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Saregama India Limited (SAREGAMA) Fair Value & Analysis

Communication Services · IN · Market cap ₹94.9B

SI Saregama India Limited SAREGAMA · NSE
Price₹527.30
Fair Value₹214.51
Upside-59.3%
Quality55/100
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Expensive Growth
Highly profitable · 21.0% net margin
Low debt · negative free cash flow
0.91% dividend yield
Mixed vs. peers (7/13)
Wide moat 75/100
Evidence: High Range ₹161.24 – ₹267.14 Share as image

Fair value as of: Aug 13, 2026

From 17 valuation models · updated today

Share price +7.5% over the past month.

A solid business, but screening 59% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹267.14). The favourable scenario is already priced in.
  • Solid but not exceptional quality (55/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

₹652.09 ₹149.57 Fair Value ₹214.51 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹149.57 – ₹652.09 · fair‑value band ₹161.24 – ₹267.14 · the ₹527.30 price screens above the ₹214.51 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Saregama India Limited (SAREGAMA) currently trades at ₹527.30, while our model-based Fair Value estimate is ₹214.51, implying the stock looks roughly 59.3% overvalued today. The Quality Score stands at 55/100 (solid quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Saregama India Limited generated revenue of ₹9.8B at a net margin of 21.0%. Revenue grew 19.4% year over year. It earns a return on equity of 12.6%. The balance sheet holds a net cash position of ₹767M. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹161.24 (bear case) to ₹267.14 (bull case); at ₹527.30, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 72% above its 52-week low, currently above its 200-day average. For context, the median of 10 Communication Services peers we cover trades at -43% fair-value upside, at -59%, SAREGAMA screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income ₹82.28 ₹97.66 ₹192.55 76
ROIC Compounder ₹99.53 ₹135.95 ₹172.57 72
Gordon GGM ₹41.50 ₹86.29 ₹136.88 70
All 17 models by family
DCF Models
Owner Earnings ₹60.07 ₹108.80 ₹197.98 31
Earnings-Based
Graham-Dodd ₹73.35 ₹385.19 ₹533.09 54
Lynch FV ₹105.79 ₹151.13 ₹196.47 50
PEG = 1.0 ₹105.79 ₹151.13 ₹196.47 46
EPV ₹95.27 ₹109.93 ₹122.76 59
Dividend Discount
Gordon GGM ₹41.50 ₹86.29 ₹136.88 70
DDM Multi-Stage ₹41.50 ₹72.76 ₹90.56 61
Multiples
P/E Multiple ₹177.99 ₹237.32 ₹296.65 63
P/S Multiple ₹134.64 ₹179.53 ₹224.41 58
P/B Multiple ₹137.54 ₹183.38 ₹229.23 55
EV/EBIT ₹166.82 ₹220.00 ₹273.17 53
EV/EBITDA ₹165.17 ₹217.80 ₹270.43 54
EV/Revenue ₹115.00 ₹161.16 ₹207.33 43
Asset-Based
NCAV (Graham) ₹44.09 ₹59.08 ₹88.18 50
Economic Profit
Residual Income ₹82.28 ₹97.66 ₹192.55 76
ROIC Compounder ₹99.53 ₹135.95 ₹172.57 72
Growth Earnings
Growth-Adj P/E ₹161.24 ₹230.34 ₹299.44 68

Widest divergence: Growth Earnings (₹230.34) versus Asset-Based (₹59.08). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹9.8B
Revenue growth (YoY) +19.4%
Net margin 21.0%
Return on equity 12.6%
Free cash flow −₹809M FY2026
P/E ratio 49.1
More key figures
Operating margin 33.9%
EPS (TTM) ₹10.73
Dividend yield 0.9%
EPS growth (YoY) +24.1%
Net cash ₹767M FY2026

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 55/100

Of which business quality 52 · Market factors (momentum, volatility) 72

Profitability 51
Margins and returns on capital today
Quality Growth 48
Are margins and returns improving?
Cashflow 16
Earnings quality: real cash, not paper profit
Fin. Strength 84
Balance sheet, leverage, solvency risk
Investment 35
Disciplined investing over empire-building
Low Volatility 68
Calm price path (market factor)
Momentum 75
Price trend over the last 3–12 months (market factor)
52W Momentum 72
Distance to the 52-week high (market factor)
Net Issuance 80
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Saregama India Limited operates as an entertainment company in India and internationally. It operates in four segments: Music, Artist Management, Video, and Events. The Music segment engages in the manufacture and sale of music storage device through Carvaan, Music Card, Vinyl records, etc., as well as dealing with related music rights.

Full company description

Saregama India Limited operates as an entertainment company in India and internationally. It operates in four segments: Music, Artist Management, Video, and Events. The Music segment engages in the manufacture and sale of music storage device through Carvaan, Music Card, Vinyl records, etc., as well as dealing with related music rights. Its Artist Management segment manages influencers and artiste on an exclusive or non-exclusive basis. The Video segment is involved in the production and sale/telecast/broadcast of long-form and short-form video content, as well as dealing in related rights. Its Events segment organizes live musical events through ticket sales and sponsorships. The company was founded in 1902 and is headquartered in Mumbai, India. Saregama India Limited operates as a subsidiary of Composure Services Private Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Saregama India Limited reported revenue of ₹9.8B in FY2026 versus ₹5.8B in FY2022, a compound +14.3%/yr. Reported net income was ₹2.1B in FY2026, compounding +7.9%/yr from FY2022.

Growth Quality 56/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹9.8B
Latest YoY
−15.9%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.2%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.9%
Avg. growth/yr (20Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.8%
Revenue +14.3%/yr
FY22 ₹5.8B
FY23 ₹7.4B
FY24 ₹8.0B
FY25 ₹11.7B
FY26 ₹9.8B
Net income +7.9%/yr
FY22 ₹1.5B
FY23 ₹1.9B
FY24 ₹2.0B
FY25 ₹2.0B
FY26 ₹2.1B
Character of growth · EPS growth decomposed (2015-2026) +44.9 % p.a.
Revenue per share +17.5 pp

of which total revenue +18.8 pp · buybacks/dilution −1.3 pp

EBIT margin +23.0 pp
Tax rate +1.2 pp
Residual (interest, one-offs) +3.2 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

SAREGAMA screens 59% overvalued. Compare with Netflix, Inc →

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Cite: Fair Value Calculator (2026). "Saregama India Limited Fair Value". https://www.fairvalue-calculator.com/stock/SAREGAMA

Peer Group

Entertainment · 268 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 55 · Above median
Fair Value upside −59% · Bottom 25%
Return on equity (TTM) 13% · Top 25%
Return on assets 7% · Top 25%
Net margin (TTM) 21% · Top 25%
Operating margin (TTM) 34% · Top 25%
Revenue growth 19% · Above median
Dividend yield (TTM) 0.9% · Bottom 25%
Debt / equity 0.01× · Lower than median

Valuation Multiples vs Entertainment median · lower = cheaper

P/E (TTM) 49.1× · Pricier than 75% of peers
P/B 5.61× · Pricier than 75% of peers
P/S (TTM) 9.64× · Pricier than 75% of peers
EV/EBITDA 27.8× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 6
FUTURE 97 · sector 12
PAST 50 · sector 0
HEALTH 100 · sector 97
DIVIDEND 18 · sector 44

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Entertainment stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Netflix, Inc ZNFL C$6.08 C$2.66 -56%
The Walt Disney Company DIS $103.18 $80.62 -22%
Warner Bros. Discovery, Inc WBD $27.65 $9.03 -67%
Live Nation Entertainment, Inc LYV $185.33 $59.97 -68%
Empresas Cablevisión, S.A. CABLECPO 55.00 MXN 59.14 MXN +8%
PT MNC Digital Entertainment Tbk, MSIN 370.00 IDR 212.14 IDR -43%
Prime Focus Limited PFOCUS ₹268.00 ₹63.45 -76%
JYP Entertainment Corporation 035900 46,000 KRW 82,382 KRW +79%
SM Entertainment Co 041510 75,500 KRW 208,415 KRW +176%
PVR INOX Limited PVRINOX ₹1,176 ₹467.91 -60%

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Frequently asked questions

Is Saregama India Limited (SAREGAMA) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹214.51 versus a price of ₹527.30, about −59% (overvalued).
What is the fair value of SAREGAMA?
Our model-based fair value for Saregama India Limited is ₹214.51 (as of Aug 13, 2026), built from audited fundamentals. The current price is ₹527.30.
What is the quality score of SAREGAMA?
Saregama India Limited has a Quality Score of 55/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Saregama India Limited (SAREGAMA)?
Saregama India Limited reported trailing-twelve-month revenue of about ₹9.8B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of SAREGAMA?
The net profit margin of Saregama India Limited is about 21.0%, meaning it keeps roughly 21.0% of revenue as net income. Based on the latest reported figures.
Does Saregama India Limited pay a dividend?
Saregama India Limited currently shows a dividend yield of about 0.91% relative to its recent price (as of Aug 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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