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Thermax Limited (500411) Fair Value & Analysis

Industrial Goods · IN · Market cap ₹88.2B

TL Thermax Limited 500411 · BSE
Price₹4,325
Fair Value₹679.90
Upside-84.3%
Quality51/100
Expensive Growth
Thin margins · 3.1% net margin
Low debt
1.78% dividend yield
Narrow moat 23/100
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Evidence: High Range ₹371.78 – ₹1,162 Share as image

Fair value as of: Aug 2, 2026

From 25 valuation models · updated today

Share price −15.0% over the past month.

A solid business, but the price sits 84% above our fair value.

What matters now

  • The price sits above even our optimistic bull case (₹1,162). The favourable scenario is already priced in.
  • The model range is unusually wide (₹371.78 to ₹1,162). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid but not exceptional quality (51/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

₹5,625 ₹1,247 Fair Value ₹679.90 Mar 2021 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 2, 2026.

How to read this chart

60‑month range ₹1,247 – ₹5,625 · fair‑value band ₹371.78 – ₹1,162 · the ₹4,325 price screens above the ₹679.90 fair value. Dashed = 300-day average. As of Aug 2, 2026.

Which stocks are undervalued right now? Check free Discover now →

Analysis

Thermax Limited (500411) currently trades at ₹4,325, while our model-based Fair Value estimate is ₹679.90, implying the stock looks roughly 84.3% overvalued today. We read business quality at 51/100 (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, Thermax Limited generated revenue of ₹45.4B at a net margin of 3.1%. Revenue declined 28.9% year over year. It earns a return on equity of 4.6%. The stock trades on a trailing P/E of 63.2. Fundamentals as of Aug 2, 2026

Our scenario range runs from ₹371.78 (bear case) to ₹1,162 (bull case); at ₹4,325, the current price sits above that range. The share trades about 18% below its 52-week high and 58% above its 52-week low. For context, the median of 10 Industrial Goods peers we cover trades at -27% fair-value upside, at -84%, 500411 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 BearBaseBull Evidence
Highest evidence
Growth DCF ₹78.72 ₹193.95 ₹386.71 80
Residual Income ₹392.02 ₹483.17 ₹1,143 76
Rev-Margin DCF ₹353.27 ₹740.83 ₹1,233 74
All 25 models by family
DCF Models
FCF DCF ₹79.36 ₹203.30 ₹415.27 38
5Y Revenue Exit ₹353.27 ₹758.13 ₹1,317 39
5Y EBITDA Exit ₹433.72 ₹921.90 ₹1,539 41
5Y P/E Exit ₹466.64 ₹988.90 ₹1,588 38
10Y Revenue Exit ₹239.27 ₹592.85 ₹1,149 36
10Y EBITDA Exit ₹311.72 ₹711.99 ₹1,333 37
10Y P/E Exit ₹333.43 ₹760.73 ₹1,373 35
Earnings-Based
Graham-Dodd ₹362.08 ₹1,606 ₹2,199 54
Lynch FV ₹416.34 ₹594.77 ₹773.20 50
PEG = 1.0 ₹416.34 ₹594.77 ₹773.20 46
EPV ₹391.40 ₹470.08 ₹538.93 59
Dividend Discount
Gordon GGM ₹104.20 ₹216.66 ₹343.71 70
DDM Multi-Stage ₹104.20 ₹182.70 ₹227.39 61
Multiples
P/E Multiple ₹798.71 ₹1,065 ₹1,331 63
P/S Multiple ₹678.90 ₹905.20 ₹1,132 58
P/B Multiple ₹678.90 ₹905.20 ₹1,132 55
EV/EBIT ₹772.14 ₹1,056 ₹1,341 53
EV/EBITDA ₹664.94 ₹913.48 ₹1,162 54
EV/Revenue ₹494.17 ₹740.55 ₹986.93 43
Asset-Based
NCAV (Graham) ₹207.16 ₹277.60 ₹414.32 50
Growth DCF
Growth DCF ₹78.72 ₹193.95 ₹386.71 80
Rev-Margin DCF ₹353.27 ₹740.83 ₹1,233 74
Economic Profit
Residual Income ₹392.02 ₹483.17 ₹1,143 76
ROIC Compounder ₹391.40 ₹530.73 ₹718.37 72
Growth Earnings
Growth-Adj P/E ₹664.56 ₹949.37 ₹1,234 68

Widest divergence: Growth Earnings (₹949.37) versus Dividend Discount (₹182.70). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) ₹45.4B
Revenue growth (YoY) -28.9%
Net margin 3.1%
Return on equity 4.6%
P/E ratio 63.2
Operating margin 2.7%
More key figures
EPS (TTM) ₹12.43
Dividend yield 1.8%
EPS growth (YoY) +21.4%

Figures from reported company fundamentals · as of Aug 2, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 51/100

Of which business quality 48 · Market factors (momentum, volatility) 68

Profitability 52
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 40
Earnings quality: real cash, not paper profit
Fin. Strength 46
Balance sheet, leverage, solvency risk
Investment 38
Disciplined investing over empire-building
Low Volatility 73
Calm price path (market factor)
Momentum 72
Price trend over the last 3–12 months (market factor)
52W Momentum 54
Distance to the 52-week high (market factor)
Net Issuance 72
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

Thermax Limited provides engineering solutions in India and internationally. It operates through three segments: Energy, Environment, and Chemical.

Full company description

Thermax Limited provides engineering solutions in India and internationally. It operates through three segments: Energy, Environment, and Chemical. The company offers vapor absorption chillers, heat pumps and transformers, and solar-based and process cooling products; waste heat recovery systems, industrial boilers, solar-based heating, and fired heaters; and power plants, balance of plant, and operation and maintenance services. It also provides solar thermal and photovoltaic systems; and steam boilers, thermic fluid heaters, hot water and air heaters/generators, waste HRB, and energy plants. In addition, the company offers steam accessories, such as condensate recovery systems, steam traps, pre-fabricated modules, pressure reducing stations, pressure reducing and desuper heating systems, valves, steam line mountings, boiler house products, and monitoring equipment. Further, it provides electrostatic precipitators, bag filters, particulate and gaseous scrubbers, combo filters, flue gas desulphurization, selective catalytic and non-catalytic reduction, and modular gas coolers; water and waste management systems and solutions, such as water treatment, effluent and sewage treatment and recycling, and incineration; and chemicals, such as water treatment, fireside, green, sugar industry, paper, and oil field chemicals, as well as fuel additives and ion exchange resins. Additionally, it offers energy, retrofit and revamp, utility outsourcing, and specialized services and solutions; and spares. It serves automobiles, cement, chemicals and fertilizers, commercial/construction, dairy, distillery, paper and pulp, pharmaceuticals, plywood, power generation, processed food, refineries and petrochemicals, soft beverages, metals, sugar, textiles, and tire industries. The company was founded in 1966 and is headquartered in Pune, India. Thermax Limited is a subsidiary of RDA Holdings Private Limited.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Thermax Limited reported revenue of ₹104B in FY2025 versus ₹47.9B in FY2021, a compound +21.3%/yr. Reported net income was ₹6.3B in FY2025, compounding +32.4%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
₹104B
Latest YoY
+11.4%
Avg. growth/yr (3Y)
+19.2%
Avg. growth/yr (5Y)
+12.6%
Avg. growth/yr (11Y)
+6.7%
Revenue +21.3%/yr
FY21 ₹47.9B
FY22 ₹61.3B
FY23 ₹80.9B
FY24 ₹93.2B
FY25 ₹104B
Net income +32.4%/yr
FY21 ₹2.1B
FY22 ₹3.1B
FY23 ₹4.5B
FY24 ₹6.5B
FY25 ₹6.3B

500411 sits 84% above fair value. Compare with Siemens Limited →

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Cite: Fair Value Calculator (2026). "Thermax Limited Fair Value". https://www.fairvalue-calculator.com/stock/500411

Peer Group

Industrials · 5663 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 “Diversified Machinery” was too small, so the broader sector is used.)

Quality Score 51 · Above median
Fair Value upside −80% · Bottom 25%
Return on equity (TTM) 5% · Below median
Return on assets 1% · Below median
Net margin (TTM) 3% · Below median
Operating margin (TTM) 3% · Below median
Revenue growth -29% · Bottom 25%
Dividend yield (TTM) 1.8% · Above median
Debt / equity 0.24× · Higher than median

Valuation Multiples vs Industrials median · lower = cheaper

P/E (TTM) 63.2× · Pricier than 75% of peers
P/B 1.79× · Pricier than median
P/S (TTM) 1.94× · Pricier than median
EV/EBITDA 42.2× · 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 Diversified Machinery stocks, each showing price versus our Fair Value estimate (as of Aug 2, 2026).

Stock Price Fair Value vs Fair Value
Siemens Limited 500550 ₹3,759 ₹933.40 -75%
Yuken India Limited 522108 ₹783.95 ₹381.13 -51%
Disa India Limited 500068 ₹12,340 ₹6,268 -49%
Axtel Industries Limited 523850 ₹450.45 ₹327.90 -27%
Singer India Limited 505729 ₹69.75 ₹40.38 -42%
Transformers and Rectifiers (India) Limited 532928 ₹296.70 ₹318.52 +7%
Shilchar Technologies Limited 531201 ₹4,408 ₹6,447 +46%
Rajoo Engineers Limited 522257 ₹52.48 ₹8.21 -84%
T & I Global Limited 522294 ₹167.15 ₹233.60 +40%
Rexnord Electronics and Controls Limited 531888 ₹83.95 ₹92.54 +10%

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Frequently asked questions

Is Thermax Limited (500411) overvalued or undervalued?
As of Aug 2, 2026, our model estimates a fair value of ₹679.90 versus a price of ₹4,325, about −84% (overvalued).
What is the fair value of 500411?
Our model-based fair value for Thermax Limited is ₹679.90 (as of Aug 2, 2026), built from audited fundamentals. The current price is ₹4,325.
What is the quality score of 500411?
Thermax Limited has a Quality Score of 51/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Thermax Limited (500411)?
Thermax Limited reported trailing-twelve-month revenue of about ₹45.4B (latest available figure, as of Aug 2, 2026).
What is the net profit margin of 500411?
The net profit margin of Thermax Limited is about 3.1%, meaning it keeps roughly 3.1% of revenue as net income. Based on the latest reported figures.
Does Thermax Limited pay a dividend?
Thermax Limited currently shows a dividend yield of about 1.78% relative to its recent price (as of Aug 2, 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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