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Finolex Industries Limited (500940) Fair Value & Analysis

Consumer Goods · IN · Market cap ₹62.7B

FI Finolex Industries Limited 500940 · BSE
Price₹158.35
Fair Value₹162.97
Upside+2.9%
Quality55/100
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Mixed Growth
Solidly profitable · 12.9% net margin
Low debt
3.28% dividend yield
Ranks above peers (9/13)
Moderate moat 58/100
Evidence: High Range ₹139.12 – ₹261.71 Share as image

Fair value as of: Aug 19, 2026

From 24 valuation models · updated today

Fair value updated Aug 19, 2026, revised from ₹166.00 to ₹162.97 (−1.8%) since Aug 13, 2026.

A solid business, currently priced close to our fair value.

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What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • A fairly wide model range (₹139.12 to ₹261.71) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹340.56 ₹114.23 Fair Value ₹162.97 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 19, 2026.

How to read this chart

60‑month range ₹114.23 – ₹340.56 · fair‑value band ₹139.12 – ₹261.71 · the ₹158.35 price screens below the ₹162.97 fair value. Dashed = 300-day average. As of Aug 19, 2026.

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Analysis

Finolex Industries Limited (500940) currently trades at ₹158.35, while our model-based Fair Value estimate is ₹162.97, implying the stock looks roughly 2.9% fairly valued today. The Quality Score stands at 55/100 (solid quality), in the Consumer Goods sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Finolex Industries Limited generated revenue of ₹26.1B at a net margin of 12.9%. Revenue grew 1.6% year over year. It earns a return on equity of 14.1%. The stock trades on a trailing P/E of 29.7 (as of Jul 4, 2026). Fundamentals as of Aug 19, 2026

Our scenario range runs from ₹139.12 (bear case) to ₹261.71 (bull case); at ₹158.35, the current price sits within 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 29% below its 52-week high and 7% above its 52-week low. For context, the median of 10 Consumer Goods peers we cover trades at -34% fair-value upside, at 3%, 500940 screens cheaper 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 ₹72.33 ₹97.98 ₹136.81 80
Residual Income ₹146.80 ₹182.56 ₹437.98 76
Rev-Margin DCF ₹76.16 ₹115.32 ₹159.37 74
All 24 models by family
DCF Models
FCF DCF ₹69.84 ₹96.59 ₹139.45 38
Owner Earnings ₹206.13 ₹285.37 ₹412.30 31
5Y Revenue Exit ₹76.16 ₹114.36 ₹164.75 39
5Y EBITDA Exit ₹90.51 ₹139.15 ₹197.27 41
5Y P/E Exit ₹199.87 ₹328.16 ₹465.22 38
10Y Revenue Exit ₹70.76 ₹104.02 ₹143.40 36
10Y EBITDA Exit ₹82.00 ₹120.53 ₹165.86 37
10Y P/E Exit ₹149.60 ₹246.41 ₹350.94 35
Earnings-Based
Graham-Dodd ₹137.50 ₹264.13 ₹329.58 54
EPV ₹69.41 ₹80.93 ₹91.00 59
Dividend Discount
Gordon GGM ₹35.88 ₹49.59 ₹63.57 70
DDM Multi-Stage ₹35.88 ₹49.92 ₹66.41 61
Multiples
P/E Multiple ₹318.46 ₹424.62 ₹530.77 63
P/S Multiple ₹157.03 ₹209.37 ₹261.71 58
P/B Multiple ₹257.80 ₹343.74 ₹429.67 55
EV/EBIT ₹120.26 ₹160.23 ₹200.20 53
EV/EBITDA ₹118.34 ₹157.67 ₹197.00 54
EV/Revenue ₹85.93 ₹122.61 ₹159.29 43
Asset-Based
NCAV (Graham) ₹77.05 ₹103.24 ₹154.09 50
Growth DCF
Growth DCF ₹72.33 ₹97.98 ₹136.81 80
Rev-Margin DCF ₹76.16 ₹115.32 ₹159.37 74
Economic Profit
Residual Income ₹146.80 ₹182.56 ₹437.98 76
ROIC Compounder ₹69.41 ₹80.93 ₹91.00 72
Growth Earnings
Growth-Adj P/E ₹228.49 ₹326.42 ₹424.34 68

Widest divergence: Growth Earnings (₹326.42) versus Dividend Discount (₹49.59). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) ₹26.1B
Revenue growth (YoY) +1.6%
Net margin 12.9%
Return on equity 14.1%
P/E ratio 29.7 as of Jul 4, 2026
Operating margin 16.2%
More key figures
EPS (TTM) ₹27.14
Dividend yield 3.3%
EPS growth (YoY) +20.1%

Figures from reported company fundamentals · as of Aug 19, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 55/100

Of which business quality 53 · Market factors (momentum, volatility) 38

Profitability 52
Margins and returns on capital today
Quality Growth 39
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 61
Balance sheet, leverage, solvency risk
Investment 53
Disciplined investing over empire-building
Low Volatility 80
Calm price path (market factor)
Momentum 27
Price trend over the last 3–12 months (market factor)
52W Momentum 10
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

Finolex Industries Limited manufactures and sells polyvinyl chloride (PVC) pipes and fittings, and PVC resins in India. It operates in two segments, PVC Resin and PVC Pipes and Fittings.

Full company description

Finolex Industries Limited manufactures and sells polyvinyl chloride (PVC) pipes and fittings, and PVC resins in India. It operates in two segments, PVC Resin and PVC Pipes and Fittings. The company offers agriculture pipes and fittings; column pipes; casting pipes; solvent cement and lubricant; ASTM plumbing pipes and fittings; CPVC pipes and fittings; underground sewerage pipes; and SWR pipes and fittings. Its PVC resins has applications in various areas, such as manufacturing of pipes, insulation of cables, window profiles, flooring, blister packaging, etc. The company also generates and sells power. It distributes its products through dealers, warehouses, and retail outlets. Finolex Industries Limited was founded in 1956 and is headquartered in Pune, India.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Finolex Industries Limited reported revenue of ₹41.4B in FY2025 versus ₹34.6B in FY2021, a compound +4.6%/yr. Reported net income was ₹8.0B in FY2025, compounding +2.0%/yr from FY2021.

Growth Quality 63/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
₹41.4B
Latest YoY
−4.1%
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.
−3.8%
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.
+6.8%
Avg. growth/yr (11Y) 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.
+4.9%
Revenue +4.6%/yr
FY21 ₹34.6B
FY22 ₹46.5B
FY23 ₹44.0B
FY24 ₹43.2B
FY25 ₹41.4B
Net income +2.0%/yr
FY21 ₹7.4B
FY22 ₹10.5B
FY23 ₹2.5B
FY24 ₹4.7B
FY25 ₹8.0B

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Cite: Fair Value Calculator (2026). "Finolex Industries Limited Fair Value". https://www.fairvalue-calculator.com/stock/500940

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 “Rubber & Plastics” was too small, so the broader sector is used.)

Quality Score 55 · Above median
Fair Value upside +8% · Above median
Return on equity (TTM) 14% · Top 25%
Return on assets 9% · Top 25%
Net margin (TTM) 13% · Top 25%
Operating margin (TTM) 16% · Top 25%
Revenue growth 2% · Below median
Dividend yield (TTM) 3.3% · Above median

Valuation Multiples vs Industrials median · lower = cheaper

P/E (TTM) 29.7× · Pricier than median
P/B 1.03× · Cheaper than median
P/S (TTM) 2.40× · Pricier than median
EV/EBITDA 12.5× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 44 · sector 5
FUTURE 8 · sector 23
PAST 57 · sector 27
HEALTH 100 · sector 94
DIVIDEND 66 · sector 38

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 Rubber & Plastics stocks, each showing price versus our Fair Value estimate (as of Aug 19, 2026).

Stock Price Fair Value vs Fair Value
Nilkamal Limited 523385 ₹1,854 ₹1,228 -34%
Shaily Engineering Plastics Limited 501423 ₹3,431 ₹1,637 -52%
Rubfila International Limited 500367 ₹68.85 ₹96.62 +40%
Pix Transmissions Limited 500333 ₹1,929 ₹1,143 -41%
International Conveyors Limited 509709 ₹73.86 ₹56.24 -24%
Machino Plastics Limited 523248 ₹269.40 ₹43.10 -84%
Polylink Polymers (India) Limited 531454 ₹22.23 ₹9.41 -58%
Eastern Treads Limited 531346 ₹30.30 ₹3.27 -89%
Krypton Industries Limited 523550 ₹36.95 ₹35.73 -3%
Kunststoffe Industries Limited 523594 ₹19.59 ₹35.60 +82%

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Frequently asked questions

Is Finolex Industries Limited (500940) overvalued or undervalued?
As of Aug 19, 2026, our model estimates a fair value of ₹162.97 versus a price of ₹158.35, about +3% (fairly valued).
What is the fair value of 500940?
Our model-based fair value for Finolex Industries Limited is ₹162.97 (as of Aug 19, 2026), built from audited fundamentals. The current price is ₹158.35.
What is the quality score of 500940?
Finolex Industries Limited has a Quality Score of 55/100. 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 Finolex Industries Limited (500940)?
Finolex Industries Limited reported trailing-twelve-month revenue of about ₹26.1B (latest available figure, as of Aug 19, 2026).
What is the net profit margin of 500940?
The net profit margin of Finolex Industries Limited is about 12.9%, meaning it keeps roughly 12.9% of revenue as net income. Based on the latest reported figures.
Does Finolex Industries Limited pay a dividend?
Finolex Industries Limited currently shows a dividend yield of about 3.28% relative to its recent price (as of Aug 19, 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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