ARC Insulation & Insulators (NSE:ARCIIL) Intrinsic Value: DCF (FCF Based): ₹-33.75 (As of Sep. 14, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

NSE:ARCIIL ARC Insulation & Insulators Ltd NSE:ARCIIL
24 GF Score
Price ₹36.00
! 5 Warning Signs
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What is ARC Insulation & Insulators Intrinsic Value: DCF (FCF Based)?

ARC Insulation & Insulators NSE:ARCIIL 24 Intrinsic Value: DCF (FCF Based) is ₹-33.75 as of Sep. 14, 2026. GuruFocus rates NSE:ARCIIL with a GF Score™ of 24/100. The stock has 5 warning signs investors should review. Among 170 Construction companies, ARC Insulation & Insulators ranks worse than 588234.71% on this metric.

As of today (2026-09-14), ARC Insulation & Insulators's intrinsic value calculated from the Discounted Cash Flow model is ₹-33.75.

Note: Discounted Cash Flow model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's predictability rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

ARC Insulation & Insulators's Predictability Rank is Not Rated. Thus, this page is only used for demonstration purposes and the DCF related results in the screener and portfolio will appear as zero.

Margin of Safety (FCF Based) using Discounted Cash Flow model for ARC Insulation & Insulators is N/A.

The industry rank for ARC Insulation & Insulators's Intrinsic Value: DCF (FCF Based) or its related term are showing as below:

NSE:ARCIIL's Price-to-DCF (FCF Based) is not ranked *
in the Construction industry.
Industry Median: 0.845
* Ranked among companies with meaningful Price-to-DCF (FCF Based) only.

ARC Insulation & Insulators  (NSE:ARCIIL) Intrinsic Value: DCF (FCF Based) Explanation

Unlike valuation methods such as Net Current Asset Value, Tangible Book per Share, Graham Number, Median PS Value etc, discounted Cash Flow model evaluates the companies based on their future earnings power instead of their assets.


Be Aware

What you need to know about the DCF model:

1. The DCF model evaluates a company based on its future earnings power
2. Growth is taken into account; therefore a faster growth company is worth more if everything else is the same.
3. Since we are projecting future growth, it is assumed that the company will grow at the same rate as it did during the past 10 years. Therefore this model works better for the companies that have relatively consistent performance.
4. The DCF model works poorly for inconsistent performers such as cyclicals.
5. What discount rate should you use? Your expected return from the investment is a good discount rate assumption.
6. A larger margin of safety should be required for companies with less predictable businesses.

You can screen for stocks that trade below their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) with the GuruFocus All-in-One Screener. Companies with a high Predictability Rank that trade at a discount to their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) can be found in the screen of Undervalued Predictable Companies.


ARC Insulation & Insulators Intrinsic Value: DCF (FCF Based) Related Terms


ARC Insulation & Insulators Intrinsic Value: DCF (FCF Based) Historical Data

* Premium members only.

The historical data trend for ARC Insulation & Insulators's Intrinsic Value: DCF (FCF Based) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ARC Insulation & Insulators Intrinsic Value: DCF (FCF Based) Chart

ARC Insulation & Insulators Annual Data
Trend Mar22 Mar23 Mar24 Mar25
Intrinsic Value: DCF (FCF Based)
0.00 0.00 0.00 0.00

ARC Insulation & Insulators Semi-Annual Data
Mar22 Mar23 Mar24 Mar25 Sep25
Intrinsic Value: DCF (FCF Based) 0.00 0.00 0.00 0.00 0.00

NSE:ARCIIL vs TT, JCI, CARR: Intrinsic Value: DCF (FCF Based) Comparison

For the Building Products & Equipment subindustry, ARC Insulation & Insulators's Price-to-DCF (FCF Based), along with its competitors' market caps and Price-to-DCF (FCF Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


ARC Insulation & Insulators Price-to-DCF (FCF Based) vs Construction Industry

For the Construction industry and Industrials sector, ARC Insulation & Insulators's Price-to-DCF (FCF Based) distribution charts can be found below:

* The bar in red indicates where ARC Insulation & Insulators's Price-to-DCF (FCF Based) falls into.


NSE:ARCIIL
24GF Score
ARC Insulation & Insulators Ltd NSE:ARCIIL
Intrinsic Value: DCF (FCF Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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ARC Insulation & Insulators Intrinsic Value: DCF (FCF Based) Calculation

This is the intrinsic value calculated from the Discounted Cash Flow model with default parameters. In a discounted cash flow model, the future cash flow is estimated based on a cash flow growth rate and a discount rate. The cash flow of the future is discounted to its current value at the discount rate. All of the discounted future cash flow is added together to get the current intrinsic value of the company.

Usually a two-stage model is used when calculating a stock's intrinsic value using a discounted cash flow model. The first stage is called the growth stage; the second is called the terminal stage. In the growth stage the company grows at a faster rate. Because it cannot grow at that rate forever, a lower rate is used for the terminal stage.

GuruFocus DCF calculator is a two-stage model. The default values are defined as:

1. Discount Rate: d = 13%
A reasonable discount rate assumption should be at least the long term average return of the stock market, which can be estimated from risk free rate plus risk premium of stock market. GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate and rounded up to the nearest integer. It is updated daily. The current risk-free rate is 6.89%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default. Then we added a risk premium of 6% to get the estimated discount rate. Some investors use their expected rate of return, which is also reasonable. A typical discount rate can be anywhere between 6% - 20%.

2. Growth Rate in the growth stage: g1 = 5%
The Growth Rate in the growth stage is initially set as the default 10-Year FCF Growth Rate (Per Share). In cases where the 10-year growth rate is unavailable, it defaults to using the 5-Year FCF Growth Rate (Per Share). If both the 10-year and 5-year growth rates are unavailable, the system defaults to the 3-Year FCF Growth Rate (Per Share).
However, it's important to note that there is a growth rate range. If the calculated growth rate exceeds 20%, it will be capped at 20%. Conversely, if the calculated growth rate falls below 5%, it will be adjusted to 5% to maintain a reasonable range.
=> ARC Insulation & Insulators's average Free Cash Flow Growth Rate in the past 3 years was 0.00%, which is less than 5%. GuruFocus defaults => Growth Rate: 5%

3. Years of Growth Stage: y1 = 10

4. Terminal Growth Rate: g2 = 4%

5. Years of Terminal Growth: y2 = 10

6. Free Cash Flow per Share: fcf = ₹-3.391.
However, GuruFocus DCF calculator is actually a Discounted Earnings calculator, the EPS without NRI is used as the default. The reason we are doing this is we found that historically stock prices are more correlated with earnings than free cash flow.

All of the default settings can be changed and the results are calculated automatically.

ARC Insulation & Insulators's Intrinsic Value: DCF (FCF Based) for today is calculated as

Intrinsic Value: DCF (FCF Based)=Free Cash Flow per Share*{[(1+g1)/(1+d)+(1+g1)^2/(1+d)^2+...+(1+g1)^10/(1+d)^10]
+(1+g1)^10/(1+d)^10*[(1+g2)/(1+d)+(1+g2)^2/(1+d)^2+...+(1+g2)^10/(1+d)^10]}

set x = (1+g1)/(1+d) = (1+0.05)/(1+0.13) = 0.92920353982301
and y = (1+g2)/(1+d) = (1+0.04)/(1+0.13) = 0.92035398230089

Intrinsic Value: DCF (FCF Based)=Free Cash Flow per Share*{[x+x^2+...+x^10]+x^10*[y+y^2+...+y^10]}
=Free Cash Flow per Share*[x*(1-x^10)/(1-x)+x^10*y*(1-y^10)/(1-y)]
=-3.391*9.9539
=-33.75

Margin of Safety (FCF Based)=(Intrinsic Value: DCF (FCF Based)-Current Price)/Intrinsic Value: DCF (FCF Based)
=(-33.75-36.00)/-33.75
=N/A

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Intrinsic Value: DCF (FCF Based) of ₹-33.75 mean?
ARC Insulation & Insulators (NSE:ARCIIL) has a Intrinsic Value: DCF (FCF Based) of ₹-33.75 as of Sep. 14, 2026. Intrinsic Value: DCF (FCF Based) is the stock value based on a two-stage discounted free cash flow model. View historical data on ARC Insulation & Insulators and its competitors. According to the industry distribution chart, ARC Insulation & Insulators ranks #999999 out of 170 companies in the Construction industry.
Is ARC Insulation & Insulators' Intrinsic Value: DCF (FCF Based) too high?
ARC Insulation & Insulators' current Intrinsic Value: DCF (FCF Based) is ₹-33.75. Based on the distribution chart, ARC Insulation & Insulators ranks #999999 out of 170 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, ARC Insulation & Insulators has a GF Score™ of 24/100, reflecting its overall financial health beyond just this single metric.
How does ARC Insulation & Insulators' Intrinsic Value: DCF (FCF Based) compare to TT and JCI?
According to the Construction industry distribution chart, ARC Insulation & Insulators ranks #999999 out of 170 companies for Intrinsic Value: DCF (FCF Based). This places ARC Insulation & Insulators in the lower half of its industry. The industry median Intrinsic Value: DCF (FCF Based) is 0.85. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Intrinsic Value: DCF (FCF Based) for a Construction company?
The median Intrinsic Value: DCF (FCF Based) among Construction companies is 0.85, based on 170 companies in the industry. Companies in the top quartile (top 25%) have a Intrinsic Value: DCF (FCF Based) significantly above this median, while those in the bottom quartile fall well below. However, Intrinsic Value: DCF (FCF Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Intrinsic Value: DCF (FCF Based) mean?
A high Intrinsic Value: DCF (FCF Based) can signal that a stock is expensive relative to its fundamentals. Intrinsic Value: DCF (FCF Based) is the stock value based on a two-stage discounted free cash flow model. View historical data on ARC Insulation & Insulators and its competitors. For the Construction industry, the median Intrinsic Value: DCF (FCF Based) is 0.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ARC Insulation & Insulators's current Intrinsic Value: DCF (FCF Based) is ₹-33.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ARC Insulation & Insulators stock overvalued right now?
ARC Insulation & Insulators (NSE:ARCIIL) has a current Intrinsic Value: DCF (FCF Based) of ₹-33.75. The current Intrinsic Value: DCF (FCF Based) is ₹-33.75. ARC Insulation & Insulators' overall GF Score™ is 24/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Intrinsic Value: DCF (FCF Based) calculated?
Intrinsic Value: DCF (FCF Based) is calculated from a company's financial statements. For ARC Insulation & Insulators (NSE:ARCIIL), the current Intrinsic Value: DCF (FCF Based) is ₹-33.75 as of Sep. 14, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

ARC Insulation & Insulators Business Description

Address Village - Ramdevpur, PO-Bawali Bishnupur 2, Parganas South, Bishnupur, WB, IND, 743384
ARC Insulation & Insulators Ltd specializes in the manufacturing and supply of Glass Fiber Reinforced Polymers, Fiber Reinforced Polymers Products (FRP) composite/constituency products which provides corrosion-resistant, tensile strength and insulating Glass Fiber Reinforced Polymer (GFRP) solutions which can be used as a substitute for steel bars/rebars. It produces dent-resistant, low thermal expansion, corrosion resistant, and insulating GFRP. Its offerings include GFRP Rebars, GFRP Granting Walkways, GFRP Pipelines, GFRP Tubes, GFRP Fencing for Transformers, GFRP Cable Trays, and other related products designed for industrial, energy and marine's sectors construction and industrial applications.
24GF Score

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Intrinsic Value: DCF (FCF Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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