Indus Towers Limited

NSEI:INDUSTOWER Stock Report

Market Cap: ₹955.8b

Indus Towers Valuation

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

Below Fair Value: INDUSTOWER (₹354.8) is trading below our estimate of fair value (₹492.7)

Significantly Below Fair Value: INDUSTOWER is trading below fair value by more than 20%.


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

INDUSTOWER 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/Revenue4x
Enterprise Value/EBITDA7.7x
PEG Ratio3.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for INDUSTOWER vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average60.7x
TATACOMM Tata Communications
50.9x33.5%₹493.0b
HFCL HFCL
49.7xn/a₹145.0b
BHARTIHEXA Bharti Hexacom
89.6x49.1%₹433.3b
RAILTEL RailTel Corporation of India
52.4x20.2%₹128.2b
INDUSTOWER Indus Towers
15.8x4.9%₹955.8b

Price-To-Earnings vs Peers: INDUSTOWER is good value based on its Price-To-Earnings Ratio (15.8x) compared to the peer average (60.7x).


Price to Earnings Ratio vs Industry

How does INDUSTOWER's PE Ratio compare vs other companies in the Asian Telecom Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.9%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.9%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: INDUSTOWER is expensive based on its Price-To-Earnings Ratio (15.8x) compared to the Asian Telecom industry average (15.4x).


Price to Earnings Ratio vs Fair Ratio

What is INDUSTOWER'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.

INDUSTOWER PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.8x
Fair PE Ratio38.1x

Price-To-Earnings vs Fair Ratio: INDUSTOWER is good value based on its Price-To-Earnings Ratio (15.8x) compared to the estimated Fair Price-To-Earnings Ratio (38.1x).


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 INDUSTOWER forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹354.80
₹276.67
-22.0%
27.2%₹450.00₹160.00n/a21
Apr ’25₹315.20
₹229.19
-27.3%
19.5%₹335.00₹160.00n/a21
Mar ’25₹263.10
₹225.43
-14.3%
17.0%₹320.00₹160.00n/a21
Feb ’25₹219.00
₹219.65
+0.3%
15.4%₹280.00₹160.00n/a20
Jan ’25₹202.75
₹183.55
-9.5%
16.0%₹265.00₹140.00n/a20
Dec ’24₹187.65
₹182.80
-2.6%
15.9%₹265.00₹140.00n/a20
Nov ’24₹180.60
₹182.80
+1.2%
15.9%₹265.00₹140.00n/a20
Oct ’24₹191.70
₹179.15
-6.5%
17.0%₹265.00₹140.00n/a20
Sep ’24₹181.70
₹178.15
-2.0%
16.3%₹265.00₹140.00n/a20
Aug ’24₹173.70
₹178.00
+2.5%
15.9%₹265.00₹140.00n/a21
Jul ’24₹164.25
₹167.05
+1.7%
19.1%₹265.00₹118.00n/a20
Jun ’24₹158.55
₹167.05
+5.4%
19.1%₹265.00₹118.00n/a20
May ’24₹155.00
₹172.27
+11.1%
19.6%₹265.00₹118.00₹354.8022
Apr ’24₹143.00
₹179.77
+25.7%
21.0%₹280.00₹135.00₹315.2022
Mar ’24₹171.45
₹180.91
+5.5%
20.4%₹280.00₹135.00₹263.1022
Feb ’24₹144.35
₹188.26
+30.4%
26.5%₹345.00₹135.00₹219.0023
Jan ’24₹190.45
₹214.75
+12.8%
18.2%₹345.00₹170.00₹202.7524
Dec ’23₹201.65
₹215.61
+6.9%
18.4%₹345.00₹170.00₹187.6523
Nov ’23₹186.50
₹215.83
+15.7%
18.4%₹345.00₹170.00₹180.6023
Oct ’23₹197.45
₹227.91
+15.4%
16.2%₹345.00₹175.00₹191.7023
Sep ’23₹199.60
₹228.42
+14.4%
16.3%₹345.00₹175.00₹181.7024
Aug ’23₹227.70
₹240.04
+5.4%
17.3%₹350.00₹175.00₹173.7025
Jul ’23₹208.00
₹240.44
+15.6%
17.3%₹350.00₹175.00₹164.2525
Jun ’23₹201.20
₹240.44
+19.5%
17.3%₹350.00₹175.00₹158.5525
May ’23₹209.00
₹280.84
+34.4%
15.7%₹385.00₹225.00₹155.0025

Analyst Forecast: Target price is lower than the current share price.


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