LMW Limited (LMW) fair value: what the stock is really worth
As of Oct 21, 2026: fair value (intrinsic value) of LMW Limited stock ₹1,795, price ₹15,992, upside -88.8%, quality 63 out of 100. Rating: strongly overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 4, 2026.
How to read this chart
60‑month range ₹6,852 – ₹20,145 · fair‑value band ₹1,320 – ₹2,402 · the ₹15,992 price screens above the ₹1,795 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 4, 2026.
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LMW Limited, together with its subsidiaries, manufactures and sells textile spinning machinery in India and internationally. The company operates through Textile Machinery Division, Machine Tool Division & Foundry Division, and Advanced Technology Centre segments.
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Its Textile Machinery Division segment offers textile spinning machinery. The Machine Tool Division & Foundry Division producing precision castings for prominent international clients, manufacturing requirements.
Its Advanced Technology Centre segments design and manufactures components and sub-assemblies for the global aerospace sector. It also offers products, such as turning, milling, and turnmill.
The company was formerly known as Lakshmi Machine Works Limited and changed its name to LMW Limited in September 2024. LMW Limited was incorporated in 1962 and is headquartered in Coimbatore, India.
Stock analysis
LMW Limited (LMW) currently trades at ₹15,992, while our model-based Fair Value estimate is ₹1,795, 88.8% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of ₹2,193 per share, and 0 of the 26 models we run sit above the ₹15,992 price.
Bear case: the Dividend Discount group reads lowest at ₹301.66, and 26 of the 26 models stay below the price. Data coverage for this calculation is low.
Scenario range: ₹1,320 (bear) to ₹2,402 (bull), the price of ₹15,992 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 63/100 (solid quality), in the Industrials sector.
Weak Growth: Revenue growth is inconsistent: the periods point in different directions, so there is no trend to rely on.
LMW Limited reported revenue of ₹32.1B in FY2026 versus ₹31.2B in FY2022, a compound +0.7%/yr. Reported net income was ₹1.3B in FY2026, compounding −7.8%/yr from FY2022.
Key figures
Market cap ₹171B (≈ $1.8B) Small · P/E ratio 97.6 · P/S ratio 5.51 · EPS (TTM) ₹163.83 · Dividend yield 0.2% · Net margin 5.2% · Return on equity 4.6% · Return on assets (EBIT) 4.9%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 35 out of 100 (low confidence).
What moves the price
The share trades about 21% below its 52-week high and 32% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −48% fair-value upside, at −89%, LMW screens richer than that median.
Fair Value models
The price assumes far more growth than our models allow for, so the models scatter widely (₹301.66 to ₹12,016). Read the Fair Value as a cautious anchor, not a price target; the Growth Forecast section shows what the price assumes.
Bear₹1,320Fair Value ₹1,795Bull₹2,402
Price ₹15,992 · Upside -88.8%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2026 figures (about 7 months old). Earnings retained since then (₹72.00 per share) are deliberately not added.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. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.40/100
Revenue growth is inconsistent: the periods point in different directions, so there is no trend to rely on.
Revenue growth 1 year
+10.3%
Revenue growth 3 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−11.6%
Revenue growth 5 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+13.9%
Start year 2021 (pandemic)
’21
’22
’23
’24
’25
’26
What shareholders gained per year (last 5 years), in INR ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. 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.
+3.2%
Earnings growth per share plus dividend.
Earnings per share, growth per year+3.0%
Dividend (yield on the price)0.2%
Profit margin 2021 to 2026 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.1% → 2%
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+58.8%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.
After inflation (India: IMF forecast 4.1% a year to 2030, 4.7% from 2016 to 2025) that is about +52.4% a year for the price.
Price, fair value, quality and upside side by side.
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Peer Groupⓘ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.Specialty Industrial Machinery · 799 stocks
Beats the industry median on 2/12 measures
Overall it trails its industry peers.
Valuation
Quality Score63 · Above median
Fair Value upside−89.1% · Bottom 25%
Profitability
Return on equity (12 months)4.6% · Below median
Return on assets0.8% · Below median
Net margin (12 months)4.1% · Below median
Operating margin (12 months)4.6% · Below median
Growth and dividend
Revenue growth (quarter YoY)16.4% · Above median
Dividend yield (12 months)0.2% · Bottom 25%
Valuation Multiplesvs Specialty Industrial Machinery median · lower = cheaper
P/E (12 months)97.6× · Priciest 25%
P/B6.17× · Priciest 25%
P/S (12 months)5.51× · Priciest 25%
Price / free cash flow170.5× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 0
FUTURE (revenue growth)100· sector 32
PAST (return on equity)19· sector 27
HEALTH (low debt)0· sector 96
DIVIDEND (yield)4· sector 26
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "LMW Limited Fair Value". https://www.fairvalue-calculator.com/stock/LMW
Frequently asked questions
Is LMW Limited (LMW) overvalued or undervalued?
As of Oct 4, 2026, our model estimates a fair value of ₹1,795 versus a price of ₹15,992, about −89% upside (overvalued).
What is the fair value of LMW?
Our model-based fair value for LMW Limited is ₹1,795 (as of Oct 4, 2026), built from audited fundamentals. The current price: ₹15,992.
What is the quality score of LMW?
LMW Limited has a Quality Score of 63/100. 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 price target for LMW Limited (LMW)?
Our model-based price target is the fair value of ₹1,795 (as of Oct 4, 2026) from 26 valuation models. Cautious scenario ₹1,320, optimistic scenario ₹2,402. It is a calculation from audited fundamentals, not an analyst target.
What is the LMW Limited stock forecast for 2026?
Our models put fair value at ₹1,795, about −89% upside versus a price of ₹15,992 (overvalued). Cautious scenario ₹1,320, optimistic scenario ₹2,402. The calculation is refreshed regularly with new filings.
What is the revenue of LMW Limited (LMW)?
LMW Limited reported trailing-twelve-month revenue of about ₹33.8B (latest available figure, as of Oct 4, 2026).
Does LMW Limited pay a dividend?
LMW Limited currently shows a dividend yield of 0.22% relative to its recent price (as of Oct 4, 2026).
What growth is priced into LMW Limited (LMW)?
For today's price to be fair in a discounted-cash-flow model, LMW Limited would have to grow free cash flow by +58.8 % per year for five years (discount rate 12.4 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +13.9 % per year. As of Oct 4, 2026.
What discount rate (WACC) does the fair value of LMW use?
Our models discount LMW Limited at 12.4 %: a base by market capitalisation (small), damped by beta 0.59, country premium for India. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For LMW Limited that is +58.8 % per year a year over ten years, using the same discount rate (12.4 %) and the same formula as our fair value.
How much growth has LMW Limited (LMW) delivered so far?
Over the past 5 years revenue at LMW Limited grew +13.9 % a year. The price currently implies +58.8 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of LMW Limited (LMW) growing?
The median revenue growth in the sector is +7.5 % a year. That is the yardstick for the growth priced into LMW Limited (+58.8 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of LMW Limited (LMW)?
The free-cash-flow yield on the price is 0.61 %: that much free cash flow LMW Limited produces per unit of market value. When it exceeds the discount rate of our models (12.4 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of LMW Limited (LMW)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For LMW Limited it is ₹1,795 per share (as of Oct 4, 2026), against a price of ₹15,992. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is LMW Limited stock overvalued or undervalued in 2026?
As of Oct 4, 2026, LMW trades above its calculated fair value: price ₹15,992, fair value ₹1,795, a gap of about −89% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of LMW?
No. The price is what the market pays today (₹15,992); the fair value is what the company's own numbers justify (₹1,795). For LMW Limited the two are ₹14,197 per share apart. That gap is exactly why we show both numbers side by side.
How much is LMW Limited worth?
The market values LMW Limited at about ₹171B (market capitalisation, as of Oct 4, 2026). Per share that is ₹15,992; our models calculate a fair value of ₹1,795 per share.
What do the bullish and bearish scenarios say about LMW?
Our models span a range for LMW Limited: cautious scenario ₹1,320, base ₹1,795, optimistic ₹2,402 per share (as of Oct 4, 2026, price ₹15,992). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of LMW?
LMW Limited trades at a price-to-earnings ratio of 97.6 (as of Oct 4, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ₹1,795 is built from several models across several years. Other multiples: P/B 6.2, P/S 5.5.
How solid is the balance sheet of LMW Limited (LMW)?
Balance-sheet figures for LMW Limited (as of Oct 4, 2026): return on equity 4.6%. They feed the Quality Score of 63/100, which measures business quality independently of the share price.
How far is LMW from its 52-week high?
LMW Limited trades at ₹15,992, about 21% below its 52-week high of ₹20,145 and 32% above the low of ₹12,093 (as of Oct 21, 2026). Distance from the high says nothing about value: that is what the fair value of ₹1,795 is for.
Which stocks are comparable to LMW Limited?
From the same area (Industrials) we also value GE Vernova Inc, SIE, Eaton Corporation, Parker-Hannifin Corporation, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is LMW Limited stock attractive at the current price?
The data as of Oct 4, 2026: price ₹15,992, calculated fair value ₹1,795 (−89%), Quality Score 63/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of LMW calculated?
We run LMW Limited through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of ₹1,795, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.6 % above its aggregate fair value. LMW Limited itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of LMW Limited (LMW)?
The closing price on Oct 21, 2026 was ₹15,992. Our model-based fair value is ₹1,795, about −89% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with LMW Limited right now?
The price sits above even our optimistic bull case (₹2,402). The favourable scenario is already priced in. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. Solid but not exceptional quality (63/100) and above fair value, neither a clear bargain nor a standout compounder. A fairly wide model range (₹1,320 to ₹2,402) leaves room in how you read the outcome.
Key figures of LMW Limited
How large is the market capitalisation of LMW Limited (LMW)?
The market capitalisation of LMW Limited is ₹171B (≈ $1.8B). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of LMW Limited (LMW)?
The price-to-sales ratio of LMW Limited is 5.51 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of LMW Limited (LMW)?
Earnings per share at LMW Limited are ₹163.83 (price ÷ EPS = P/E 97.6). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of LMW Limited (LMW)?
The dividend yield of LMW Limited is 0.2% (payout 21.4%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of LMW Limited (LMW)?
The net margin of LMW Limited is 5.2% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of LMW Limited (LMW)?
The return on equity (ROE) of LMW Limited is 4.6% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of LMW Limited (LMW)?
On an EBIT basis the return on assets of LMW Limited is 4.9% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of LMW Limited (LMW)?
The operating margin of LMW Limited is 3.9% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at LMW Limited (LMW)?
Revenue at LMW Limited is growing +24.0% versus a year earlier (3y avg −11.6%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at LMW Limited (LMW)?
Earnings per share at LMW Limited are growing +384% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does LMW Limited (LMW) hold?
LMW Limited holds more cash than debt, ₹3.9B net (fiscal year 2026). The company holds more cash than debt, a safety cushion.
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Thin data
Oct 4, 2026