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INDOKEM
PB (Price/Book ) Ratio

The Current P/B Ratio of INDOKEM is 7.60.

Share Price ₹95.6Apr 16,2024
Market Cap ₹266.8 Cr
Book Value₹35.1 CrMar2023 - Standalone Results
Price/Book 7.60xCalculated as MarketCap/Book Value
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Definition & Calculation of PB (Price/Book ) ratio of INDOKEM

Price-to-Book ratio, P/B Multiple, or P/B Ratio is an important valuation multiple that is defined as:

P/B = Market Capitalization / Book Value

or, using per-share numbers:

P/B = Stock Price / Book Value Per Share

Applying the above formula, P/B ratio of INDOKEM is calculated as :

Current Market Cap [ ₹266.8 Cr] as on Apr 16,2024

(/) Book Value [ ₹35.1 Cr] based on Mar2023 - Standalone Results

(=) P/B Ratio [ 7.60x ]

P/B Ratio indicates 'the multiple of book value' investors are willing to pay to own one share of the company.

Thus, for INDOKEM , the investors are currently willing to pay '7.60 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 INDOKEM !

The chart below summarizes the trend in P/B Ratio of INDOKEM over the last five years.

Historical PB (Price/Book ) ratio chart of INDOKEM


PB Ratio Performance Analysis for INDOKEM

- INDOKEM 's latest p/b ratio is 7.60x.

- INDOKEM 's p/b ratio for fiscal years ending Mar2023 to Mar2019 averaged 2.83x.

- INDOKEM 's operated at median p/b ratio of 1.91x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, INDOKEM 's p/b ratio peaked in Mar2023 at 7.16x.

- INDOKEM 's p/b ratio hit its five-year low in Mar2020 of 0.8x.


How does INDOKEM 's P/B Ratio benchmark against top 10 peers in Chemicals Industry?

Peer Comparison (Chemicals Industry)Book ValuePB RatioMarket Cap
INDOKEM 35.127.60266.8
PIDILITE INDUSTRIES LTD7,168.6420.44146,535.0
SOLAR INDUSTRIES INDIA LTD2,610.3429.3176,520.2
SRF LTD10,315.407.2374,630.9
GUJARAT FLUOROCHEMICALS LTD5,520.727.0438,858.9
DEEPAK NITRITE LTD4,089.967.7431,660.9
TATA CHEMICALS LTD19,721.001.4328,183.7
GODREJ INDUSTRIES LTD7,974.133.5528,302.2
AARTI INDUSTRIES LTD4,920.065.5227,164.2
ATUL LTD4,671.383.7717,599.8
VINATI ORGANICS LTD2,218.297.3016,204.5

Chemicals Industry Benchmark (Top 10) PB Analysis vs INDOKEM 's P/B Ratio

Top 10 Industry PeersPB Ratio
Min industry PB 1.43x
Max industry PB 29.31x
Median industry PB 7.23x
Average industry PB 9.18x



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