AksharChem (India) Valuation

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

Below Fair Value: AKSHARCHEM (₹300.2) is trading above our estimate of fair value (₹3.68)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for AKSHARCHEM. This is calculated by dividing AKSHARCHEM's market cap by their current revenue.
What is AKSHARCHEM's PS Ratio?
PS Ratio	0.7x
Sales	₹3.22b
Market Cap	₹2.41b

AKSHARCHEM 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	0.9x
Enterprise Value/EBITDA	17.2x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for AKSHARCHEM 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	2.5x
543497 Bhatia Colour Chem	1.9x	n/a	₹2.2b
HINDCON Hindcon Chemicals	4.6x	n/a	₹2.5b
PARAGON Paragon Fine And Speciality Chemical	1.8x	n/a	₹2.0b
507645 Polson	1.9x	n/a	₹1.7b
AKSHARCHEM AksharChem (India)	0.7x	n/a	₹2.4b

Price-To-Sales vs Peers: AKSHARCHEM is good value based on its Price-To-Sales Ratio (0.7x) compared to the peer average (2.5x).

Price to Sales Ratio vs Industry

How does AKSHARCHEM's PS Ratio compare vs other companies in the IN Chemicals Industry?

28 Companies	Price / Sales	Estimated Growth	Market Cap
523630 National Fertilizers	0.3x	n/a	US$692.37m
500339 Rain Industries	0.3x	n/a	US$605.12m
ZUARI Zuari Agro Chemicals	0.2x	n/a	US$112.70m
JAYAGROGN Jayant Agro-Organics	0.4x	n/a	US$100.06m

28 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: AKSHARCHEM is good value based on its Price-To-Sales Ratio (0.7x) compared to the Indian Chemicals industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is AKSHARCHEM'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.

AKSHARCHEM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.7x
Fair PS Ratio	n/a

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

Discover undervalued companies

ACC

₹411.0b

Engages in the manufacture and sale of cement and ready-mix concrete in India.

500410

₹2,188.65

8.0%

16.7%

Vedanta

₹1.8t

A diversified natural resources company, explores, extracts, and processes minerals, and oil and gas in India, Europe, China, the United States, Mexico, and internationally.

500295

₹452.00

2.1%

93.7%

Gulf Oil Lubricants India

₹54.2b

Manufactures, markets, and trades lubricating oils, greases, and other derivatives for use in the automobile and industrial sectors in India.

538567

₹1,102.55

6.4%

58.4%