Karma Energy Valuation

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

Below Fair Value: KARMAENG (₹70.42) is trading below our estimate of fair value (₹143.99)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for KARMAENG. This is calculated by dividing KARMAENG's market cap by their current revenue.
What is KARMAENG's PS Ratio?
PS Ratio	8.7x
Sales	₹93.49m
Market Cap	₹816.84m

KARMAENG 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	8.3x
Enterprise Value/EBITDA	-78.5x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for KARMAENG 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	6.2x
541445 Waa Solar	9.9x	n/a	₹1.7b
534612 Advance Metering Technology	3.8x	n/a	₹579.7m
503657 Veer Energy & Infrastructure	2.9x	n/a	₹360.0m
INDOWIND Indowind Energy	8.3x	n/a	₹2.8b
KARMAENG Karma Energy	8.7x	n/a	₹816.8m

Price-To-Sales vs Peers: KARMAENG is expensive based on its Price-To-Sales Ratio (8.7x) compared to the peer average (6.2x).

Price to Sales Ratio vs Industry

How does KARMAENG's PS Ratio compare vs other companies in the IN Renewable Energy Industry?

5 Companies	Price / Sales	Estimated Growth	Market Cap
PTC PTC India	0.3x	11.1%	US$608.67m
512329 SG Mart	0.9x	n/a	US$525.26m
GVKPIL GVK Power & Infrastructure	1x	n/a	US$95.73m
KKVAPOW KKV Agro Powers	0.05x	n/a	US$5.82m

5 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: KARMAENG is expensive based on its Price-To-Sales Ratio (8.7x) compared to the Indian Renewable Energy industry average (5.1x).

Price to Sales Ratio vs Fair Ratio

What is KARMAENG'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.

KARMAENG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	8.7x
Fair PS Ratio	n/a

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

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