Grasim Industries Limited

NSEI:GRASIM Stock Report

Market Cap: ₹1.8t

Grasim Industries Valuation

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

Below Fair Value: GRASIM (₹2539.05) is trading above our estimate of fair value (₹99.27)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for GRASIM. This is calculated by dividing GRASIM's market cap by their current earnings.
What is GRASIM's PE Ratio?
PE Ratio38.4x
Earnings₹44.82b
Market Cap₹1.76t

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for GRASIM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average43.7x
500425 Ambuja Cements
46.6x27.8%₹1.4t
SHREECEM Shree Cement
57.5x17.7%₹1.0t
ULTRACEMCO UltraTech Cement
51.3x25.4%₹3.4t
ACC ACC
19.5x13.4%₹402.2b
GRASIM Grasim Industries
38.4x-34.4%₹1.8t

Price-To-Earnings vs Peers: GRASIM is good value based on its Price-To-Earnings Ratio (38.4x) compared to the peer average (43.7x).

Price to Earnings Ratio vs Industry

How does GRASIM's PE Ratio compare vs other companies in the IN Basic Materials Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
GRASIM 38.4xIndustry Avg. 38.6xNo. of Companies11PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: GRASIM is good value based on its Price-To-Earnings Ratio (38.4x) compared to the Indian Basic Materials industry average (38.6x).

Price to Earnings Ratio vs Fair Ratio

What is GRASIM'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.

GRASIM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio38.4x
Fair PE Ratio14.2x

Price-To-Earnings vs Fair Ratio: GRASIM is expensive based on its Price-To-Earnings Ratio (38.4x) compared to the estimated Fair Price-To-Earnings Ratio (14.2x).

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 GRASIM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹2,539.05
₹2,886.27
+13.7%
7.1%₹3,100.00₹2,435.00n/a11
Dec ’25₹2,606.25
₹2,886.27
+10.7%
7.1%₹3,100.00₹2,435.00n/a11
Nov ’25₹2,698.90
₹2,935.55
+8.8%
9.5%₹3,270.00₹2,415.00n/a11
Oct ’25₹2,801.15
₹2,911.91
+4.0%
9.2%₹3,250.00₹2,415.00n/a11
Sep ’25₹2,698.85
₹2,900.09
+7.5%
8.9%₹3,250.00₹2,415.00n/a11
Aug ’25₹2,767.00
₹2,727.83
-1.4%
10.0%₹3,150.00₹2,300.00n/a12
Jul ’25₹2,726.40
₹2,689.50
-1.4%
7.9%₹3,000.00₹2,300.00n/a12
Jun ’25₹2,316.25
₹2,636.17
+13.8%
9.2%₹3,000.00₹2,212.00n/a12
May ’25₹2,411.65
₹2,446.33
+1.4%
7.7%₹2,650.00₹2,128.00n/a12
Apr ’25₹2,292.55
₹2,452.17
+7.0%
7.9%₹2,670.00₹2,128.00n/a12
Mar ’25₹2,254.90
₹2,437.17
+8.1%
7.7%₹2,670.00₹2,128.00n/a12
Feb ’25₹2,128.60
₹2,271.79
+6.7%
8.5%₹2,590.00₹1,860.00n/a11
Jan ’25₹2,127.30
₹2,181.40
+2.5%
8.1%₹2,380.00₹1,860.00n/a10
Dec ’24₹2,016.05
₹2,158.09
+7.0%
8.5%₹2,380.00₹1,860.00₹2,606.2511
Nov ’24₹1,868.55
₹2,035.36
+8.9%
7.4%₹2,270.00₹1,850.00₹2,698.9011
Oct ’24₹1,942.40
₹2,008.09
+3.4%
6.9%₹2,270.00₹1,850.00₹2,801.1511
Sep ’24₹1,811.50
₹1,931.00
+6.6%
14.9%₹2,270.00₹1,083.00₹2,698.8512
Aug ’24₹1,837.70
₹1,876.75
+2.1%
14.5%₹2,170.00₹1,083.00₹2,767.0012
Jul ’24₹1,734.65
₹1,855.82
+7.0%
15.0%₹2,170.00₹1,083.00₹2,726.4011
Jun ’24₹1,702.45
₹1,845.82
+8.4%
14.8%₹2,170.00₹1,083.00₹2,316.2511
May ’24₹1,720.30
₹1,835.20
+6.7%
15.6%₹2,250.00₹1,083.00₹2,411.6510
Apr ’24₹1,632.70
₹1,809.30
+10.8%
15.2%₹2,125.00₹1,083.00₹2,292.5510
Mar ’24₹1,593.65
₹1,815.82
+13.9%
14.5%₹2,125.00₹1,083.00₹2,254.9011
Feb ’24₹1,587.80
₹1,827.64
+15.1%
14.1%₹2,003.00₹1,083.00₹2,128.6011
Jan ’24₹1,723.50
₹1,790.75
+3.9%
15.7%₹2,003.00₹1,083.00₹2,127.3012
Dec ’23₹1,799.95
₹1,790.75
-0.5%
15.7%₹2,003.00₹1,083.00₹2,016.0512

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/19 11:27
End of Day Share Price 2024/12/19 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

Grasim Industries Limited is covered by 52 analysts. 8 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Manish ValechaAnand Rathi Shares and Stock Brokers Limited
null nullAnand Rathi Shares and Stock Brokers Limited
Rupesh SankheAngel Broking Private Limited