Escorts Kubota Limited (ESCORTS.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

+384.8%

₹11,761.07

vs ₹2,425.90 price

Levered DCF

₹13,772.33

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

—

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	12.59×	31.5×	33.32×	32.13×	22.93×	13.98×	12.04×	13.92×
P/B	2.44×	3.42×	3.42×	2.5×	2.22×	2.43×	1.82×	2.49×
P/S	2.61×	3.46×	3.21×	2.43×	2.32×	1.74×	0.98×	1.06×
EV / EBITDA	14.44×	30.02×	27.39×	25.71×	16.68×	10.66×	8.35×	9.39×
Gross margin	30.4%	28.4%	28.2%	26.7%	31.0%	33.2%	33.0%	30.8%
Operating margin	10.8%	18.4%	18.7%	16.8%	20.8%	22.8%	20.1%	19.7%
Net margin	20.7%	12.3%	11.0%	7.6%	10.1%	12.4%	8.1%	7.6%
Current ratio	3.26×	2.87×	3.14×	2.86×	5.03×	2.73×	1.64×	1.44×
Debt / equity	0.01×	0.01×	0.01×	0.01×	0.01×	0.01×	0.02×	0.11×
Interest coverage	60.76×	69.87×	133.41×	106.87×	137.26×	164.71×	90.29×	63.14×
Dividend yield	1.3%	0.9%	0.2%	0.4%	0.4%	0.2%	0.5%	0.4%
Payout ratio	16.5%	24.1%	7.0%	11.9%	10.0%	2.8%	5.5%	6.0%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	19.3%	12.2%	11.7%	7.8%	9.7%	17.3%	15.1%	17.9%
Return on invested capital	7.3%	14.7%	14.6%	12.9%	14.5%	23.3%	27.1%	27.4%
Return on assets	15.2%	9.7%	9.6%	6.3%	8.1%	12.7%	9.4%	10.2%
Free cash flow yield	3.5%	2.2%	2.7%	0.0%	-0.9%	8.2%	10.6%	-6.0%
Earnings yield	7.9%	3.6%	3.4%	3.1%	4.4%	7.1%	8.3%	7.2%
Enterprise value	₹301.3B	₹351.8B	₹312.4B	₹203.7B	₹168.5B	₹121.6B	₹55.6B	₹68.4B
Net debt / EBITDA	-0.01×	-0.2×	-0.16×	-0.16×	-0.04×	-0.04×	-0.18×	0.26×
Cash conversion cycle (days)	6	36	44	38	50	31	43	39