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ABB India Limited (ABB) Fair Value & Analysis

Industrials · IN · Market cap ₹1.5T (≈ $16.0B) · ISIN INE117A01022

AI ABB India Limited ABB · NSE
Price₹7,490
Fair Value₹1,493
Upside-80.1%
Quality62/100

Structural break: The valuation model sees a lasting decline in earnings power for this stock, the confidence band is broken. Treat the target with caution.

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Strengths

Healthy Growth (revenue 5y +18.1 %/yr)
Highly profitable · 22.3% net margin
Low debt · generates free cash flow
Wide moat 68/100

Risks

!Trades 402% ABOVE our fair value of ₹1,493
!Mixed vs. peers (7/14)
!Weak on future: 4 out of 100
!Weak on dividend: 12 out of 100
Healthy Growth (revenue 5y +18.1 %/yr)
Highly profitable · 22.3% net margin
Low debt · generates free cash flow
Mixed vs. peers (7/14)
Wide moat 68/100
Evidence: High Range ₹999.84 – ₹1,835 Share as image

Fair value as of: Aug 19, 2026

From 26 valuation models · updated 9 days ago

Share price +3.4% over the past month.

A solid business, but trading 402% above our fair value.

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

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What matters now

  • The price sits above even our optimistic bull case (₹1,835). The favourable scenario is already priced in.
  • Solid but not exceptional quality (62/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (₹999.84 to ₹1,835) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹8,910 ₹1,339 Fair Value ₹1,493 May 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 ₹1,339 – ₹8,910 · fair‑value band ₹999.84 – ₹1,835 · the ₹7,490 price screens above the ₹1,493 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 19, 2026.

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Analysis

ABB India Limited (ABB) currently trades at ₹7,490, while our model-based Fair Value estimate is ₹1,493, implying the stock looks roughly 80.1% overvalued today. The Quality Score stands at 62/100 (solid quality), in the Industrials 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, ABB India Limited generated revenue of ₹134B at a net margin of 22.3%. Revenue grew 0.8% year over year. It earns a return on equity of 22.4%. The balance sheet holds a net cash position of ₹56.9B. Fundamentals as of Aug 19, 2026

Our scenario range runs from ₹999.84 (bear case) to ₹1,835 (bull case); at ₹7,490, 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 4% below its 52-week high and 62% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -51% fair-value upside, at -80%, ABB 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.

Note: the current price implies far more future growth than the conservative anchors of our models allow (base growth is deliberately capped, we do not regard such extreme rates as sustainable). Our models are not designed for expectations this high; that is why the individual models scatter extremely (₹247.75 to ₹2,051). Read the values as a conservative anchor, not as a price target.
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 ₹1,050 ₹1,586 ₹2,507 80
Residual Income ₹520.81 ₹654.10 ₹2,277 76
Rev-Margin DCF ₹1,039 ₹1,563 ₹2,199 74
All 26 models by family
DCF Models
FCF DCF ₹1,042 ₹1,587 ₹2,513 38
Owner Earnings ₹1,219 ₹1,889 ₹3,028 31
5Y Revenue Exit ₹1,039 ₹1,571 ₹2,272 39
5Y EBITDA Exit ₹1,100 ₹1,690 ₹2,403 41
5Y P/E Exit ₹1,284 ₹2,051 ₹2,892 38
10Y Revenue Exit ₹1,008 ₹1,511 ₹2,234 36
10Y EBITDA Exit ₹1,074 ₹1,598 ₹2,341 37
10Y P/E Exit ₹1,197 ₹1,861 ₹2,740 35
Earnings-Based
Graham-Dodd ₹535.33 ₹2,038 ₹2,760 54
Lynch FV ₹495.42 ₹707.74 ₹920.07 50
PEG = 1.0 ₹495.42 ₹707.74 ₹920.07 46
EPV ₹906.25 ₹1,018 ₹1,117 59
Dividend Discount
Gordon GGM ₹415.41 ₹906.91 ₹1,526 70
DDM Multi-Stage ₹415.41 ₹742.90 ₹945.14 61
Multiples
P/E Multiple ₹1,240 ₹1,653 ₹2,067 63
P/S Multiple ₹934.56 ₹1,246 ₹1,558 58
P/B Multiple ₹1,004 ₹1,338 ₹1,673 55
EV/EBIT ₹1,417 ₹1,798 ₹2,178 53
EV/EBITDA ₹1,215 ₹1,529 ₹1,842 54
EV/Revenue ₹1,060 ₹1,397 ₹1,733 43
Asset-Based
NCAV (Graham) ₹184.89 ₹247.75 ₹369.78 50
Growth DCF
Growth DCF ₹1,050 ₹1,586 ₹2,507 80
Rev-Margin DCF ₹1,039 ₹1,563 ₹2,199 74
Economic Profit
Residual Income ₹520.81 ₹654.10 ₹2,277 76
ROIC Compounder ₹942.34 ₹1,105 ₹1,284 72
Growth Earnings
Growth-Adj P/E ₹902.84 ₹1,290 ₹1,677 68

Widest divergence: DCF Models (₹1,598) versus Asset-Based (₹247.75). Highest evidence: Growth DCF (80).

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Key figures & financial health

P/E ratio 100.6
P/S ratio 12.7 P/E × margin
EPS (TTM) ₹73.11 price ÷ EPS = P/E 100.6
Net margin 12.6% FY2025
Return on equity 22.4% TTM
Return on assets (EBIT) 12.3% avg 5y
More key figures
Profitability
Operating margin 11.5% TTM
Growth
Revenue (TTM) ₹134B TTM
Revenue growth (YoY) +0.8% 3y avg +15.8%
EPS growth (YoY) +276%
Balance sheet & cash flow
Free cash flow ₹12.8B FY2025
Net cash ₹56.9B FY2025

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

Quality Score breakdown

Overall quality 62/100

Of which business quality 64 · Market factors (momentum, volatility) 77

Profitability 66
Margins and returns on capital today
Quality Growth 23
Are margins and returns improving?
Cashflow 51
Earnings quality: real cash, not paper profit
Fin. Strength 97
Balance sheet, leverage, solvency risk
Investment 50
Disciplined investing over empire-building
Low Volatility 83
Calm price path (market factor)
Momentum 69
Price trend over the last 3–12 months (market factor)
52W Momentum 86
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.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

ABB India Limited develops and sells products and system solutions to utilities, industries, channel partners, and original equipment manufacturers in India and internationally. It operates through Motion, Robotics and Discrete Automation, Electrification, and Process Automation segments.

Full company description

ABB India Limited develops and sells products and system solutions to utilities, industries, channel partners, and original equipment manufacturers in India and internationally. It operates through Motion, Robotics and Discrete Automation, Electrification, and Process Automation segments. The Motion segment offers motors, generators, and drives that provide power, motion, and control for a range of automation applications; as well as solutions and related services. Its Robotics and Discrete Automation segment provides value-added solutions in robotics, machine, and factory automation. The Electrification segment offers a range of digital and connected solutions for low- and medium-voltage applications, including EV infrastructure, solar inverters, modular substations, distribution automation, power protection, wiring accessories, switchgear, enclosures, cabling, sensing, and control. Its Process Automation segment provides products, systems, and services, such as turnkey engineering, control systems, measurement products, life cycle services, outsourced maintenance, and industry specific products for the optimization of the productivity of industrial processes in oil and gas, power, chemicals and pharmaceuticals, pulp and paper, metals and minerals, marine, and turbocharging industries. The company was formerly known as ABB Limited and changed its name to ABB India Limited in June 2013. ABB India Limited was incorporated in 1949 and is headquartered in Bengaluru, India. ABB India Limited operates as a subsidiary of ABB Asea Brown Boveri Ltd

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

ABB India Limited reported revenue of ₹132B in FY2025 versus ₹68.6B in FY2021, a compound +17.8%/yr. Reported net income was ₹16.7B in FY2025, compounding +33.9%/yr from FY2021.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
₹132B
Latest YoY
+9.2%
Avg. revenue 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.
+15.8%
Avg. revenue 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.
+18.1%
Avg. revenue growth/yr (26Y) 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.
+11.5%
Value creation/yr (5Y, in INR) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. 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.
+40.6% (40.6 + 0.0)
Revenue +17.8%/yr
FY21 ₹68.6B
FY22 ₹85.0B
FY23 ₹104B
FY24 ₹121B
FY25 ₹132B
Net income +33.9%/yr
FY21 ₹5.2B
FY22 ₹10.2B
FY23 ₹12.4B
FY24 ₹18.7B
FY25 ₹16.7B
Character of growth · EPS growth decomposed (2014-2025) +20.3 % p.a.
Revenue per share +4.4 pp

of which total revenue +4.4 pp · buybacks/dilution +0.0 pp

EBIT margin +8.4 pp
Tax rate +1.7 pp
Residual (interest, one-offs) +5.8 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

ABB screens 80% overvalued. Compare with GE Vernova Inc →

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

Peer Group

Specialty Industrial Machinery · 816 stocks

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.

Quality Score 62 · Above median
Fair Value upside −80% · Bottom 25%
Return on equity (TTM) 22% · Top 25%
Return on assets 9% · Top 25%
Net margin (TTM) 22% · Top 25%
Operating margin (TTM) 12% · Above median
Revenue growth 1% · Below median
Dividend yield (TTM) 0.6% · Below median

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

P/E (TTM) 100.6× · Pricier than 75% of peers
P/B 19.42× · Pricier than 75% of peers
P/S (TTM) 11.38× · Pricier than 75% of peers
P/FCF 1.2× · Cheaper than median
EV/EBITDA 78.0× · Pricier than 75% of peers

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.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE4 · sector 21
PAST90 · sector 28
HEALTH100 · sector 96
DIVIDEND12 · sector 27

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

Insider activity: 30/100

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 Specialty Industrial Machinery stocks, each showing price versus our Fair Value estimate (as of Aug 19, 2026).

Stock Price Fair Value vs Fair Value
GE Vernova Inc GEV $953.09 $131.95 -86%
SIE SIE €286.95 €139.77 -51%
Eaton Corporation ETN $419.44 $168.65 -60%
Parker-Hannifin Corporation PH $1,039 $398.69 -62%
Atlas Copco AB ATCOA kr 206.60 kr 112.59 -46%
Cummins Inc CMI $578.14 $348.94 -40%
Illinois Tool Works Inc ITW $285.51 $145.84 -49%
Emerson Electric Co EMR $158.29 $58.44 -63%
AMETEK, Inc AME $258.52 $125.80 -51%
Rockwell Automation, Inc ROK $431.75 $125.76 -71%

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Frequently asked questions

Is ABB India Limited (ABB) overvalued or undervalued?
As of Aug 19, 2026, our model estimates a fair value of ₹1,493 versus a price of ₹7,490, about −80% (overvalued).
What is the fair value of ABB?
Our model-based fair value for ABB India Limited is ₹1,493 (as of Aug 19, 2026), built from audited fundamentals. The current price: ₹7,490.
What is the quality score of ABB?
ABB India Limited has a Quality Score of 62/100. 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 ABB India Limited (ABB)?
ABB India Limited reported trailing-twelve-month revenue of about ₹134B (latest available figure, as of Aug 19, 2026).
What is the net profit margin of ABB?
The net profit margin of ABB India Limited is about 22.3%, meaning it keeps roughly 22.3% of revenue as net income. Based on the latest reported figures.

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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