Shanthi Gears Limited (SHANTIGEAR.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

-35.4%

₹313.09

vs ₹484.80 price

Levered DCF

₹400.09

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

21.42

Safe zone

Rating

A-

Overall 4 / 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	43.17×	37.77×	51.8×	42×	32.51×	48.37×	20×	31.72×
P/B	7.52×	9×	12.34×	9.31×	5.31×	4.12×	2.2×	3.5×
P/S	6.38×	6×	7.95×	6.32×	4.19×	4.53×	2.12×	4.44×
EV / EBITDA	31.13×	27.67×	39.8×	30.84×	18.96×	27.69×	12.19×	19.84×
Gross margin	34.6%	53.0%	23.2%	51.9%	45.7%	47.4%	47.4%	50.3%
Operating margin	16.9%	39.5%	17.7%	17.9%	15.6%	8.6%	11.0%	12.9%
Net margin	14.8%	15.9%	15.3%	15.0%	12.9%	9.4%	10.6%	14.0%
Current ratio	3.71×	3.8×	3.38×	3.64×	2.99×	2.49×	3.32×	5.45×
Debt / equity	0×	0×	0×	0×	0×	0×	0×	0×
Interest coverage	0×	542.34×	182.63×	215.03×	213.79×	77.25×	137.68×	220×
Dividend yield	1.2%	1.1%	0.9%	0.8%	1.4%	1.2%	5.5%	3.9%
Payout ratio	50.2%	40.0%	46.7%	34.3%	45.2%	57.1%	110.1%	122.5%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	17.4%	23.8%	23.8%	22.2%	16.3%	8.5%	11.0%	11.0%
Return on invested capital	14.6%	43.6%	20.6%	19.5%	14.2%	6.0%	8.8%	8.0%
Return on assets	13.8%	19.0%	18.6%	17.7%	12.5%	6.2%	8.9%	9.5%
Free cash flow yield	0.8%	1.8%	0.4%	1.7%	2.1%	1.8%	7.6%	1.5%
Earnings yield	2.3%	2.6%	1.9%	2.4%	3.1%	2.1%	5.0%	3.2%
Enterprise value	₹32.3B	₹35.6B	₹42.6B	₹28B	₹13.2B	₹9.7B	₹5B	₹10.6B
Net debt / EBITDA	-0.72×	-0.5×	-0.01×	-0.17×	-0.96×	-0.06×	-0.03×	-0.03×
Cash conversion cycle (days)	125	107	106	99	123	132	151	210