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Ramkrishna Forgings Limited (532527) Fair Value & Analysis

Services · IN · Market cap ₹11.1B

RF Ramkrishna Forgings Limited 532527 · BSE
Price₹754.35
Fair Value₹2,216
Upside+193.8%
Quality25/100
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Expensive Growth
Loss-making · -3.8% net margin
Low debt
0.13% dividend yield
Trails peers (3/12)
Narrow moat 10/100
Evidence: High Range ₹1,662 – ₹2,771 Share as image

Fair value as of: Aug 13, 2026

From 16 valuation models · updated 5 days ago

Fair value updated Aug 13, 2026, revised from ₹2,127 to ₹2,216 (+4.2%) since Aug 11, 2026.

Below-average quality, screening 194% undervalued on our models.

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What matters now

  • The large discount to fair value meets weak quality (25/100). That raises the risk this is a value trap rather than a bargain.
  • The price is below even our cautious bear case (₹1,662). The market is more pessimistic than our downside scenario.
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Price vs Fair Value (5 years)

₹1,043 ₹97.22 Fair Value ₹2,216 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹97.22 – ₹1,043 · fair‑value band ₹1,662 – ₹2,771 · the ₹754.35 price screens below the ₹2,216 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Ramkrishna Forgings Limited (532527) currently trades at ₹754.35, while our model-based Fair Value estimate is ₹2,216, implying the stock looks roughly 193.8% undervalued today. The Quality Score stands at 25/100 (below-average quality), in the Services 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, Ramkrishna Forgings Limited generated revenue of ₹8.9B at a net margin of -3.8%. Revenue declined 14.1% year over year. It earns a return on equity of -3.9%. The stock trades on a trailing P/E of 19.6 (as of Jul 4, 2026). Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹1,662 (bear case) to ₹2,771 (bull case); at ₹754.35, the current price sits below 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 near its 52-week high and 64% above its 52-week low, currently above its 200-day average. For context, the median of 10 Services peers we cover trades at -25% fair-value upside, at 194%, 532527 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
Residual Income ₹921.38 ₹1,196 ₹3,495 76
ROIC Compounder ₹469.76 ₹603.89 ₹721.26 72
Gordon GGM ₹104.31 ₹216.87 ₹344.04 70
All 16 models by family
Earnings-Based
Graham-Dodd ₹886.60 ₹6,089 ₹8,539 54
Lynch FV ₹1,792 ₹2,559 ₹3,327 50
PEG = 1.0 ₹1,792 ₹2,559 ₹3,327 46
EPV ₹469.76 ₹603.89 ₹721.26 59
Dividend Discount
Gordon GGM ₹104.31 ₹216.87 ₹344.04 70
DDM Multi-Stage ₹104.31 ₹182.87 ₹227.61 61
Multiples
P/E Multiple ₹2,738 ₹3,651 ₹4,563 63
P/S Multiple ₹1,662 ₹2,216 ₹2,771 58
P/B Multiple ₹1,662 ₹2,216 ₹2,771 55
EV/EBIT ₹1,355 ₹1,918 ₹2,482 53
EV/EBITDA ₹2,083 ₹2,889 ₹3,695 54
EV/Revenue ₹519.39 ₹885.58 ₹1,252 43
Asset-Based
NCAV (Graham) ₹477.10 ₹639.32 ₹954.20 50
Economic Profit
Residual Income ₹921.38 ₹1,196 ₹3,495 76
ROIC Compounder ₹469.76 ₹603.89 ₹721.26 72
Growth Earnings
Growth-Adj P/E ₹2,821 ₹4,030 ₹5,239 68

Widest divergence: Growth Earnings (₹4,030) versus Dividend Discount (₹182.87). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹8.9B
Revenue growth (YoY) -14.1%
Net margin -3.8%
Return on equity -3.9%
P/E ratio 19.6 as of Jul 4, 2026
Operating margin 2.7%
More key figures
EPS (TTM) ₹6.73
Dividend yield 0.1%
EPS growth (YoY) +21.6%

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 25/100

Of which business quality 30 · Market factors (momentum, volatility) 60

Profitability 46
Margins and returns on capital today
Quality Growth 36
Are margins and returns improving?
Cashflow 6
Earnings quality: real cash, not paper profit
Fin. Strength 31
Balance sheet, leverage, solvency risk
Investment 0
Disciplined investing over empire-building
Low Volatility 34
Calm price path (market factor)
Momentum 70
Price trend over the last 3–12 months (market factor)
52W Momentum 75
Distance to the 52-week high (market factor)
Net Issuance 59
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

Ramkrishna Forgings Limited manufactures and supplies open and closed die forgings of carbon and alloy steel, micro alloy steel, and stainless steel in India and internationally.

Full company description

Ramkrishna Forgings Limited manufactures and supplies open and closed die forgings of carbon and alloy steel, micro alloy steel, and stainless steel in India and internationally. The company offers crown wheels/ring gears; I beams, crankshafts, connecting rods, knuckles, diff cases, center wedges, steering arms, tie rod arms, pitman arms, stub axles, recondition taper stationary plates, spides/crosses, brake flanges, brackets, wheel hubs, yokes, front engine mounting arms, tooth products, hammer bars, track links, bearing caps, counterweights, and ring gear carriers; and pinions, front hubs, prop shafts, counter shafts, rear axle shafts, coupling flanges, engaging gears, CM gears, speed gears, and clutch collars. It also provides screw couplings, bolster suspensions, side frame keys, and draw gear assemblies. The company offers its products for various industries and sectors, including automotive, earth moving and mining, farm equipment, general engineering, railways, steel plants, and oil exploration, as well as for OEMs. Ramkrishna Forgings Limited was founded in 1981 and is based in Kolkata, India.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Ramkrishna Forgings Limited reported revenue of ₹40.3B in FY2025 versus ₹12.9B in FY2021, a compound +33.0%/yr. Reported net income was ₹4.2B in FY2025, compounding +111.7%/yr from FY2021.

Growth Quality 52/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
₹40.3B
Latest YoY
+8.9%
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.
+20.2%
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.
+27.1%
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.
+22.4%
Revenue +33.0%/yr
FY21 ₹12.9B
FY22 ₹23.2B
FY23 ₹31.9B
FY24 ₹37.0B
FY25 ₹40.3B
Net income +111.7%/yr
FY21 ₹207M
FY22 ₹2.0B
FY23 ₹2.5B
FY24 ₹2.9B
FY25 ₹4.2B

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Cite: Fair Value Calculator (2026). "Ramkrishna Forgings Limited Fair Value". https://www.fairvalue-calculator.com/stock/532527

Peer Group

Information Technology · 3528 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 “Industrial Equipment Wholesale” was too small, so the broader sector is used.)

Quality Score 25 · Bottom 25%
Fair Value upside −89% · Bottom 25%
Return on assets 1% · Below median
Net margin (TTM) -4% · Bottom 25%
Operating margin (TTM) 3% · Below median
Revenue growth -14% · Bottom 25%
Dividend yield (TTM) 0.1% · Bottom 25%
Debt / equity 0.36× · Higher than 75% of peers

Valuation Multiples vs Information Technology median · lower = cheaper

P/E (TTM) 19.6× · Cheaper than median
P/S (TTM) 0.01× · Cheaper than 75% of peers
EV/EBITDA 8.3× · Cheaper 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 0 · sector 0
FUTURE 0 · sector 39
PAST 0 · sector 21
HEALTH 82 · sector 97
DIVIDEND 3 · sector 28

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 Industrial Equipment Wholesale stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

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Redex Protech Limited 523650 ₹32.47 ₹44.79 +38%
PVR Limited 532689 ₹1,192 ₹783.79 -34%
eClerx Services Limited 532927 ₹1,854 ₹3,208 +73%
Saregama India Limited 532163 ₹531.35 ₹2,119 +299%
TAJGVK Hotels & Resorts Limited 532390 ₹337.95 ₹258.32 -24%
Entertainment Network (India) Limited 532700 ₹101.00 ₹48.39 -52%
Repro India Limited 532687 ₹327.45 ₹38.77 -88%
Allsec Technologies Limited 532633 ₹810.60 ₹605.57 -25%
Oriental Hotels Limited 500314 ₹126.45 ₹33.58 -73%

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Frequently asked questions

Is Ramkrishna Forgings Limited (532527) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹2,216 versus a price of ₹754.35, about +194% (undervalued).
What is the fair value of 532527?
Our model-based fair value for Ramkrishna Forgings Limited is ₹2,216 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹754.35.
What is the quality score of 532527?
Ramkrishna Forgings Limited has a Quality Score of 25/100. 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 Ramkrishna Forgings Limited (532527)?
Ramkrishna Forgings Limited reported trailing-twelve-month revenue of about ₹8.9B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 532527?
The net profit margin of Ramkrishna Forgings Limited is about -3.8%, meaning it is currently running at a net loss. Based on the latest reported figures.
Does Ramkrishna Forgings Limited pay a dividend?
Ramkrishna Forgings Limited currently shows a dividend yield of about 0.13% relative to its recent price (as of Aug 13, 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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