Eicher Motors Limited (EICHERMOT) fair value: what the stock is really worth
As of Nov 5, 2026: fair value (intrinsic value) of Eicher Motors Limited stock ₹6,849, price ₹7,713, that is 11.2% below the price, quality 69 out of 100. Rating: overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 5, 2026.
How to read this chart
60‑month range ₹2,142 – ₹8,139 · fair‑value band ₹3,689 – ₹12,094 · the ₹7,713 price screens above the ₹6,849 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 5, 2026.
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Eicher Motors Limited, an automobile company, engages in the manufacture and sale of motorcycles and commercial vehicles in India and internationally.
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The company designs, develops, manufactures, assembles, and sells two-wheelers, as well as related parts and accessories; motorcycle accessories; protective and performance gears, and riding apparel products for men and women; and lifestyle apparel products and accessories.
It also owns the Royal Enfield motorcycle brand that offers Classic 350, Bullet 350, Meteor 350, Hunter 350, Himalayan 450, Scram 440 ADV Crossover, Interceptor 650, Bear 650, Guerrilla 450 modern roadster, Continental GT 650, Super Meteor 650, and Shotgun 650 models.
The company was founded in 1901 and is headquartered in Chennai, India.
Stock analysis
Eicher Motors Limited (EICHERMOT) currently trades at ₹7,713, while our model-based Fair Value estimate is ₹6,849, 11% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of ₹5,154 per share, and 1 of the 26 models we run sit above the ₹7,713 price.
Bear case: the Dividend Discount group reads lowest at ₹956.74, and 25 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: ₹3,689 (bear) to ₹12,094 (bull), the price of ₹7,713 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 69/100 (solid quality), in the Consumer Cyclical sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Eicher Motors Limited reported revenue of ₹234B in FY2026 versus ₹102B in FY2022, a compound +23.1%/yr. Reported net income was ₹55.2B in FY2026, compounding +34.7%/yr from FY2022.
Key figures
Market cap ₹2.1T (≈ $22.4B) Large · P/E ratio 36.7 · P/S ratio 8.52 · EPS (TTM) ₹210.15 · Dividend yield 1.1% · Net margin 23.2% · Return on equity 23.8% · Return on assets (EBIT) 22.4%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 82 out of 100 (medium confidence).
What moves the price
The share trades about 5% below its 52-week high and 18% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at 6% fair-value upside, at −11%, EICHERMOT screens richer than that median.
Fair Value models
Bear₹3,689Fair Value ₹6,849Bull₹12,094
Price ₹7,713 · Downside -11.2%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2026 figures (about 7 months old). Earnings retained since then (₹77.24 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+25.0%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+16.7%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+22.0%
Start year 2021 (pandemic). Over 10 years: +20.6% a year
Revenue growth 11 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+18.5%
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What shareholders gained per year (last 5 years), in INR ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: EBIT basis. Measured in INR: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+10.8%
Earnings growth per share plus dividend.
Earnings per share, growth per year+9.7%
Dividend (yield on the price)1.1%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.26.8% vs 16.9%, picking up
Profit margin 2004 to 2026 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.7% → 21%
Pace: the 5-year rate starts in 2021 (pandemic)
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+29.3%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+13.7%
Yearly sales growth analysts expect, extended to five years.
After inflation (India: IMF forecast 4.1% a year to 2030, 4.7% from 2016 to 2025) that is about +24.1% a year for the price and +9.1% for the forecasts.
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Auto Manufacturers · 109 stocks
Beats the industry median on 7/14 measures
A mixed picture versus its industry peers.
Valuation
Quality Score69 · Top 25%
Fair Value upside−11.2% · Below median
Profitability
Return on equity (12 months)23.8% · Top 25%
Return on assets17.2% · Top 25%
Net margin (12 months)23.2% · Top 25%
Operating margin (12 months)19.8% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)31.5% · Top 25%
Dividend yield (12 months)1.1% · Below median
Balance sheet
Debt / equity0.01× · Lowest 25%
Valuation Multiplesvs Auto Manufacturers median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is Eicher Motors Limited (EICHERMOT) overvalued or undervalued?
As of Nov 5, 2026, our model estimates a fair value of ₹6,849 versus a price of ₹7,713, about 11% lower (overvalued).
What is the fair value of EICHERMOT?
Our model-based fair value for Eicher Motors Limited is ₹6,849 (as of Nov 5, 2026), built from audited fundamentals. The current price: ₹7,713.
What is the quality score of EICHERMOT?
Eicher Motors Limited has a Quality Score of 69/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Eicher Motors Limited (EICHERMOT)?
Our model-based price target is the fair value of ₹6,849 (as of Nov 5, 2026) from 26 valuation models. Cautious scenario ₹3,689, optimistic scenario ₹12,094. It is a calculation from audited fundamentals, not an analyst target.
What is the Eicher Motors Limited stock forecast for 2026?
Our models put fair value at ₹6,849, about 11% lower versus a price of ₹7,713 (overvalued). Cautious scenario ₹3,689, optimistic scenario ₹12,094. The calculation is refreshed regularly with new filings.
What is the revenue of Eicher Motors Limited (EICHERMOT)?
Eicher Motors Limited reported trailing-twelve-month revenue of about ₹249B (latest available figure, as of Nov 5, 2026).
Does Eicher Motors Limited pay a dividend?
Eicher Motors Limited currently shows a dividend yield of 1.06% relative to its recent price (as of Nov 5, 2026).
What growth is priced into Eicher Motors Limited (EICHERMOT)?
For today's price to be fair in a discounted-cash-flow model, Eicher Motors Limited would have to grow free cash flow by +29.3 % per year for five years (discount rate 10.4 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +22.0 % per year. As of Nov 5, 2026.
What discount rate (WACC) does the fair value of EICHERMOT use?
Our models discount Eicher Motors Limited at 10.4 %: a base by market capitalisation (large), damped by beta 0.24, country premium for India. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Eicher Motors Limited that is +29.3 % per year a year over ten years, using the same discount rate (10.4 %) and the same formula as our fair value.
How much growth has Eicher Motors Limited (EICHERMOT) delivered so far?
Over the past 5 years revenue at Eicher Motors Limited grew +22.0 % a year. The price currently implies +29.3 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Eicher Motors Limited (EICHERMOT) growing?
The median revenue growth in the sector is +4.6 % a year. That is the yardstick for the growth priced into Eicher Motors Limited (+29.3 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Eicher Motors Limited (EICHERMOT)?
The free-cash-flow yield on the price is 1.91 %: that much free cash flow Eicher Motors Limited produces per unit of market value. When it exceeds the discount rate of our models (10.4 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Eicher Motors Limited (EICHERMOT)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Eicher Motors Limited it is ₹6,849 per share (as of Nov 5, 2026), against a price of ₹7,713. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is Eicher Motors Limited stock overvalued or undervalued in 2026?
As of Nov 5, 2026, EICHERMOT trades above its calculated fair value: price ₹7,713, fair value ₹6,849, a gap of about −11% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of EICHERMOT?
No. The price is what the market pays today (₹7,713); the fair value is what the company's own numbers justify (₹6,849). For Eicher Motors Limited the two are ₹864.26 per share apart. That gap is exactly why we show both numbers side by side.
How much is Eicher Motors Limited worth?
The market values Eicher Motors Limited at about ₹2.1T (market capitalisation, as of Nov 5, 2026). Per share that is ₹7,713; our models calculate a fair value of ₹6,849 per share.
What do the bullish and bearish scenarios say about EICHERMOT?
Our models span a range for Eicher Motors Limited: cautious scenario ₹3,689, base ₹6,849, optimistic ₹12,094 per share (as of Nov 5, 2026, price ₹7,713). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of EICHERMOT?
Eicher Motors Limited trades at a price-to-earnings ratio of 36.7 (as of Nov 5, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ₹6,849 is built from several models across several years. Median P/E at fiscal year-end, 6 fiscal years (2021 to 2026), reported earnings, FY2026 ex one-offs: 31.8. Other multiples: P/B 8.4, P/S 8.5, EV/EBITDA 36.7.
How solid is the balance sheet of Eicher Motors Limited (EICHERMOT)?
Balance-sheet figures for Eicher Motors Limited (as of Nov 5, 2026): return on equity 23.8%, debt of 0.01 per unit of equity. They feed the Quality Score of 69/100, which measures business quality independently of the share price.
How far is EICHERMOT from its 52-week high?
Eicher Motors Limited trades at ₹7,713, about 5% below its 52-week high of ₹8,139 and 18% above the low of ₹6,524 (as of Nov 5, 2026). Distance from the high says nothing about value: that is what the fair value of ₹6,849 is for.
Which stocks are comparable to Eicher Motors Limited?
From the same area (Consumer Cyclical) we also value Tesla, Inc, Toyota Motor Corporation, BYD Company, Ferrari N.V, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Eicher Motors Limited stock attractive at the current price?
The data as of Nov 5, 2026: price ₹7,713, calculated fair value ₹6,849 (−11%), Quality Score 69/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of EICHERMOT calculated?
We run Eicher Motors Limited through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of ₹6,849, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 15.5% above its aggregate fair value. Eicher Motors Limited itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Eicher Motors Limited (EICHERMOT)?
The closing price on Nov 5, 2026 was ₹7,713. Our model-based fair value is ₹6,849, about 11% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Eicher Motors Limited right now?
The model range is unusually wide (₹3,689 to ₹12,094). The outcome hinges heavily on assumptions, so read the point estimate with caution. The price sits in the lower half of our model range, the side with the larger margin of safety. The data supports the verdict: every model runs on fully documented inputs.
Key figures of Eicher Motors Limited
How large is the market capitalisation of Eicher Motors Limited (EICHERMOT)?
The market capitalisation of Eicher Motors Limited is ₹2.1T (≈ $22.4B). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Eicher Motors Limited (EICHERMOT)?
The price-to-sales ratio of Eicher Motors Limited is 8.52 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Eicher Motors Limited (EICHERMOT)?
Earnings per share at Eicher Motors Limited are ₹210.15 (price ÷ EPS = P/E 36.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Eicher Motors Limited (EICHERMOT)?
The dividend yield of Eicher Motors Limited is 1.1% (payout 39.0%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Eicher Motors Limited (EICHERMOT)?
The net margin of Eicher Motors Limited is 23.2% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Eicher Motors Limited (EICHERMOT)?
The return on equity (ROE) of Eicher Motors Limited is 23.8% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Eicher Motors Limited (EICHERMOT)?
On an EBIT basis the return on assets of Eicher Motors Limited is 22.4% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Eicher Motors Limited (EICHERMOT)?
The operating margin of Eicher Motors Limited is 19.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Eicher Motors Limited (EICHERMOT)?
Revenue at Eicher Motors Limited is growing +31.5% versus a year earlier (3y avg +16.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Eicher Motors Limited (EICHERMOT)?
Earnings per share at Eicher Motors Limited are growing +21.3% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Eicher Motors Limited (EICHERMOT) carry?
The net debt of Eicher Motors Limited is ₹2.6B (fiscal year 2026, ≈ 0.1 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Nov 5, 2026