value based on its Price-To-Earnings Ratio (18.4x) compared to the peer average (30.7x).

Price to Earnings Ratio vs Industry

How does 500940's PE Ratio compare vs other companies in the IN Chemicals Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
NAGAFERT Nagarjuna Fertilizers and Chemicals
0.3xn/aUS$68.07m
UNIVPHOTO Universus Photo Imagings
3.7xn/aUS$36.25m
526773 Pressure Sensitive Systems (India)
0.6xn/aUS$8.07m
526143 MPL Plastics
1.6xn/aUS$1.81m
500940 18.4xIndustry Avg. 32.4xNo. of Companies35PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 500940 is good value based on its Price-To-Earnings Ratio (18.4x) compared to the Indian Chemicals industry average (32.4x).

Price to Earnings Ratio vs Fair Ratio

What is 500940'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.

500940 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18.4x
Fair PE Ratio22.3x

Price-To-Earnings vs Fair Ratio: 500940 is good value based on its Price-To-Earnings Ratio (18.4x) compared to the estimated Fair Price-To-Earnings Ratio (22.3x).

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 500940 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹238.75
₹301.38
+26.2%
13.8%₹375.00₹212.00n/a16
Dec ’25₹268.85
₹301.38
+12.1%
13.8%₹375.00₹212.00n/a16
Nov ’25₹305.70
₹300.50
-1.7%
13.9%₹375.00₹212.00n/a16
Oct ’25₹278.45
₹314.00
+12.8%
14.3%₹381.00₹212.00n/a16
Sep ’25₹311.90
₹314.00
+0.7%
14.3%₹381.00₹212.00n/a16
Aug ’25₹314.15
₹311.81
-0.7%
15.5%₹381.00₹212.00n/a16
Jul ’25₹331.90
₹278.47
-16.1%
12.2%₹345.00₹212.00n/a15
Jun ’25₹312.40
₹269.47
-13.7%
11.8%₹320.00₹212.00n/a15
May ’25₹266.25
₹242.93
-8.8%
9.0%₹281.00₹210.00n/a15
Apr ’25₹248.95
₹243.07
-2.4%
9.0%₹281.00₹210.00n/a14
Mar ’25₹223.00
₹243.07
+9.0%
9.0%₹281.00₹210.00n/a14
Feb ’25₹220.75
₹243.07
+10.1%
9.0%₹281.00₹210.00n/a14
Jan ’25₹210.70
₹220.71
+4.8%
11.9%₹250.00₹150.00n/a14
Dec ’24₹204.80
₹219.13
+7.0%
11.9%₹250.00₹150.00₹268.8515
Nov ’24₹190.85
₹218.36
+14.4%
12.3%₹250.00₹150.00₹305.7014
Oct ’24₹224.00
₹208.83
-6.8%
12.1%₹245.00₹150.00₹278.4512
Sep ’24₹248.25
₹208.23
-16.1%
11.7%₹245.00₹150.00₹311.9013
Aug ’24₹197.20
₹206.50
+4.7%
11.9%₹245.00₹150.00₹314.1514
Jul ’24₹175.70
₹202.00
+15.0%
11.8%₹245.00₹150.00₹331.9014
Jun ’24₹173.05
₹210.33
+21.5%
7.3%₹245.00₹193.00₹312.4012
May ’24₹167.40
₹188.07
+12.3%
18.6%₹245.00₹109.00₹266.2514
Apr ’24₹170.75
₹188.29
+10.3%
18.6%₹245.00₹109.00₹248.9514
Mar ’24₹167.65
₹188.29
+12.3%
18.6%₹245.00₹109.00₹223.0014
Feb ’24₹169.10
₹166.93
-1.3%
20.3%₹245.00₹109.00₹220.7514
Jan ’24₹186.65
₹164.07
-12.1%
19.3%₹245.00₹109.00₹210.7014
Dec ’23₹158.00
₹163.71
+3.6%
19.2%₹245.00₹109.00₹204.8014

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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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 01:15
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Finolex Industries Limited is covered by 26 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
null nullAnand Rathi Shares and Stock Brokers Limited
Rishab BothraAnand Rathi Shares and Stock Brokers Limited
null nullAntique Stockbroking Ltd.