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ESAB India Limited (500133) Fair Value & Analysis

Industrial Goods · IN · Market cap ₹20.3B

EI ESAB India Limited 500133 · BSE
Price₹6,186
Fair Value₹2,116
Upside-65.8%
Quality69/100
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Healthy Growth
Thin margins · 9.5% net margin
Low debt
10.34% dividend yield
Wide moat 67/100
Evidence: High Range ₹1,392 – ₹2,788 Share as image

Fair value as of: Aug 14, 2026

From 26 valuation models · updated 5 days ago

Share price +9.6% over the past month.

A solid business, but screening 66% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹2,788). The favourable scenario is already priced in.
  • Solid but not exceptional quality (69/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (₹1,392 to ₹2,788) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹7,132 ₹1,613 Fair Value ₹2,116 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 14, 2026.

How to read this chart

60‑month range ₹1,613 – ₹7,132 · fair‑value band ₹1,392 – ₹2,788 · the ₹6,186 price screens above the ₹2,116 fair value. Dashed = 300-day average. As of Aug 14, 2026.

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Analysis

ESAB India Limited (500133) currently trades at ₹6,186, while our model-based Fair Value estimate is ₹2,116, implying the stock looks roughly 65.8% overvalued today. The Quality Score stands at 69/100 (solid quality), in the Industrial Goods sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, ESAB India Limited generated revenue of ₹6.4B at a net margin of 9.5%. Revenue declined 3.8% year over year. It earns a return on equity of 21.8%. The stock trades on a trailing P/E of 34.3 (as of Aug 14, 2026). Fundamentals as of Aug 14, 2026

Our scenario range runs from ₹1,392 (bear case) to ₹2,788 (bull case); at ₹6,186, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 15% below its 52-week high and 33% above its 52-week low. For context, the median of 10 Industrial Goods peers we cover trades at -27% fair-value upside, at -66%, 500133 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model 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. Evidence
Highest evidence
Growth DCF ₹1,529 ₹2,761 ₹4,922 80
Residual Income ₹668.71 ₹791.57 ₹3,517 76
Rev-Margin DCF ₹1,289 ₹2,242 ₹3,523 74
All 26 models by family
DCF Models
FCF DCF ₹1,555 ₹2,941 ₹5,470 38
Owner Earnings ₹1,469 ₹2,776 ₹5,162 31
5Y Revenue Exit ₹1,289 ₹2,271 ₹3,630 39
5Y EBITDA Exit ₹1,515 ₹2,755 ₹4,349 41
5Y P/E Exit ₹1,669 ₹3,085 ₹4,754 38
10Y Revenue Exit ₹1,324 ₹2,305 ₹3,867 36
10Y EBITDA Exit ₹1,517 ₹2,667 ₹4,491 37
10Y P/E Exit ₹1,621 ₹2,914 ₹4,842 35
Earnings-Based
Graham-Dodd ₹774.93 ₹4,040 ₹5,589 54
Lynch FV ₹1,107 ₹1,582 ₹2,056 50
PEG = 1.0 ₹1,107 ₹1,582 ₹2,056 46
EPV ₹1,309 ₹1,520 ₹1,705 59
Dividend Discount
Gordon GGM ₹932.68 ₹1,939 ₹3,076 70
DDM Multi-Stage ₹932.68 ₹1,635 ₹2,035 61
Multiples
P/E Multiple ₹1,795 ₹2,393 ₹2,991 63
P/S Multiple ₹1,338 ₹1,785 ₹2,231 58
P/B Multiple ₹792.06 ₹1,056 ₹1,320 55
EV/EBIT ₹1,952 ₹2,589 ₹3,226 53
EV/EBITDA ₹1,597 ₹2,116 ₹2,635 54
EV/Revenue ₹1,166 ₹1,648 ₹2,129 43
Asset-Based
NCAV (Graham) ₹117.34 ₹157.24 ₹234.68 50
Growth DCF
Growth DCF ₹1,529 ₹2,761 ₹4,922 80
Rev-Margin DCF ₹1,289 ₹2,242 ₹3,523 74
Economic Profit
Residual Income ₹668.71 ₹791.57 ₹3,517 76
ROIC Compounder ₹1,415 ₹1,773 ₹2,179 72
Growth Earnings
Growth-Adj P/E ₹1,653 ₹2,362 ₹3,070 68

Widest divergence: DCF Models (₹2,755) versus Asset-Based (₹157.24). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) ₹6.4B
Revenue growth (YoY) -3.8%
Net margin 9.5%
Return on equity 21.8%
P/E ratio 34.3 as of Aug 14, 2026
Operating margin 11.5%
More key figures
EPS (TTM) ₹39.43
Dividend yield 10.3%
EPS growth (YoY) -6.2%

Figures from reported company fundamentals · as of Aug 14, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 70 · Market factors (momentum, volatility) 61

Profitability 91
Margins and returns on capital today
Quality Growth 33
Are margins and returns improving?
Cashflow 61
Earnings quality: real cash, not paper profit
Fin. Strength 83
Balance sheet, leverage, solvency risk
Investment 53
Disciplined investing over empire-building
Low Volatility 83
Calm price path (market factor)
Momentum 49
Price trend over the last 3–12 months (market factor)
52W Momentum 58
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

ESAB India Limited manufactures and sells welding and cutting equipment in India. The company offers gas equipment; arc gouging and exothermic cutting; welding automation and robotics; ESAB digital solutions; filler metals; arc welding equipment; plasma cutting equipment; and cutting automation products, as well as PPE products and accessories, including …

Full company description

ESAB India Limited manufactures and sells welding and cutting equipment in India. The company offers gas equipment; arc gouging and exothermic cutting; welding automation and robotics; ESAB digital solutions; filler metals; arc welding equipment; plasma cutting equipment; and cutting automation products, as well as PPE products and accessories, including helmets and head protection, gloves, clothes, and eye protection products. Its products are used in shipbuilding, petrochemical, construction, transport, offshore, energy, and general engineering industries, as well as repair and maintenance of steel, mills, cement, sugar industries, etc. The company sells its products under the Arcair, Exaton, GASARC, Stoody, TBI Industries, Thermal Dynamics, Tweco, and Victor brand names. It serves in Qatar, Bangladesh, Ecuador, Vietnam, Dubai, Indonesia, Srilanka, Malaysia, Australia, Thailand, the Kingdom of Saudi Arabia, the Philippines, Singapore, South Africa, Sweden, China, Switzerland, Peru, and the United States markets. The company was founded in 1987 and is headquartered in Chennai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

ESAB India Limited reported revenue of ₹13.7B in FY2025 versus ₹6.8B in FY2021, a compound +19.2%/yr. Reported net income was ₹1.8B in FY2025, compounding +31.2%/yr from FY2021.

Growth Quality 95/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
₹13.7B
Latest YoY
+10.5%
Avg. growth/yr (3Y) 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.
+15.4%
Avg. growth/yr (5Y) 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.
+14.5%
Avg. growth/yr (10Y) 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.
+12.0%
Revenue +19.2%/yr
FY21 ₹6.8B
FY22 ₹8.9B
FY23 ₹10.9B
FY24 ₹12.4B
FY25 ₹13.7B
Net income +31.2%/yr
FY21 ₹593M
FY22 ₹843M
FY23 ₹1.4B
FY24 ₹1.6B
FY25 ₹1.8B

500133 screens 66% overvalued. Compare with Frontier Springs Limited →

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Cite: Fair Value Calculator (2026). "ESAB India Limited Fair Value". https://www.fairvalue-calculator.com/stock/500133

Peer Group

Industrials · 5383 stocks

How this stock ranks against its sector: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median. (Industry “Machine Tools & Accessories” was too small, so the broader sector is used.)

Quality Score 68 · Top 25%
Fair Value upside −66% · Bottom 25%
Return on equity (TTM) 22% · Top 25%
Return on assets 11% · Top 25%
Net margin (TTM) 10% · Above median
Operating margin (TTM) 11% · Above median
Revenue growth -4% · Below median
Dividend yield (TTM) 10.3% · Top 25%
Debt / equity 0.00× · Lower than 75% of peers

Valuation Multiples vs Industrials median · lower = cheaper

P/E (TTM) 34.3× · Pricier than median
P/B 5.62× · Pricier than 75% of peers
P/S (TTM) 3.18× · Pricier than 75% of peers
EV/EBITDA 23.4× · Pricier than 75% of peers

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

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Machine Tools & Accessories stocks, each showing price versus our Fair Value estimate (as of Aug 14, 2026).

Stock Price Fair Value vs Fair Value
Frontier Springs Limited 522195 ₹1,510 ₹190.81 -87%
DHP India Limited 531306 ₹533.30 ₹466.45 -13%
Fluidomat Limited 522017 ₹898.65 ₹515.90 -43%
Austin Engineering Company 522005 ₹122.40 ₹161.49 +32%
Solitaire Machine Tools Limited 522152 ₹108.60 ₹62.19 -43%
Rasi Electrodes Limited 531233 ₹12.38 ₹16.39 +32%
Hittco Tools Limited 531661 ₹11.33 ₹15.35 +35%
Shree Cement Limited 500387 ₹25,410 ₹4,548 -82%
Siemens Limited 500550 ₹4,019 ₹892.67 -78%
Bharat Electronics Limited 500049 ₹404.00 ₹294.84 -27%

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Frequently asked questions

Is ESAB India Limited (500133) overvalued or undervalued?
As of Aug 14, 2026, our model estimates a fair value of ₹2,116 versus a price of ₹6,186, about −66% (overvalued).
What is the fair value of 500133?
Our model-based fair value for ESAB India Limited is ₹2,116 (as of Aug 14, 2026), built from audited fundamentals. The current price is ₹6,186.
What is the quality score of 500133?
ESAB India 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 revenue of ESAB India Limited (500133)?
ESAB India Limited reported trailing-twelve-month revenue of about ₹6.4B (latest available figure, as of Aug 14, 2026).
What is the net profit margin of 500133?
The net profit margin of ESAB India Limited is about 9.5%, meaning it keeps roughly 9.5% of revenue as net income. Based on the latest reported figures.
Does ESAB India Limited pay a dividend?
ESAB India Limited currently shows a dividend yield of about 10.34% relative to its recent price (as of Aug 14, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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