Asian Paints Ltd P/E Ratio

The P/E Ratio of Asian Paints Ltd is 50.6 as of 20 May 08:24 AM .a1#The P/E Ratio of Asian Paints Ltd changed from 66.4 on March 2019 to 64.5 on March 2023 . This represents a CAGR of -0.58% over 5 years. a1#The Latest Trading Price of Asian Paints Ltd is ₹ 2816 as of 18 May 15:30 .a1#The PE Ratio of Paints/Varnish Industry has changed from 65.0 to 61.4 in 5 years. This represents a CAGR of -1.13%a1# The PE Ratio of Automobile industry is 27.2. The PE Ratio of Finance industry is 13.6. The PE Ratio of IT - Software industry is 27.9. The PE Ratio of Paints/Varnish industry is 61.4. The PE Ratio of Retail industry is 94.8. The PE Ratio of Textiles industry is 21.1. In 2023a1#The Market Cap of Asian Paints Ltd changed from ₹ 143102 crore on March 2019 to ₹ 264896 crore on March 2023 . This represents a CAGR of 13.11% over 5 years. a1#The Revenue of Asian Paints Ltd changed from ₹ 8718 crore to ₹ 8943 crore over 8 quarters. This represents a CAGR of 1.28% a1#The EBITDA of Asian Paints Ltd changed from ₹ 1643 crore to ₹ 1903 crore over 8 quarters. This represents a CAGR of 7.63% a1#The Net Profit of Asian Paints Ltd changed from ₹ 1036 crore to ₹ 1275 crore over 8 quarters. This represents a CAGR of 10.95% a1#The Dividend Payout of Asian Paints Ltd changed from 47.24 % on March 2019 to 60.01 % on March 2023 . This represents a CAGR of 4.90% over 5 years. a1#

The Price-to-Earnings (PE) ratio, used to assess Asian Paints Ltd's stock (BSE: ASIANPAINT), indicates how many years it would take for the company to earn back the stock price. If a company earns ₹2 per share annually and its stock trades at ₹30, the PE ratio is 15, signifying a 15-year payback period assuming steady earnings. Earnings fluctuate, affecting the payback period, Growing earnings shorten the recovery time while declining earnings extend it. Shareholders favor shorter payback periods, preferring lower PE stocks. Among stocks with the same PE ratio, faster-growing businesses are preferred. A company with losses makes the PE ratio meaningless. Peter Lynch introduced the PEG ratio to compare stocks with different growth rates, dividing the PE ratio by the growth rate. A company is considered fairly valued when its PE ratio matches its growth rate. The PE ratio, applicable across industries, measures stock valuation based on earnings power. It indicates how quickly an investment can be recouped. Unlike the PB ratio, which assesses valuation based on the balance sheet, the PE ratio focuses on earnings. Overall, the PE ratio provides insights into stock valuation, aligning with investors' preference for faster returns.

The products of the Company include ancillaries, automotive, decorative paints, and industrial paints. It operate manufacturing plants in Maharashtra, Gujarat, Andhra Pradesh, Uttar Pradesh, Tamil Nadu and Haryana. In September 2007, the company tailored their first exclusive industrial coatings manufacturing facility at Taloja in Maharashtra, with an installed capacity of 14,000 KL per annum. During the year 2008-09, the company made a tie up with Dupont USA to co-brand the Royale range of Emulsions with Teflon, the product synonymous with toughness and durability. Asian Paints (International) Ltd, the company's direct subsidiary, purchased the balance 49% stake in Asian Paints (Tonga) Ltd for a consideration of TOP 646,800 (approx. During the year 2009-10, the company increased the capacity of Sriperumbudur Plant in Tamil Nadu to 140,000 KL per annum. They procured land for setting up a manufacturing facility for Decorative Paint in Kesurdi, Maharashtra. During the year, the company approved the plans to enhance its 14 year relationship with PPG Industries Inc. (PPG), to accelerate growth of their non-decorative coatings businesses in India. The said expansion and augmentation would involve phasing out the current Phthalic Anhydride and its allied products manufactured at this facility. The company also continued to focus on building capacity across units to support our growth ambitions. Asian Paints International Private Limited, Singapore, wholly owned subsidiary of the Company, was formed with Limited Liability namely AP International Doha Trading W.L.L, Qatar, on 29th July, 2021.