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Salzer Electronics Limited (SALZERELEC) Fair Value & Analysis

Industrials · IN · Market cap ₹11.1B

SE Salzer Electronics Limited SALZERELEC · NSE
Price₹570.30
Fair Value₹505.41
Upside-11.4%
Quality41/100
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Expensive Growth
Thin margins · 3.0% net margin
Low debt · negative free cash flow
0.40% dividend yield
Ranks above peers (9/13)
Narrow moat 34/100
Evidence: High Range ₹353.79 – ₹668.03 Share as image

Fair value as of: Aug 13, 2026

From 17 valuation models · updated 4 days ago

Share price −2.4% over the past month.

Below-average quality, and screening another 11% overvalued on our models.

What matters now

  • A fairly wide model range (₹353.79 to ₹668.03) leaves room in how you read the outcome.
  • Our model range runs from ₹353.79 (bear) to ₹668.03 (bull), base ₹505.41. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 41/100 (below-average quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

₹1,591 ₹61.04 Fair Value ₹505.41 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 ₹61.04 – ₹1,591 · fair‑value band ₹353.79 – ₹668.03 · the ₹570.30 price screens above the ₹505.41 fair value. Dashed = 300-day average. As of Aug 13, 2026.

Full chart & analysis →

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Analysis

Salzer Electronics Limited (SALZERELEC) currently trades at ₹570.30, while our model-based Fair Value estimate is ₹505.41, implying the stock looks roughly 11.4% overvalued today. The Quality Score stands at 41/100 (below-average 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, Salzer Electronics Limited generated revenue of ₹17.6B at a net margin of 3.0%. Revenue grew 26.2% year over year. It earns a return on equity of 9.3%. Net debt stands at ₹5.2B. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹353.79 (bear case) to ₹668.03 (bull case); at ₹570.30, the current price sits within 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 41% below its 52-week high and 17% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -65% fair-value upside, at -11%, SALZERELEC 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 ₹285.11 ₹311.11 ₹442.87 76
ROIC Compounder ₹661.39 ₹997.17 ₹1,299 72
Gordon GGM ₹23.88 ₹49.65 ₹78.77 70
All 17 models by family
DCF Models
Owner Earnings ₹658.63 ₹1,506 ₹3,278 31
Earnings-Based
Graham-Dodd ₹203.59 ₹1,412 ₹1,981 54
Lynch FV ₹416.22 ₹594.60 ₹772.98 50
PEG = 1.0 ₹416.22 ₹594.60 ₹772.98 46
EPV ₹535.51 ₹626.43 ₹705.98 59
Dividend Discount
Gordon GGM ₹23.88 ₹49.65 ₹78.77 70
DDM Multi-Stage ₹23.88 ₹41.87 ₹52.11 61
Multiples
P/E Multiple ₹471.55 ₹628.73 ₹785.92 63
P/S Multiple ₹381.73 ₹508.97 ₹636.22 58
P/B Multiple ₹381.73 ₹508.97 ₹636.22 55
EV/EBIT ₹853.35 ₹1,141 ₹1,429 53
EV/EBITDA ₹800.86 ₹1,071 ₹1,341 54
EV/Revenue ₹606.20 ₹870.28 ₹1,134 43
Asset-Based
NCAV (Graham) ₹167.58 ₹224.56 ₹335.16 50
Economic Profit
Residual Income ₹285.11 ₹311.11 ₹442.87 76
ROIC Compounder ₹661.39 ₹997.17 ₹1,299 72
Growth Earnings
Growth-Adj P/E ₹570.62 ₹815.18 ₹1,060 68

Widest divergence: DCF Models (₹1,506) versus Dividend Discount (₹41.87). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹17.6B
Revenue growth (YoY) +26.2%
Net margin 3.0%
Return on equity 9.3%
Free cash flow −₹52.0M FY2026
P/E ratio 19.0
More key figures
Operating margin 5.2%
EPS (TTM) ₹29.95
Dividend yield 0.4%
EPS growth (YoY) -20.1%
Net debt ₹5.2B FY2026

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

Quality Score breakdown

Overall quality 41/100

Of which business quality 41 · Market factors (momentum, volatility) 28

Profitability 48
Margins and returns on capital today
Quality Growth 54
Are margins and returns improving?
Cashflow 15
Earnings quality: real cash, not paper profit
Fin. Strength 48
Balance sheet, leverage, solvency risk
Investment 52
Disciplined investing over empire-building
Low Volatility 64
Calm price path (market factor)
Momentum 16
Price trend over the last 3–12 months (market factor)
52W Momentum 9
Distance to the 52-week high (market factor)
Net Issuance 42
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

Salzer Electronics Limited manufactures and supplies CAM operated rotary switches, selector switches, wiring ducts, voltmeter switches, copper wires and cables, and allied products in India and internationally.

Full company description

Salzer Electronics Limited manufactures and supplies CAM operated rotary switches, selector switches, wiring ducts, voltmeter switches, copper wires and cables, and allied products in India and internationally. The company offers industrial components, including cable ducts, rotary limit switches, sensors, limit and foot switches, terminal connectors, load break and photo voltaic switches, changeover switches, and solar isolators; customized control panels, plugs, and sockets; and general purpose relays. It also offers motor control products comprising of contactors, motor protection circuit breakers (MPCB), and UL approved miniature circuit breakers; CT's and Rogowski coils, inductors, chokes and filters, and single phase toroidal and three phase dry type transformers; and EV chargers. In addition, the company provides miniature circuit breakers, automatic source changeover with current limiter, distribution boards, modular switches and specialty, wifi smart and remote switches, movement sensors, single phase motor starts, and house wires. Further, it offers copper products, including industrial wires and cables, flexible busbars and wire harness, enamelled copper wire, bunched copper conductors, tined copper wires, and LAN/CCTV cables; and energy savers and panels and street light controllers. Additionally, the company operates an online store for its products. The company also exports its products. Salzer Electronics Limited was incorporated in 1985 and is based in Coimbatore, India.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Salzer Electronics Limited reported revenue of ₹17.6B in FY2026 versus ₹8.0B in FY2022, a compound +21.7%/yr. Reported net income was ₹529M in FY2026, compounding +23.7%/yr from FY2022.

Growth Quality 58/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹17.6B
Latest YoY
+23.5%
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.
+19.2%
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.
+23.1%
Avg. growth/yr (20Y) 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%
Revenue +21.7%/yr
FY22 ₹8.0B
FY23 ₹10.4B
FY24 ₹11.6B
FY25 ₹14.2B
FY26 ₹17.6B
Net income +23.7%/yr
FY22 ₹226M
FY23 ₹387M
FY24 ₹459M
FY25 ₹460M
FY26 ₹529M
Character of growth · EPS growth decomposed (2015-2026) +10.7 % p.a.
Revenue per share +14.5 pp

of which total revenue +17.4 pp · buybacks/dilution −2.9 pp

EBIT margin +5.1 pp
Tax rate +0.4 pp
Residual (interest, one-offs) −9.3 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).

SALZERELEC screens 11% overvalued. Compare with Contemporary Amperex Technology Co →

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Cite: Fair Value Calculator (2026). "Salzer Electronics Limited Fair Value". https://www.fairvalue-calculator.com/stock/SALZERELEC

Peer Group

Electrical Equipment & Parts · 529 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 41 · Bottom 25%
Fair Value upside −11% · Above median
Return on equity (TTM) 9% · Above median
Return on assets 6% · Above median
Net margin (TTM) 3% · Below median
Operating margin (TTM) 5% · Below median
Revenue growth 26% · Above median
Dividend yield (TTM) 0.4% · Bottom 25%
Debt / equity 0.05× · Lower than median

Valuation Multiples vs Electrical Equipment & Parts median · lower = cheaper

P/E (TTM) 19.0× · Cheaper than 75% of peers
P/B 1.87× · Cheaper than median
P/S (TTM) 0.63× · Cheaper than median
EV/EBITDA 7.7× · Cheaper 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.

VALUE 18 · sector 0
FUTURE 100 · sector 58
PAST 37 · sector 26
HEALTH 98 · sector 97
DIVIDEND 8 · sector 23

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 Electrical Equipment & Parts stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Contemporary Amperex Technology Co 3750 HK$652.50 HK$394.19 -40%
Delta Electronics (Thailand) Public Company DELTA 269.00 THB 40.28 THB -85%
LG Energy Solution, Ltd 373220 365,500 KRW 201,455 KRW -45%
WEG S.A WEGE3 14,900 ARS 4,338 ARS -71%
Sungrow Power Supply Co 300274 ¥117.53 ¥123.83 +5%
HD Hyundai Electric Co 267260 782,000 KRW 371,133 KRW -53%
LS ELECTRIC Co 010120 206,500 KRW 29,594 KRW -86%
Hyosung Heavy Industries Corporation 298040 2,892,000 KRW 1,013,099 KRW -65%
Hitachi Energy India Limited POWERINDIA ₹35,800 ₹6,106 -83%
Polycab India Limited POLYCAB ₹9,289 ₹3,218 -65%

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Frequently asked questions

Is Salzer Electronics Limited (SALZERELEC) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹505.41 versus a price of ₹570.30, about −11% (overvalued).
What is the fair value of SALZERELEC?
Our model-based fair value for Salzer Electronics Limited is ₹505.41 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹570.30.
What is the quality score of SALZERELEC?
Salzer Electronics Limited has a Quality Score of 41/100. 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 Salzer Electronics Limited (SALZERELEC)?
Salzer Electronics Limited reported trailing-twelve-month revenue of about ₹17.6B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of SALZERELEC?
The net profit margin of Salzer Electronics Limited is about 3.0%, meaning it keeps roughly 3.0% of revenue as net income. Based on the latest reported figures.
Does Salzer Electronics Limited pay a dividend?
Salzer Electronics Limited currently shows a dividend yield of about 0.40% 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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