Varroc Engineering Ltd
NSE:VARROC
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EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (19.9), the stock would be worth ₹637.88 (18% upside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 16.8 | ₹539.2 |
0%
|
| 3-Year Average | 19.9 | ₹637.88 |
+18%
|
| 5-Year Average | 19.4 | ₹621.51 |
+15%
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| Industry Average | 24 | ₹768.49 |
+43%
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| Country Average | 23.3 | ₹746.53 |
+38%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
₹84.7B
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/ |
Jan 2026
₹4.9B
|
= |
|
|
₹84.7B
|
/ |
Mar 2026
₹5.2B
|
= |
|
|
₹84.7B
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/ |
Mar 2027
₹6.5B
|
= |
|
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₹84.7B
|
/ |
Mar 2028
₹8B
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= |
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Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| IN |
V
|
Varroc Engineering Ltd
NSE:VARROC
|
82.4B INR | 16.8 | 46.7 | |
| JP |
P
|
Pacific Industrial Co Ltd
TSE:7250
|
57.2T JPY | 7.3 | 11 | |
| JP |
|
Sumitomo Electric Industries Ltd
TSE:5802
|
7.8T JPY | 20.4 | 30.2 | |
| JP |
|
Denso Corp
TSE:6902
|
5.3T JPY | 9.7 | 13.9 | |
| KR |
|
Hyundai Mobis Co Ltd
KRX:012330
|
38.1T KRW | 8.8 | 10.4 | |
| CN |
|
Fuyao Glass Industry Group Co Ltd
SSE:600660
|
153.4B CNY | 14.1 | 16.5 | |
| CA |
|
Magna International Inc
TSX:MG
|
23.3B CAD | 9.7 | 20.8 | |
| DE |
|
Continental AG
XETRA:CON
|
13.3B EUR | 10.8 | -80.8 | |
| CN |
|
Ningbo Tuopu Group Co Ltd
SSE:601689
|
106B CNY | 32.5 | 38.1 | |
| IN |
|
Samvardhana Motherson International Ltd
NSE:MOTHERSON
|
1.3T INR | 22.4 | 38.1 | |
| US |
|
Modine Manufacturing Co
NYSE:MOD
|
12.9B USD | 39.9 | 134.7 |
Market Distribution
| Min | 0.4 |
| 30th Percentile | 15.7 |
| Median | 23.3 |
| 70th Percentile | 34.7 |
| Max | 48 145.1 |
Other Multiples
Varroc Engineering Ltd
Glance View
In the bustling ecosystem of the global automotive industry, Varroc Engineering Ltd. has carved out a notable position as a dynamic player specializing in automotive components. Founded in 1990 by the industrious Tarang Jain, the company started as a modest manufacturer of plastic moldings. Over the decades, Varroc metamorphosed into a prominent entity in the automotive supply chain, diversifying its offerings to a comprehensive portfolio that includes lighting systems, electrical components, powertrain products, and a range of body and chassis parts. With its headquarters nestled in Aurangabad, India, the company rapidly scaled its operations, extending its footprint across 36 manufacturing facilities in multiple countries, establishing itself as a globally recognized supplier, especially dominant in the two-wheeler segment. Varroc Engineering Ltd.'s growth trajectory is fueled by its strategic focus on innovation and robust customer relationships. By leveraging technological advancements, it seamlessly integrates smart lighting solutions and electronics into its platforms, catering to the ever-evolving demands of automakers pursuing efficient and sustainable vehicle models. The company capitalizes on its strong partnerships with original equipment manufacturers (OEMs), ensuring a steady revenue stream by supplying a diversified range of components. Additionally, its efforts in research and development drive cost efficiency and product differentiation, allowing it to maintain competitive pricing while meeting the stringent quality standards of the automotive giants it serves. Through this strategic amalgamation of innovation, global reach, and customer-centric focus, Varroc Engineering Ltd. sustains its momentum in the fast-paced domain of automotive component supply.