VA Tech Wabag Limited

NSEI:WABAG Stock Report

Market Cap: ₹105.5b

VA Tech Wabag Valuation

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: WABAG (₹1702.7) is trading above our estimate of fair value (₹1163.53)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for WABAG. This is calculated by dividing WABAG's market cap by their current earnings.
What is WABAG's PE Ratio?
PE Ratio40.6x
Earnings₹2.61b
Market Cap₹105.50b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for WABAG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.9x
500390 Reliance Infrastructure
3.1xn/a₹102.0b
ACMESOLAR ACME Solar Holdings
23.4xn/a₹159.8b
RPOWER Reliance Power
12.4xn/a₹143.6b
533122 RattanIndia Power
0.7xn/a₹69.7b
WABAG VA Tech Wabag
40.6x25.4%₹105.5b

Price-To-Earnings vs Peers: WABAG is expensive based on its Price-To-Earnings Ratio (40.6x) compared to the peer average (9.9x).

Price to Earnings Ratio vs Industry

How does WABAG's PE Ratio compare vs other companies in the Asian Water Utilities Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
WABAG 40.6xIndustry Avg. 14.9xNo. of Companies9PE01224364860+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: WABAG is expensive based on its Price-To-Earnings Ratio (40.6x) compared to the Asian Water Utilities industry average (14.9x).

Price to Earnings Ratio vs Fair Ratio

What is WABAG'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.

WABAG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio40.6x
Fair PE Ratio28.8x

Price-To-Earnings vs Fair Ratio: WABAG is expensive based on its Price-To-Earnings Ratio (40.6x) compared to the estimated Fair Price-To-Earnings Ratio (28.8x).

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 WABAG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,702.70
₹1,953.00
+14.7%
16.8%₹2,308.00₹1,424.00n/a4
Nov ’25₹1,773.25
₹1,553.75
-12.4%
6.3%₹1,700.00₹1,424.00n/a4
Oct ’25₹1,538.00
₹1,553.75
+1.0%
6.3%₹1,700.00₹1,424.00n/a4
Sep ’25₹1,272.55
₹1,479.75
+16.3%
3.3%₹1,550.00₹1,424.00n/a4
Aug ’25₹1,327.10
₹1,293.75
-2.5%
13.2%₹1,550.00₹1,100.00n/a4
Jul ’25₹1,325.30
₹1,293.75
-2.4%
13.2%₹1,550.00₹1,100.00n/a4
Jun ’25₹980.05
₹1,046.67
+6.8%
13.4%₹1,185.00₹855.00n/a3
May ’25₹966.05
₹823.33
-14.8%
5.0%₹855.00₹765.00n/a3
Apr ’25₹775.45
₹823.33
+6.2%
5.0%₹855.00₹765.00n/a3
Mar ’25₹732.70
₹823.33
+12.4%
5.0%₹855.00₹765.00n/a3
Feb ’25₹675.45
₹644.67
-4.6%
4.4%₹684.00₹620.00n/a3
Jan ’25₹638.55
₹644.67
+1.0%
4.4%₹684.00₹620.00n/a3
Dec ’24₹597.50
₹644.67
+7.9%
4.4%₹684.00₹620.00n/a3
Nov ’24₹477.85
₹620.50
+29.9%
1.5%₹630.00₹611.00₹1,773.252
Oct ’24₹458.55
₹504.67
+10.1%
18.6%₹611.00₹383.00₹1,538.003
Sep ’24₹495.00
₹504.67
+2.0%
18.6%₹611.00₹383.00₹1,272.553
Aug ’24₹540.95
₹505.00
-6.6%
18.6%₹612.00₹383.00₹1,327.103
Jun ’24₹459.45
₹405.33
-11.8%
13.4%₹480.00₹353.00₹980.053
May ’24₹390.30
₹405.33
+3.9%
13.4%₹480.00₹353.00₹966.053
Apr ’24₹351.90
₹405.33
+15.2%
13.4%₹480.00₹353.00₹775.453
Mar ’24₹315.60
₹388.67
+23.2%
16.7%₹480.00₹333.00₹732.703
Feb ’24₹310.55
₹388.67
+25.2%
16.7%₹480.00₹333.00₹675.453
Jan ’24₹327.65
₹388.67
+18.6%
16.7%₹480.00₹333.00₹638.553
Dec ’23₹334.45
₹388.67
+16.2%
16.7%₹480.00₹333.00₹597.503
Nov ’23₹263.90
₹372.67
+41.2%
14.3%₹448.00₹333.00₹477.853

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

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