Ramkrishna Forgings Limited (RKFORGE) fair value: what the stock is really worth
As of Oct 1, 2026: fair value of Ramkrishna Forgings Limited ₹101, price ₹695, upside -85.4%, quality 31 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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.
Weakest SetupStrongly overvalued and low quality.
!Fair value ₹101.28 · Strongly overvalued (−85.4%)
!Quality 31/100
!Expensive Growth(revenue 5y +26.9 %/yr)
!Thin margins · 2.4% net margin (TTM)
!Low debt · negative free cash flow
!0.1% dividend yield · Token dividend
!Trails peers(3/13)
!Narrow moat28/100
!Evidence only low, so the estimate is less certain
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 1, 2026.
How to read this chart
60‑month range ₹121.02 – ₹1,043 · fair‑value band ₹70.90 – ₹101.76 · the ₹695.45 price screens above the ₹101.28 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 1, 2026.
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Ramkrishna Forgings Limited engages in the manufacture and sale of forged components for automobiles, railway wagons and coaches, and engineering parts in India and internationally. It operates in two segments, Forging Components and Others.
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Ramkrishna Forgings Limited engages in the manufacture and sale of forged components for automobiles, railway wagons and coaches, and engineering parts in India and internationally. It operates in two segments, Forging Components and Others. The company's products portfolio includes beam, knuckle, steering arm, tie-rod-arm, sector shaft, front hub, crankshaft, camshaft, connecting rod, piston, pitman arm, BC lever assembly, mounting bracket, yoke, UJ cross, transmission gear and shaft, crown wheel, pinion, differential case and case cover, differential gear and pinion, spindle, rear axle shaft, spider, helical gear, tube flange and shaft, and tube yoke products. It also offers bucket, backhoe bucket, shovel, track line and roller, bucket tooth, pivot pin, prop shaft, and bearing centre products; and wing nut, valve bonet, T-bolt socket joint, and tooth crusher hammer products. In addition, the company provides bogie frame and bolster, screw coupling, hanger, draw gear assembly, anti roll bar assembly, control arm support, center pivot pin, centering disc, traction center, and guide products. Further, it offers tractor-trailer products, such as trailer axle, air and mechanical suspension, landing leg, and bolton and weldable king pin products; as well as engages in the sanitization and cargo, and tour and travel businesses. The company offers its products for various industries and sectors, including automotive, earth moving and mining, farm equipment, power, construction, general engineering, railways, and oil and gas, as well as for original equipment manufacturers. Ramkrishna Forgings Limited was incorporated in 1981 and is headquartered in Kolkata, India.
Stock analysis
Ramkrishna Forgings Limited (RKFORGE) currently trades at ₹695.45, while our model-based Fair Value estimate is ₹101.28, 85.4% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Asset-Based group reads highest at a median of ₹119.03 per share, and 0 of the 16 models we run sit above the ₹695.45 price.
Bear case: the Dividend Discount group reads lowest at ₹12.50, and 16 of the 16 models stay below the price. Evidence for this calculation is low.
Scenario range: ₹70.90 (bear) to ₹101.76 (bull), the price of ₹695.45 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 31/100 (below-average quality), in the Industrials sector.
Expensive Growth: The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Ramkrishna Forgings Limited reported revenue of ₹42.4B in FY2026 versus ₹23.2B in FY2022, a compound +16.3%/yr. Reported net income was ₹718M in FY2026, compounding −22.4%/yr from FY2022.
Key figures
Market cap ₹126B (≈ $1.3B) · P/E ratio 118.7 · P/S ratio 2.01 · EPS (TTM) ₹5.86 · Dividend yield 0.1% · Net margin 1.7% · Return on equity 2.3% · Return on assets (EBIT) 22.0%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 50 out of 100 (low confidence).
What moves the price
The share trades about 8% below its 52-week high and 51% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −57% fair-value upside, at −85%, RKFORGE screens richer than that median.
Fair Value models
The price assumes far more growth than our models allow for, so the models scatter widely (₹12.50 to ₹372.68). Read the Fair Value as a cautious anchor, not a price target; the Growth Forecast section shows what the price assumes.
Bear ₹70.90Fair Value ₹101.28Bull ₹101.76
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2026 figures (about 6 months old). Earnings retained since then (₹2.46 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.Evidence ⓘEvidence = 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.52/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Revenue growth 1 year
+5.1%
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.
+9.9%
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.
+26.9%
Start year 2021 (pandemic). Over 10 years: +16.6% a year
Revenue growth 20 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.
+21.1%
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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.
+25.2%
Earnings growth per share plus dividend.
Earnings per share, growth per year+25.1%
Dividend (yield on the price)0.1%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.25.1% vs 0.1%, picking up
Profit margin 2006 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.17% → 7%
Compare Ramkrishna Forgings Limited with another stock
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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.Metal Fabrication · 252 stocks
Beats the industry median on 3/13 measures
Overall it trails its industry peers.
Valuation
Quality Score31 · Bottom 25%
Fair Value upside−85.4% · Bottom 25%
Profitability
Return on equity (TTM)2.3% · Below median
Return on assets2.8% · Above median
Net margin (TTM)2.4% · Below median
Operating margin (TTM)9.8% · Above median
Growth and dividend
Revenue growth19.8% · Above median
Dividend yield (TTM)0.1% · Bottom 25%
Balance sheet
Debt / equity0.49× · Highest 25%
Valuation Multiplesvs Metal Fabrication median · lower = cheaper
P/E (TTM)118.7× · Priciest 25%
P/B3.84× · Priciest 25%
P/S (TTM)2.85× · Priciest 25%
EV/EBITDA19.7× · Pricier than median
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 0
FUTURE (revenue growth)99· sector 52
PAST (return on equity)9· sector 23
HEALTH (low debt)75· sector 95
DIVIDEND (yield)3· sector 24
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.
Is Ramkrishna Forgings Limited (RKFORGE) overvalued or undervalued?
As of Oct 1, 2026, our model estimates a fair value of ₹101.28 versus a price of ₹695.45, about −85% upside (overvalued).
What is the fair value of RKFORGE?
Our model-based fair value for Ramkrishna Forgings Limited is ₹101.28 (as of Oct 1, 2026), built from audited fundamentals. The current price: ₹695.45.
What is the quality score of RKFORGE?
Ramkrishna Forgings Limited has a Quality Score of 31/100. 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 Ramkrishna Forgings Limited (RKFORGE)?
Our model-based price target is the fair value of ₹101.28 (as of Oct 1, 2026) from 16 valuation models. Cautious scenario ₹70.90, optimistic scenario ₹101.76. It is a calculation from audited fundamentals, not an analyst target.
What is the Ramkrishna Forgings Limited stock forecast for 2026?
Our models put fair value at ₹101.28, about −85% upside versus a price of ₹695.45 (overvalued). Cautious scenario ₹70.90, optimistic scenario ₹101.76. The calculation is refreshed regularly with new filings.
What is the revenue of Ramkrishna Forgings Limited (RKFORGE)?
Ramkrishna Forgings Limited reported trailing-twelve-month revenue of about ₹44.4B (latest available figure, as of Oct 1, 2026).
Does Ramkrishna Forgings Limited pay a dividend?
Ramkrishna Forgings Limited currently shows a dividend yield of about 0.14% relative to its recent price (as of Oct 1, 2026).
What is the intrinsic value of Ramkrishna Forgings Limited (RKFORGE)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Ramkrishna Forgings Limited it is ₹101.28 per share (as of Oct 1, 2026), against a price of ₹695.45. It is the blended result of 16 valuation models (cash flow, earnings, asset, dividend).
Is Ramkrishna Forgings Limited stock overvalued or undervalued in 2026?
As of Oct 1, 2026, RKFORGE trades above its calculated fair value: price ₹695.45, fair value ₹101.28, a gap of about −85% (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 RKFORGE?
No. The price is what the market pays today (₹695.45); the fair value is what the company's own numbers justify (₹101.28). For Ramkrishna Forgings Limited the two are ₹594.17 per share apart. That gap is exactly why we show both numbers side by side.
How much is Ramkrishna Forgings Limited worth?
The market values Ramkrishna Forgings Limited at about ₹126B (market capitalisation, as of Oct 1, 2026). Per share that is ₹695.45; our models calculate a fair value of ₹101.28 per share.
What do the bullish and bearish scenarios say about RKFORGE?
Our models span a range for Ramkrishna Forgings Limited: cautious scenario ₹70.90, base ₹101.28, optimistic ₹101.76 per share (as of Oct 1, 2026, price ₹695.45). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of RKFORGE?
Ramkrishna Forgings Limited trades at a price-to-earnings ratio of 118.7 (as of Oct 1, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ₹101.28 is built from several models across several years. Other multiples: P/B 3.8, P/S 2.8, EV/EBITDA 19.7.
How solid is the balance sheet of Ramkrishna Forgings Limited (RKFORGE)?
Balance-sheet figures for Ramkrishna Forgings Limited (as of Oct 1, 2026): return on equity 2.3%, debt of 0.49 per unit of equity. They feed the Quality Score of 31/100, which measures business quality independently of the share price.
How far is RKFORGE from its 52-week high?
Ramkrishna Forgings Limited trades at ₹695.45, about 8% below its 52-week high of ₹755.00 and 51% above the low of ₹461.96 (as of Oct 1, 2026). Distance from the high says nothing about value: that is what the fair value of ₹101.28 is for.
Which stocks are comparable to Ramkrishna Forgings Limited?
From the same area (Industrials) we also value ATI Inc, Carpenter Technology Corporation, Mueller Industries, Inc, Bharat Forge Limited, 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 Ramkrishna Forgings Limited stock attractive at the current price?
The data as of Oct 1, 2026: price ₹695.45, calculated fair value ₹101.28 (−85%), Quality Score 31/100, from 16 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 RKFORGE calculated?
We run Ramkrishna Forgings Limited through 16 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 ₹101.28, 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 14.5 % above its aggregate fair value. Ramkrishna Forgings 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 Ramkrishna Forgings Limited (RKFORGE)?
The closing price on Oct 1, 2026 was ₹695.45. Our model-based fair value is ₹101.28, about −85% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Ramkrishna Forgings Limited right now?
The price sits above even our optimistic bull case (₹101.76). The favourable scenario is already priced in. Weak quality (31/100) and above fair value at the same time, the margin of safety is missing on both counts. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
Key figures of Ramkrishna Forgings Limited
How large is the market capitalisation of Ramkrishna Forgings Limited (RKFORGE)?
The market capitalisation of Ramkrishna Forgings Limited is ₹126B (≈ $1.3B). 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 Ramkrishna Forgings Limited (RKFORGE)?
The price-to-sales ratio of Ramkrishna Forgings Limited is 2.01 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Ramkrishna Forgings Limited (RKFORGE)?
Earnings per share at Ramkrishna Forgings Limited are ₹5.86 (price ÷ EPS = P/E 118.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Ramkrishna Forgings Limited (RKFORGE)?
The dividend yield of Ramkrishna Forgings Limited is 0.1% (payout 17.1%). 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 Ramkrishna Forgings Limited (RKFORGE)?
The net margin of Ramkrishna Forgings Limited is 1.7% (fiscal year 2026). 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 Ramkrishna Forgings Limited (RKFORGE)?
The return on equity (ROE) of Ramkrishna Forgings Limited is 2.3% (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 Ramkrishna Forgings Limited (RKFORGE)?
On an EBIT basis the return on assets of Ramkrishna Forgings Limited is 22.0% (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 Ramkrishna Forgings Limited (RKFORGE)?
The operating margin of Ramkrishna Forgings Limited is 9.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Ramkrishna Forgings Limited (RKFORGE)?
Revenue at Ramkrishna Forgings Limited is growing +19.8% versus a year earlier (3y avg +9.9%). 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 Ramkrishna Forgings Limited (RKFORGE)?
Earnings per share at Ramkrishna Forgings Limited are growing +289% versus a year earlier. How much earnings per share grew versus a year earlier.
How much free cash flow does Ramkrishna Forgings Limited (RKFORGE) generate?
The free cash flow of Ramkrishna Forgings Limited is −₹2.7B (fiscal year 2026). The cash truly left after running and investing in the business, this is what pays dividends and buybacks.
How much net debt does Ramkrishna Forgings Limited (RKFORGE) carry?
The net debt of Ramkrishna Forgings Limited is ₹22.9B (fiscal year 2026). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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