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Ador Welding Limited (ADOR) Fair Value & Analysis

Industrials · IN · Market cap ₹22.4B

AW Ador Welding Limited ADOR · NSE
Price₹1,539
Fair Value₹989.25
Upside-35.7%
Quality56/100
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Healthy Growth
Thin margins · 5.8% net margin
Low debt · generates free cash flow
1.84% dividend yield
Mixed vs. peers (8/14)
Moderate moat 47/100
Evidence: High Range ₹655.87 – ₹1,237 Share as image

Fair value as of: Aug 13, 2026

From 26 valuation models · updated 3 days ago

Share price +12.9% over the past month.

A solid business, but screening 36% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹1,237). The favourable scenario is already priced in.
  • Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (₹655.87 to ₹1,237) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹1,600 ₹331.62 Fair Value ₹989.25 Apr 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 ₹331.62 – ₹1,600 · fair‑value band ₹655.87 – ₹1,237 · the ₹1,539 price screens above the ₹989.25 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Ador Welding Limited (ADOR) currently trades at ₹1,539, while our model-based Fair Value estimate is ₹989.25, implying the stock looks roughly 35.7% overvalued today. The Quality Score stands at 56/100 (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, Ador Welding Limited generated revenue of ₹11.3B at a net margin of 5.8%. Revenue grew 5.2% year over year. The balance sheet holds a net cash position of ₹896M. The stock trades on a trailing P/E of 32.7. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹655.87 (bear case) to ₹1,237 (bull case); at ₹1,539, 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 near its 52-week high and 81% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -67% fair-value upside, at -36%, ADOR 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 ₹712.79 ₹1,152 ₹1,868 80
Residual Income ₹316.92 ₹406.81 ₹996.51 76
Rev-Margin DCF ₹653.67 ₹1,057 ₹1,556 74
All 26 models by family
DCF Models
FCF DCF ₹710.77 ₹1,171 ₹1,929 38
Owner Earnings ₹609.65 ₹999.05 ₹1,641 31
5Y Revenue Exit ₹653.67 ₹1,063 ₹1,604 39
5Y EBITDA Exit ₹719.89 ₹1,194 ₹1,770 41
5Y P/E Exit ₹721.45 ₹1,197 ₹1,722 38
10Y Revenue Exit ₹648.39 ₹1,037 ₹1,600 36
10Y EBITDA Exit ₹710.76 ₹1,131 ₹1,734 37
10Y P/E Exit ₹711.78 ₹1,133 ₹1,695 35
Earnings-Based
Graham-Dodd ₹320.33 ₹1,280 ₹1,741 54
Lynch FV ₹318.21 ₹454.59 ₹590.96 50
PEG = 1.0 ₹318.21 ₹454.59 ₹590.96 46
EPV ₹487.73 ₹560.21 ₹623.64 59
Dividend Discount
Gordon GGM ₹183.66 ₹381.87 ₹605.79 70
DDM Multi-Stage ₹183.66 ₹322.00 ₹400.78 61
Multiples
P/E Multiple ₹741.94 ₹989.25 ₹1,237 63
P/S Multiple ₹600.62 ₹800.82 ₹1,001 58
P/B Multiple ₹600.62 ₹800.82 ₹1,001 55
EV/EBIT ₹876.97 ₹1,152 ₹1,426 53
EV/EBITDA ₹792.19 ₹1,039 ₹1,285 54
EV/Revenue ₹641.04 ₹893.13 ₹1,145 43
Asset-Based
NCAV (Graham) ₹159.30 ₹213.46 ₹318.60 50
Growth DCF
Growth DCF ₹712.79 ₹1,152 ₹1,868 80
Rev-Margin DCF ₹653.67 ₹1,057 ₹1,556 74
Economic Profit
Residual Income ₹316.92 ₹406.81 ₹996.51 76
ROIC Compounder ₹534.28 ₹692.52 ₹897.75 72
Growth Earnings
Growth-Adj P/E ₹559.56 ₹799.37 ₹1,039 68

Widest divergence: DCF Models (₹1,131) versus Asset-Based (₹213.46). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) ₹11.3B
Revenue growth (YoY) +5.2%
Net margin 5.8%
Free cash flow ₹937M FY2026
P/E ratio 32.7
Operating margin 10.5%
More key figures
EPS (TTM) ₹47.06
Dividend yield 1.8%
EPS growth (YoY) +73.0%
Net cash ₹896M FY2026

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

Quality Score breakdown

Overall quality 56/100

Of which business quality 60 · Market factors (momentum, volatility) 87

Profitability 70
Margins and returns on capital today
Quality Growth 52
Are margins and returns improving?
Cashflow 56
Earnings quality: real cash, not paper profit
Fin. Strength 87
Balance sheet, leverage, solvency risk
Investment 34
Disciplined investing over empire-building
Low Volatility 76
Calm price path (market factor)
Momentum 89
Price trend over the last 3–12 months (market factor)
52W Momentum 97
Distance to the 52-week high (market factor)
Net Issuance 40
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

Ador Welding Limited manufactures and supplies welding equipment, consumables, and automation solutions in India and internationally. The company operates through three segments: Products; Services; and Maintenance & Reclamation.

Full company description

Ador Welding Limited manufactures and supplies welding equipment, consumables, and automation solutions in India and internationally. The company operates through three segments: Products; Services; and Maintenance & Reclamation. It provides welding electrodes, including C-Mn steel, low alloy and stainless steel, cellulosic, hardfacing, gouging and cutting, cast iron, and nickel and nickel alloys; and wires and fluxes products comprising submerged arc welding fluxes and wires, and flux cored arc welding products, as well as metal cored arc wire, gas metal arc welding (GMAW), and gas tungsten arc welding (GTAW) products; and brazing rods and fluxes. The company also offers welding equipment, such as MMA, TIG, MIG equipment, air plasma cutting, submerged arc welding, advanced multipurpose synergic, and TIG add on units; gas cutting products, gas cutting-welding accessories, flares and process equipment, and personal protective equipment; and CNC cutting machines. In addition, it engages in the design, manufacture, erection, commissioning, mechanical, electrical, and instrumentation of process packages, process equipment, and flare system and components, as well as undertaking various EPC contracts. Further, the company provides welding and cutting automation products, such as robotic systems, columns, booms, positioners, rotators, and special purpose machines; and skill development services. It serves manufacturing and fabrication, infrastructure and construction, oil and gas, power generation including thermal, hydro, and renewable energy, shipbuilding and marine, automotive and transportation, railways and heavy engineering, defense and aerospace industries. The company was formerly known as Advani-Oerlikon Ltd. The company was incorporated in 1951 and is headquartered in Mumbai, India. Ador Welding Limited is a subsidiary of J. B. Advani & Company Private Limited.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Ador Welding Limited reported revenue of ₹11.4B in FY2026 versus ₹6.6B in FY2022, a compound +14.6%/yr. Reported net income was ₹820M in FY2026, compounding +16.2%/yr from FY2022.

Growth Quality 90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹11.4B
Latest YoY
+2.0%
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.
+13.6%
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.
+20.7%
Avg. growth/yr (21Y) 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.
+8.8%
Revenue +14.6%/yr
FY22 ₹6.6B
FY23 ₹7.8B
FY24 ₹8.8B
FY25 ₹11.2B
FY26 ₹11.4B
Net income +16.2%/yr
FY22 ₹450M
FY23 ₹593M
FY24 ₹865M
FY25 ₹601M
FY26 ₹820M
Character of growth · EPS growth decomposed (2015-2026) +11.5 % p.a.
Revenue per share +8.8 pp

of which total revenue +10.9 pp · buybacks/dilution −2.1 pp

EBIT margin +6.4 pp
Tax rate +0.6 pp
Residual (interest, one-offs) −4.4 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).

ADOR screens 36% overvalued. Compare with GE Vernova Inc →

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Cite: Fair Value Calculator (2026). "Ador Welding Limited Fair Value". https://www.fairvalue-calculator.com/stock/ADOR

Peer Group

Specialty Industrial Machinery · 808 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 56 · Above median
Fair Value upside −36% · Above median
Return on assets 0% · Bottom 25%
Net margin (TTM) 6% · Above median
Operating margin (TTM) 11% · Above median
Revenue growth 5% · Above median
Dividend yield (TTM) 1.8% · Above median
Debt / equity 0.00× · Lower than 75% of peers

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

P/E (TTM) 32.7× · Pricier than median
P/B 4.04× · Pricier than median
P/S (TTM) 1.98× · Pricier than median
P/FCF 0.3× · Cheaper than 75% of peers
EV/EBITDA 20.9× · 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 0 · sector 0
FUTURE 26 · sector 22
PAST 0 · sector 28
HEALTH 100 · sector 96
DIVIDEND 37 · sector 27

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

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

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ABB India Limited ABB ₹7,645 ₹1,322 -83%
Cummins India Limited CUMMINSIND ₹5,315 ₹1,355 -75%
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Frequently asked questions

Is Ador Welding Limited (ADOR) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹989.25 versus a price of ₹1,539, about −36% (overvalued).
What is the fair value of ADOR?
Our model-based fair value for Ador Welding Limited is ₹989.25 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹1,539.
What is the quality score of ADOR?
Ador Welding Limited has a Quality Score of 56/100. 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 Ador Welding Limited (ADOR)?
Ador Welding Limited reported trailing-twelve-month revenue of about ₹11.3B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of ADOR?
The net profit margin of Ador Welding Limited is about 5.8%, meaning it keeps roughly 5.8% of revenue as net income. Based on the latest reported figures.
Does Ador Welding Limited pay a dividend?
Ador Welding Limited currently shows a dividend yield of about 1.84% 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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