TVS Motor Company Limited (TVSMOTOR.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

+79.9%

₹7,693.23

vs ₹4,277.50 price

Levered DCF

₹26,075.24

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

3.7

Safe zone

Rating

Overall 3 / 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	52.95×	52.57×	61.17×	38.51×	39.27×	46.77×	22.63×	32.36×
P/B	16.71×	13.64×	14.98×	9.3×	6.76×	7.26×	4.31×	7.19×
P/S	2.85×	2.63×	2.61×	1.59×	1.22×	1.43×	0.75×	1.13×
EV / EBITDA	22.6×	20.95×	22.41×	17.13×	15.93×	16.64×	10.62×	14.51×
Gross margin	27.7%	38.8%	37.1%	34.6%	32.9%	33.1%	34.2%	30.4%
Operating margin	12.7%	26.7%	25.3%	22.9%	21.6%	21.0%	21.7%	19.5%
Net margin	5.4%	5.1%	4.3%	4.1%	3.1%	3.1%	3.3%	3.5%
Current ratio	0.98×	1.12×	1.02×	0.88×	0.93×	0.97×	0.97×	1.02×
Debt / equity	3.43×	3.36×	3.83×	4.06×	3.6×	3.18×	3.53×	2.93×
Interest coverage	3.19×	5.63×	5.09×	5.38×	5.61×	4.54×	6.16×	5.97×
Dividend yield	0.4%	0.4%	0.4%	0.6%	0.6%	0.4%	1.4%	0.9%
Payout ratio	18.9%	21.3%	22.5%	22.0%	25.2%	16.8%	32.1%	28.4%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	31.6%	26.3%	24.9%	24.1%	17.2%	15.5%	19.0%	22.2%
Return on invested capital	10.6%	20.4%	19.0%	17.3%	16.9%	18.0%	19.9%	20.4%
Return on assets	5.3%	4.7%	4.0%	3.8%	2.8%	2.7%	3.2%	4.2%
Free cash flow yield	-1.0%	0.9%	-2.4%	-11.2%	-8.6%	0.8%	-4.5%	-9.0%
Earnings yield	1.9%	1.9%	1.7%	2.6%	2.5%	2.1%	4.4%	3.1%
Enterprise value	₹1.9T	₹1.4T	₹1.3T	₹717B	₹441.1B	₹384B	₹246.5B	₹319.3B
Net debt / EBITDA	3.4×	3.65×	4.23×	4.9×	5.19×	4.6×	4.53×	4.15×
Cash conversion cycle (days)	74	69	81	82	63	55	75	65