CEAT
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The Current P/B Ratio of CEAT is 2.98.
Share Price | ₹2,530.2 | Apr 24,2024 |
Market Cap | ₹10,247.3 Cr | |
Book Value | ₹3,439.6 Cr | Mar2023 - Consolidated Results |
Price/Book | 2.98x | Calculated as MarketCap/Book Value |
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Explore Stock Analytics |
Definition & Calculation of PB (Price/Book ) ratio of CEAT
P/B =
Market Capitalization
/ Book Value
or, using per-share numbers:
P/B = Stock Price /
Book Value Per Share
Current Market Cap [ ₹10,247.3 Cr] as on Apr 24,2024
(/) Book Value [ ₹3,439.6 Cr] based on Mar2023 - Consolidated Results
(=) P/B Ratio [ 2.98x ]
Thus, for CEAT , the investors are currently willing to pay '2.98 times book value' to own 1 share of the company.
PB Multiples are one of the most widely used valuation multiple in industry.
Since P/B ratio uses Book Value in the calculation, P/B multiples are not always reliable for valuing companies with negative book value.
In such cases, you may consider using Price to Earnings ratio or Price to Sales ratio of CEAT !
The chart below summarizes the trend in P/B Ratio of CEAT over the last five years.
Historical PB (Price/Book ) ratio chart of CEAT
PB Ratio Performance Analysis for CEAT
- CEAT 's p/b ratio for fiscal years ending Mar2023 to Mar2019 averaged 1.50x.
- CEAT 's operated at median p/b ratio of 1.64x from fiscal years ending March 2018 to 2022.
- Looking back at the last 5 fiscal years, CEAT 's p/b ratio peaked in Mar2021 at 1.9x.
- CEAT 's p/b ratio hit its five-year low in Mar2020 of 1.09x.
How does CEAT 's P/B Ratio benchmark against top 10 peers in Tyres & Allied Industry?
Peer Comparison (Tyres & Allied Industry) | Book Value | PB Ratio | Market Cap |
---|---|---|---|
CEAT | 3,439.64 | 2.98 | 10,247.3 |
MRF LTD | 14,707.70 | 3.71 | 54,505.5 |
BALKRISHNA INDUSTRIES LTD | 7,556.93 | 5.97 | 45,127.0 |
APOLLO TYRES LTD | 12,877.80 | 2.40 | 30,910.4 |
JK TYRE & INDUSTRIES LTD | 3,396.16 | 3.12 | 10,603.6 |
TVS SRICHAKRA LTD | 1,034.18 | 3.06 | 3,161.9 |
GOODYEAR INDIA LTD | 605.81 | 4.46 | 2,704.6 |
Tyres & Allied Industry Benchmark (Top 10) PB Analysis vs CEAT 's P/B Ratio
Top 10 Industry Peers | PB Ratio |
---|---|
Min industry PB | 2.40x |
Max industry PB | 5.97x |
Median industry PB | 3.12x |
Average industry PB | 3.67x |
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