Esab India Ltd: Intrinsic Value & Share Price Analysis

Share Price and Basic Stock Data

Last Updated: April 16, 2025, 11:09 pm

Market Cap	7,149 Cr.
Current Price	4,641
High / Low	6,999/4,130
Stock P/E	41.5
Book Value	226
Dividend Yield	2.39 %
ROCE	75.9 %
ROE	56.9 %
Face Value	10.0
PEG Ratio	1.75

Stock P/E, Current Price, and Intrinsic Value Over Time

Stock P/E Current Price Intrinsic Value

View Share Price Target for Esab India Ltd

Competitors of Esab India Ltd

Stock Name ⇩	Market Cap ⇩	Current Price ⇩	High / Low ⇩	Stock P/E ⇩	Book Value ⇩	Dividend Yield ⇩	ROCE ⇩	ROE ⇩	Face Value ⇩
GEE Ltd	322 Cr.	124	203/104	48.2	78.6	0.00 %	9.30 %	6.50 %	2.00
D&H India Ltd	181 Cr.	222	274/91.7	49.3	53.0	0.00 %	9.89 %	6.70 %	10.0
Esab India Ltd	7,149 Cr.	4,641	6,999/4,130	41.5	226	2.39 %	75.9 %	56.9 %	10.0
Ador Welding Ltd	1,484 Cr.	852	1,650/777	19.0	274	2.17 %	24.2 %	18.3 %	10.0
Industry Average	2,284.00 Cr	1,459.75		39.50	157.90	1.14%	29.82%	22.10%	8.00

All Competitor Stocks of Esab India Ltd

Quarterly Result

Metric	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024	Dec 2024
Sales	227	265	243	277	267	302	298	303	301	341	330	339	337
Expenses	199	234	208	233	219	245	240	249	248	279	268	277	282
Operating Profit	27	30	36	45	48	57	58	54	54	62	62	61	55
OPM %	12%	11%	15%	16%	18%	19%	19%	18%	18%	18%	19%	18%	16%
Other Income	1	1	2	1	3	3	3	2	1	1	1	1	3
Interest	0	0	0	0	0	0	0	0	0	0	0	0	0
Depreciation	3	3	3	3	3	3	3	3	4	4	3	4	4
Profit before tax	26	29	34	43	49	56	57	52	51	60	60	59	55
Tax %	26%	26%	25%	26%	25%	26%	25%	26%	26%	26%	26%	27%	26%
Net Profit	19	21	26	32	36	42	42	38	38	44	44	43	40
EPS in Rs	12.32	13.86	16.63	20.73	23.59	27.19	27.53	24.95	24.65	28.75	28.88	28.04	26.23

Last Updated: March 3, 2025, 4:35 pm

Below is a detailed analysis of the quarterly data for Esab India Ltd based on the most recent figures (Dec 2024) and their trends compared to the previous period:

For Sales, as of Dec 2024, the value is 337.00 Cr.. The value appears to be declining and may need further review. It has decreased from 339.00 Cr. (Sep 2024) to 337.00 Cr., marking a decrease of 2.00 Cr..
For Expenses, as of Dec 2024, the value is 282.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 277.00 Cr. (Sep 2024) to 282.00 Cr., marking an increase of 5.00 Cr..
For Operating Profit, as of Dec 2024, the value is 55.00 Cr.. The value appears to be declining and may need further review. It has decreased from 61.00 Cr. (Sep 2024) to 55.00 Cr., marking a decrease of 6.00 Cr..
For OPM %, as of Dec 2024, the value is 16.00%. The value appears to be declining and may need further review. It has decreased from 18.00% (Sep 2024) to 16.00%, marking a decrease of 2.00%.
For Other Income, as of Dec 2024, the value is 3.00 Cr.. The value appears strong and on an upward trend. It has increased from 1.00 Cr. (Sep 2024) to 3.00 Cr., marking an increase of 2.00 Cr..
For Interest, as of Dec 2024, the value is 0.00 Cr.. The value remains steady. There is no change compared to the previous period (Sep 2024) which recorded 0.00 Cr..
For Depreciation, as of Dec 2024, the value is 4.00 Cr.. The value remains steady. There is no change compared to the previous period (Sep 2024) which recorded 4.00 Cr..
For Profit before tax, as of Dec 2024, the value is 55.00 Cr.. The value appears to be declining and may need further review. It has decreased from 59.00 Cr. (Sep 2024) to 55.00 Cr., marking a decrease of 4.00 Cr..
For Tax %, as of Dec 2024, the value is 26.00%. The value appears to be improving (decreasing) as expected. It has decreased from 27.00% (Sep 2024) to 26.00%, marking a decrease of 1.00%.
For Net Profit, as of Dec 2024, the value is 40.00 Cr.. The value appears to be declining and may need further review. It has decreased from 43.00 Cr. (Sep 2024) to 40.00 Cr., marking a decrease of 3.00 Cr..
For EPS in Rs, as of Dec 2024, the value is 26.23. The value appears to be declining and may need further review. It has decreased from 28.04 (Sep 2024) to 26.23, marking a decrease of 1.81.

Overall, while many items appear to show a positive trend, any significant downward movement warrant further investigation.

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: March 6, 2025, 4:22 pm

Metric	Dec 2012	Dec 2013	Mar 2015n n 15m	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	504	434	552	451	466	543	672	698	681	896	1,091	1,243	1,347
Expenses	442	383	507	406	422	491	593	601	598	775	904	1,016	1,106
Operating Profit	62	51	45	45	44	52	79	97	83	121	187	228	241
OPM %	12%	12%	8%	10%	9%	10%	12%	14%	12%	13%	17%	18%	18%
Other Income	5	8	-0	6	4	11	16	14	11	5	8	6	7
Interest	1	1	0	0	0	0	0	1	2	1	0	0	0
Depreciation	12	11	14	10	10	10	11	13	12	11	12	14	15
Profit before tax	54	47	31	41	38	53	84	97	81	114	182	220	233
Tax %	30%	30%	23%	31%	29%	29%	32%	27%	26%	26%	26%	26%
Net Profit	38	33	24	28	27	37	58	71	59	84	136	163	172
EPS in Rs	24.54	21.52	15.36	18.41	17.45	24.13	37.41	46.39	38.52	54.77	88.14	105.88	111.90
Dividend Payout %	31%	5%	7%	5%	6%	4%	241%	151%	114%	110%	88%	81%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2016-2017	2017-2018	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	-3.57%	37.04%	56.76%	22.41%	-16.90%	42.37%	61.90%	19.85%
Change in YoY Net Profit Growth (%)	0.00%	40.61%	19.72%	-34.34%	-39.32%	59.27%	19.53%	-42.05%

Esab India Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 8 years from 2016-2017 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	11%
5 Years:	13%
3 Years:	22%
TTM:	12%

Compounded Profit Growth
10 Years:	17%
5 Years:	23%
3 Years:	40%
TTM:	7%

Stock Price CAGR
10 Years:	21%
5 Years:	33%
3 Years:	12%
1 Year:	-8%

Return on Equity
10 Years:	23%
5 Years:	37%
3 Years:	48%
Last Year:	57%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 12:34 am

Month	Dec 2012	Dec 2013	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	15	15	15	15	15	15	15	15	15	15	15	15	15
Reserves	221	252	274	300	327	363	251	322	244	229	245	291	332
Borrowings	0	0	0	0	1	0	0	5	3	3	4	5	4
Other Liabilities	95	83	80	70	85	102	112	116	126	189	210	240	221
Total Liabilities	331	350	369	386	428	480	379	458	388	436	474	551	573
Fixed Assets	99	96	83	78	76	80	83	86	90	90	95	125	131
CWIP	1	3	1	5	7	8	3	7	3	3	20	4	3
Investments	78	105	122	120	147	125	30	70	41	31	0	0	22
Other Assets	154	147	163	183	198	269	262	295	255	312	359	421	416
Total Assets	331	350	369	386	428	480	379	458	388	436	474	551	573

Below is a detailed analysis of the balance sheet data for Esab India Ltd based on the most recent figures (Sep 2024) and their trends compared to the previous period:

For Equity Capital, as of Sep 2024, the value is ₹15.00 Cr.. The value remains steady. There is no change compared to the previous period (Mar 2024) which recorded 15.00 Cr..
For Reserves, as of Sep 2024, the value is ₹332.00 Cr.. The value appears strong and on an upward trend. It has increased from 291.00 Cr. (Mar 2024) to ₹332.00 Cr., marking an increase of 41.00 Cr..
For Borrowings, as of Sep 2024, the value is ₹4.00 Cr.. The value appears to be improving (decreasing). Additionally, since Reserves exceed Borrowings, this is considered a positive sign. It has decreased from 5.00 Cr. (Mar 2024) to ₹4.00 Cr., marking a decrease of 1.00 Cr..
For Other Liabilities, as of Sep 2024, the value is ₹221.00 Cr.. The value appears to be improving (decreasing). It has decreased from 240.00 Cr. (Mar 2024) to ₹221.00 Cr., marking a decrease of 19.00 Cr..
For Total Liabilities, as of Sep 2024, the value is ₹573.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 551.00 Cr. (Mar 2024) to ₹573.00 Cr., marking an increase of 22.00 Cr..
For Fixed Assets, as of Sep 2024, the value is ₹131.00 Cr.. The value appears strong and on an upward trend. It has increased from 125.00 Cr. (Mar 2024) to ₹131.00 Cr., marking an increase of 6.00 Cr..
For CWIP, as of Sep 2024, the value is ₹3.00 Cr.. The value appears to be declining and may need further review. It has decreased from 4.00 Cr. (Mar 2024) to ₹3.00 Cr., marking a decrease of 1.00 Cr..
For Investments, as of Sep 2024, the value is ₹22.00 Cr.. The value appears strong and on an upward trend. It has increased from 0.00 Cr. (Mar 2024) to ₹22.00 Cr., marking an increase of 22.00 Cr..
For Other Assets, as of Sep 2024, the value is ₹416.00 Cr.. The value appears to be declining and may need further review. It has decreased from 421.00 Cr. (Mar 2024) to ₹416.00 Cr., marking a decrease of 5.00 Cr..
For Total Assets, as of Sep 2024, the value is ₹573.00 Cr.. The value appears strong and on an upward trend. It has increased from 551.00 Cr. (Mar 2024) to ₹573.00 Cr., marking an increase of 22.00 Cr..

Notably, the Reserves (332.00 Cr.) exceed the Borrowings (4.00 Cr.), indicating a solid financial buffer.

Overall, while many items appear to show a positive trend, any significant downward movement or items where Borrowings exceed Reserves warrant further investigation.

Reserves and Borrowings Chart

Cash Flow

Month	Dec 2012	Dec 2013	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	46	35	16	18	36	30	67	57	72	85	129	141
Cash from Investing Activity +	-46	-27	-12	-9	-23	9	102	-120	66	20	5	-55
Cash from Financing Activity +	-0	-14	-2	-2	-2	-41	-163	39	-139	-102	-122	-81
Net Cash Flow	-0	-6	3	7	12	-2	6	-24	-0	3	12	5

Free Cash Flow

Month	Dec 2012	Dec 2013	Mar 2015n n 15m	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	62.00	51.00	45.00	45.00	43.00	52.00	79.00	92.00	80.00	118.00	183.00	223.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

Month	Dec 2012	Dec 2013	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	17	23	29	37	37	40	35	44	53	55	51	55
Inventory Days	76	82	55	76	77	76	58	66	61	68	67	55
Days Payable	50	70	56	56	71	78	71	74	80	93	82	65
Cash Conversion Cycle	43	35	28	57	43	38	21	36	34	30	36	45
Working Capital Days	10	18	22	39	34	67	48	40	47	31	31	26
ROCE %	25%	19%	15%	14%	13%	15%	26%	32%	27%	44%	71%	76%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024	Dec 2024
Promoters	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%	73.72%
FIIs	0.21%	0.64%	0.63%	0.73%	0.82%	0.95%	1.08%	1.14%	1.26%	1.54%	1.66%	1.84%
DIIs	13.68%	13.51%	13.48%	13.26%	13.22%	13.01%	13.00%	12.98%	13.02%	13.03%	13.03%	13.10%
Government	0.42%	0.42%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Public	11.97%	11.70%	12.15%	12.27%	12.22%	12.32%	12.19%	12.15%	11.99%	11.69%	11.59%	11.33%
No. of Shareholders	14,844	17,199	17,958	17,227	18,041	18,422	18,375	19,685	18,395	18,288	19,674	19,749

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
SBI Small Cap Fund	900,000	2.47	521.37	900,000	2025-04-12	0%
Nippon India Small Cap Fund	326,882	0.51	189.36	326,882	2025-04-16	0%
SBI Magnum Global Fund	250,000	2.37	144.82	250,000	2025-04-14	0%
SBI Contra Fund	150,000	0.52	86.89	150,000	2025-04-16	0%
SBI Infrastructure Fund	78,374	3.47	45.4	78,374	2025-04-12	0%
SBI Retirement Benefit Fund - Aggressive Plan	43,850	1.44	25.4	N/A	N/A	N/A
SBI Retirement Benefit Fund - Aggressive Hybrid Plan	42,100	2.18	24.39	42,100	2025-04-13	0%
SBI Conservative Hybrid Fund	41,177	0.27	23.85	N/A	N/A	N/A
SBI Conservative Hybrid Fund - Div (Annual)	41,177	0.27	23.85	41,177	2025-04-12	0%
SBI Conservative Hybrid Fund - Div (Monthly)	41,177	0.27	23.85	41,177	2025-04-12	0%

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	10.00	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	105.90	88.16	54.78	38.52	46.40
Diluted EPS (Rs.)	105.90	88.16	54.78	38.52	46.40
Cash EPS (Rs.)	114.86	95.88	62.14	46.13	54.57
Book Value[Excl.RevalReserv]/Share (Rs.)	198.87	169.12	158.69	168.43	219.46
Book Value[Incl.RevalReserv]/Share (Rs.)	198.87	169.12	158.69	168.43	219.46
Dividend / Share (Rs.)	86.00	78.00	60.00	44.00	70.00
Revenue From Operations / Share (Rs.)	807.88	708.77	580.12	444.84	456.78
PBDIT / Share (Rs.)	152.16	126.37	81.34	60.20	71.68
PBIT / Share (Rs.)	143.20	118.65	73.98	52.59	63.51
PBT / Share (Rs.)	142.92	118.45	73.79	52.33	63.18
Net Profit / Share (Rs.)	105.90	88.16	54.78	38.52	46.40
PBDIT Margin (%)	18.83	17.82	14.02	13.53	15.69
PBIT Margin (%)	17.72	16.74	12.75	11.82	13.90
PBT Margin (%)	17.69	16.71	12.71	11.76	13.83
Net Profit Margin (%)	13.10	12.43	9.44	8.66	10.15
Return on Networth / Equity (%)	53.25	52.13	34.52	22.87	21.14
Return on Capital Employeed (%)	69.55	67.53	45.42	30.41	28.34
Return On Assets (%)	29.57	28.62	19.33	15.27	15.54
Asset Turnover Ratio (%)	2.43	2.40	2.17	1.62	1.68
Current Ratio (X)	1.75	1.72	1.81	2.39	3.15
Quick Ratio (X)	1.27	1.12	1.25	1.78	2.46
Inventory Turnover Ratio (X)	4.85	4.59	4.95	4.09	4.78
Dividend Payout Ratio (NP) (%)	71.78	88.49	118.66	231.06	0.00
Dividend Payout Ratio (CP) (%)	66.18	81.37	104.61	192.95	0.00
Earning Retention Ratio (%)	28.22	11.51	-18.66	-131.06	0.00
Cash Earning Retention Ratio (%)	33.82	18.63	-4.61	-92.95	0.00
Interest Coverage Ratio (X)	557.55	627.35	431.66	225.98	220.64
Interest Coverage Ratio (Post Tax) (X)	389.05	438.68	291.72	145.61	143.82
Enterprise Value (Cr.)	8003.20	5385.84	4620.73	2719.72	1553.82
EV / Net Operating Revenue (X)	6.44	4.94	5.18	3.97	2.21
EV / EBITDA (X)	34.18	27.69	36.91	29.35	14.08
MarketCap / Net Operating Revenue (X)	6.51	4.99	5.23	4.03	2.35
Retention Ratios (%)	28.21	11.50	-18.66	-131.06	0.00
Price / BV (X)	26.44	20.91	19.10	10.65	4.90
Price / Net Operating Revenue (X)	6.51	4.99	5.23	4.03	2.35
EarningsYield	0.02	0.02	0.01	0.02	0.04

After reviewing the key financial ratios for Esab India Ltd, here is a detailed analysis based on the latest available data and recent trends:

For FaceValue, as of Mar 24, the value is 10.00. This value is within the healthy range. There is no change compared to the previous period (Mar 23) which recorded 10.00.
For Basic EPS (Rs.), as of Mar 24, the value is 105.90. This value is within the healthy range. It has increased from 88.16 (Mar 23) to 105.90, marking an increase of 17.74.
For Diluted EPS (Rs.), as of Mar 24, the value is 105.90. This value is within the healthy range. It has increased from 88.16 (Mar 23) to 105.90, marking an increase of 17.74.
For Cash EPS (Rs.), as of Mar 24, the value is 114.86. This value is within the healthy range. It has increased from 95.88 (Mar 23) to 114.86, marking an increase of 18.98.
For Book Value[Excl.RevalReserv]/Share (Rs.), as of Mar 24, the value is 198.87. It has increased from 169.12 (Mar 23) to 198.87, marking an increase of 29.75.
For Book Value[Incl.RevalReserv]/Share (Rs.), as of Mar 24, the value is 198.87. It has increased from 169.12 (Mar 23) to 198.87, marking an increase of 29.75.
For Dividend / Share (Rs.), as of Mar 24, the value is 86.00. This value exceeds the healthy maximum of 3. It has increased from 78.00 (Mar 23) to 86.00, marking an increase of 8.00.
For Revenue From Operations / Share (Rs.), as of Mar 24, the value is 807.88. It has increased from 708.77 (Mar 23) to 807.88, marking an increase of 99.11.
For PBDIT / Share (Rs.), as of Mar 24, the value is 152.16. This value is within the healthy range. It has increased from 126.37 (Mar 23) to 152.16, marking an increase of 25.79.
For PBIT / Share (Rs.), as of Mar 24, the value is 143.20. This value is within the healthy range. It has increased from 118.65 (Mar 23) to 143.20, marking an increase of 24.55.
For PBT / Share (Rs.), as of Mar 24, the value is 142.92. This value is within the healthy range. It has increased from 118.45 (Mar 23) to 142.92, marking an increase of 24.47.
For Net Profit / Share (Rs.), as of Mar 24, the value is 105.90. This value is within the healthy range. It has increased from 88.16 (Mar 23) to 105.90, marking an increase of 17.74.
For PBDIT Margin (%), as of Mar 24, the value is 18.83. This value is within the healthy range. It has increased from 17.82 (Mar 23) to 18.83, marking an increase of 1.01.
For PBIT Margin (%), as of Mar 24, the value is 17.72. This value is within the healthy range. It has increased from 16.74 (Mar 23) to 17.72, marking an increase of 0.98.
For PBT Margin (%), as of Mar 24, the value is 17.69. This value is within the healthy range. It has increased from 16.71 (Mar 23) to 17.69, marking an increase of 0.98.
For Net Profit Margin (%), as of Mar 24, the value is 13.10. This value exceeds the healthy maximum of 10. It has increased from 12.43 (Mar 23) to 13.10, marking an increase of 0.67.
For Return on Networth / Equity (%), as of Mar 24, the value is 53.25. This value is within the healthy range. It has increased from 52.13 (Mar 23) to 53.25, marking an increase of 1.12.
For Return on Capital Employeed (%), as of Mar 24, the value is 69.55. This value is within the healthy range. It has increased from 67.53 (Mar 23) to 69.55, marking an increase of 2.02.
For Return On Assets (%), as of Mar 24, the value is 29.57. This value is within the healthy range. It has increased from 28.62 (Mar 23) to 29.57, marking an increase of 0.95.
For Asset Turnover Ratio (%), as of Mar 24, the value is 2.43. It has increased from 2.40 (Mar 23) to 2.43, marking an increase of 0.03.
For Current Ratio (X), as of Mar 24, the value is 1.75. This value is within the healthy range. It has increased from 1.72 (Mar 23) to 1.75, marking an increase of 0.03.
For Quick Ratio (X), as of Mar 24, the value is 1.27. This value is within the healthy range. It has increased from 1.12 (Mar 23) to 1.27, marking an increase of 0.15.
For Inventory Turnover Ratio (X), as of Mar 24, the value is 4.85. This value is within the healthy range. It has increased from 4.59 (Mar 23) to 4.85, marking an increase of 0.26.
For Dividend Payout Ratio (NP) (%), as of Mar 24, the value is 71.78. This value exceeds the healthy maximum of 50. It has decreased from 88.49 (Mar 23) to 71.78, marking a decrease of 16.71.
For Dividend Payout Ratio (CP) (%), as of Mar 24, the value is 66.18. This value exceeds the healthy maximum of 50. It has decreased from 81.37 (Mar 23) to 66.18, marking a decrease of 15.19.
For Earning Retention Ratio (%), as of Mar 24, the value is 28.22. This value is below the healthy minimum of 40. It has increased from 11.51 (Mar 23) to 28.22, marking an increase of 16.71.
For Cash Earning Retention Ratio (%), as of Mar 24, the value is 33.82. This value is below the healthy minimum of 40. It has increased from 18.63 (Mar 23) to 33.82, marking an increase of 15.19.
For Interest Coverage Ratio (X), as of Mar 24, the value is 557.55. This value is within the healthy range. It has decreased from 627.35 (Mar 23) to 557.55, marking a decrease of 69.80.
For Interest Coverage Ratio (Post Tax) (X), as of Mar 24, the value is 389.05. This value is within the healthy range. It has decreased from 438.68 (Mar 23) to 389.05, marking a decrease of 49.63.
For Enterprise Value (Cr.), as of Mar 24, the value is 8,003.20. It has increased from 5,385.84 (Mar 23) to 8,003.20, marking an increase of 2,617.36.
For EV / Net Operating Revenue (X), as of Mar 24, the value is 6.44. This value exceeds the healthy maximum of 3. It has increased from 4.94 (Mar 23) to 6.44, marking an increase of 1.50.
For EV / EBITDA (X), as of Mar 24, the value is 34.18. This value exceeds the healthy maximum of 15. It has increased from 27.69 (Mar 23) to 34.18, marking an increase of 6.49.
For MarketCap / Net Operating Revenue (X), as of Mar 24, the value is 6.51. This value exceeds the healthy maximum of 3. It has increased from 4.99 (Mar 23) to 6.51, marking an increase of 1.52.
For Retention Ratios (%), as of Mar 24, the value is 28.21. This value is below the healthy minimum of 30. It has increased from 11.50 (Mar 23) to 28.21, marking an increase of 16.71.
For Price / BV (X), as of Mar 24, the value is 26.44. This value exceeds the healthy maximum of 3. It has increased from 20.91 (Mar 23) to 26.44, marking an increase of 5.53.
For Price / Net Operating Revenue (X), as of Mar 24, the value is 6.51. This value exceeds the healthy maximum of 3. It has increased from 4.99 (Mar 23) to 6.51, marking an increase of 1.52.
For EarningsYield, as of Mar 24, the value is 0.02. This value is below the healthy minimum of 5. There is no change compared to the previous period (Mar 23) which recorded 0.02.

Overall, while many metrics show healthy performance, any figures highlighted in red or significant downward trends warrant further investigation.

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Esab India Ltd as of April 17, 2025 is: 4,371.36

Calculation basis:

Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of April 17, 2025, Esab India Ltd is Overvalued by 5.81% compared to the current share price 4,641.00

Intrinsic Value of Esab India Ltd as of April 17, 2025 is: 5,410.60

Calculation basis:

Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of April 17, 2025, Esab India Ltd is Undervalued by 16.58% compared to the current share price 4,641.00

Last 5 Year EPS CAGR: 23.77%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The stock has a high average ROCE of 31.42%, which is a positive sign. The company has higher reserves (280.85 cr) compared to borrowings (1.92 cr), indicating strong financial stability. The company has shown consistent growth in sales (453.85 cr) and profit (98.08 cr) over the years.	The stock has a high average Working Capital Days of 34.42, which may not be favorable. The stock has a high average Cash Conversion Cycle of 37.17, which may not be favorable.

Stock Analysis

Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Esab India Ltd:
1. Net Profit Margin: 13.1%
  - Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
2. ROCE: 69.55% (Industry Average ROCE: 29.82%)
  - ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
3. ROE%: 53.25% (Industry Average ROE: 22.1%)
  - ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
4. Interest Coverage Ratio (Post Tax): 389.05
  - Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
5. Quick Ratio: 1.27
  - Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
6. Stock P/E: 41.5 (Industry average Stock P/E: 39.5)
  - Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
7. Total Debt / Equity: 0
  - Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
Stock Rating:

About the Company - Qualitative Analysis

Esab India Ltd. is a Public Limited Listed company incorporated on 10/11/1987 and has its registered office in the State of Tamil Nadu, India. Company's Corporate Identification Number(CIN) is L29299TN1987PLC058738 and registration number is 058738. Currently Company is involved in the business activities of Machining; treatment and coating of metals. Company's Total Operating Revenue is Rs. 1243.32 Cr. and Equity Capital is Rs. 15.39 Cr. for the Year ended 31/03/2024.

INDUSTRY	ADDRESS	CONTACT
Welding Equipments	Plot No.13, 3rd Main Road, Chennai (Madras) Tamil Nadu 600058	investor.relations@esab.co.in http://www.esabindia.com

Management
Name	Position Held
Mr. Kevin J Johnson	Chairman
Mr. Rohit Gambhir	Managing Director
Mr. B Mohan	Director & CFO
Ms. Cauvery Dharmaraj	Independent Director
Mr. Vikram Tandon	Independent Director
Mr. K Vaidyanathan	Independent Director

FAQ

What is the intrinsic value of Esab India Ltd?

Esab India Ltd's intrinsic value (as of 17 April 2025) is ₹4371.36 — 5.81% lower the current market price of 4,641.00, indicating overvalued. Calculated using the PE ratio method, this valuation considers the company's 7,149 Cr. market cap, FY2025-2026 high/low of ₹6,999/4,130, reserves of 332 Cr, and liabilities of 573 Cr.

What is the Market Cap of Esab India Ltd?

The Market Cap of Esab India Ltd is 7,149 Cr..

What is the current Stock Price of Esab India Ltd as on 17 April 2025?

The current stock price of Esab India Ltd as on 17 April 2025 is 4,641.

What is the High / Low of Esab India Ltd stocks in FY 2025-2026?

In FY 2025-2026, the High / Low of Esab India Ltd stocks is ₹6,999/4,130.

What is the Stock P/E of Esab India Ltd?

The Stock P/E of Esab India Ltd is 41.5.

What is the Book Value of Esab India Ltd?

The Book Value of Esab India Ltd is 226.

What is the Dividend Yield of Esab India Ltd?

The Dividend Yield of Esab India Ltd is 2.39 %.

What is the ROCE of Esab India Ltd?

The ROCE of Esab India Ltd is 75.9 %.

What is the ROE of Esab India Ltd?

The ROE of Esab India Ltd is 56.9 %.

What is the Face Value of Esab India Ltd?

The Face Value of Esab India Ltd is 10.0.