REC
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The Current P/B Ratio of REC is 2.07.
Share Price | ₹544.5 | May 18,2024 |
Market Cap | ₹143,377.7 Cr | |
Book Value | ₹69,350.2 Cr | Mar2024 - Consolidated Results |
Price/Book | 2.07x | Calculated as MarketCap/Book Value |
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Explore Stock Analytics |
Definition & Calculation of PB (Price/Book ) ratio of REC
P/B =
Market Capitalization
/ Book Value
or, using per-share numbers:
P/B = Stock Price /
Book Value Per Share
Current Market Cap [ ₹143,377.7 Cr] as on May 18,2024
(/) Book Value [ ₹69,350.2 Cr] based on Mar2024 - Consolidated Results
(=) P/B Ratio [ 2.07x ]
Thus, for REC , the investors are currently willing to pay '2.07 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 REC !
The chart below summarizes the trend in P/B Ratio of REC over the last five years.
Historical PB (Price/Book ) ratio chart of REC
PB Ratio Performance Analysis for REC
- REC 's p/b ratio for fiscal years ending Mar2023 to Mar2019 averaged 0.60x.
- REC 's operated at median p/b ratio of 0.53x from fiscal years ending March 2018 to 2022.
- Looking back at the last 5 fiscal years, REC 's p/b ratio peaked in Mar2019 at 0.87x.
- REC 's p/b ratio hit its five-year low in Mar2022 of 0.48x.
How does REC 's P/B Ratio benchmark against top 10 peers in Finance Term Lending Industry?
Peer Comparison (Finance Term Lending Industry) | Book Value | PB Ratio | Market Cap |
---|---|---|---|
REC | 69,350.20 | 2.07 | 143,377.7 |
INDIAN RAILWAY FINANCE CORPORATION LTD | 45,470.30 | 4.98 | 226,347.0 |
POWER FINANCE CORPORATION LTD | 101,147.00 | 1.52 | 153,735.0 |
IFCI LTD | 4,534.24 | 3.66 | 16,617.2 |
UJJIVAN FINANCIAL SERVICES LTD | 3,162.18 | 2.27 | 7,189.6 |
MAS FINANCIAL SERVICES LTD | 1,518.65 | 3.20 | 4,852.4 |
SATIN CREDITCARE NETWORK LTD | 2,400.85 | 1.11 | 2,659.0 |
TOURISM FINANCE CORPORATION OF INDIA LTD | 1,089.62 | 1.37 | 1,497.7 |
GUJARAT STATE FINANCIAL CORPORATION LTD | -2,813.52 | -0.09 | 247.7 |
Finance Term Lending Industry Benchmark (Top 10) PB Analysis vs REC 's P/B Ratio
Top 10 Industry Peers | PB Ratio |
---|---|
Min industry PB | -0.09x |
Max industry PB | 4.98x |
Median industry PB | 2.07x |
Average industry PB | 2.23x |
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