Tata Elxsi Limited (TATAELXSI.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

+43.7%

₹5,330.32

vs ₹3,710.10 price

Levered DCF

₹5,545.35

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

17.26

Safe zone

Rating

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	39.42×	40.23×	60.89×	49.14×	100.16×	45.56×	15.3×	20.63×
P/B	8.14×	11.04×	19.25×	17.79×	34.39×	12.4×	3.59×	6.35×
P/S	6.59×	8.47×	13.58×	11.8×	22.28×	9.18×	2.43×	3.75×
EV / EBITDA	28.45×	27.46×	41.36×	35.9×	67.94×	29.78×	9.34×	12.93×
Gross margin	38.6%	41.8%	43.6%	44.5%	45.7%	39.0%	55.1%	66.0%
Operating margin	20.6%	24.2%	27.0%	28.2%	29.3%	26.7%	19.4%	25.1%
Net margin	16.7%	21.0%	22.3%	24.0%	22.2%	20.2%	15.9%	18.2%
Current ratio	3.92×	5.28×	5.69×	4.83×	4.13×	5.26×	5.53×	5.39×
Debt / equity	0.05×	0.07×	0.09×	0.09×	0.09×	0.05×	0.05×	0×
Interest coverage	43.39×	44.58×	45.43×	51.37×	69.14×	69.07×	45.81×	386.72×
Dividend yield	1.9%	1.4%	0.8%	0.7%	0.5%	0.6%	2.6%	1.4%
Payout ratio	74.3%	55.5%	47.6%	35.0%	54.4%	27.9%	39.8%	28.5%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	20.7%	27.4%	31.6%	36.2%	34.3%	27.2%	23.5%	30.8%
Return on invested capital	18.1%	22.1%	26.0%	30.9%	30.0%	23.9%	19.3%	28.1%
Return on assets	15.9%	21.9%	24.9%	27.3%	25.3%	21.4%	18.4%	25.4%
Free cash flow yield	3.1%	2.5%	1.3%	1.1%	0.7%	2.4%	6.0%	3.1%
Earnings yield	2.5%	2.5%	1.6%	2.0%	1.0%	2.2%	6.5%	4.8%
Enterprise value	₹247.2B	₹316.4B	₹483.3B	₹371.6B	₹550.4B	₹167.4B	₹37.5B	₹59.3B
Net debt / EBITDA	-0.06×	0.05×	0.08×	0.05×	-0.02×	-0.05×	-0.42×	-0.12×
Cash conversion cycle (days)	86	74	94	97	77	79	95	72