Usha Martin Valuation

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

USHAMART (₹379.35) is trading above our estimate of [[fair value]] (₹129.31)

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: USHAMART (₹379.35) is trading above our estimate of fair value (₹129.31)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for USHAMART. This is calculated by dividing USHAMART's market cap by their current earnings.
What is USHAMART's PE Ratio?
PE Ratio	27x
Earnings	₹4.28b
Market Cap	₹115.57b

USHAMART 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	3.5x
Enterprise Value/EBITDA	18.8x
PEG Ratio	1.2x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for USHAMART vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	21.2x
GPIL Godawari Power & Ispat	13.7x	30.0%	₹122.6b
504614 Sarda Energy & Minerals	25.1x	n/a	₹152.3b
500265 Maharashtra Seamless	9.8x	2.2%	₹86.0b
500245 Kirloskar Ferrous Industries	36x	69.4%	₹97.4b
USHAMART Usha Martin	27x	23.0%	₹115.6b

Price-To-Earnings vs Peers: USHAMART is expensive based on its Price-To-Earnings Ratio (27x) compared to the peer average (21.2x).

Price to Earnings Ratio vs Industry

How does USHAMART's PE Ratio compare vs other companies in the IN Metals and Mining Industry?

8 Companies	Price / Earnings	Estimated Growth	Market Cap
590078 Maithan Alloys	3.8x	n/a	US$367.74m
526608 Electrotherm (India)	3.1x	n/a	US$141.45m
522165 Indsil Hydro Power and Manganese	1.7x	n/a	US$16.78m
531144 El Forge	1x	n/a	US$8.11m

8 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: USHAMART is expensive based on its Price-To-Earnings Ratio (27x) compared to the Indian Metals and Mining industry average (25x).

Price to Earnings Ratio vs Fair Ratio

What is USHAMART'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.

USHAMART PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	27x
Fair PE Ratio	34.9x

Price-To-Earnings vs Fair Ratio: USHAMART is good value based on its Price-To-Earnings Ratio (27x) compared to the estimated Fair Price-To-Earnings Ratio (34.9x).

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.

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