Eicher Motors Limited (EICHERMOT.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

+149.3%

₹18,281.15

vs ₹7,334.00 price

Levered DCF

₹17,494.25

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

—

Rating

B-

Overall 3 / 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	32.75×	30.79×	27.05×	27.72×	40.11×	52.88×	19.56×	24.62×
P/B	7.2×	6.84×	6×	5.39×	5.33×	6.23×	3.58×	6.09×
P/S	7.72×	7.78×	6.59×	5.49×	6.6×	8.21×	3.93×	5.57×
EV / EBITDA	22.57×	31.54×	25.47×	21.54×	32.03×	40.53×	16.62×	18.6×
Gross margin	33.6%	44.1%	44.4%	43.3%	40.3%	39.8%	44.0%	47.2%
Operating margin	21.1%	35.5%	35.9%	35.3%	31.0%	28.5%	33.9%	38.7%
Net margin	23.6%	25.3%	24.3%	19.8%	16.4%	15.5%	20.1%	22.6%
Current ratio	1.9×	1.63×	1.15×	1.14×	1.88×	3.35×	3.16×	2.1×
Debt / equity	0.02×	0.02×	0.02×	0.02×	0.01×	0.02×	0.02×	0.02×
Interest coverage	69.13×	133.84×	127.63×	185.67×	192.82×	150.37×	163.51×	514.82×
Dividend yield	1.1%	1.0%	0.9%	0.7%	0.7%	0.0%	1.9%	0.6%
Payout ratio	34.8%	29.5%	25.3%	19.7%	27.7%	0.0%	37.3%	13.6%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	22.0%	22.2%	22.2%	19.4%	13.3%	11.8%	18.3%	24.7%
Return on invested capital	14.1%	23.0%	23.1%	24.7%	18.1%	15.3%	22.6%	26.8%
Return on assets	17.1%	17.4%	17.3%	15.2%	10.3%	9.3%	14.7%	19.3%
Free cash flow yield	2.2%	2.0%	2.9%	2.6%	1.3%	1.6%	3.2%	1.4%
Earnings yield	3.1%	3.2%	3.7%	3.6%	2.5%	1.9%	5.1%	4.1%
Enterprise value	₹1.8T	₹1.5T	₹1.1T	₹809.7B	₹673B	₹713.5B	₹359.7B	₹537.6B
Net debt / EBITDA	0.03×	0.05×	0.07×	0.05×	0.03×	0.07×	0.1×	-0.19×
Cash conversion cycle (days)	-6	-14	-6	-22	-1	-9	-23	-39