Aarti Industries Ltd
NSE:AARTIIND

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Aarti Industries Ltd
NSE:AARTIIND
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Price: 507.5 INR 1.03% Market Closed
Market Cap: ₹184B

P/FCFE

-38.8
Current
164%
Cheaper
vs 3-y average of 60.2

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
-38.8
=
Market Cap
₹165B
/
Free Cash Flow to Equity
₹-4.8B

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
-38.8
=
Market Cap
₹165B
/
Free Cash Flow to Equity
₹-4.8B

Valuation Scenarios

Aarti Industries Ltd is trading above its 3-year average

If P/FCFE returns to its 3-Year Average (60.2), the stock would be worth ₹-787.98 (255% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-276%
Maximum Upside
No Upside Scenarios
Average Downside
250%
Scenario P/FCFE Value Implied Price Upside/Downside
Current Multiple -38.8 ₹507.5
0%
3-Year Average 60.2 ₹-787.98
-255%
5-Year Average 54.4 ₹-712.05
-240%
Industry Average 68.4 ₹-895.51
-276%
Country Average 49.7 ₹-651.17
-228%

Forward P/FCFE
Today’s price vs future free cash flow to equity

Not enough data available to calculate forward P/FCFE

Peer Comparison

All Multiples
P/FCFE
P/E
All Countries
Close
Market Cap P/FCFE P/E
IN
Aarti Industries Ltd
NSE:AARTIIND
184B INR -38.8 48.8
JP
Shin-Etsu Chemical Co Ltd
TSE:4063
13.2T JPY 22.7 27.8
US
Sherwin-Williams Co
NYSE:SHW
78.8B USD 23.9 30.7
US
Ecolab Inc
NYSE:ECL
73.2B USD 34.4 35.3
JP
Yasuhara Chemical Co Ltd
TSE:4957
10.8T JPY -68 10.5
CN
Wanhua Chemical Group Co Ltd
SSE:600309
280.3B CNY 16.5 21.3
CH
Givaudan SA
SIX:GIVN
25.7B CHF 32.8 24
DK
Novozymes A/S
CSE:NZYM B
165.6B DKK 59.7 54.8
IN
Asian Paints Ltd
NSE:ASIANPAINT
2.3T INR 48 60.8
US
PPG Industries Inc
NYSE:PPG
24B USD 12.6 15.2
CH
Sika AG
F:SIKA
19.9B EUR 20 17.5

Market Distribution

Lower than 100% of companies in India
Percentile
0th
Based on 1 683 companies
0th percentile
-38.8
Low
0.6 — 27.4
Typical Range
27.4 — 92
High
92 —
Distribution Statistics
India
Min 0.6
30th Percentile 27.4
Median 49.7
70th Percentile 92
Max 57 010.1

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
301.14 INR
Overvaluation 41%
Intrinsic Value
Price ₹507.5
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