Aditya Birla Fashion and Retail Limited

NSEI:ABFRL Stock Report

Market Cap: ₹307.7b

Aditya Birla Fashion and Retail Valuation

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

Below Fair Value: ABFRL (₹288.55) is trading above our estimate of fair value (₹182.78)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for ABFRL. This is calculated by dividing ABFRL's market cap by their current revenue.
What is ABFRL's PS Ratio?
PS Ratio2.1x
Sales₹146.45b
Market Cap₹307.74b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for ABFRL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average6.9x
METROBRAND Metro Brands
13.1x15.0%₹311.6b
REDTAPE REDTAPE
5.6xn/a₹110.8b
ARVINDFASN Arvind Fashions
1.7x12.7%₹76.3b
GOCOLORS Go Fashion (India)
7.2x17.1%₹58.5b
ABFRL Aditya Birla Fashion and Retail
2.1x11.4%₹307.7b

Price-To-Sales vs Peers: ABFRL is good value based on its Price-To-Sales Ratio (2.1x) compared to the peer average (6.9x).

Price to Sales Ratio vs Industry

How does ABFRL's PS Ratio compare vs other companies in the IN Specialty Retail Industry?

9 CompaniesPrice / SalesEstimated GrowthMarket Cap
SHANKARA Shankara Building Products
0.3xn/aUS$174.36m
PVSL Popular Vehicles and Services
0.2xn/aUS$133.50m
MVGJL Manoj Vaibhav Gems 'N' Jewellers
0.5xn/aUS$126.57m
543746 Logica Infoway
0.4xn/aUS$48.41m
ABFRL 2.1xIndustry Avg. 1.8xNo. of Companies13PS02.44.87.29.612+
9 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: ABFRL is expensive based on its Price-To-Sales Ratio (2.1x) compared to the Indian Specialty Retail industry average (1.8x).

Price to Sales Ratio vs Fair Ratio

What is ABFRL'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.

ABFRL PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.1x
Fair PS Ratio5.3x

Price-To-Sales vs Fair Ratio: ABFRL is good value based on its Price-To-Sales Ratio (2.1x) compared to the estimated Fair Price-To-Sales Ratio (5.3x).

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 ABFRL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹288.55
₹302.68
+4.9%
13.5%₹385.00₹235.00n/a22
Nov ’25₹314.05
₹308.76
-1.7%
15.1%₹385.00₹225.00n/a21
Oct ’25₹352.35
₹304.24
-13.7%
15.0%₹385.00₹225.00n/a21
Sep ’25₹311.70
₹303.48
-2.6%
15.2%₹385.00₹225.00n/a21
Aug ’25₹337.35
₹281.05
-16.7%
17.5%₹400.00₹200.00n/a21
Jul ’25₹322.50
₹281.68
-12.7%
17.5%₹400.00₹200.00n/a22
Jun ’25₹287.65
₹280.55
-2.5%
17.5%₹400.00₹200.00n/a22
May ’25₹263.00
₹236.86
-9.9%
10.8%₹277.00₹194.00n/a22
Apr ’25₹211.65
₹233.82
+10.5%
12.8%₹277.00₹160.00n/a22
Mar ’25₹229.75
₹233.82
+1.8%
12.8%₹277.00₹160.00n/a22
Feb ’25₹241.90
₹225.48
-6.8%
13.5%₹274.00₹150.00n/a21
Jan ’25₹225.85
₹222.76
-1.4%
12.3%₹270.00₹150.00n/a21
Dec ’24₹231.40
₹222.41
-3.9%
12.1%₹270.00₹150.00n/a22
Nov ’24₹213.70
₹220.67
+3.3%
13.5%₹272.00₹160.00₹314.0521
Oct ’24₹214.25
₹222.33
+3.8%
15.0%₹290.00₹160.00₹352.3521
Sep ’24₹218.35
₹224.73
+2.9%
15.3%₹290.00₹160.00₹311.7022
Aug ’24₹221.60
₹234.55
+5.8%
19.0%₹346.00₹170.00₹337.3522
Jul ’24₹212.95
₹235.48
+10.6%
19.2%₹346.00₹170.00₹322.5021
Jun ’24₹203.30
₹244.27
+20.2%
24.5%₹429.00₹170.00₹287.6522
May ’24₹222.65
₹306.09
+37.5%
17.7%₹429.00₹195.00₹263.0022
Apr ’24₹214.35
₹324.36
+51.3%
15.9%₹429.00₹195.00₹211.6522
Mar ’24₹235.40
₹332.32
+41.2%
13.2%₹429.00₹231.00₹229.7522
Feb ’24₹251.85
₹374.81
+48.8%
11.9%₹443.00₹221.00₹241.9021
Jan ’24₹287.50
₹378.43
+31.6%
11.2%₹443.00₹222.00₹225.8521
Dec ’23₹316.00
₹378.43
+19.8%
11.2%₹443.00₹222.00₹231.4021
Nov ’23₹358.15
₹355.60
-0.7%
11.1%₹396.00₹209.00₹213.7020

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

Discover undervalued companies

IntraSoft Technologies

₹2.3b

Through its subsidiaries, develops and delivers e-commerce and e-cards through internet platform in India and internationally.

533181

₹138.50

7D

-2.1%

1Y

10.7%

7NR Retail

₹144.2m

Engages in the wholesale and retail of textile products in India.

540615

₹5.15

7D

-0.2%

1Y

-4.6%

Svaraj Trading and Agencies

₹159.3m

Engages in general trading business and allied activities in India.

503624

₹10.80

7D

-2.6%

1Y

52.1%