Aarti Industries Limited (AARTIIND.NS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-240.0%

-₹614.47

vs ₹439.00 price

Levered DCF

-₹624.47

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

2.06

Grey zone

Rating

B-

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	34.52×	42.8×	59.73×	34.45×	25.35×	38.01×	21.61×	23.26×
P/B	2.43×	2.53×	4.7×	3.82×	6.65×	5.68×	3.89×	4.35×
P/S	1.75×	1.99×	4.02×	2.89×	5.79×	4.62×	2.82×	2.77×
EV / EBITDA	15.99×	18.22×	29.1×	20.94×	19.29×	22.98×	13.77×	13.58×
Gross margin	24.6%	24.6%	24.8%	27.7%	30.6%	33.5%	35.0%	34.5%
Operating margin	8.2%	8.4%	10.0%	12.3%	28.6%	17.8%	19.6%	19.9%
Net margin	5.1%	4.6%	6.7%	8.4%	22.8%	12.2%	13.1%	11.9%
Current ratio	0.83×	0.84×	0.81×	0.88×	1.25×	0.99×	1.05×	1.33×
Debt / equity	0.83×	0.69×	0.61×	0.59×	0.57×	0.82×	0.71×	0.91×
Interest coverage	1.99×	2.38×	3.05×	7.01×	19.32×	8.86×	6.45×	4.48×
Dividend yield	0.2%	0.3%	0.2%	0.5%	0.4%	0.2%	0.9%	0.4%
Payout ratio	8.6%	10.9%	13.1%	16.6%	10.7%	8.6%	19.8%	8.9%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	7.0%	5.9%	7.9%	11.1%	26.3%	14.9%	18.0%	18.7%
Return on invested capital	6.1%	6.3%	7.2%	8.8%	17.5%	9.0%	11.0%	12.0%
Return on assets	3.2%	3.0%	4.3%	6.4%	15.1%	6.9%	8.5%	8.4%
Free cash flow yield	-3.9%	-1.0%	-0.5%	-0.0%	-2.2%	-2.2%	-0.4%	-0.5%
Earnings yield	2.9%	2.3%	1.7%	2.9%	3.9%	2.6%	4.6%	4.3%
Enterprise value	₹188.5B	₹178.2B	₹280.8B	₹215.2B	₹325.5B	₹223.5B	₹134.5B	₹130.4B
Net debt / EBITDA	3.72×	3.73×	3.32×	2.67×	1.48×	2.52×	1.92×	1.67×
Cash conversion cycle (days)	59	55	85	119	161	113	134	135