SML Mahindra Limited (SMLMAH.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

-163.5%

-₹3,143.53

vs ₹4,946.80 price

Levered DCF

₹561.63

After debt service

Piotroski score

—

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	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	34.25×	36.05×	40.67×	221.09×	-43.97×	-32.86×	-208.33×	224.04×
P/B	10.54×	11.46×	15.36×	24.65×	27.16×	17.16×	11.4×	10.61×
P/S	1.93×	1.84×	2.01×	2.42×	4.8×	7.47×	3.81×	3.12×
EV / EBITDA	21.13×	19.63×	26.08×	57.47×	-130.86×	-71.71×	290.88×	59.65×
Gross margin	12.7%	23.3%	22.0%	19.0%	16.7%	-12.4%	3.1%	8.4%
Operating margin	7.8%	7.8%	6.1%	2.2%	-9.2%	-20.1%	-2.5%	2.4%
Net margin	5.6%	5.1%	4.9%	1.1%	-10.9%	-22.7%	-1.8%	1.4%
Current ratio	1.25×	1.17×	1.01×	0.79×	0.71×	0.82×	1.2×	1.27×
Debt / equity	0.56×	0.85×	1.48×	1.49×	1.84×	1.05×	0.5×	0.6×
Interest coverage	11.25×	6.38×	4.55×	1.86×	-3.99×	-5.22×	-2.2×	2.37×
Dividend yield	0.5%	0.5%	0.0%	0.0%	0.0%	0.0%	0.1%	0.1%
Payout ratio	16.2%	19.1%	0.3%	1.0%	-0.1%	-0.0%	-25.8%	14.8%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	30.8%	31.8%	37.8%	11.1%	-61.8%	-52.2%	-5.5%	4.7%
Return on invested capital	18.7%	17.7%	17.2%	8.0%	-16.5%	-19.1%	-2.4%	3.6%
Return on assets	11.4%	9.4%	8.9%	2.1%	-12.2%	-15.7%	-2.3%	1.7%
Free cash flow yield	1.3%	2.6%	-2.1%	1.1%	-0.9%	-2.0%	2.1%	-0.4%
Earnings yield	2.9%	2.8%	2.5%	0.5%	-2.3%	-3.0%	-0.5%	0.4%
Enterprise value	₹57.4B	₹47.1B	₹47.7B	₹46.5B	₹46.7B	₹46.3B	₹45.4B	₹46B
Net debt / EBITDA	1×	1.35×	2.11×	3.23×	-8.04×	-3.84×	10.12×	2.82×
Cash conversion cycle (days)	73	83	82	48	57	72	47	83