Aarti Industries Ltd
BSE:524208

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Aarti Industries Ltd
BSE:524208
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Price: 465.85 INR -0.9% Market Closed
Market Cap: ₹168.9B

EV/EBITDA

17.4
Current
5%
Cheaper
vs 3-y average of 18.2

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
17.4
=
Enterprise Value
₹181.5B
/
EBITDA
₹10.9B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
17.4
=
Enterprise Value
₹181.5B
/
EBITDA
₹10.9B

Valuation Scenarios

Aarti Industries Ltd is trading below its 3-year average

If EV/EBITDA returns to its 3-Year Average (18.2), the stock would be worth ₹488.66 (5% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-20%
Maximum Upside
+5%
Average Downside
2%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 17.4 ₹465.85
0%
3-Year Average 18.2 ₹488.66
+5%
5-Year Average 18.2 ₹488.66
+5%
Industry Average 13.9 ₹373.65
-20%
Country Average 17.7 ₹473.14
+2%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
₹181.5B
/
Jan 2026
₹10.9B
=
17.4
Current
₹181.5B
/
Mar 2026
₹11.9B
=
15.3
Forward
₹181.5B
/
Mar 2027
₹15B
=
12.1
Forward
₹181.5B
/
Mar 2028
₹18.2B
=
10
Forward
₹181.5B
/
Mar 2029
₹18.9B
=
9.6
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close
Market Cap EV/EBITDA P/E
IN
Aarti Industries Ltd
BSE:524208
168.9B INR 17.4 45.6
US
Sherwin-Williams Co
NYSE:SHW
83.6B USD 21 32.6
JP
Shin-Etsu Chemical Co Ltd
TSE:4063
12.7T JPY 12.9 26.1
US
Ecolab Inc
NYSE:ECL
76B USD 21.4 36.6
JP
Yasuhara Chemical Co Ltd
TSE:4957
10.8T JPY 5.8 10.5
CN
Wanhua Chemical Group Co Ltd
SSE:600309
274.4B CNY 18 20.8
CH
Givaudan SA
SIX:GIVN
26B CHF 17 24.3
DK
Novozymes A/S
CSE:NZYM B
165.6B DKK 28.9 54.8
IN
Asian Paints Ltd
NSE:ASIANPAINT
2.4T INR 37.2 61.8
US
PPG Industries Inc
NYSE:PPG
24.5B USD 10.8 15.6
CH
Sika AG
F:SIKA
19.9B EUR 10.3 17.5

Market Distribution

In line with most companies in India
Percentile
48th
Based on 2 785 companies
48th percentile
17.1
Low
0.4 — 11.9
Typical Range
11.9 — 27.8
High
27.8 —
Distribution Statistics
India
Min 0.4
30th Percentile 11.9
Median 17.7
70th Percentile 27.8
Max 47 834.4

Aarti Industries Ltd
Glance View

In the world of specialty chemicals, Aarti Industries Ltd. stands as a formidable player, weaving a story of innovation and strategic expansion over the years. Founded in 1984, the Indian company has grown from modest beginnings into a diversified chemical conglomerate, driven by a relentless focus on research and development. Aarti Industries leverages its robust manufacturing capabilities across multiple segments, including pharmaceuticals, agrochemicals, polymers, additives, and dyes. Their operations are integrated vertically, enabling them to achieve cost efficiencies and ensuring control over the quality of raw materials like benzene, which serves as the foundation for many of their downstream products. They thrive on a combination of backward and forward integration in their manufacturing process, which provides a competitive edge and underscores their commitment to sustainable development. The company's revenue model is anchored on a diverse product portfolio that caters to domestic demand and taps into key international markets, including the United States, Europe, and Japan. By forging long-term relationships with their clientele, Aarti Industries ensures predictable cash flows and reduced market volatility risk. They capitalize on their expertise in chemistry to serve a broad spectrum of industries, strategically aligning with global trends such as the shift towards eco-friendly and sustainable solutions. Their agility in adapting to regulatory changes and demand patterns further solidifies their standing. As the industrial landscape evolves, Aarti Industries continues to invest in technology and capacity enhancement, crafting a narrative of growth driven by innovation and operational excellence.

AARTIIND Intrinsic Value
514.93 INR
Undervaluation 10%
Intrinsic Value
Price ₹465.85
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