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Grasim Industries Limited (GRASIM) fair value: what the stock is really worth

As of Nov 5, 2026: fair value (intrinsic value) of Grasim Industries Limited stock ₹1,245, price ₹3,228, that is 61.4% below the price, quality 30 out of 100. Rating: strongly overvalued. Calculated from audited financials with 16 of our 26 valuation models and 37 quality factors, updated daily.

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Basic Materials IN · ISIN INE047A01021

GI Grasim Industries Limited logo Some data Nov 6, 2026

Grasim Industries Limited

GRASIM · NSE
Very expensive, weak quality

Our calculation puts a fair price 61% below what the stock costs today.

Last quarter vs. a year ago: revenue +21%, profit +51%.
Expensive Growth (revenue 5y +18.1 %/yr in INR)
Thin margins · 3.1% net margin (TTM)
0.3% dividend yield · Token dividend
Some data
Fair value ₹1,245 · Strongly overvalued (−61.4%)
Quality 30/100
High debt
Negative free cash flow
Trails peers (4/13)
Narrow moat 40/100
⟳ Cyclical

Risks from the AI analysis

🚩Rivals like Asian Paints in paints🚩Sustainability rules and alternative materials

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

Price vs Fair Value

₹3,381 ₹1,250 Fair Value ₹1,245 Jul 2021 Nov 2026

White line = price, green steps = our fair value per fiscal year. As of Nov 6, 2026.

How to read this chart

60‑month range ₹1,250 – ₹3,381 · fair‑value band ₹933.64 – ₹1,556 · the ₹3,228 price screens above the ₹1,245 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 6, 2026.

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Company profile

Grasim Industries Limited, together with its subsidiaries, primarily produces cellulosic fibres, diversified chemicals, fashion yarns, and fabrics in india and internationally. The company operates through Cellulosic Fibres, Chemicals, Building Materials, Financial Services, and Others segments.

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It offers cellulosic staple fibre; and cellulosic fashion yarn; chlor-alkali comprising caustic soda; chlorine derivatives, and specialty chemicals, that include epoxy polymers and curing agents.

The company also provides grey cement, white cement-based putty, and ready-mix concrete; and decorative paints comprising interior and exterior water- based paints, enamel paints, wood finishes, waterproofing solutions, and wallpapers under the Birla Opus brand name.

In addition, it operates Birla Pivot, a business-to-business e-commerce platform for building and construction materials; and offers non-banking financial services, housing finance, asset management, and health and life insurance, protection, investments, advisory, and value-added services.

Further, the company provides textile products, such as linen fabrics, wool tops and worsted yarn, and cotton fabrics under Linen Club, Cavallo, Soktas, and Giza House brands; manufactures and sells ceramic and composite insulators for transmission and distribution lines, sub-stations, power equipment, and railway electrification industries; and engages in generating clean energy using solar, wind, hybrid, and floating solar systems.

The company was incorporated in 1947 and is based in Mumbai, India.

Stock analysis

Grasim Industries Limited (GRASIM) currently trades at ₹3,228, while our model-based Fair Value estimate is ₹1,245, 61% 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 ₹1,428 per share, and 0 of the 16 models we run sit above the ₹3,228 price.

Bear case: the Dividend Discount group reads lowest at ₹162.53, and 16 of the 16 models stay below the price. Data coverage for this calculation is medium.

Scenario range: ₹933.64 (bear) to ₹1,556 (bull), the price of ₹3,228 sits above 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 30/100 (below-average quality), in the Basic Materials sector.

Expensive Growth: The company is growing, but growth may require heavy reinvestment or weak cash conversion.

Grasim Industries Limited reported revenue of ₹1.8T in FY2026 versus ₹957B in FY2022, a compound +16.4%/yr. Reported net income was ₹49.7B in FY2026, compounding −9.9%/yr from FY2022.

Key figures

Market cap ₹2.2T (≈ $23.2B) Large · P/E ratio 38.5 · P/S ratio 1.19 · EPS (TTM) ₹83.85 · Dividend yield 0.3% · Net margin 3.1% · Return on equity 6.3% · Return on assets (EBIT) 9.5%.

Competitive moat

Our AI-assisted moat analysis scores the competitive advantage at 40 out of 100 (medium confidence).

What moves the price

The share trades about 5% below its 52-week high and 27% above its 52-week low, currently above its 200-day average.

For context, the median of 10 Basic Materials peers we cover trades at −18% fair-value upside, at −61%, GRASIM screens richer than that median.

Fair Value models

Bear ₹933.64 Fair Value ₹1,245 Bull ₹1,556
Price ₹3,228 · Downside -61.4%
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 (₹44.51 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.
Best data coverage
Residual Income ₹1,110 ₹1,093 ₹1,138 76
EPV ₹808.73 ₹1,081 ₹1,310 73
ROIC Compounder ₹808.73 ₹1,081 ₹1,310 71
All 16 models by family
Earnings-Based
Graham-Dodd ₹497.94 ₹2,734 ₹3,793 63
Lynch FV ₹760.68 ₹1,087 ₹1,413 61
PEG = 1.0 ₹760.68 ₹1,087 ₹1,413 57
EPV ₹808.73 ₹1,081 ₹1,310 73
Dividend Discount
Gordon GGM ₹97.02 ₹181.62 ₹258.67 67
DDM Multi-Stage ₹97.02 ₹162.53 ₹193.19 67
Multiples
P/E Multiple ₹933.64 ₹1,245 ₹1,556 63
P/S Multiple ₹933.64 ₹1,245 ₹1,556 57
P/B Multiple ₹1,609 ₹2,145 ₹2,681 55
EV/EBIT ₹1,078 ₹1,963 ₹2,847 62
EV/EBITDA ₹731.75 ₹1,501 ₹2,270 63
EV/Revenue n/a ₹294.90 ₹856.12 49
Asset-Based
NCAV (Graham) ₹508.47 ₹681.36 ₹1,017 53
Economic Profit
Residual Income ₹1,110 ₹1,093 ₹1,138 76
ROIC Compounder ₹808.73 ₹1,081 ₹1,310 71
Growth Earnings
Growth-Adj P/E ₹999.70 ₹1,428 ₹1,857 67

Open the full fair value analysis →

Quality Score breakdown

Overall quality 30/100

It rates the business: profits, how they develop, real cash, balance sheet, investing and share count.

Profitability 23
How much profit the company makes from its sales and capital
Quality Growth 52
Are margins and returns getting better?
Cashflow 0
Do the profits arrive as real cash?
Financial strength 8
Debt, balance sheet and risk of trouble
Investment 40
Does it invest with discipline instead of growing at any price?
Low Volatility 91
How calm the share price moves, does not count
Price momentum 48
Price momentum of the last 3 to 12 months, does not count
Near the 52-week high 69
Distance to the 52-week high, does not count
New shares 68
Buys back shares or issues new ones?

Open the full quality analysis →

Revenue & earnings trend

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. 58/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Revenue growth 1 year
+18.2%
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.
+14.3%
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.
+18.1%
Start year 2021 (pandemic). Over 10 years: +17.7% a year
Revenue growth 21 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.
+15.0%
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. 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.
+2.1%
Earnings growth per share plus dividend.
Earnings per share, growth per year+1.8%
Dividend (yield on the price)0.3%
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.1.8% vs 3.3%, steady
Profit margin 2021 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.13% → 20%
Pace: the 5-year rate starts in 2021 (pandemic)

GRASIM screens overvalued: fair value 61% below the price. Compare with CRH plc →

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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.Building Materials · 257 stocks

Beats the industry median on 4/13 measures
Overall it trails its industry peers.
Valuation
Quality Score 30 · Bottom 25%
Fair Value upside −61.4% · Bottom 25%
Profitability
Return on equity (12 months) 6.3% · Above median
Return on assets 1.8% · Below median
Net margin (12 months) 6.4% · Above median
Operating margin (12 months) 18.8% · Top 25%
Growth and dividend
Revenue growth (quarter YoY) 21.4% · Top 25%
Dividend yield (12 months) 0.3% · Bottom 25%
Balance sheet
Debt / equity 1.52× · Highest 25%

Valuation Multiplesvs Building Materials median · lower = cheaper

P/E (12 months) 38.5× · Priciest 25%
P/B 2.12× · Priciest 25%
P/S (12 months) 2.47× · Priciest 25%
EV/EBITDA 20.3× · Priciest 25%

Strength profile in five axes (Snowflake)

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE (fair-value potential)0 · sector 31
FUTURE (revenue growth)100 · sector 12
PAST (return on equity)25 · sector 18
HEALTH (low debt)24 · sector 92
DIVIDEND (yield)6 · sector 48

VALUE 0: the price sits above our fair-value range.

Context: sector, industry, market

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Building Materials stocks, each showing price versus our Fair Value estimate.

Stock Price Fair Value vs Fair Value Compare
Anhui Conch Cement Company 600585 ¥18.48 ¥29.57 +60% vs GRASIM
Heidelberg Materials AG HEI €175.05 €177.45 +1% vs GRASIM
China Jushi Co 600176 ¥29.03 ¥28.04 −3% vs GRASIM
Holcim AG HOLN CHF 73.84 CHF 66.54 −10% vs GRASIM
Amrize AG AMRZ $42.65 $35.08 −18% vs GRASIM
CRH plc CRH $95.45 $75.09 −21% vs GRASIM
Vulcan Materials Company VMC $285.51 $132.92 −53% vs GRASIM
Martin Marietta Materials, Inc MLM $527.83 $214.62 −59% vs GRASIM
UltraTech Cement Limited ULTRACEMCO ₹12,250 ₹4,721 −61% vs GRASIM
James Hardie Industries plc JHX A$39.20 A$10.71 −73% vs GRASIM

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Grasim Industries Limited: fair value per Fair Value Calculator

Cite: Fair Value Calculator (2026). "Grasim Industries Limited Fair Value". https://www.fairvalue-calculator.com/stock/GRASIM

Frequently asked questions

Is Grasim Industries Limited (GRASIM) overvalued or undervalued?
As of Nov 6, 2026, our model estimates a fair value of ₹1,245 versus a price of ₹3,228, about 61% lower (overvalued).
What is the fair value of GRASIM?
Our model-based fair value for Grasim Industries Limited is ₹1,245 (as of Nov 6, 2026), built from audited fundamentals. The current price: ₹3,228.
What is the quality score of GRASIM?
Grasim Industries Limited has a Quality Score of 30/100. 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 Grasim Industries Limited (GRASIM)?
Our model-based price target is the fair value of ₹1,245 (as of Nov 6, 2026) from 16 valuation models. Cautious scenario ₹933.64, optimistic scenario ₹1,556. It is a calculation from audited fundamentals, not an analyst target.
What is the Grasim Industries Limited stock forecast for 2026?
Our models put fair value at ₹1,245, about 61% lower versus a price of ₹3,228 (overvalued). Cautious scenario ₹933.64, optimistic scenario ₹1,556. The calculation is refreshed regularly with new filings.
What is the revenue of Grasim Industries Limited (GRASIM)?
Grasim Industries Limited reported trailing-twelve-month revenue of about ₹1.8T (latest available figure, as of Nov 6, 2026).
Does Grasim Industries Limited pay a dividend?
Grasim Industries Limited currently shows a dividend yield of 0.31% relative to its recent price (as of Nov 6, 2026).
What is the intrinsic value of Grasim Industries Limited (GRASIM)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Grasim Industries Limited it is ₹1,245 per share (as of Nov 6, 2026), against a price of ₹3,228. It is the blended result of 16 valuation models (cash flow, earnings, asset, dividend).
Is Grasim Industries Limited stock overvalued or undervalued in 2026?
As of Nov 6, 2026, GRASIM trades above its calculated fair value: price ₹3,228, fair value ₹1,245, a gap of about −61% (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 GRASIM?
No. The price is what the market pays today (₹3,228); the fair value is what the company's own numbers justify (₹1,245). For Grasim Industries Limited the two are ₹1,983 per share apart. That gap is exactly why we show both numbers side by side.
How much is Grasim Industries Limited worth?
The market values Grasim Industries Limited at about ₹2.2T (market capitalisation, as of Nov 6, 2026). Per share that is ₹3,228; our models calculate a fair value of ₹1,245 per share.
What do the bullish and bearish scenarios say about GRASIM?
Our models span a range for Grasim Industries Limited: cautious scenario ₹933.64, base ₹1,245, optimistic ₹1,556 per share (as of Nov 6, 2026, price ₹3,228). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of GRASIM?
Grasim Industries Limited trades at a price-to-earnings ratio of 38.5 (as of Nov 6, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ₹1,245 is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2017 to 2026), reported earnings, FY2026 ex one-offs: 22.9. Other multiples: P/B 2.1, P/S 2.5, EV/EBITDA 20.3.
How solid is the balance sheet of Grasim Industries Limited (GRASIM)?
Balance-sheet figures for Grasim Industries Limited (as of Nov 6, 2026): return on equity 6.3%, debt of 1.52 per unit of equity. They feed the Quality Score of 30/100, which measures business quality independently of the share price.
How far is GRASIM from its 52-week high?
Grasim Industries Limited trades at ₹3,228, about 5% below its 52-week high of ₹3,381 and 27% above the low of ₹2,533 (as of Nov 5, 2026). Distance from the high says nothing about value: that is what the fair value of ₹1,245 is for.
Which stocks are comparable to Grasim Industries Limited?
From the same area (Basic Materials) we also value CRH plc, Holcim AG, Martin Marietta Materials, Inc, Vulcan Materials Company, 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 Grasim Industries Limited stock attractive at the current price?
The data as of Nov 6, 2026: price ₹3,228, calculated fair value ₹1,245 (−61%), Quality Score 30/100, from 16 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 GRASIM calculated?
We run Grasim Industries Limited through 16 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 ₹1,245, 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. Grasim Industries 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 Grasim Industries Limited (GRASIM)?
The closing price on Nov 5, 2026 was ₹3,228. Our model-based fair value is ₹1,245, about 61% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Grasim Industries Limited right now?
The price sits above even our optimistic bull case (₹1,556). The favourable scenario is already priced in. Weak quality (30/100) and above fair value at the same time, the margin of safety is missing on both counts.
Where does the earnings growth of Grasim Industries Limited (GRASIM) come from?
Earnings per share at Grasim Industries Limited grew +3.4 % a year from 2015 to 2026. Broken into its drivers: revenue per share +13.3 %, EBIT margin +0.6 %, tax rate −1.6 %, residual (interest, one-offs) −7.9 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.

Key figures of Grasim Industries Limited

How large is the market capitalisation of Grasim Industries Limited (GRASIM)?
The market capitalisation of Grasim Industries Limited is ₹2.2T (≈ $23.2B). 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 Grasim Industries Limited (GRASIM)?
The price-to-sales ratio of Grasim Industries Limited is 1.19 (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 Grasim Industries Limited (GRASIM)?
Earnings per share at Grasim Industries Limited are ₹83.85 (price ÷ EPS = P/E 38.5). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Grasim Industries Limited (GRASIM)?
The dividend yield of Grasim Industries Limited is 0.3% (payout 11.9%). 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 Grasim Industries Limited (GRASIM)?
The net margin of Grasim Industries Limited is 3.1% (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 Grasim Industries Limited (GRASIM)?
The return on equity (ROE) of Grasim Industries Limited is 6.3% (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 Grasim Industries Limited (GRASIM)?
On an EBIT basis the return on assets of Grasim Industries Limited is 9.5% (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 Grasim Industries Limited (GRASIM)?
The operating margin of Grasim Industries Limited is 18.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Grasim Industries Limited (GRASIM)?
Revenue at Grasim Industries Limited is growing +21.4% versus a year earlier (3y avg +14.3%). 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 Grasim Industries Limited (GRASIM)?
Earnings per share at Grasim Industries Limited are growing +51.3% versus a year earlier. How much earnings per share grew versus a year earlier.
How much free cash flow does Grasim Industries Limited (GRASIM) generate?
The free cash flow of Grasim Industries Limited is −₹334B (fiscal year 2026). The cash truly left after running and investing in the business, this is what pays dividends and buybacks.
How much net debt does Grasim Industries Limited (GRASIM) carry?
The net debt of Grasim Industries Limited is ₹2.2T (fiscal year 2026). 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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