Grasim Industries Limited (GRASIM.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

-696.3%

-₹18,421.43

vs ₹3,089.30 price

Levered DCF

-₹26,542.13

After debt service

Piotroski score

3 / 9

Weak

Altman Z-score

—

Rating

C+

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	35.42×	47.13×	26.88×	15.64×	15.5×	23.34×	7.16×	33.18×
P/B	1.7×	1.79×	1.71×	1.36×	1.44×	1.45×	0.55×	0.97×
P/S	1×	1.18×	1.16×	0.91×	1.14×	1.24×	0.41×	0.73×
EV / EBITDA	10.65×	12.49×	10.59×	9.62×	8.83×	9.17×	6.48×	8.37×
Gross margin	45.0%	57.9%	58.4%	56.4%	58.6%	62.5%	58.0%	54.8%
Operating margin	20.3%	38.4%	39.4%	37.3%	13.3%	13.2%	10.5%	33.6%
Net margin	2.8%	2.5%	4.3%	5.8%	7.9%	5.6%	5.9%	2.2%
Current ratio	0.95×	0.87×	0.93×	0.97×	0.98×	1.15×	1.12×	1.02×
Debt / equity	2.2×	1.91×	1.57×	1.31×	0.99×	1.21×	1.5×	1.46×
Interest coverage	2.35×	4.58×	5.57×	7.35×	2.7×	1.77×	1.16×	13×
Dividend yield	1.0%	0.9%	0.7%	1.1%	1.0%	0.5%	2.3%	1.1%
Payout ratio	33.7%	42.7%	20.0%	16.9%	14.1%	10.1%	16.0%	37.0%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	4.8%	3.8%	6.3%	8.7%	10.0%	6.6%	7.8%	2.9%
Return on invested capital	4.9%	9.0%	10.1%	10.9%	4.2%	2.9%	3.6%	6.2%
Return on assets	0.9%	0.7%	1.4%	2.0%	2.6%	1.6%	1.8%	0.7%
Free cash flow yield	-19.0%	1.9%	-19.9%	-23.1%	-1.4%	12.0%	37.1%	-10.4%
Earnings yield	2.8%	2.1%	3.7%	6.4%	6.9%	4.5%	14.2%	3.0%
Enterprise value	₹4T	₹3.5T	₹2.9T	₹2.1T	₹1.8T	₹1.7T	₹1.1T	₹1.4T
Net debt / EBITDA	5.94×	6.31×	5.02×	4.67×	3.53×	4.08×	4.69×	5×
Cash conversion cycle (days)	104	24	8	3	4	-1	31	42